Indians Gamble On Voters

Before California's Morongo Indians had gaming, life on the reservation was harsh.

Not anymore. The Morongo became casino operators and are now one of California's wealthiest tribes, CBS News Correspondent Vince Gonzalez reports. Each member receives $100,000 a year in gambling profits.

"We've done more for our tribal members in the last three years than the federal government did in the last 300 years," says Mary Ann Martin Andreas, the Morongo's tribal chairwoman.

But the state government says the tribe never got the necessary permission to operate slot machines, and now wants them to shut down. To fight back, the tribe launched a state ballot initiative called Proposition 5 that would legalize their slot operations.

"Nothing has ever been given to the native American," Andreas says. "We've had to fight for everything we've gotten."

But opponents of Proposition 5 say this time it's the Indians who aren't playing by the rules.

"We're talking about a very small number of people who have a very large amount of money, trying to preserve a very special deal for themselves, and it's not fair," says Cathy Christian of the political group "No On 5."

Opponents of the proposition say the stakes are high. They worry it will do more than protect existing casinos. They say it could promote gambling all over California, where casinos already bring in $1 billion a year.

But that kind of money means the tribes have the clout and the cash to get the voters' attention. They're spending millions on an ad campaign with a simple message — Indian gaming equals Indian self-reliance. On reservations with tribal casinos, unemployment has been cut by nearly 50 percent.

The anti-Proposition 5 campaign is primarily funded from the deep pockets of the Nevada gambling industry. Casino operators fear that the competition from next door could cost them millions.

Proposition 5 has become a hot-button issue in California and is shaping up as the most expensive initiative fight ever. But like all controversial issues, voters may not have the last word.

"Whatever happens, whether the voters approve it or don't approve it, it's going to wind up in the court," says Political Analyst Sherry Bebitch Jeffe. "And it will be in the courts for years."

But the vote still comes first. Polls show most Californians see this as a symbolic opportunity to give something back to native Americans by letting them cash in on gambling.