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Sports betting is illegal in California. There are no legal online betting sites or retail sportsbooks. There have been attempts to authorize sports betting, but none have been successful.
The earliest progress could be made on California sports betting is 2024.
The most recent attempt came in November 2022, with California voters failing to approve sports betting via referendum. Based on University of California polling before election day, sports betting had long odds.
Legal Gambling in California
Legal gambling in California includes tribal casinos, commercial cardrooms, the state lottery, parimutuel wagering and charitable gaming. Meanwhile, daily fantasy sports aren’t regulated in California but the games can be offered.
DFS products from FanDuel and DraftKings, for example, are allowed in California. However, traditional sports betting from the two companies isn’t allowed in the Golden State.
Tribal Casinos
California gambling law prohibits land-based commercial casinos. However, Indian reservations are sovereign territories, so they aren’t subject to the prohibition. Casinos in California are owned and operated by Native American tribes.
Tribal casinos dominate much of California’s land-based gambling industry, generating more than $8 billion in annual gaming revenue, according to the American Gaming Association.
As such, the tribes have a large influence over gambling expansion.
Cardrooms
California cardrooms often call themselves “casinos,” but there are critical differences between these businesses and California’s tribal casinos. As the name implies, cardrooms feature card games.
Cardrooms can’t legally offer house-banked table games. California cardrooms can offer poker legally, but you won’t find slots at these locations.
According to the California Gaming Association, “California cardrooms range in size from small businesses with one to two tables, to the largest cardroom in the world [Commerce Casino] with 270 tables.”
Pari-mutuel
California legalized pari-mutuel betting in 1933, making horse races one of the longest-running gambling options.
There are four racetracks accepting bets in California. California also has off-track locations and a handful of legal online horse race betting apps. FanDuel Racing accepts bets in California.
Sports Betting Proposals - 2022
The most recent attempt to authorize sports betting in California came in 2022. There were competing proposals.
Prop 26 – Legalize Sports Betting on American Indian Lands Initiative (2022)
Prop 26 would’ve legalized sports betting on tribal lands and at the state’s licensed racetracks, in addition to expanding gambling offerings at tribal casinos (roulette and dice games) pending compact amendment.
Online sports betting platforms would not have been allowed.
Prop 26 included a prohibition on in-state college wagers, even if the team was playing in a different state. Betting on the likes of UCLA and USC would’ve been prohibited at California sportsbooks. However, tournament play, such as March Madness, received an exemption.
Nearly 67% of voters rejected Prop 26.
Prop 27 – California Legalize Sports Betting and Revenue for Homelessness, Housing, and Education Initiative (2022)
Prop 27 would have authorized online sports betting, but more than 80% of voters rejected the proposal. The proposal would have also legalized table and tile casino games at commercial cardrooms in California.
Nearly all of California tribal casinos opposed Prop 27.
The measure was supported by some of the biggest names in online sports betting, such as DraftKings, FanDuel and BetMGM. Major League Baseball also supported Prop 27.
Prop 27 proposed a $100 million initial license application fee for sports betting.
The proposal also required license applicants to be authorized to operate in 10 other legal betting states.
