The media's hype over California becoming the nation's gambling capital may not pan out, observers say.

Gov. Arnold Schwarzenegger (R) has signed 10 agreements that will allow tribes to expand their casinos. But all but one compact is for an on-reservation casino. The sole urban casino deal -- with the Lytton Band of Pomo Indians -- is on hold due to objections from lawmakers.

Several tribes are seeking off-reservation casinos. But observers say it will be difficult to gain state and federal approval for these projects. In most cases, the governor can veto an off-reservation land acquisition

The Lytton Band is guaranteed a casino because the land has already been placed in trust. The tribe agreed to cut the number of slot machines to 2,500 but some lawmakers are balking at the size of the deal.

Get the Story:
California controversy: gold rush into casinos (The Christian Science Monitor 8/31)
Despite furor, don't bet on deluge of urban casinos, experts advise (The Sacramento Bee 8/31)