California is once again toying with the idea of legalizing online gambling. A new bill has been introduced that would allow up to three licenses for online gambling to be issued in the state of California. Senate Bill 1485 was amended by California State Senator Rod Wright to enable the California Department of Justice to grant the licenses for online casinos to operate intrastate online gambling hubs out of California.

The Unlawful Internet Gambling Enforcement Act (UIGEA) allows each state to make their own decisions regarding online gambling within their borders provided it does not violate existing laws. Should this latest piece of legislation pass banks and credit card companies will be allowed to legally transfer funds to the given casinos without fear of repercussions. This means some serious profits for the state and the casinos themselves.

The bill says that these gambling operators would be able to "provide lawful Internet gambling games to registered players in California for a period of five years, require a legislative analysis and another hearing by the Senate Governmental Organization Committee, and create the Internet Gambling Fund for monthly deposits by hub operators of at least 20% of gross revenues."

Since online gambling sites are already operating in California without generating revenue for the state it would probably be in California's best interest to simply pass the bill. Independent studies estimate that the state could generate as much as $1 billion each year from tax revenue should the legislation pass.

The real question is: why hasn't California already passed such legislation. It would be more beneficial to regulate the industry then to stand idly by and do nothing. People are gambling and businesses would like to operate legally. Let's just hope they can make this happen.

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