SAN JOSE, Calif. (KGO) — New regulations set to take effect April 1 could significantly impact card rooms across California, prompting San Jose officials to urge the state to reconsider the changes.
On a typical weekday, Casino M8trix sees hundreds of card game players. On weekends, that number climbs into the thousands.
But Vice President Rob Lindo said new gambling regulations will affect its business.
“I anticipate that we’ll lose at least 50% of our business, but then at what point does it become viable to keep this business open?” Lindo said.
The California Office of Administrative Law approved changes from the California Department of Justice that will impact card rooms statewide. The new rules include banning traditional blackjack and implementing stricter rotation of the player-dealer position.
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“I think that they will lose a lot of business at these cardrooms,” said San Jose resident Rayshawn Ford.
“I love the game,” said Patterson resident Jazzy Jaz. “I play the game. I don’t want to travel outside of here to play this game.”
The city of San Jose sent a letter to Rob Bonta requesting that the regulations be rescinded. City officials say casinos M8trix and Bay 101 generate about $30 million annually in tax revenue that funds critical services.
According to the letter, that revenue helps fund 95 police officers, 106 firefighters and the costs associated with 911 and police dispatch services.
“Over 600 beds for those people who are experiencing homelessness, so that impact is dire and something that really can’t be backfilled,” Lindo said.
Lindo also said a loss in business could lead to layoffs among the casino’s 750 employees.
“In San Jose, which is in the middle of Silicon Valley, where we know everything is unaffordable — for a family-owned business to provide great employment, approaching $90,000 average income for our employees who work on the gaming side — to provide that many jobs and that much revenue to our city, to have that business be threatened when no one’s asking for these changes is, I think, a really disappointing and depressing situation to be faced with,” Lindo said.
Bay 101 Casino declined to comment. The attorney general’s office was not available for an interview.
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