Amended IN Senate March 25, 2025 CALIFORNIA LEGISLATURE 20252026 REGULAR SESSION Senate Bill No. 451Introduced by Senator ArchuletaFebruary 18, 2025 An act to amend Sections 19826 and 19827 of, and to add Section 19827.5 to, of the Business and Professions Code, relating to gambling. LEGISLATIVE COUNSEL'S DIGESTSB 451, as amended, Archuleta. Gambling Control Act: investigations and prosecutions. investigations.Existing law, the Gambling Control Act, establishes the California Gambling Control Commission, which is responsible for licensing and regulating various gambling activities and establishments. Existing law requires the Department of Justice to investigate any violations of, and to enforce, the act. Existing law also vests the department with the responsibility to investigate violations of prohibitions against specified gambling activities, as enumerated in the Penal Code, including, among others, prohibitions against (1) lotteries, (2) certain games played with cards, dice, or any device, for money, and (3) slot machines. This bill would clarify that the departments authority to investigate suspected criminal violations of the aforementioned prohibited gambling activities enumerated in the Penal Code includes suspected violations that occur outside of a licensed gambling establishment. The bill would require the department, upon completion of an investigation that identifies evidence of illegal gambling conducted outside of a licensed gambling establishment, to refer the findings to the appropriate local district attorney or the Attorney General and assist those prosecutorial agencies by providing investigative reports, expert testimony, and any other necessary support to ensure diligent prosecution. The bill would require the department to coordinate with local law enforcement agencies and other relevant entities to share information regarding suspected illegal gambling operations and provide training and resources to ensure consistent enforcement of gambling laws across the state. To the extent that this bill would increase the duties of local law enforcement agencies, this bill would impose a state-mandated local program.This bill would require the department to prepare and submit an annual report to the Governor and Legislature containing specified information on investigations and prosecutions of illegal gambling activities occurring outside of licensed gambling establishments. The bill would require the department to develop and implement public awareness campaigns to educate the public on the illegality and risks of participating in unlicensed gambling activities. The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.This bill would provide that, if the Commission on State Mandates determines that the bill contains costs mandated by the state, reimbursement for those costs shall be made pursuant to the statutory provisions noted above.Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: YES Local Program: YESNO Bill TextThe people of the State of California do enact as follows:SECTION 1. Section 19826 of the Business and Professions Code is amended to read:19826. The department shall perform all investigatory functions required by this chapter, as well as auditing functions under tribal gaming compacts, and shall have all of the following responsibilities:(a) To receive and process applications for any license, permit, or other approval, and to collect all related fees. The department shall investigate the qualifications of applicants before any license, permit, or other approval is issued, and investigate any request to the commission for any approval that may be required pursuant to this chapter. The department may recommend the denial or the limitation, conditioning, or restriction of any license, permit, or other approval.(b) To monitor the conduct of all licensees and other persons having a material involvement, directly or indirectly, with a gambling operation or its holding company, for the purpose of ensuring that licenses are not issued or held by, and that there is no direct or indirect material involvement with, a gambling operation or holding company by ineligible, unqualified, disqualified, or unsuitable persons, or persons whose operations are conducted in a manner that is inimical to the public health, safety, or welfare.(c) (1) To investigate suspected violations of this chapter or laws of this state relating to gambling, including any activity prohibited by Chapter 9 (commencing with Section 319) or Chapter 10 (commencing with Section 330) of Title 9 of Part 1 of the Penal Code.(2) This subdivision includes the responsibility to investigate suspected violations of illegal gambling activities conducted outside of licensed gambling establishments.(d) To investigate complaints that are lodged against licensees, or other persons associated with a gambling operation, by members of the public.(e) To initiate, where appropriate, disciplinary actions as provided in this chapter. In connection with any disciplinary action, the department may seek restriction, limitation, suspension, or revocation of any license or approval, or the imposition of any fine upon any person licensed or approved.(f) To adopt regulations reasonably related to its functions and duties as specified in this chapter.(g) Approve the play of any controlled game, including placing restrictions and limitations on how a controlled game may be played. The department shall make available to the public the rules of play and the collection rates of each gaming activity approved for play at each gambling establishment on the Attorney Generals internet website Actual costs incurred by the department to review and approve game rules shall be reimbursed to the department by the licensee making the request.SEC. 2. Section 19827 of the Business and Professions Code is amended to read:19827. (a) The department has all powers necessary and proper to enable it to carry out fully and effectually the duties and responsibilities of the department specified in this chapter. The investigatory powers of the department include, but are not limited to, all of the following:(1) Upon approval of the chief, and without notice or warrant, the department may take any of the following actions:(A) Visit, investigate, and place expert accountants, technicians, and any other person, as it may deem necessary, in all areas of the premises wherein controlled gambling is conducted for the purpose of determining compliance with the rules and regulations adopted pursuant to this chapter.(B) Visit, inspect, and examine all premises where gambling equipment is manufactured, sold, or distributed.(C) Inspect all equipment and supplies in any gambling establishment or in any premises where gambling equipment is manufactured, sold, or distributed.(D) Summarily seize, remove, and impound any equipment, supplies, documents, or records from any licensed premises for the purpose of examination and inspection. However, upon reasonable demand by the licensee or the licensees authorized representative, a copy of all documents and records seized shall be made and left on the premises.(E) Demand access to, and inspect, examine, photocopy, and audit all papers, books, and records of an owner licensee on the gambling premises in the presence of the licensee or the licensees agent.(2) Except as provided in paragraph (1), upon obtaining an inspection warrant pursuant to Section 1822.60 of the Code of Civil Procedure, the department may inspect and seize for inspection, examination, or photocopying any property possessed, controlled, bailed, or otherwise held by any applicant, licensee, or any intermediary company, or holding company.(3) (A) The department may investigate, for purposes of prosecution, any suspected criminal violation of this chapter.(B) The department may investigate, for purposes of prosecution, any suspected criminal violation of Chapter 9 (commencing with Section 319) or Chapter 10 (commencing with Section 330) of Title 9 of Part 1 of the Penal Code, including a suspected criminal violation that occurs outside of a licensed gambling establishment. (C) This paragraph does not limit the powers conferred by any other law on agents of the department who are peace officers. (4) The department may do both of the following:(A) Issue subpoenas to require the attendance and testimony of witnesses and the production of books, records, documents, and physical materials.(B) Administer oaths, examine witnesses under oath, take evidence, and take depositions and affidavits or declarations. Notwithstanding Section 11189 of the Government Code, the department, without leave of court, may take the deposition of any applicant or any licensee. Sections 11185 and 11191 of the Government Code do not apply to a witness who is an applicant or a licensee.(b) (1) Subdivision (a) shall not be construed to limit warrantless inspections except as required by the California Constitution or the United States Constitution.(2) Subdivision (a) shall not be construed to prevent entries and administrative inspections, including seizures of property, without a warrant in the following circumstances:(A) With the consent of the owner, operator, or agent in charge of the premises.(B) In situations presenting imminent danger to health and safety.(C) In situations involving inspection of conveyances where there is reasonable cause to believe that the mobility of the conveyance makes it impractical to obtain a warrant, or in any other exceptional or emergency circumstance where time or opportunity to apply for a warrant is lacking.(D) In accordance with this chapter.(E) In all other situations where a warrant is not constitutionally required.SEC. 3.Section 19827.5 is added to the Business and Professions Code, to read:19827.5.(a)Upon completion of an investigation that identifies evidence of illegal gambling conducted outside of a licensed gambling establishment, the department shall do both of the following: (1)Refer the findings to the appropriate local district attorney or the Attorney General for prosecution. (2)Assist prosecutorial agencies by providing investigative reports, expert testimony, and any other necessary support to ensure diligent prosecution of violations. (b)If a local district attorney declines to prosecute a case referred by the department, the Attorney General shall have the authority to review and, if appropriate, prosecute the case.(c)The department shall coordinate with local law enforcement agencies and other relevant entities to do both of the following: (1)Share information regarding suspected illegal gambling operations conducted outside of a licensed gambling establishment.(2)Provide training and resources to ensure consistent enforcement of gambling laws across the state. (d)(1)The department shall prepare and submit an annual report to the Governor and Legislature that includes all of the following information:(A)The number of investigations conducted related to illegal gambling activities occurring outside of licensed gambling establishments. (B)The outcomes of referred cases, including prosecutions, convictions, and penalties imposed. (C)Any challenges encountered in enforcing state gambling laws and recommendations for addressing those challenges. (2)A report to be submitted pursuant to paragraph (1) shall be submitted in compliance with Section 9795 of the Government Code.(e)The department shall develop and implement public awareness campaigns to educate the public on the illegality and risks of participating in unlicensed gambling activities. SEC. 4.If the Commission on State Mandates determines that this act contains costs mandated by the state, reimbursement to local agencies and school districts for those costs shall be made pursuant to Part 7 (commencing with Section 17500) of Division 4 of Title 2 of the Government Code.
Amended IN Senate March 25, 2025 CALIFORNIA LEGISLATURE 20252026 REGULAR SESSION Senate Bill No. 451Introduced by Senator ArchuletaFebruary 18, 2025 An act to amend Sections 19826 and 19827 of, and to add Section 19827.5 to, of the Business and Professions Code, relating to gambling. LEGISLATIVE COUNSEL'S DIGESTSB 451, as amended, Archuleta. Gambling Control Act: investigations and prosecutions. investigations.Existing law, the Gambling Control Act, establishes the California Gambling Control Commission, which is responsible for licensing and regulating various gambling activities and establishments. Existing law requires the Department of Justice to investigate any violations of, and to enforce, the act. Existing law also vests the department with the responsibility to investigate violations of prohibitions against specified gambling activities, as enumerated in the Penal Code, including, among others, prohibitions against (1) lotteries, (2) certain games played with cards, dice, or any device, for money, and (3) slot machines. This bill would clarify that the departments authority to investigate suspected criminal violations of the aforementioned prohibited gambling activities enumerated in the Penal Code includes suspected violations that occur outside of a licensed gambling establishment. The bill would require the department, upon completion of an investigation that identifies evidence of illegal gambling conducted outside of a licensed gambling establishment, to refer the findings to the appropriate local district attorney or the Attorney General and assist those prosecutorial agencies by providing investigative reports, expert testimony, and any other necessary support to ensure diligent prosecution. The bill would require the department to coordinate with local law enforcement agencies and other relevant entities to share information regarding suspected illegal gambling operations and provide training and resources to ensure consistent enforcement of gambling laws across the state. To the extent that this bill would increase the duties of local law enforcement agencies, this bill would impose a state-mandated local program.This bill would require the department to prepare and submit an annual report to the Governor and Legislature containing specified information on investigations and prosecutions of illegal gambling activities occurring outside of licensed gambling establishments. The bill would require the department to develop and implement public awareness campaigns to educate the public on the illegality and risks of participating in unlicensed gambling activities. The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.This bill would provide that, if the Commission on State Mandates determines that the bill contains costs mandated by the state, reimbursement for those costs shall be made pursuant to the statutory provisions noted above.Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: YES Local Program: YESNO
Amended IN Senate March 25, 2025
Amended IN Senate March 25, 2025
CALIFORNIA LEGISLATURE 20252026 REGULAR SESSION
Senate Bill
No. 451
Introduced by Senator ArchuletaFebruary 18, 2025
Introduced by Senator Archuleta
February 18, 2025
An act to amend Sections 19826 and 19827 of, and to add Section 19827.5 to, of the Business and Professions Code, relating to gambling.
LEGISLATIVE COUNSEL'S DIGEST
## LEGISLATIVE COUNSEL'S DIGEST
SB 451, as amended, Archuleta. Gambling Control Act: investigations and prosecutions. investigations.
Existing law, the Gambling Control Act, establishes the California Gambling Control Commission, which is responsible for licensing and regulating various gambling activities and establishments. Existing law requires the Department of Justice to investigate any violations of, and to enforce, the act. Existing law also vests the department with the responsibility to investigate violations of prohibitions against specified gambling activities, as enumerated in the Penal Code, including, among others, prohibitions against (1) lotteries, (2) certain games played with cards, dice, or any device, for money, and (3) slot machines. This bill would clarify that the departments authority to investigate suspected criminal violations of the aforementioned prohibited gambling activities enumerated in the Penal Code includes suspected violations that occur outside of a licensed gambling establishment. The bill would require the department, upon completion of an investigation that identifies evidence of illegal gambling conducted outside of a licensed gambling establishment, to refer the findings to the appropriate local district attorney or the Attorney General and assist those prosecutorial agencies by providing investigative reports, expert testimony, and any other necessary support to ensure diligent prosecution. The bill would require the department to coordinate with local law enforcement agencies and other relevant entities to share information regarding suspected illegal gambling operations and provide training and resources to ensure consistent enforcement of gambling laws across the state. To the extent that this bill would increase the duties of local law enforcement agencies, this bill would impose a state-mandated local program.This bill would require the department to prepare and submit an annual report to the Governor and Legislature containing specified information on investigations and prosecutions of illegal gambling activities occurring outside of licensed gambling establishments. The bill would require the department to develop and implement public awareness campaigns to educate the public on the illegality and risks of participating in unlicensed gambling activities. The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.This bill would provide that, if the Commission on State Mandates determines that the bill contains costs mandated by the state, reimbursement for those costs shall be made pursuant to the statutory provisions noted above.
Existing law, the Gambling Control Act, establishes the California Gambling Control Commission, which is responsible for licensing and regulating various gambling activities and establishments. Existing law requires the Department of Justice to investigate any violations of, and to enforce, the act. Existing law also vests the department with the responsibility to investigate violations of prohibitions against specified gambling activities, as enumerated in the Penal Code, including, among others, prohibitions against (1) lotteries, (2) certain games played with cards, dice, or any device, for money, and (3) slot machines.
This bill would clarify that the departments authority to investigate suspected criminal violations of the aforementioned prohibited gambling activities enumerated in the Penal Code includes suspected violations that occur outside of a licensed gambling establishment. The bill would require the department, upon completion of an investigation that identifies evidence of illegal gambling conducted outside of a licensed gambling establishment, to refer the findings to the appropriate local district attorney or the Attorney General and assist those prosecutorial agencies by providing investigative reports, expert testimony, and any other necessary support to ensure diligent prosecution. The bill would require the department to coordinate with local law enforcement agencies and other relevant entities to share information regarding suspected illegal gambling operations and provide training and resources to ensure consistent enforcement of gambling laws across the state. To the extent that this bill would increase the duties of local law enforcement agencies, this bill would impose a state-mandated local program.
This bill would require the department to prepare and submit an annual report to the Governor and Legislature containing specified information on investigations and prosecutions of illegal gambling activities occurring outside of licensed gambling establishments. The bill would require the department to develop and implement public awareness campaigns to educate the public on the illegality and risks of participating in unlicensed gambling activities.
The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.
This bill would provide that, if the Commission on State Mandates determines that the bill contains costs mandated by the state, reimbursement for those costs shall be made pursuant to the statutory provisions noted above.
## Digest Key
## Bill Text
The people of the State of California do enact as follows:SECTION 1. Section 19826 of the Business and Professions Code is amended to read:19826. The department shall perform all investigatory functions required by this chapter, as well as auditing functions under tribal gaming compacts, and shall have all of the following responsibilities:(a) To receive and process applications for any license, permit, or other approval, and to collect all related fees. The department shall investigate the qualifications of applicants before any license, permit, or other approval is issued, and investigate any request to the commission for any approval that may be required pursuant to this chapter. The department may recommend the denial or the limitation, conditioning, or restriction of any license, permit, or other approval.(b) To monitor the conduct of all licensees and other persons having a material involvement, directly or indirectly, with a gambling operation or its holding company, for the purpose of ensuring that licenses are not issued or held by, and that there is no direct or indirect material involvement with, a gambling operation or holding company by ineligible, unqualified, disqualified, or unsuitable persons, or persons whose operations are conducted in a manner that is inimical to the public health, safety, or welfare.(c) (1) To investigate suspected violations of this chapter or laws of this state relating to gambling, including any activity prohibited by Chapter 9 (commencing with Section 319) or Chapter 10 (commencing with Section 330) of Title 9 of Part 1 of the Penal Code.(2) This subdivision includes the responsibility to investigate suspected violations of illegal gambling activities conducted outside of licensed gambling establishments.(d) To investigate complaints that are lodged against licensees, or other persons associated with a gambling operation, by members of the public.(e) To initiate, where appropriate, disciplinary actions as provided in this chapter. In connection with any disciplinary action, the department may seek restriction, limitation, suspension, or revocation of any license or approval, or the imposition of any fine upon any person licensed or approved.(f) To adopt regulations reasonably related to its functions and duties as specified in this chapter.(g) Approve the play of any controlled game, including placing restrictions and limitations on how a controlled game may be played. The department shall make available to the public the rules of play and the collection rates of each gaming activity approved for play at each gambling establishment on the Attorney Generals internet website Actual costs incurred by the department to review and approve game rules shall be reimbursed to the department by the licensee making the request.SEC. 2. Section 19827 of the Business and Professions Code is amended to read:19827. (a) The department has all powers necessary and proper to enable it to carry out fully and effectually the duties and responsibilities of the department specified in this chapter. The investigatory powers of the department include, but are not limited to, all of the following:(1) Upon approval of the chief, and without notice or warrant, the department may take any of the following actions:(A) Visit, investigate, and place expert accountants, technicians, and any other person, as it may deem necessary, in all areas of the premises wherein controlled gambling is conducted for the purpose of determining compliance with the rules and regulations adopted pursuant to this chapter.(B) Visit, inspect, and examine all premises where gambling equipment is manufactured, sold, or distributed.(C) Inspect all equipment and supplies in any gambling establishment or in any premises where gambling equipment is manufactured, sold, or distributed.(D) Summarily seize, remove, and impound any equipment, supplies, documents, or records from any licensed premises for the purpose of examination and inspection. However, upon reasonable demand by the licensee or the licensees authorized representative, a copy of all documents and records seized shall be made and left on the premises.(E) Demand access to, and inspect, examine, photocopy, and audit all papers, books, and records of an owner licensee on the gambling premises in the presence of the licensee or the licensees agent.(2) Except as provided in paragraph (1), upon obtaining an inspection warrant pursuant to Section 1822.60 of the Code of Civil Procedure, the department may inspect and seize for inspection, examination, or photocopying any property possessed, controlled, bailed, or otherwise held by any applicant, licensee, or any intermediary company, or holding company.(3) (A) The department may investigate, for purposes of prosecution, any suspected criminal violation of this chapter.(B) The department may investigate, for purposes of prosecution, any suspected criminal violation of Chapter 9 (commencing with Section 319) or Chapter 10 (commencing with Section 330) of Title 9 of Part 1 of the Penal Code, including a suspected criminal violation that occurs outside of a licensed gambling establishment. (C) This paragraph does not limit the powers conferred by any other law on agents of the department who are peace officers. (4) The department may do both of the following:(A) Issue subpoenas to require the attendance and testimony of witnesses and the production of books, records, documents, and physical materials.(B) Administer oaths, examine witnesses under oath, take evidence, and take depositions and affidavits or declarations. Notwithstanding Section 11189 of the Government Code, the department, without leave of court, may take the deposition of any applicant or any licensee. Sections 11185 and 11191 of the Government Code do not apply to a witness who is an applicant or a licensee.(b) (1) Subdivision (a) shall not be construed to limit warrantless inspections except as required by the California Constitution or the United States Constitution.(2) Subdivision (a) shall not be construed to prevent entries and administrative inspections, including seizures of property, without a warrant in the following circumstances:(A) With the consent of the owner, operator, or agent in charge of the premises.(B) In situations presenting imminent danger to health and safety.(C) In situations involving inspection of conveyances where there is reasonable cause to believe that the mobility of the conveyance makes it impractical to obtain a warrant, or in any other exceptional or emergency circumstance where time or opportunity to apply for a warrant is lacking.(D) In accordance with this chapter.(E) In all other situations where a warrant is not constitutionally required.SEC. 3.Section 19827.5 is added to the Business and Professions Code, to read:19827.5.(a)Upon completion of an investigation that identifies evidence of illegal gambling conducted outside of a licensed gambling establishment, the department shall do both of the following: (1)Refer the findings to the appropriate local district attorney or the Attorney General for prosecution. (2)Assist prosecutorial agencies by providing investigative reports, expert testimony, and any other necessary support to ensure diligent prosecution of violations. (b)If a local district attorney declines to prosecute a case referred by the department, the Attorney General shall have the authority to review and, if appropriate, prosecute the case.(c)The department shall coordinate with local law enforcement agencies and other relevant entities to do both of the following: (1)Share information regarding suspected illegal gambling operations conducted outside of a licensed gambling establishment.(2)Provide training and resources to ensure consistent enforcement of gambling laws across the state. (d)(1)The department shall prepare and submit an annual report to the Governor and Legislature that includes all of the following information:(A)The number of investigations conducted related to illegal gambling activities occurring outside of licensed gambling establishments. (B)The outcomes of referred cases, including prosecutions, convictions, and penalties imposed. (C)Any challenges encountered in enforcing state gambling laws and recommendations for addressing those challenges. (2)A report to be submitted pursuant to paragraph (1) shall be submitted in compliance with Section 9795 of the Government Code.(e)The department shall develop and implement public awareness campaigns to educate the public on the illegality and risks of participating in unlicensed gambling activities. SEC. 4.If the Commission on State Mandates determines that this act contains costs mandated by the state, reimbursement to local agencies and school districts for those costs shall be made pursuant to Part 7 (commencing with Section 17500) of Division 4 of Title 2 of the Government Code.
The people of the State of California do enact as follows:
## The people of the State of California do enact as follows:
SECTION 1. Section 19826 of the Business and Professions Code is amended to read:19826. The department shall perform all investigatory functions required by this chapter, as well as auditing functions under tribal gaming compacts, and shall have all of the following responsibilities:(a) To receive and process applications for any license, permit, or other approval, and to collect all related fees. The department shall investigate the qualifications of applicants before any license, permit, or other approval is issued, and investigate any request to the commission for any approval that may be required pursuant to this chapter. The department may recommend the denial or the limitation, conditioning, or restriction of any license, permit, or other approval.(b) To monitor the conduct of all licensees and other persons having a material involvement, directly or indirectly, with a gambling operation or its holding company, for the purpose of ensuring that licenses are not issued or held by, and that there is no direct or indirect material involvement with, a gambling operation or holding company by ineligible, unqualified, disqualified, or unsuitable persons, or persons whose operations are conducted in a manner that is inimical to the public health, safety, or welfare.(c) (1) To investigate suspected violations of this chapter or laws of this state relating to gambling, including any activity prohibited by Chapter 9 (commencing with Section 319) or Chapter 10 (commencing with Section 330) of Title 9 of Part 1 of the Penal Code.(2) This subdivision includes the responsibility to investigate suspected violations of illegal gambling activities conducted outside of licensed gambling establishments.(d) To investigate complaints that are lodged against licensees, or other persons associated with a gambling operation, by members of the public.(e) To initiate, where appropriate, disciplinary actions as provided in this chapter. In connection with any disciplinary action, the department may seek restriction, limitation, suspension, or revocation of any license or approval, or the imposition of any fine upon any person licensed or approved.(f) To adopt regulations reasonably related to its functions and duties as specified in this chapter.(g) Approve the play of any controlled game, including placing restrictions and limitations on how a controlled game may be played. The department shall make available to the public the rules of play and the collection rates of each gaming activity approved for play at each gambling establishment on the Attorney Generals internet website Actual costs incurred by the department to review and approve game rules shall be reimbursed to the department by the licensee making the request.
SECTION 1. Section 19826 of the Business and Professions Code is amended to read:
### SECTION 1.
19826. The department shall perform all investigatory functions required by this chapter, as well as auditing functions under tribal gaming compacts, and shall have all of the following responsibilities:(a) To receive and process applications for any license, permit, or other approval, and to collect all related fees. The department shall investigate the qualifications of applicants before any license, permit, or other approval is issued, and investigate any request to the commission for any approval that may be required pursuant to this chapter. The department may recommend the denial or the limitation, conditioning, or restriction of any license, permit, or other approval.(b) To monitor the conduct of all licensees and other persons having a material involvement, directly or indirectly, with a gambling operation or its holding company, for the purpose of ensuring that licenses are not issued or held by, and that there is no direct or indirect material involvement with, a gambling operation or holding company by ineligible, unqualified, disqualified, or unsuitable persons, or persons whose operations are conducted in a manner that is inimical to the public health, safety, or welfare.(c) (1) To investigate suspected violations of this chapter or laws of this state relating to gambling, including any activity prohibited by Chapter 9 (commencing with Section 319) or Chapter 10 (commencing with Section 330) of Title 9 of Part 1 of the Penal Code.(2) This subdivision includes the responsibility to investigate suspected violations of illegal gambling activities conducted outside of licensed gambling establishments.(d) To investigate complaints that are lodged against licensees, or other persons associated with a gambling operation, by members of the public.(e) To initiate, where appropriate, disciplinary actions as provided in this chapter. In connection with any disciplinary action, the department may seek restriction, limitation, suspension, or revocation of any license or approval, or the imposition of any fine upon any person licensed or approved.(f) To adopt regulations reasonably related to its functions and duties as specified in this chapter.(g) Approve the play of any controlled game, including placing restrictions and limitations on how a controlled game may be played. The department shall make available to the public the rules of play and the collection rates of each gaming activity approved for play at each gambling establishment on the Attorney Generals internet website Actual costs incurred by the department to review and approve game rules shall be reimbursed to the department by the licensee making the request.
19826. The department shall perform all investigatory functions required by this chapter, as well as auditing functions under tribal gaming compacts, and shall have all of the following responsibilities:(a) To receive and process applications for any license, permit, or other approval, and to collect all related fees. The department shall investigate the qualifications of applicants before any license, permit, or other approval is issued, and investigate any request to the commission for any approval that may be required pursuant to this chapter. The department may recommend the denial or the limitation, conditioning, or restriction of any license, permit, or other approval.(b) To monitor the conduct of all licensees and other persons having a material involvement, directly or indirectly, with a gambling operation or its holding company, for the purpose of ensuring that licenses are not issued or held by, and that there is no direct or indirect material involvement with, a gambling operation or holding company by ineligible, unqualified, disqualified, or unsuitable persons, or persons whose operations are conducted in a manner that is inimical to the public health, safety, or welfare.(c) (1) To investigate suspected violations of this chapter or laws of this state relating to gambling, including any activity prohibited by Chapter 9 (commencing with Section 319) or Chapter 10 (commencing with Section 330) of Title 9 of Part 1 of the Penal Code.(2) This subdivision includes the responsibility to investigate suspected violations of illegal gambling activities conducted outside of licensed gambling establishments.(d) To investigate complaints that are lodged against licensees, or other persons associated with a gambling operation, by members of the public.(e) To initiate, where appropriate, disciplinary actions as provided in this chapter. In connection with any disciplinary action, the department may seek restriction, limitation, suspension, or revocation of any license or approval, or the imposition of any fine upon any person licensed or approved.(f) To adopt regulations reasonably related to its functions and duties as specified in this chapter.(g) Approve the play of any controlled game, including placing restrictions and limitations on how a controlled game may be played. The department shall make available to the public the rules of play and the collection rates of each gaming activity approved for play at each gambling establishment on the Attorney Generals internet website Actual costs incurred by the department to review and approve game rules shall be reimbursed to the department by the licensee making the request.
19826. The department shall perform all investigatory functions required by this chapter, as well as auditing functions under tribal gaming compacts, and shall have all of the following responsibilities:(a) To receive and process applications for any license, permit, or other approval, and to collect all related fees. The department shall investigate the qualifications of applicants before any license, permit, or other approval is issued, and investigate any request to the commission for any approval that may be required pursuant to this chapter. The department may recommend the denial or the limitation, conditioning, or restriction of any license, permit, or other approval.(b) To monitor the conduct of all licensees and other persons having a material involvement, directly or indirectly, with a gambling operation or its holding company, for the purpose of ensuring that licenses are not issued or held by, and that there is no direct or indirect material involvement with, a gambling operation or holding company by ineligible, unqualified, disqualified, or unsuitable persons, or persons whose operations are conducted in a manner that is inimical to the public health, safety, or welfare.(c) (1) To investigate suspected violations of this chapter or laws of this state relating to gambling, including any activity prohibited by Chapter 9 (commencing with Section 319) or Chapter 10 (commencing with Section 330) of Title 9 of Part 1 of the Penal Code.(2) This subdivision includes the responsibility to investigate suspected violations of illegal gambling activities conducted outside of licensed gambling establishments.(d) To investigate complaints that are lodged against licensees, or other persons associated with a gambling operation, by members of the public.(e) To initiate, where appropriate, disciplinary actions as provided in this chapter. In connection with any disciplinary action, the department may seek restriction, limitation, suspension, or revocation of any license or approval, or the imposition of any fine upon any person licensed or approved.(f) To adopt regulations reasonably related to its functions and duties as specified in this chapter.(g) Approve the play of any controlled game, including placing restrictions and limitations on how a controlled game may be played. The department shall make available to the public the rules of play and the collection rates of each gaming activity approved for play at each gambling establishment on the Attorney Generals internet website Actual costs incurred by the department to review and approve game rules shall be reimbursed to the department by the licensee making the request.
19826. The department shall perform all investigatory functions required by this chapter, as well as auditing functions under tribal gaming compacts, and shall have all of the following responsibilities:
(a) To receive and process applications for any license, permit, or other approval, and to collect all related fees. The department shall investigate the qualifications of applicants before any license, permit, or other approval is issued, and investigate any request to the commission for any approval that may be required pursuant to this chapter. The department may recommend the denial or the limitation, conditioning, or restriction of any license, permit, or other approval.
(b) To monitor the conduct of all licensees and other persons having a material involvement, directly or indirectly, with a gambling operation or its holding company, for the purpose of ensuring that licenses are not issued or held by, and that there is no direct or indirect material involvement with, a gambling operation or holding company by ineligible, unqualified, disqualified, or unsuitable persons, or persons whose operations are conducted in a manner that is inimical to the public health, safety, or welfare.
(c) (1) To investigate suspected violations of this chapter or laws of this state relating to gambling, including any activity prohibited by Chapter 9 (commencing with Section 319) or Chapter 10 (commencing with Section 330) of Title 9 of Part 1 of the Penal Code.
(2) This subdivision includes the responsibility to investigate suspected violations of illegal gambling activities conducted outside of licensed gambling establishments.
(d) To investigate complaints that are lodged against licensees, or other persons associated with a gambling operation, by members of the public.
(e) To initiate, where appropriate, disciplinary actions as provided in this chapter. In connection with any disciplinary action, the department may seek restriction, limitation, suspension, or revocation of any license or approval, or the imposition of any fine upon any person licensed or approved.
(f) To adopt regulations reasonably related to its functions and duties as specified in this chapter.
(g) Approve the play of any controlled game, including placing restrictions and limitations on how a controlled game may be played. The department shall make available to the public the rules of play and the collection rates of each gaming activity approved for play at each gambling establishment on the Attorney Generals internet website Actual costs incurred by the department to review and approve game rules shall be reimbursed to the department by the licensee making the request.
SEC. 2. Section 19827 of the Business and Professions Code is amended to read:19827. (a) The department has all powers necessary and proper to enable it to carry out fully and effectually the duties and responsibilities of the department specified in this chapter. The investigatory powers of the department include, but are not limited to, all of the following:(1) Upon approval of the chief, and without notice or warrant, the department may take any of the following actions:(A) Visit, investigate, and place expert accountants, technicians, and any other person, as it may deem necessary, in all areas of the premises wherein controlled gambling is conducted for the purpose of determining compliance with the rules and regulations adopted pursuant to this chapter.(B) Visit, inspect, and examine all premises where gambling equipment is manufactured, sold, or distributed.(C) Inspect all equipment and supplies in any gambling establishment or in any premises where gambling equipment is manufactured, sold, or distributed.(D) Summarily seize, remove, and impound any equipment, supplies, documents, or records from any licensed premises for the purpose of examination and inspection. However, upon reasonable demand by the licensee or the licensees authorized representative, a copy of all documents and records seized shall be made and left on the premises.(E) Demand access to, and inspect, examine, photocopy, and audit all papers, books, and records of an owner licensee on the gambling premises in the presence of the licensee or the licensees agent.(2) Except as provided in paragraph (1), upon obtaining an inspection warrant pursuant to Section 1822.60 of the Code of Civil Procedure, the department may inspect and seize for inspection, examination, or photocopying any property possessed, controlled, bailed, or otherwise held by any applicant, licensee, or any intermediary company, or holding company.(3) (A) The department may investigate, for purposes of prosecution, any suspected criminal violation of this chapter.(B) The department may investigate, for purposes of prosecution, any suspected criminal violation of Chapter 9 (commencing with Section 319) or Chapter 10 (commencing with Section 330) of Title 9 of Part 1 of the Penal Code, including a suspected criminal violation that occurs outside of a licensed gambling establishment. (C) This paragraph does not limit the powers conferred by any other law on agents of the department who are peace officers. (4) The department may do both of the following:(A) Issue subpoenas to require the attendance and testimony of witnesses and the production of books, records, documents, and physical materials.(B) Administer oaths, examine witnesses under oath, take evidence, and take depositions and affidavits or declarations. Notwithstanding Section 11189 of the Government Code, the department, without leave of court, may take the deposition of any applicant or any licensee. Sections 11185 and 11191 of the Government Code do not apply to a witness who is an applicant or a licensee.(b) (1) Subdivision (a) shall not be construed to limit warrantless inspections except as required by the California Constitution or the United States Constitution.(2) Subdivision (a) shall not be construed to prevent entries and administrative inspections, including seizures of property, without a warrant in the following circumstances:(A) With the consent of the owner, operator, or agent in charge of the premises.(B) In situations presenting imminent danger to health and safety.(C) In situations involving inspection of conveyances where there is reasonable cause to believe that the mobility of the conveyance makes it impractical to obtain a warrant, or in any other exceptional or emergency circumstance where time or opportunity to apply for a warrant is lacking.(D) In accordance with this chapter.(E) In all other situations where a warrant is not constitutionally required.
SEC. 2. Section 19827 of the Business and Professions Code is amended to read:
### SEC. 2.
19827. (a) The department has all powers necessary and proper to enable it to carry out fully and effectually the duties and responsibilities of the department specified in this chapter. The investigatory powers of the department include, but are not limited to, all of the following:(1) Upon approval of the chief, and without notice or warrant, the department may take any of the following actions:(A) Visit, investigate, and place expert accountants, technicians, and any other person, as it may deem necessary, in all areas of the premises wherein controlled gambling is conducted for the purpose of determining compliance with the rules and regulations adopted pursuant to this chapter.(B) Visit, inspect, and examine all premises where gambling equipment is manufactured, sold, or distributed.(C) Inspect all equipment and supplies in any gambling establishment or in any premises where gambling equipment is manufactured, sold, or distributed.(D) Summarily seize, remove, and impound any equipment, supplies, documents, or records from any licensed premises for the purpose of examination and inspection. However, upon reasonable demand by the licensee or the licensees authorized representative, a copy of all documents and records seized shall be made and left on the premises.(E) Demand access to, and inspect, examine, photocopy, and audit all papers, books, and records of an owner licensee on the gambling premises in the presence of the licensee or the licensees agent.(2) Except as provided in paragraph (1), upon obtaining an inspection warrant pursuant to Section 1822.60 of the Code of Civil Procedure, the department may inspect and seize for inspection, examination, or photocopying any property possessed, controlled, bailed, or otherwise held by any applicant, licensee, or any intermediary company, or holding company.(3) (A) The department may investigate, for purposes of prosecution, any suspected criminal violation of this chapter.(B) The department may investigate, for purposes of prosecution, any suspected criminal violation of Chapter 9 (commencing with Section 319) or Chapter 10 (commencing with Section 330) of Title 9 of Part 1 of the Penal Code, including a suspected criminal violation that occurs outside of a licensed gambling establishment. (C) This paragraph does not limit the powers conferred by any other law on agents of the department who are peace officers. (4) The department may do both of the following:(A) Issue subpoenas to require the attendance and testimony of witnesses and the production of books, records, documents, and physical materials.(B) Administer oaths, examine witnesses under oath, take evidence, and take depositions and affidavits or declarations. Notwithstanding Section 11189 of the Government Code, the department, without leave of court, may take the deposition of any applicant or any licensee. Sections 11185 and 11191 of the Government Code do not apply to a witness who is an applicant or a licensee.(b) (1) Subdivision (a) shall not be construed to limit warrantless inspections except as required by the California Constitution or the United States Constitution.(2) Subdivision (a) shall not be construed to prevent entries and administrative inspections, including seizures of property, without a warrant in the following circumstances:(A) With the consent of the owner, operator, or agent in charge of the premises.(B) In situations presenting imminent danger to health and safety.(C) In situations involving inspection of conveyances where there is reasonable cause to believe that the mobility of the conveyance makes it impractical to obtain a warrant, or in any other exceptional or emergency circumstance where time or opportunity to apply for a warrant is lacking.(D) In accordance with this chapter.(E) In all other situations where a warrant is not constitutionally required.
19827. (a) The department has all powers necessary and proper to enable it to carry out fully and effectually the duties and responsibilities of the department specified in this chapter. The investigatory powers of the department include, but are not limited to, all of the following:(1) Upon approval of the chief, and without notice or warrant, the department may take any of the following actions:(A) Visit, investigate, and place expert accountants, technicians, and any other person, as it may deem necessary, in all areas of the premises wherein controlled gambling is conducted for the purpose of determining compliance with the rules and regulations adopted pursuant to this chapter.(B) Visit, inspect, and examine all premises where gambling equipment is manufactured, sold, or distributed.(C) Inspect all equipment and supplies in any gambling establishment or in any premises where gambling equipment is manufactured, sold, or distributed.(D) Summarily seize, remove, and impound any equipment, supplies, documents, or records from any licensed premises for the purpose of examination and inspection. However, upon reasonable demand by the licensee or the licensees authorized representative, a copy of all documents and records seized shall be made and left on the premises.(E) Demand access to, and inspect, examine, photocopy, and audit all papers, books, and records of an owner licensee on the gambling premises in the presence of the licensee or the licensees agent.(2) Except as provided in paragraph (1), upon obtaining an inspection warrant pursuant to Section 1822.60 of the Code of Civil Procedure, the department may inspect and seize for inspection, examination, or photocopying any property possessed, controlled, bailed, or otherwise held by any applicant, licensee, or any intermediary company, or holding company.(3) (A) The department may investigate, for purposes of prosecution, any suspected criminal violation of this chapter.(B) The department may investigate, for purposes of prosecution, any suspected criminal violation of Chapter 9 (commencing with Section 319) or Chapter 10 (commencing with Section 330) of Title 9 of Part 1 of the Penal Code, including a suspected criminal violation that occurs outside of a licensed gambling establishment. (C) This paragraph does not limit the powers conferred by any other law on agents of the department who are peace officers. (4) The department may do both of the following:(A) Issue subpoenas to require the attendance and testimony of witnesses and the production of books, records, documents, and physical materials.(B) Administer oaths, examine witnesses under oath, take evidence, and take depositions and affidavits or declarations. Notwithstanding Section 11189 of the Government Code, the department, without leave of court, may take the deposition of any applicant or any licensee. Sections 11185 and 11191 of the Government Code do not apply to a witness who is an applicant or a licensee.(b) (1) Subdivision (a) shall not be construed to limit warrantless inspections except as required by the California Constitution or the United States Constitution.(2) Subdivision (a) shall not be construed to prevent entries and administrative inspections, including seizures of property, without a warrant in the following circumstances:(A) With the consent of the owner, operator, or agent in charge of the premises.(B) In situations presenting imminent danger to health and safety.(C) In situations involving inspection of conveyances where there is reasonable cause to believe that the mobility of the conveyance makes it impractical to obtain a warrant, or in any other exceptional or emergency circumstance where time or opportunity to apply for a warrant is lacking.(D) In accordance with this chapter.(E) In all other situations where a warrant is not constitutionally required.
19827. (a) The department has all powers necessary and proper to enable it to carry out fully and effectually the duties and responsibilities of the department specified in this chapter. The investigatory powers of the department include, but are not limited to, all of the following:(1) Upon approval of the chief, and without notice or warrant, the department may take any of the following actions:(A) Visit, investigate, and place expert accountants, technicians, and any other person, as it may deem necessary, in all areas of the premises wherein controlled gambling is conducted for the purpose of determining compliance with the rules and regulations adopted pursuant to this chapter.(B) Visit, inspect, and examine all premises where gambling equipment is manufactured, sold, or distributed.(C) Inspect all equipment and supplies in any gambling establishment or in any premises where gambling equipment is manufactured, sold, or distributed.(D) Summarily seize, remove, and impound any equipment, supplies, documents, or records from any licensed premises for the purpose of examination and inspection. However, upon reasonable demand by the licensee or the licensees authorized representative, a copy of all documents and records seized shall be made and left on the premises.(E) Demand access to, and inspect, examine, photocopy, and audit all papers, books, and records of an owner licensee on the gambling premises in the presence of the licensee or the licensees agent.(2) Except as provided in paragraph (1), upon obtaining an inspection warrant pursuant to Section 1822.60 of the Code of Civil Procedure, the department may inspect and seize for inspection, examination, or photocopying any property possessed, controlled, bailed, or otherwise held by any applicant, licensee, or any intermediary company, or holding company.(3) (A) The department may investigate, for purposes of prosecution, any suspected criminal violation of this chapter.(B) The department may investigate, for purposes of prosecution, any suspected criminal violation of Chapter 9 (commencing with Section 319) or Chapter 10 (commencing with Section 330) of Title 9 of Part 1 of the Penal Code, including a suspected criminal violation that occurs outside of a licensed gambling establishment. (C) This paragraph does not limit the powers conferred by any other law on agents of the department who are peace officers. (4) The department may do both of the following:(A) Issue subpoenas to require the attendance and testimony of witnesses and the production of books, records, documents, and physical materials.(B) Administer oaths, examine witnesses under oath, take evidence, and take depositions and affidavits or declarations. Notwithstanding Section 11189 of the Government Code, the department, without leave of court, may take the deposition of any applicant or any licensee. Sections 11185 and 11191 of the Government Code do not apply to a witness who is an applicant or a licensee.(b) (1) Subdivision (a) shall not be construed to limit warrantless inspections except as required by the California Constitution or the United States Constitution.(2) Subdivision (a) shall not be construed to prevent entries and administrative inspections, including seizures of property, without a warrant in the following circumstances:(A) With the consent of the owner, operator, or agent in charge of the premises.(B) In situations presenting imminent danger to health and safety.(C) In situations involving inspection of conveyances where there is reasonable cause to believe that the mobility of the conveyance makes it impractical to obtain a warrant, or in any other exceptional or emergency circumstance where time or opportunity to apply for a warrant is lacking.(D) In accordance with this chapter.(E) In all other situations where a warrant is not constitutionally required.
19827. (a) The department has all powers necessary and proper to enable it to carry out fully and effectually the duties and responsibilities of the department specified in this chapter. The investigatory powers of the department include, but are not limited to, all of the following:
(1) Upon approval of the chief, and without notice or warrant, the department may take any of the following actions:
(A) Visit, investigate, and place expert accountants, technicians, and any other person, as it may deem necessary, in all areas of the premises wherein controlled gambling is conducted for the purpose of determining compliance with the rules and regulations adopted pursuant to this chapter.
(B) Visit, inspect, and examine all premises where gambling equipment is manufactured, sold, or distributed.
(C) Inspect all equipment and supplies in any gambling establishment or in any premises where gambling equipment is manufactured, sold, or distributed.
(D) Summarily seize, remove, and impound any equipment, supplies, documents, or records from any licensed premises for the purpose of examination and inspection. However, upon reasonable demand by the licensee or the licensees authorized representative, a copy of all documents and records seized shall be made and left on the premises.
(E) Demand access to, and inspect, examine, photocopy, and audit all papers, books, and records of an owner licensee on the gambling premises in the presence of the licensee or the licensees agent.
(2) Except as provided in paragraph (1), upon obtaining an inspection warrant pursuant to Section 1822.60 of the Code of Civil Procedure, the department may inspect and seize for inspection, examination, or photocopying any property possessed, controlled, bailed, or otherwise held by any applicant, licensee, or any intermediary company, or holding company.
(3) (A) The department may investigate, for purposes of prosecution, any suspected criminal violation of this chapter.
(B) The department may investigate, for purposes of prosecution, any suspected criminal violation of Chapter 9 (commencing with Section 319) or Chapter 10 (commencing with Section 330) of Title 9 of Part 1 of the Penal Code, including a suspected criminal violation that occurs outside of a licensed gambling establishment.
(C) This paragraph does not limit the powers conferred by any other law on agents of the department who are peace officers.
(4) The department may do both of the following:
(A) Issue subpoenas to require the attendance and testimony of witnesses and the production of books, records, documents, and physical materials.
(B) Administer oaths, examine witnesses under oath, take evidence, and take depositions and affidavits or declarations. Notwithstanding Section 11189 of the Government Code, the department, without leave of court, may take the deposition of any applicant or any licensee. Sections 11185 and 11191 of the Government Code do not apply to a witness who is an applicant or a licensee.
(b) (1) Subdivision (a) shall not be construed to limit warrantless inspections except as required by the California Constitution or the United States Constitution.
(2) Subdivision (a) shall not be construed to prevent entries and administrative inspections, including seizures of property, without a warrant in the following circumstances:
(A) With the consent of the owner, operator, or agent in charge of the premises.
(B) In situations presenting imminent danger to health and safety.
(C) In situations involving inspection of conveyances where there is reasonable cause to believe that the mobility of the conveyance makes it impractical to obtain a warrant, or in any other exceptional or emergency circumstance where time or opportunity to apply for a warrant is lacking.
(D) In accordance with this chapter.
(E) In all other situations where a warrant is not constitutionally required.
(a)Upon completion of an investigation that identifies evidence of illegal gambling conducted outside of a licensed gambling establishment, the department shall do both of the following:
(1)Refer the findings to the appropriate local district attorney or the Attorney General for prosecution.
(2)Assist prosecutorial agencies by providing investigative reports, expert testimony, and any other necessary support to ensure diligent prosecution of violations.
(b)If a local district attorney declines to prosecute a case referred by the department, the Attorney General shall have the authority to review and, if appropriate, prosecute the case.
(c)The department shall coordinate with local law enforcement agencies and other relevant entities to do both of the following:
(1)Share information regarding suspected illegal gambling operations conducted outside of a licensed gambling establishment.
(2)Provide training and resources to ensure consistent enforcement of gambling laws across the state.
(d)(1)The department shall prepare and submit an annual report to the Governor and Legislature that includes all of the following information:
(A)The number of investigations conducted related to illegal gambling activities occurring outside of licensed gambling establishments.
(B)The outcomes of referred cases, including prosecutions, convictions, and penalties imposed.
(C)Any challenges encountered in enforcing state gambling laws and recommendations for addressing those challenges.
(2)A report to be submitted pursuant to paragraph (1) shall be submitted in compliance with Section 9795 of the Government Code.
(e)The department shall develop and implement public awareness campaigns to educate the public on the illegality and risks of participating in unlicensed gambling activities.
If the Commission on State Mandates determines that this act contains costs mandated by the state, reimbursement to local agencies and school districts for those costs shall be made pursuant to Part 7 (commencing with Section 17500) of Division 4 of Title 2 of the Government Code.