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Lawmakers in Michigan have high hopes that the revised language in Rep. Brandt Iden’s online gambling bill, introduced last week, will successfully propel the issue towards its resolution.
Michigan would hold the distinction of being the pioneer state to legalize online gambling, encompassing the domains of both lotteries and casino games, including poker, on the internet.
Bill’s introduction followed by a hearing
On Tuesday, the bill was presented, and the House Regulatory Reform Committee, chaired by Iden, conducted a hearing on Wednesday.
There was no voting involved as the purpose of the hearing was solely to provide information.
Iden initiated the hearing by stating that online gambling is bound to happen and he firmly believes that Michigan should take a proactive stance towards it.
Starting his statement, the Regulatory Reform Chair confidently stated, “Considering myself a betting individual, and rightfully so, I believe that iGaming will inevitably be legalized in Michigan.”
Iden states that the main objective of the bill is to enhance consumer protections and provide a lawful, regulated option as an alternative to illegal offshore sites. Additionally, the state of Michigan would reap financial advantages from this endeavor.
Nevertheless, Iden also warned that the process would require a considerable amount of time, stating to his fellow committee members, “The timing is ultimately determined by all of you.”
Those who voiced their support for the bill during the hearing were:
- During the hearing, Jeanne David, the responsible gaming manager at The Stars Group, along with other representatives from the company, provided testimony that was relevant to the consumer protection aspect of the hearing. The Stars Group has consistently been present at hearings in Michigan and appears to be taking the lead in lobbying efforts within the state.
- The executive director of the Poker Players Alliance, John Pappas, dedicated his time to disproving the statements made by the witness presented by the Coalition to Stop Internet Gambling.
- Mike Cox, the ex-Attorney General of Michigan, expressed his belief to the committee that the bill was in accordance with the state’s constitution.
- Dave Murley, a member of the Michigan Gaming Control Board, confidently stated that the Control Board possesses the capability to effectively regulate online gambling. However, Murley did identify a number of legal concerns associated with the current wording of the bill.
Former Nebraska Assistant Attorney General David Cookson, who has become a frequent spokesperson for the Coalition to Stop Internet Gambling, expressed his opposition to the bill. Despite Cookson delivering a passionate testimony, it appeared to have no effect on the proceedings, especially after he failed or refused to provide a straightforward answer to Rep. Iden’s question: “Who financially supports CSIG?”
The 800-pound gorilla
The bill proposed by Rep. Iden draws heavily from the framework previously developed by State Sen. Mike Kowall, who had introduced similar legislation in both the current and previous years.
The major distinction between Iden’s bill and Kowall’s is that Iden’s does not mandate Michigan Native American tribes to relinquish any aspect of their tribal sovereignty. Instead, the Iden bill stipulates that tribes wishing to participate in online gambling must revise their current agreement or establish a new compact with the state if no such agreement currently exists.
Regrettably, Iden’s revised language seems unlikely to achieve the desired outcome. The commercial casinos have shifted from being neutral to opposed, and there has been no support gained from the tribes.
The written testimony submitted by Michigan’s three commercial casinos, namely MGM Grand Detroit, Greektown Casino, and MotorCity Casino, expressed their opposition to the legislation in its current form. However, it is worth noting that MGM offered a potential silver lining by expressing its support for the underlying concept of the legislation.
The bill received a written opinion from just one of Michigan’s 12 gaming tribes, and similar to the commercial casinos, the Nottawaseppi Huron Band of Potawatomi expressed their opposition to the bill in its current form.
