The most-populous state in the U.S. is inching closer and closer to a ban on sweepstakes casinos, but its keen supporters and anxious opponents will be left in “suspense” for just a little while longer.
- California’s anti-sweepstakes casino bill has been placed on the Senate Appropriations Committee’s “Suspense File.”
- The bill would ban online sweepstakes using a “dual currency” model of wagering.
- A.B. 831 has support from major Native American gaming groups, but not all tribes, senators heard on Monday.
Members of the California State Senate’s Appropriations Committee met Monday and added Assembly Bill 831 to their “Suspense File,” along with many others. The bill proposes a crackdown on sweepstakes casinos in the state, but must first be freed from suspense.
The Senate committee's “Suspense File” is basically a waiting area for legislation that could cost the state’s general fund $50,000 or more or a special fund $150,000 or more.
Members of the Senate’s Appropriations Committee will meet again for a rapid-fire hearing on the Suspense File bills, including Assemblymember Avelino Valencia’s A.B. 831. It’s at that hearing where it will be revealed whether the anti-sweeps legislation will advance to the Senate floor for a potential vote or be held back by the committee.
Presumably, that hearing will also happen before or on Aug. 29, the last day for the Appropriations Committee to report A.B. 831 to the Senate floor. The Appropriations Committee website shows there is a hearing date set aside for Aug. 25.
California cliffhanger
So, the “suspense” regarding a possible prohibition on sweepstakes casinos in California will continue for the time being.
If it becomes law, A.B. 831 would prohibit operating online sweepstakes that use a “dual currency” model for casino-like wagering, including sports betting.
The bill contains penalties for those who run and offer online sweepstakes casinos, by creating a misdemeanor violation that can result in up to a year of jail time and fines of $1,000 to $25,000 for offenders.
A.B. 831 was first amended in the Senate in June to become an anti-sweeps bill. It was then referred to the chamber's committee on governmental organization, which passed it unanimously on July 8 and re-referred it to the public safety committee, which likewise passed an amended version last month.
Several other state legislatures have taken action against sweepstakes casinos and sportsbooks this year, such as New Jersey, where anti-sweeps legislation became law last week.
Was fuzzy earlier this week exactly how it was being amended, but the online text of the California sweepstakes ban bill has now been updated. Would no longer make it illegal to "promote" sweeps, and vendors would have to "knowingly" support operators to break the proposed law. pic.twitter.com/eBVkzI2OYb
— Geoff Zochodne (@GeoffZochodne) July 17, 2025
However, the anti-sweeps bill in California is part of a broader, tribal-backed effort to better define what is and isn’t legal gambling in the state. The effort has recently included the opinion of the state’s attorney general that all forms of paid daily fantasy sports contests are illegal in the state, as well as pushback against federally regulated prediction markets. Despite the efforts and wishes of online gambling companies, sports betting in California is still illegal.
So the proposed crackdown on sweeps has some influential allies. Indeed, A.B. 831 is co-sponsored and supported by Native American groups in the state, such as the Yuhaaviatam of San Manuel Nation and the California Nations Indian Gaming Association (CNIGA).
“Tribal gaming exclusivity, granted by the voters of California, must be honored,” said the Yuhaaviatam of San Manuel Nation in a written argument in favor of the bill. “The state’s voters have consistently shown their trust in Native American tribes to operate gaming facilities responsibly and ethically. Allowing unregulated and predatory sweepstakes operators to bypass these regulations undermines that trust and integrity of California’s gaming policies.”
Monday’s hearing saw some brief statements in opposition to the A.B. 831. The Kletsel Economic Development Authority (KEDA), a federally chartered corporation of the Kletsel Dehe Wintun Nation, was among those voicing opposition to the bill. The tribe and sweeps operator VGW have announced a partnership in California.
“This bill lacks unanimous support among California tribes, has advanced without meaningful consultation with many of us, and threatens our inherent right to operate legitimate revenue streams to support our people,” Eric Wright, KEDA’s CEO, told the committee. “Digital platforms offer one of the few viable ways for geographically isolated tribes to fund essential services, such as health care, education, housing, food security, [and] social programs.”
