Gardena Council okays $40,000 annual dues to California Cities Gaming Authority amid legal fight over card rooms

The Gardena City Council voted 5-0 on Sept. 9 to approve an amendment to the California Cities Gaming Authority (CCGA) joint exercise of powers agreement that raises Gardena’s annual contribution from $30,000 to $40,000. The change, approved as part of agenda item 15(a), was presented to the council as necessary to cover foreseeable legal expenses and ongoing lobbying related to state regulations and litigation concerning California card rooms. Council members and staff described the CCGA’s work as focused on challenging proposed regulations from the California Bureau of Gambling Control and on tracking and responding to litigation and legislation — including the measure identified in staff reports as SB 549 and a federal bill mentioned in the staff presentation. Staff said the CCGA is preparing for possible court actions and legislative hearings that would require counsel, an executive director and regular representation in Sacramento. Council discussion emphasized two themes: the potential financial risk of not participating in a coordinated legal and lobbying effort, and concern about whether the CCGA can recruit enough member cities to spread the cost. Council members noted the authority was written with an expectation of more members; staff said the original model projected seven members but the CCGA currently has three participating jurisdictions (Gardena, Inglewood and the Town of Colma). Staff told the council the JPA’s Section 4.1 limits member contributions but allows the board to set a higher annual contribution if the legislative bodies of member cities authorize it. Several council members asked for more transparency about CCGA activity and finances. Councilmember Love asked how the public could track accomplishments and spending; staff and the mayor said monthly CCGA meeting minutes, financial statements and periodic reports are available and that they would request a summary of the CCGA’s recent accomplishments be posted publicly. Staff also described the CCGA’s governance costs: an executive director who attends legislative hearings, in‑house counsel, and modest stipends for city representatives who attend monthly meetings. The council heard that stipends are occasional and modest (staff cited examples of $150 per meeting when attended). The motion to approve the JPA amendment was made by Councilmember Francis and seconded; the clerk recorded a unanimous vote in favor: Mayor Serta, Mayor Pro Tem Henderson, Councilmembers Tanaka, Francis and Love. Financial impact: staff noted $40,000 is included in the city’s adopted FY 2025–26 budget. Councilmembers asked staff to continue outreach to recruit additional cities to the CCGA to reduce per‑member costs and to return with public documentation of CCGA activities and financial statements if requested. What was discussion versus action: the council formally approved the amendment to the joint exercise of powers agreement (formal action). Prior to the vote, council discussion and questions focused on membership levels, program activities, stipend practices and transparency (discussion). No further direction or assignment beyond approving the appropriation was recorded in the meeting minutes. Background: the staff report referenced Gardena’s 2019 resolution (No. 64 22) authorizing participation in the CCGA and cited Section 4.1 of the JPA governing financing. The CCGA’s current work list presented to the council included regulatory challenges to proposed restrictions on certain card-room games, litigation monitoring, and legislative outreach. Council members requested follow-up materials (a list of CCGA accomplishments and financial statements) and suggested further recruitment of cities to join the JPA to lower Gardena’s per-member share.