A new proposal to ban blackjack in California has cardroom owners and employees alike saying the change in regulations will put thousands of people out of work, and cost state and local governments millions of dollars while creating a monopoly for Indian gaming casinos.

By mid-to-late 2026, new rules from the California Department of Justice could ban blackjack from cardrooms. The department’s analysis of the impact estimates about 50% loss of revenue for those cardrooms, which Club One Casino President Kyle Kirkland says would force him to close his Fresno cardroom.

“Those regulations as presented would basically put us out of business,” Kirkland said. “It has a big impact on us, our people, and frankly the city of Fresno and the city of Clovis.”

The state Department of Justice says the 86 licensed cardrooms across the state could together lose $396 million. It also estimates that 25% of the revenue would divert to Indian gaming casinos, which would not be affected by the rule change.

Kirkland, who is also president of the California Gaming Association, said this is a push by casinos to shut down competition.

“They’re openly explicit about saying that they’d like to see card rooms go away,” Kirkland said. “And seeing the pressure — whether it’s through political contributions in the Assembly or to the Attorney General’s office for other political runs … basically the tribes want to eliminate all competition and have a monopoly for themselves.”

Requests for comment sent to the California Nations Indian Gaming Association were not returned before publication of this story.

The Attorney General’s office said it is reviewing public comments and that the regulation process dates back to 2023, when it first sought public input.

Because the rulemaking process is ongoing, the department said it could not comment further.

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Cardrooms Employ 18,000 Statewide, Generate $730M in Wages

The proposed regulation redefines blackjack as 21 — a card game banned in California going back to 1885, Kirkland said. Kirkland, however, says blackjack is a different game and for decades, no other administration has had objections to it being played.

“Where we today might think of blackjack and 21 as somewhat synonymous, that wasn’t the case back in 1885 or whenever the constitution was put into place,” Kirkland said. “We won’t play that game, that game’s illegal. Every single game that we play, including all of our blackjack-style games, have been approved by the attorney general and the Bureau of Gambling Control. So prior administrations have approved those as worthy for play.”

The justice department says about 18,000 people work in cardrooms statewide, generating $730 million in wages and benefits and contributing $3 billion to overall economic activity.

The 50% cut in revenue would mean massive layoffs, said Shavon Moore-Cage, political advocate for the American Federation of State City and Municipal Employees Local 36 Management Chapter.

“That means layoffs, that means cutting vacation pay, sick time, all of those things,” Moore-Cage said.

She also said it means revenue cuts for municipal governments. The Gardens Casino in the city of Hawaiian Gardens generates about 68% of the city’s sales tax revenue, Moore-Cage said.

When the pandemic shut that casino down, it meant cuts to youth programs, senior programs, and public safety. Kirkland said Club One generates about $1 million annually in taxes to the city of Fresno.

The justice department estimates that by 2035 the loss of cardroom gambling would reduce gross state product by $1.3 billion and cost more than 1,000 jobs.

Moore-Cage said a 50% revenue loss means shutting down a business.

“If you take away 50% of somebody’s household income, you’d have to move,” she said.

Cardrooms, Casinos Major Donors in California Politics

Bonta has come under scrutiny for ruling on gambling issues while accepting donations from casinos. Politico reported earlier this month that tribal communities contributed at least $101,500 to Bonta from 2023 to summer 2024.

Those donations came in before and after Bonta issued a ruling declaring fantasy sports betting websites illegal in California. That decision reflected similar opposition voiced by Indian gaming interests.

While Bonta also accept campaign contributions from fantasy sports websites, the amount was much less by comparison, Politico reported.

“The donors were not parties to the opinion — they neither requested it nor were its subject,” spokesperson Dan Newman said in a statement, according to Politico.

“They simply expressed a point of view, and of course an elected official cannot reject support from everyone who holds an opinion on their work. By that logic, the AG would have to refuse donations from anyone who appreciates his Trump lawsuits,” Newman went on to say.

Cardrooms have also been active donors in politics, giving millions away in elections. In 2021, Politico reported cardrooms funded most of Bonta’s initial donations for his 2022 campaign.