August 24, 2004

"As Soon as You Take Their Money, You Owe Them Something"

The story of the advent of casino-style gambling at Casino San Pablo, here in the Bay Area, has been unfolding with no little drama.

California State Senate leader John Burton, the San Francisco Democrat who is titular head of the city's Burton Machine, announced last Friday that Democrats had blocked the original plan to expand CSP to a super-colossal casino with 5,000 slot machines. The Democrats favored a plan where CSP would only expand to a jumbo casino with only 2,500 slots, half as many as was agreed originally between the Gov. Arnold Schwarzenegger and the Lytton Band of Pomo Indians. On Saturday US Senator Dianne Feinstein (RD-Calif) chimed in, calling the agreement between the Lytton Pomos and the Governator "unconscionable" and "totally unacceptable."

The Lytton Pomos acceded to Burton's demand on Sunday, so quickly that I cannot help but suspect that this was a smoothly directed piece of political theater, that the original plan was intended to be so outlandish that the "compromise" reached, the target actually aimed for, would seem small in comparison. The Governator and representatives of the Lytton Pomos signed the revised agreement on Monday.

But wait ... there's more! Phillip Matier and Andrew Ross, crackerjack investigative journalists for the San Francisco Chronicle, reported in Sunday's edition of the Chronicle that Joe and Gavin Maloof, part of the management team slated to run the expanded CSP for the Lytton Pomos, organized a fundraiser last February that netted more than a million dollars for the Governator's campaign war chest. The Maloof brothers own the Sacramento Kings, as well as the Palms casino resort in Las Vegas.

Matier and Ross point out that during the recall campaign that put him in office, the Governator denounced the role of special-interest money in politics: "As soon as you take their money," they quote him as having said, "you owe them something.'' In that same campaign, the Governator slammed his leading opponent, Cruz Bustamante, for accepting campaign contributions from tribal interests while the state was in negotiation with them over gambling compacts.

A spokesman for the Governator told Matier and Ross on background, "It's our understanding that (Joe) Maloof wasn't engaged in any discussions to manage the casino at the time of the February event, and we never had any indication of his participation until after the agreement was reached.'' How convenient for the Governator.

Posted by abostick at August 24, 2004 03:15 PM
Comments

I guess the Governator's office doesn't read Matier & Ross, huh? Since the story broke on Sunday and the revised agreement was signed Monday.

This story isn't over yet ...

Posted by: Debbie Notkin at August 24, 2004 03:49 PM
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