The Indian Gaming Regulatory Act
of 1988 (IGRA)

In 1988, Congress passed the Indian Gaming Regulatory Act (IGRA) in an attempt to reduce federal spending and increase tribal self-reliance. The act provides for the operation of Class III, or casino-style gaming on federal Indian lands as a means of promoting tribal economic development. IGRA also called for the formation of the National Indian Gaming Commission (NIGC), which regulates gaming activities on Indian lands, shields Indian tribes from organized crime and other corrupting entities, ensures that Indian tribes are the primary beneficiaries of gaming revenues and assures that gaming is conducted with integrity and honesty.

IGRA also requires states to negotiate in good faith with tribes seeking Class III “compacts,” essentially legal agreements outlining the types of games offered, the size of the facility, betting limits, regulations and security. Despite this requirement, state officials ignored California’s tribes for nearly a decade. These same officials were finally forced to present the issue to the voters of the state. Proposition 5 in 1998 and Proposition 1A in 2000 were overwhelmingly approved by California voters, confirming Indian self-reliance and Indian gaming in the state.