Last updated: January 22, 2021
Status: Online sports betting is now live as of January 22, 2021.
Following the Supreme Court’s decision in May 2018 to allow individual states to legalize sports betting, representatives in Michigan promised to act. However, progress took a little longer than expected.
A package of online gambling bills introduced by Representative Brandt Iden in March surprised many as it did not include provisions for sports betting. At the time, negotiations with key stakeholders were ongoing and the final details of the sports betting bill were still being drafted.
The sports bill finally surfaced in May and contained explicit details about how sports wagering would be handled in the state. A Sports Betting Division would be set up along with a state fund. Licenses would cost $200,000 for the initial set-up fee - renewable annually for $100,000 - and a tax rate of 8% would be set.
Gambling first appeared in Michigan in 1933 when the Horse Racing Act was passed. This authorized pari-mutuel betting on horse races in the state. At the same time, the Office of Racing Commissioner (ORC) was established to promote the safety and integrity of all horse racing betting conducted at licensed venues in Michigan. Simulcast betting was later included and is also regulated by the Commissioner.
The state lottery was introduced in 1972 following a public vote that amended the constitution. Gus Harrison was appointed as the first Lottery Commissioner in August of the same year. Multi-state lotteries were first introduced in 1996.
Charitable gaming was also given the go-ahead in 1972, with bingo, raffles and charity game tickets all authorized for fundraising purposes. The Act was revised in 2007 when the Charitable Gaming Rules became effective.
The first casinos appeared in 1993 when the Saginaw Chippewa Indian Tribe opened an establishment in Mt. Pleasant. There are now more than 20 tribal casinos open for business in Michigan and all pay 8% of their net profits on electronic games to the state and 2% to local municipalities.
In November 1996, voters approved the building of three commercial casinos in Detroit. This was signed into law in 1997. The casinos are controlled by the Michigan Gaming Control Board, with money from profits paid to the state and city.
Betting on sports is now legal.
A Division of Sports Betting is being established as part of the sports betting bill.
The current legal gambling age at casinos in Michigan is 21 years. With sport betting licenses due to be issued to the state’s casinos, the same age limit is expected to apply..
Numerous online sports betting sites now offer sports betting, including FanDuel and DraftKings.
Numerous online sports betting sites now offer sports betting, including FanDuel and DraftKings..
Yes, as of January 2021.
It is not clear how much legal sports betting would be worth in Michigan, but with $3 billion earned in revenue from illegal sports betting in the USA in 2017, the figure could be significant.
Sports betting revenue is taxed at 8.4%.