The most expensive proposition fight in California history doesn’t just include more than $100 million in political donations and financial projections that differ by billions of dollars. It also features expensive meals, ill-advised statements, the Sacramento Kings, Justin Timberlake and the Wiggles.
With a week and a half to go before California voters
decide on four gaming compacts that would allow 17,000 new slot machines, the two sides are exchanging body
blows as each tries to show the other has been using
gaming money to influence legislators.
The Yes side — The Coalition to Protect California’s Budget & Economy — has tried to ding the compact opponents for hypocrisy.
Last week, the main group working against the compact, Californians Against the Unfair Deals, launched a new series of television ads claiming the deals would mainly benefit four of the richest gaming tribes in the state while doing little for the state’s poor, non-gaming tribes.
Roger Salazar, a spokesman for the Coalition, pointed
out that the actual Indians in the No ad included Vice
Chairman Leroy Miranda and several other members of
the Pala Band of Mission Indians. The tribe has a casino
north of San Diego with nearly 2,300 slot machines and has given $6.5 million to the No side.
“We have to be very aggressive about countering some
of the information they have been putting out,” Salazar said. “They’ve been making up stuff out of whole cloth.”
The Coalition has also pointed to the $4.3 million in opposition money that can be traced to
gaming interest owned by Terry Fancher. Fancher owns
the Bay Meadows and Hollywood Park horse racing tracks.
The Yes side has been circulating comments that Fancher
made last year in front of the state’s Horse Racing Board saying he hadn’t “gotten his money’s worth” from political donations when a vote didn’t go his way.
Salazar said Fancher’s companies have made more than $11 million in political donations since the beginning
of 2004. Bay Meadows also reported a $625 dinner last March for Assemblywomen Karen Bass, Patty
Berg and Julia Brownley, along with a pair of consultants.
But compact opponent Cheryl Schmit of the group Stand
Up for California said that this money was “very minimal by comparison” to what the Yes side was spending.
“These tribes have been on a single-minded mission to expand their gambling operations,
and to that they’ve needed massive political clout,” Schmit said.
She pointed to huge amounts of political donations
by the four tribes with pending compacts. According
to state filings, since the beginning of 2000, the Morongo Band of Mission Indians has made $38 million in political donations in California. The
Agua Caliente Band of Cahuilla Indians has donated
$22.8 million, while the Pechanga Band of Luiseño Indians has put in $18.5 million.
On Friday, Californians Against will release a report
detailing some of the spending by these tribes. Among
them, these three tribes and the fourth compact tribe,
the Sycuan Band of the Kumeyaay Nation, have given
$55 million to pass the compacts.
They have also fed or entertained at least 52 of California’s 120 legislators, as shown in documents publicly available
on the secretary of state’s Web site. For instance, the Pechanga tribe provided
Sacramento Kings basketball tickets worth $89.50 each to Assemblymembers Joel Anderson, Bonnie Garcia,
Lloyd Levine and Cameron Smyth, along with numerous
staffers. Last March, the tribe provided NCAA tournament
tickets to Sen. Gil Cedillo, Assemblyman Joe Coto and
several staffers.
Last January, the tribe bought dinner, at $141.62 a head, at Morton’s Steakhouse for GOP Senators Jeff Denham, Dennis Hollingsworth
and Mark Wyland, Assemblyman George Plescia and Board
of Equalization Member Bill Leonard. Perhaps most incongruous
were tickets given to Assemblyman Doug LaMalfa to a
concert by the Wiggles, a musical group from Australia
with colorful outfits and upbeat tunes that caters
to children. Several staffers got tickets to Arco Arena
events including Disney on Ice and a Justin Timberlake
concert.
“The real irony is that 125 years ago we were almost eliminated by the State,
largely because our voice was not heard,” said Pechanga chairman Mark Macarro. Now that we exercise
this fundamental right, a few choose to criticize us.
We of course abide by all state and federal reporting
requirements, just like all the rest who entertain.”
“The reams of data from the secretary of state show
how the big four tribes spread their vast gambling
profits far and wide in Sacramento,” said Dana Wise, a research analyst with the union
group UNITE HERE who has been tracking spending by
the Yes side. “No part of the Legislature was left untouched.”
Lobbying tabs have also been high on both sides. The
two gaming tribes providing much of the money to oppose
the compacts, Pala and the United Auburn Indian Community,
spent nearly $50,000 during the first three quarters of 2007. They say the “big four” tribes on the other side spent $2 million on lobbying last year between them, as shown
in secretary of state filings.
The big money cuts both ways, Salazar said. Auburn
and Pala are both members of the California Tribal
Business Alliance, which he characterized as a powerful
group that keeps top-flight lobbying and legal teams on hand. The Business
Alliance is also a major donor, he noted. Its IE PAC
has given $880,000 in state donations since mid-2006. The group’s Candidate PAC gave $170,000. Its Issues PAC gave $159,000 to Californians Against Reservation Shopping for a
successful effort to oppose a casino measure in Glenn
County in 2006.
Salazar also notes that the group sponsors one of the
biggest parties in Sacramento each year, the annual
Back-to-Session Bash at Mason’s restaurant. It features a VIP room and usually attracts
dozens of legislators (disclosure: Capitol Weekly is a co-sponsor of the party).
In the last three months of 2007, the Yes side spent more than $21 million on television advertising hoping to get voters
to approve the compacts. The No side waited longer,
but it is believed to have spent several million on
their recent commercials.
Both sides have a great deal of incentive to take the
airwaves. A Dec. 27 Field Poll found likely voters favoring the compacts
39 percent to 33 percent against. The Yes side’s advantage is tempered by the 28 percent of voters who are undecided.
“We believe there is a larger story to tell, that these
big four tribes have invested millions of dollars to
obtain these sweetheart deals,” said Shelly Sullivan, a spokeswoman for Californians
Against. “From political contributions to Wiggles tickets, they
have been laying the groundwork to get these compacts
approved.”
Again, Salazar took issue. He noted that Auburn is
opposing other tribes’ “Vegas-type expansion” at the same time they are trying to expand their own
casino operations by adding a 654-room hotel, 5,000-car parking garage, 3,000-seat area, a poker room and 1,200 employees. The difference, he noted, was no mention
of the new slot machines the tribe will also be able
to add.
He went on to call the new compacts “the best deal the state has gotten,” with more environmental and labor guarantees and higher
payouts to the state. By focusing on the money, he
said, opponents are trying to distract voters from
the actual content of the deals. Salazar also said
the opponents were working hard to make voters believe
the compacts were the product of some kind of secret
backroom deal.
“All of this stuff was negotiated out in public in the
legislature,” Salazar said.
