City Of Temecula Takes Stance On Sports Betting In CA, Props 26 & 27

TEMECULA, CA — Two statewide ballot measures that would bring sports betting to California will be put to Golden State voters this fall, and earlier this month the city of Temecula took a stand on the initiatives after being contacted by Pechanga tribal leaders.

During its Aug. 9 meeting, the Temecula City Council voted 4-1 to formalize its position on Propositions 26 and 27. The move aligns with the Pechanga Band of Luiseño Indians: Yes on 26. No on 27.

Councilmember Jessica Alexander cast the only dissenting vote. Jacob Mejia, who serves as director of public affairs for Pechanga, addressed the council during the meeting, but Alexander wasn't swayed. She insisted that voters should decide for themselves which way to go on statewide initiatives, without city input.

Pechanga has donated millions of dollars to Temecula Valley programs, and the city of Temecula refers to the tribe as a community partner. Alexander said she appreciates Pechanga's local work, but said it was inappropriate for the city to take a stand on statewide ballot initiatives.

"As a councilmember, I don't think it's my duty to speak out," she said.

If passed by California voters on Nov. 8, Proposition 26 will allow sports betting in the state, but only in-person at tribal casinos and racetracks. Proposition 27 would legalize online sports betting, and it would be statewide.

A coalition of tribes and casinos have donated millions of dollars to a committee supporting Prop 26 and opposing Prop 27. As of Tuesday, The Coalition for Safe, Responsible Gaming had garnered more than $40 million in contributions from the Pechanga tribe alone, according to the California Secretary of State.

The fight over the two propositions has become the Golden State's priciest. California’s previously most expensive proposition — Prop 22 of 2020— saw Uber, Lyft and DoorDash fork over more than $200 million to beat back the ballot initiative that would treat their drivers as employees.

The campaign contributions for and against Props 26 and 27 have far exceeded that 2020 battle, according to the SOS. At nearly $400 million, the 2022 fight pits local tribes against giant online betting corporations.

Seven out-of-state companies that specialize in online gambling have each shelled out millions of dollars in campaign donations to support yes votes on Prop 27. DraftKings, Fanduel Sportsbook, BetMGM, Penn Interactive Ventures, FBG Enterprises, WSI US LLC and Bally’s Interactive LLC should see significant revenue increases if online sports betting becomes legal across California.

Mejia calls it "bad policy." Prop 27 would "unleash the biggest expansion of mobile and online gaming in U.S. history," he said.

The money being spent on Props 26 and 27 is not surprising given the enormous stakes.

Thad Kousser, professor of political science at UC San Diego, and co-director of the Yankelovich Center for Social Science Research, told the East Bay Times, “It is worth it to spend a couple hundred million to gain, essentially, a monopoly over a multi-billion dollar industry."