January 13, 2015
Detroit - The Michigan Gaming Control Board (MGCB) today approved licensing requirement changes effective Feb. 1 for companies that supply $400,000 or less in non-gaming goods or services to a Detroit casino during a rolling 12-month period. Additionally, the board eased regulatory requirements for low-volume, non-gaming suppliers.
“The MGCB is making the regulatory process less cumbersome for the Detroit casinos and their non-gaming suppliers, which often are Michigan small businesses,” said Richard Kalm, executive director, MGCB. “We will continue to maintain the integrity of gaming.”
A non-gaming supplier is a business providing amenities such as snow removal, lawn maintenance or linen service or goods such as fruits and vegetables.
To receive a licensing exemption, non-gaming suppliers must certify they will provide less than $400,000 in goods or services during a rolling 12-month period. Previously, the licensing exemption threshold was $300,000 in business volume with a Detroit casino. The MGCB expects license requests to drop by 54 percent.
Non-gaming suppliers will have to apply for a licensing requirement exemption only if they provide more than $50,000 in goods and services to one of the three casinos in a rolling 12-month period. Previously, the waiver threshold was $15,000 per Detroit casino. With the changes, the MGCB expects an 80 percent drop in licensing exemption applications.
|
Non-Gaming Casino Supplier Licensing Requirements |
Today |
Feb. 1 |
|
No reporting/approval requirement |
$0-$15,000 of business in a rolling 12-month period |
$0-$50,000 of business in a rolling 12-month period |
|
Must receive licensing exemption |
$15,000-$300,000 of business in a rolling 12-month period |
$50,000-$400,000 of business in a rolling 12-month period |
|
License required |
$300,000 or more of business in a rolling 12-month period |
$400,000 or more of business in a rolling 12-month period |
"The Michigan Gaming Control Board shall ensure the conduct of fair and honest gaming to protect the interests of the citizens of the State of Michigan."
