The Michigan Gaming Control Board (MGCB) has committed to renewing the licences of three Detroit casinos, in a unanimous decision reached during a public meeting.
The casinos – MGM Grand Detroit, MotorCity Casino and Penn National’s Hollywood Casino at Greektown – have had a one-year licence renewal approved, in a decision that required three votes in support of final determinations of the board on casino licence applications.
MGCB ED Henry Williams said: “A casino licence is a privilege granted by the state of Michigan. Board members and agency staff take seriously our responsibilities when reviewing this privilege each year as required by law.”
The casino licence application process was established under the Michigan Gaming Control and Revenue Act, with the MGCB required to consider a number of factors when reviewing applications.
These factors include moral character and reputation, business integrity, financial ability and adequate compulsive gambling programmes.
Successful licence applicants are taxed 18% on adjusted gross receipts, with the state receiving 8.1% and the city of Detroit 9.9% of wagering tax and development agreement payments.
Licensees must also pay 8.4% tax on retail sports betting qualified adjusted gross receipts, with an additional annual fee required to cover the state’s regulatory expenses.
Gaming law in Michigan stipulates that casinos must promote responsible gambling; they are required to display the state’s gambling helpline at entrances and exits, on fund transfer terminals, credit locations and on all advertisements and promotional materials.