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California Proposition Wording Revised

10 August 2004

SACRAMENTO, California – As reported by the Desert Sun: "With state officials ready to go to press on the ballot pamphlet for the November election, a judge Monday revised wording of ballot arguments for Proposition 70 that would expand Indian gambling.

"The rulings targeted claims and counterclaims on audits, taxes and environmental reports by the Agua Caliente Band of Cahuilla Indians, the initiative's proponent, and Gov. Arnold Schwarzenegger, who has establish a committee to oppose it.

"…At issue is Proposition 70, which would eliminate the 2,000-slot machine-per-tribe cap in the original state agreements under which most tribes now operate.

"The initiative also would offer interested tribes a 99-year state-tribal gambling agreement, known as a compact.

"In return, tribes would pay the state the equivalent of the corporate tax rate on their net income. Tribes right now don't pay the state anything, but do pay more than $100 million into two funds primarily for non-gambling tribes and for cities and counties near casinos.

"…In his rulings, Sacramento Superior Court Judge Raymond Cadei attempted to distinguish between statements that were 'false and misleading' and those that were within the acceptable bounds of political debate…"

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