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California Initiative Backers End Campaign, Pursue Lawsuit

7 October 2004

SACRAMENTO -- As reported by the Associated Press:"Backers of Proposition 68 dropped their campaign Wednesday to persuade voters to pass a ballot initiative that would end Indian tribes' slot machine monopoly and expand gambling at horse tracks and card rooms.

"Supporters concluded they would lose at the polls Nov. 2 despite spending $24 million, including $12 million on television advertising, said Rick Baedeker, chairman of the Fair Share for California campaign.

"…The initiative's supporters, operators of card rooms and race tracks, will concentrate instead on a lawsuit to block Gov. Arnold Schwarzenegger from signing new gambling agreements with tribes, a suit the state treasurer says may delay $1 billion in state borrowing.

"…Individual tracks and card rooms will continue to oppose Proposition 70, which would lock in tribal gambling agreements negotiated by Schwarzenegger, but also require tribes to pay the same corporation tax as other businesses, Baedeker said…"

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