Michigan Takes a Step Towards Sports Betting Legislation

20.09.2019, 15:45

Following a meeting that was held on Tuesday in the Michigan house committee on a regulatory forum, three legislative measures on sports gambling have been introduced, as the state might join several US states that already legalized sports betting.

The first bill HB 4916 becomes the center of attention, as it would legalize both online and in-person sports wagers throughout the state. Measures for criminal provisions and regulations will govern this bill. Eleven members of the regulatory committee supported the bill, against two who opposed it and two other members who did not vote. The biggest challenge facing this bill is the tax rates, as the Native American Casinos will have a tax rate of 8% while commercial casinos will be charged at 11.25%.

Two other bills will be covering things like ways of prosecuting a violation of betting laws. The regulatory reform committee has expressed interest to support the gambling bills. It’s a new dawn for online gaming operations, as Michigan has now taken a step forward towards legalizing the sport gambling bills.

However, it will take some time before passing the bill as it is getting a lot of opposition from senior government officials. The former state governor Rick Snyder axed a bill last year before leaving the office, despite having received numerous positive responses from the lawmakers.

Michigan Sports Betting Legislation Background

The current governor of the state Gretchen Whitmer has made it clear that she doesn’t like online betting. She claims that online gambling would interfere with the states’ lottery, which is the primary source of the School Aid Fund. She may consider approving the new bill if the casino tax rates would be higher. This has caused resistance within the legislative channel, and it may delay the passing of the new bill.

The three bills will now be headed to the regulatory body Ways and Means Committee. This committee is pivotal in passing the bills, and it deals with regulatory reform and tax policies. The chair of the Ways and means Committee is Brandit Iden, who is one of the sponsors of HB 4916. If the bill finds the necessary support, it will head to the House floor for voting by the chamber. If the house approves the proposal, Whitmer is supposed to sign the legislation for it to be approved in the state.