20250SB__092097AMD INTRODUCED 2026-01-28 AMENDED_SENATE 2026-03-12 AMENDED_SENATE 2026-05-14 2025 SB AMD Introduced by Senator Archuleta LEAD_AUTHOR SENATE Archuleta

An act to add

Section 19841.5 to the Business and Professions Code, relating to gaming. gaming The Gambling Control Act: regulatory fees. Existing law, the Gambling Control Act, provides for the licensure and regulation of various legalized gambling activities and establishments by the California Gambling Control Commission and the investigation and enforcement of those activities and establishments by the Department of Justice. Existing law establishes the Gambling Control Fund within the State Treasury for the receipt and deposit of fees and revenue collected pursuant to the act.

Under the act, specified licensing fees are required to be paid for the issuance or renewal of a state gambling license, as specified. Existing law requires that all fees and revenue collected pursuant to the act, except all fines and penalties, be available, upon appropriation by the Legislature, for expenditure exclusively for the support of the department and the commission in carrying out their duties and responsibilities under the act.

This bill would require the commission or the department, upon the adoption or adjustment of a fee that is deposited into the Gambling Control Fund, to maintain a regulation that states the authorized purpose and use of the fee, including the program activities funded and the categories of costs covered, among other things. The bill would prohibit a fee or adjustment to a fee from taking effect until the required regulation is adopted or amended. The bill would state that these provisions do not apply to any fee adopted or amended prior to the bill’s enactment.

MAJORITY NO YES NO NO NO NO NO NO NO NO The people of the State of California do enact as follows:

SECTION

Section 19841.5 is added to the Business and Professions Code , to read: 19841.5. (

a) Upon the adoption or adjustment of a fee that is deposited into the Gambling Control Fund, the commission or the department shall do both of the following:

(1) Adopt and maintain a regulation that states the authorized purpose and use of the fee, including the program activities funded and the categories of costs covered, including any shared administrative or support costs. The cost allocation methodology may be incorporated by reference to materials in the rulemaking record.

(2) Post on its public internet website the purpose and use statement and a brief cost basis

summary related to that fee. (

b) A fee or adjustment to a fee shall not take effect until the regulation required by this

section is adopted or amended. (c)<xhtml:span class="EnSpace"/>Except as otherwise authorized by statute and identified by regulation, fees established for licensing activities shall not be used to fund nonlicensing activities.</xhtml:p><xhtml:p>(d)<xhtml:span class="EnSpace"/>Except as otherwise authorized by statute and identified by regulation, revenues from a fee subject to this

section shall be expended only for the activities and purposes stated for that fee in the applicable regulation adopted pursuant to this section. </xhtml:p>"?> (e)</xhtml:p>"?> (

c) This

section does not apply to any fee adopted or amended prior to the effective date of the act that added this section.