I just asked a friend that worked at the (indian)Sycuan casino here in San Diego for 12 years. His brother and cousin still work there. So I asked him how they were regulated.

He said that the casinos *were* self-regulated, but are now regulated by the state. See the below quote from http://www.cgcc.ca.gov/ :

"The California Gambling Control Commission (Commission), under the Gambling Control Act, and pursuant to the Governor's Executive Order D-29-01, has jurisdiction over operation, concentration, and supervision of gambling establishments and over all persons or things having to do with the operations of gambling establishments in the State of California."