In an effort to recoup revenue lost due to Covid-19 casino closures, Michigan state Senator Adam Hollier introduced Senate Bill 969, which would allow tribal and commercial casinos to launch online gaming months before statewide regulations may be finalized. Hollier said, “This is fundamentally about revenue. Casino gaming is a significant revenue source for a variety of governments across the state, and is used for essential needs.”
Hollier’s bill would allow internet-based gaming–separate from onsite and online sports betting– until social distancing measures are no longer necessary in Michigan and before the state issues online gaming licenses. The bill was referred to the Senate Committee on Regulatory Reform.
Whitmer signed a bipartisan bill package last December establishing a framework for internet gaming and onsite and online sports betting. Some tribes already have entered into partnerships with vendors to offer online gaming. The Senate Fiscal Agency earlier indicated sports betting and iGaming could produce $15 million to $40 million annually for the School Aid Fund.
MGCB spokesperson Mary Kay Bean said administrative rules for online gaming are being developed; this step must be completed before internet gaming can be offered. The state could launch online gaming by early 2021 “but it could happen by late this year if all goes well during the rulemaking process,” Bean said. Hollier pointed out, “That’s five months of lost revenue we could be talking about. In my opinion, it’s a no brainer: It brings revenue here and allows people to be home and safe.”
The bill would grant provisional internet gaming supplier licenses to commercial and tribal casinos. It also would allow license holders to contract with a person or tribe outside the state to provide internet gaming software.
The Gun Lake Tribe, owners of the Gun Lake Casino, has not yet stated its position on Hollier’s legislation. Spokesman James Nye said, “The tribe is excited to offer online gaming and sports betting in the near future. As always, we look forward to working closely with the state on any gaming regulations that impact our operations.”
The Michigan Gaming Control Board recently announced minimum reopening guidelines for the three Detroit casinos; however, they’ll remain closed until Governor Gretchen Whitmer gives her go-ahead. Most of the state’s tribal casinos opened in mid-June with new health and safety precautions.
