Several labor unions in California believe Senate Bill 549 could threaten tax revenue sources in many cities across the state.
the authority to sue California cardrooms. However, the unions believe this could threaten vital sources of tax revenue for many cities across the state.by local news sources, The California Gaming Association, Communities for California Cardrooms, and California Cardroom Alliance are urging state legislators to oppose the bill. The American Federation of State, County, and Municipal Employees , SEIU California, Teamsters Local 630, and California Professional Firefighters also oppose it.
They warn that the potential loss of local tax revenue could cause financial distress for many cities, including larger urban areas like Fresno and San Jose. The unions pointed out that 78% of the general fund in Hawaiian Gardens comes from cardroom revenues and 50% in Commerce. The unions argue that if SB 549 gets the green light, cities relying on this income source might be pushed into municipal bankruptcy or even disincorporation, leading to potentially catastrophic consequences that jeopardize jobs, pensions, and the financial stability of working families.
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