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Group Files California Racetrack Slots Initiative

13 December 2001

CALIFORNIA – Dec. 13, 2001 –As reported by the Thoroughbred Times: "An initiative that would allow California racetracks to offer casino gaming, including slot machines, has been filed with California Attorney General Bill Lockyer by a lobbying group that has mounted a signature-gathering campaign in an effort to get it on the November 2002 ballot.

"The DeVille Group, a political consulting consortium based in Palm Springs filed the Gaming Control Act initiative in early October. The initiative would give racetracks and other gambling establishments in the state that already hold a gambling license a `non-restrictive license' that would immediately allow for an unlimited number of slot machines and casino gaming.

"…The initiative has specific clauses that would help the Thoroughbred industry in the state, including keeping intact the California breeders' reward of 10% of the first-place purse won by California-breds in the state. Additionally, racetracks with a license to provide slot machines would have its `gross revenue gaming tax,' which is capped at 5% of total handle for all races, reduced by 2% with the additional funds earmarked for capital improvements.

"The California Horse Racing Board would also be dissolved on or after November 6, 2002 in favor of the California Gaming Commission, which would take over all powers and jurisdictions for all gaming in the state.

"…The initiative is being championed by the DeVille Group as legislation that would `level the playing field' of gambling establishments in the state. Carl Marlar, president of the DeVille Group, said the initiative would be in line with a pending lawsuit against Native American casinos by card clubs and charity organizations in the state…"

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