Since Governor John Engler signed into law a bill that allowed the construction of commercial casinos in Michigan in 1997, the state has enjoyed around $4.5 billion in tax revenue. These were just some of the interesting statistics revealed by the Michigan Gaming Control Board as it marked 20 years since Governor Engler gave the final green light for the passing of the Michigan Gaming and Revenue Act.
Since then, three commercial casinos have been established in Detroit. The first casino license was issued to MGM Grand Detroit in 1999. This was followed by the MotorCity Casino Hotel towards the end of 1999, and the Greektown Hotel-Casino in 2000. In addition to the three Detroit casinos, there are 23 tribal casinos across Michigan, including the state’s Upper Peninsula where the La Vieux Desert Resort Casino is located in Watersmeet.
The 1997 Act also laid the groundwork for the establishment of the Michigan Gaming Control Board which now employs nearly 140 people. The board regulates gambling operations in the state and imposes taxes. Around 6,800 people are licensed to be employed in Michigan’s casinos.
Michigan’s casino industry is a prosperous one, with 1,400 businesses linked directly and indirectly to these establishments (800 of them within the state).
The state is probably the biggest winner, with $1.9 billion paid to public education funds in the state over the past two decades, and another $2.6 billion to the city of Detroit.
Problem gambling programs are supported by the gaming board, with more than 4,000 people voluntarily banning themselves from casinos for life. 25,000 minors were turned away from the three casinos’ doors last year alone.
A press release put out by the Michigan Gaming Control Board read: “The casino industry will continue to change as patrons’ interests evolve and technology brings new ways to game. The MGCB will adapt to these changes and new regulatory challenges while applying regulations reasonably, effectively and efficiently.”
The law was amended in 2004 when new tax rates were established. At present, a rate of 8.1% on the casinos’ net win is directed to the state, while the city of Detroit enjoys a 10.9% configuration.
In 2016, the three casinos combined generated $1.4 billion in gross revenue after winnings were paid out, deriving mostly from electronic and table games. MGM Grand contributed the most – 43% of the total.
