MI Gaming Board Says 15% Occupancy, No Smoking Or Poker At Detroit Casinos

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Written By Matt Schoch on June 9, 2020
Detroit Casino Revenue

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On Monday morning, the leaders of Detroit’s three commercial casinos expressed their readiness to implement reopening plans once they receive the approval to do so.

During a virtual meeting on Monday, representatives from Greektown Casino-Hotel, MGM Grand Detroit (represented by David Tsai), and MotorCity Casino (represented by Bruce Dall) each took their turn to address the Michigan Gaming Control Board and address any concerns.

On Monday, the board released the minimum requirements for Detroit’s commercial casinos when they reopen. These guidelines entail operating at 15% capacity, prohibiting smoking on the casino floors, and eliminating poker rooms.

Board chair Robert Anthony responded to the casino executives by expressing his belief that everyone is eagerly anticipating the reopening of the doors, as it holds significant value within the city of Detroit.

Since March 16, the three Detroit casinos have remained closed as per the directive of Governor Gretchen Whitmer.

Detroit casinos closed through June 12, for now

Whitmer extended the “Safe Start Plan” until June 12th last month.

Nevertheless, the governor made a change in his plans last week. As a result, bars and restaurants throughout the state were granted permission to open at 50% capacity starting on Monday. However, the governor’s order explicitly prohibited casinos from opening on Monday.

Over the past few weeks, autonomous Native American tribes have been reopening their tribal casinos throughout the state.

Gun Lake Casino in Wayland, Michigan, was among the 23 tribal casinos that reopened statewide on Monday, the eleventh of them to do so.

Four Winds Casinos have confirmed that their three locations will reopen on June 15, joining the ranks of ten other tribal casinos who have also announced reopening dates.

Board member: Can smoking move outside in Detroit?

The reopening plans were presented by the top managers of Detroit’s three casinos to the gaming board.

Barbara Smith, a board member, contemplated whether this presented a chance to temporarily convert the Detroit properties into smoke-free facilities.

Tsai mentioned that MGM Grand Detroit intends to designate a separate indoor space, away from the gaming floor, where customers will be allowed to smoke.

Greektown Casino-Hotel

Drake, the general manager of Greektown, mentioned that the three Detroit casinos joined forces to collectively create local plans.

Drake stated that a significant amount of time and effort went into preparing for the return of our employees and customers. As a result, we have implemented extensive measures to ensure their safety and well-being.

Penn National Gaming, the parent company of Greektown, has recently published broad guidelines for reopening on a national level.

MGM Grand Detroit

Tsai, the President and Chief Operating Officer of MGM Grand Detroit, mentioned that he recently visited a reopened MGM establishment in Mississippi. He further highlighted that the company has successfully reopened five of their casinos, with customers expressing positive feedback.

“We have adopted a highly cautious stance when it comes to our health and safety protocols,” he stated. “We have collaborated with medical professionals whom we have employed to create comprehensive cleaning protocols across our entire organization.”

Guidelines were introduced by MGM Resorts in the form of a “Seven-Point Safety Plan” to outline their reopening strategy.

MotorCity Casino

According to Dall, the MotorCity president, the casino has categorized its reopening procedures into four main areas: sanitization and cleaning, screening, personal protection equipment, and social distancing.

Dall stated that the plans were developed in mid-April and mentioned that table games dealers will be equipped with face shields. He believed that these measures were among the most rigorous, considering the opening of 500 other casinos.

MotorCity unveiled its “COVID-19 Safety Plan” last week.

Gaming board releases minimum guidelines

On Monday, the Michigan Gaming Control Board released minimum guidelines for the reopening process. These guidelines enforce a maximum capacity limit of 15% at every casino, based on their legal capacity.

Additional instructions include:

  • Entrance points are restricted, and temperature checks are conducted.
  • Smoking on the casino floors is prohibited.
  • There are no rooms designated for playing poker.
  • Enhanced cleaning procedures.
  • Rules for maintaining physical distance.

The board collaborated with other states to establish the guidelines.

Richard Kalm, the executive director of the MGCB, stated in a news release that the minimum guidelines were developed by taking into account the recommendations from the CDC, guidelines set by the Nevada Gaming Board, and information provided by the National Indian Gaming Commission.

“We mandated that casinos submit reopening plans and engaged in consultation with casino unions regarding the guidelines. We are confident that these guidelines will safeguard the public once it is deemed safe to reopen the casinos.”

During the meeting, Kalm made it clear that the instructions given to the three casinos were not strict orders, but rather flexible guidelines. He also mentioned that the 15% capacity guideline might be subject to change once the casinos resume their operations. It is worth noting that the casinos’ plans already align with these guidelines.

Detroit casino revenue down 51.6%, so far

On Monday, the board declared that May marked the second consecutive month of no earnings from Detroit’s casinos.

In May, the combined revenue from Detroit casinos witnessed a significant decline of 51.6%. The total revenue for this period amounted to $299.2 million, contrasting with the $617.9 million generated during the same timeframe last year.

The state’s tax revenue from Detroit casinos experienced a decline of $25.8 million, dropping from $50 million in 2019 to $24.2 million this year.

This year, the casinos in Detroit experienced a significant decline in taxes and development agreements, amounting to $37.9 million. In comparison to the same period last year, where $73.5 million was generated through five months, this year’s revenue dropped to $35.6 million.

Board member Walker-Mills steps down

Recently, Carla Walker-Miller, a member of the Michigan Gaming Control Board, resigned from her position. Anthony stated that her departure was due to personal reasons.

“Anthony expressed his admiration for her invaluable contribution to the board and emphasized how deeply her absence will be felt,” he stated. “Her presence was highly valued and greatly appreciated.”

On December 31, her term was set to come to an end as the board members are appointed by the governor.

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