Michigan Sports Betting Getting No Closer, Photo by Ken Lund/Flickr Laws & Regulations

Chances of Sports Betting Becoming Legalized in Michigan Look Slim

By Lisa Spencer Senior Editor Updated: 20 September 2019

Lisa Spencer Senior Editor

As a Senior Editor at Betting.US, Lisa Spencer is a valuable member of our expert team. With a Master’s degree in Applied Mathematics, Lisa is adept in gambling theory and analyzing odds. She contributes by writing online sportsbook reviews and finding competitive markets to help our readers make an informed choice.

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While sports betting legislation advanced through the Michigan House Regulatory Reform Committee on Tuesday, this is not a good indication that sports betting will be legalized in the state – according to Legal Sports Report.

Despite legislators trying to move forward, Rep. Brandt Iden said – in an exclusive interview – that the actual chance of sports betting or online gambling in general finding their way into the Michigan budget is slim at the moment.

For the past few months, attempts to write up legislation to cover sports betting have fallen on deaf ears – and opposition from the administration has meant that little progress has been made. Despite the Sports Betting Act H 4916 being pushed forward, still, things aren’t looking good – and Rep. Iden says:

“The governor’s office is just not communicating about this now. The governor is not communicating about the budget either at this point in time. The governor’s office is just not communicating, and that’s been part of the issue from Day One.”

Government Shutdown on the Way?

The reason why gambling and sports betting has been deemed such a low priority by legislators is undoubtedly because the government themselves can’t seem to get themselves in check. For example, if they’re unable to agree on terms for a budget by the 1st October, a government showdown is a near certainty – and a recent ‘leak’ from a state employee revealed that layoff notices were sent to around 48,000 state employees just a few days back.

Iden believes that in order to avoid a shutdown – and continue advancing the chances of sports betting and iGaming becoming a reality – both sides of the administration will need to negotiate and enter into productive talks and discussions. Iden stated that him and his team are working hard to avoid a total government shutdown. He states that a shutdown is “never good news”, and “absolutely not what we want”.

Can a Deal Ever Be Reached?

Despite the fact that the opposition have at least agreed to consider talks to look at the sports betting bills proposed, it appears as though the sides may be so far apart that nothing will ever come of it. For example, with the budget not even decided on, there’s little chance that legislators will see sports betting as a priority – especially given that it’s expected to take up a significant part of that budget.

According to Iden, his proposal includes an 8% tax rate on sports betting company profits. This is almost half the 15% that the Governor is asking for. Similarly, Iden wants to charge operators just $200,000 to apply for a gambling license in the state, while the Governor wants the fee to be set at $1,000,000. These are some significant differences, and if they’re unable to come to an agreement (it’s likely both sides will need to be willing to compromise), then this stalling is something that we may well see for years to come.

We will, of course, keep you updated as to the progress of legalized sports betting in Michigan.