How does the state of California collect money from tribal governments that run gaming enterprises?
What will be an ideal response?
Local governments can negotiate with local tribes for reimbursement of direct, casino-related costs to cities and counties (e.g., costs related to traffic congestion, public safety, and gambling addiction). The state has negotiated a revenue sharing arrangement with several tribes, such that gaming tribes pay into a fund that results in payments to nongaming tribes. Note: The state cannot collect taxes from a tribe without its permission (per a recent court ruling.) Another revenue stream is no longer legal: a flat payment to the state, which Governor Schwarzenegger negotiated in exchange for allowing more slot machines in tribal-run casinos.
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