The governor of California has been a busy bee. Governor Schwarzenegger announced this week that he had signed an agreement with the Sycuan Band of Kumeyaay Indians. The deal will increase the number of slot machines that the tribe currently has from 2,000 to 5,000. 

The bill is sitting in the legislature hoping to be passed, as August 31^st is the last day of the Legislature’s session until December. If passed, the deal will need federal approval as well, but this would mean a huge increase in slot machine revenue for both the tribe and the state.  The compact brings in $20 million a year to the state for the current 2,000 slot machines, plus 15% on the additional 3,000 as they get up and running. 

The unions aren’t happy with the deal, they think there should be more systems in place for the employees, and the environmentalists are concerned with the impact on the environment. The state does not seem to be overly concerned with these things; after all it will be getting about $1.6 billion from them over the life of the compact.

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