Michigan lawmakers are making progress with a new sports betting bill.
On Tuesday, the Michigan House Regulatory Reform Committee approved a piece of legislation that would legalize sports wagering in Michigan.
The bill, titled HB 4916, will now be sent to the House Committee on Ways and Means, the next step in Michigan’s legislative process.
HB 4916 was initially introduced by Representative Brandt Iden on 5 September and has made significant progress in a short space of time.
What’s covered in the legislation?
If this piece of legislation passes into law, it will legalize land-based and online sports betting in Michigan. All land-based casinos in the state will be able to operate one mobile skin (brand) under the law.
The bill would also allow for the creation of the Division of Sports Betting, a regulatory body that will serve as the regulator for Michigan’s sports betting market.
In terms of licensing, operators will have to pay $200,000 to secure a sports betting license. Licenses can be renewed on an annual basis for $100,000. Operators will also be required to pay an 8% tax on gross gaming revenue.
Tax revenue will be put towards the municipalities where the casinos are located, the state’s School Aid Fund and the state’s new Sports Betting Fund. The Sports Betting Fund will be used to help fund the treatment of gambling addiction and cover the costs of enforcing Michigan’s sports betting law.
Previous efforts to legalize sports betting in Michigan
Last year, representative Brandt Iden introduced HB 4926, HB 4927 and HB 4928. These three bills came together to form the Lawful Internet Gaming Act which would legalize sports wagering and real-money online casinos.
Although the bills passed in the both the House and the Senate, they were ultimately unsuccessful after being vetoed by Governor Rick Snyder during his last days in office.
What’s next for the bill?
The bill will now be sent to the Ways and Means Committee which will examine how sports betting will fit into the state’s budget.
If the bill is successful in the Committee, it will then pass on to the next stage of Michigan’s legislative process and take another step towards becoming a law.
If Michigan’s legislative efforts are successful, it will join the 18 US states that have legalized sports wagering.