LOS ANGELES, June 16 - Gov. Arnold Schwarzenegger is about to conclude a deal with California Indian tribes that will bring a major expansion of gambling on tribal lands while providing the state a bigger share of their casino revenues.
The agreement would essentially undo compacts between the state and the tribes negotiated five years ago by former Gov. Gray Davis, under which the tribes pay virtually nothing to the state from their estimated $5 billion in annual gambling revenues.
State officials said Wednesday that they hoped to announce an agreement next Monday with five tribes that would bring the state an immediate infusion of $1 billion in badly needed cash and annual payments of several hundred million dollars for the next 25 years.