Michigan Relaxes Rules On Businesses Working With Casinos

Gaming regulator allows more businesses to transact without notifying state

Michigan gambling regulators have passed a resolution to make things easier for businesses working with casinos.

Small-business owners may now conduct up to $100,000 in non-gaming business with the Detroit casinos in a 12-month period without notifying the Michigan Gaming Control Board under the resolution approved during a public meeting on June 8.

That’s up from the previous $50,000 threshold.

The MGCB also will grant longer, five-year licensing exemptions to non-gaming vendors. That’s up from one year.

The move comes as the state’s casino gambling industry continues to try to rebound from the COVID-19 pandemic. The Detroit casinos won $638,661,887 from gamblers in 2020, down more than 50% compared to 2019.

The Detroit casinos are still at reduced capacity due to the virus.

‘Skip the added paperwork’

“The changes approved by a 4-0 Board vote allow more small businesses to supply things like food and beverages, snow removal, or laundry services to the Detroit casinos without disclosing information to the MGCB,” said Henry Williams, MGCB executive director. “If you are a non-gaming vendor already registered for internet casino gaming or online sports betting, your firm can provide up to $400,000 in goods and services to each Detroit casino and skip added paperwork.”

“Vendors registered under the Lawful Internet Gaming and Lawful Sports Betting acts will be exempt automatically from licensing requirements if they provide less than $400,000 of non-gaming-related goods or services to any Detroit casino,” the regulator added. “Medical-related service providers authorized to transact business in Michigan will also receive an automatic exemption.”

Per the MGCB, any currently granted exemptions will remain in effect for their one-year period unless otherwise ordered. Furthermore, the terms and conditions in the resolution will apply on renewal.

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