The Michigan Gaming News Letter

Gaming Industry Workforce More Diverse than U.S., Hospitality Benchmarks

The American Gaming Association (“AGA”) released new research providing an in-depth examination of diversity of the workforce in the gaming industry. The findings show that the gaming industry boasts a diverse executive pipeline, while identifying opportunities on gender representation. The AGA concludes that the gaming industry is more diverse than the national and hospitality industry benchmarks.

“Consumers, policymakers and investors are raising their expectations for all businesses on how they contribute to society beyond the bottom line. Encompassing data from across commercial, tribal, and manufacturing gaming verticals, the survey both highlights our industry’s leadership on diversity while presenting areas for continued progress,” said AGA President and CEO Bill Miller.

The study’s findings show tangible results:

  • More than 6 in 10 (61%) of gaming industry employees are minorities.
  • 23 percent of gaming employees are Hispanic, and 19 percent are Black.
  • 60 percent of operator employees are minorities, up nearly 20 percent from.
  • 45 percent of gaming manufacturer employees are minorities.
  • 45 percent of first/mid-level managers are minorities.
  • 43 percent of professionals are minorities.
  • 48 percent of the gaming workforce is female.

 

“As today’s report shows, our industry has made impactful strides toward becoming more diverse, but there is more work to do,” added Miller. “The AGA will use this research to engage our membership on how we can collectively advance DEI in gaming in the months and years to come.”


Michigan Gaming Control Board Introduces Double Down Michigan Podcast Hosted by Executive Director Henry Williams

Michigan Gaming Control Board (“MGCB”) has issued a press release introducing a monthly podcast exploring gaming industry-related topics, including responsible gaming, industry news, trends and more. MGCB Executive Director Henry Williams will be the host of this monthly podcast.

Double Down Michigan is hosted on Buzzsprout and is available on Amazon Music, Apple Podcasts, iHeart Radio, Podcast Index and Spotify.

Each episode will feature special guests including experts from the MGCB, state government, tribal communities, addiction and recovery services or the gaming industry.

“Through our podcast, Michigan citizens will learn more about the gaming industry and its impacts on the state and on its patrons. If you enjoy gaming or are curious about how the industry works, our podcasts will provide insights from a regulator’s unique perspective. We also will help our listeners by sharing information on responsible gaming and problem gambling,” said Henry Williams, MGCB executive director and Double Down Michigan host.

The initial podcast episodes available now are:

Episode 1: Sandra Johnson, Responsible Gaming manager for the Michigan Gaming Control Board, and Williams discuss the difference between responsible gaming and problem gambling, self-exclusion from gambling, MGCB’s new responsible gaming campaign Don’t Regret the Bet and tips for staying safe and having fun while you gamble.

Episode 2: Michael Burke, president of the Michigan Association on Problem Gambling, shares his very personal story about gambling addiction and advice for persons who need problem gambling help in a conversation with Williams.


Michigan Internet Gaming and Sports Betting Operators Report Combined $170.83 Million February Total Gross Receipts

As reported by the Michigan Gaming Control Board (“MGCB”), Michigan commercial and tribal internet casino gaming and sports betting operators reported a combined $170.83 million total gross receipts in February.  February receipts decreased 8.8% when compared to last month’s results of $187.33 million.

February internet gaming gross receipts were $148.17 million, a decrease of 3.6% from a record reporting of $53.69 million in January 2023. Gross sports receipts totaled $22.66 million, decreasing 32.6% when compared with January 2023 reported total of $33.64 million.

Combined total adjusted gross receipts of $141.73 million were reported for February, including $133.28 million from internet gaming and $8.45 million for internet sports betting. Total monthly internet gaming adjusted gross receipts decreased 9.2% from January 2023 receipts of $156.17 million.

For the first two months of 2023, internet and adjusted gross receipts total $271.6 million, and internet sports betting adjusted gross receipts were $26.3 million. Michigan operators reported $219.7 million in internet gaming adjusted gross receipts and $15.2 million in internet betting adjusted gross receipts in the first tow months of 2022.

Total internet sports betting handle was $344.9 million and declined 27.5% when compared with January 2023 results of $475.6 million. Total handle was down 13.4% from the 298.4 million handle reported in February 2022.

The operators delivered $26.9 million in taxes and payments to the State of Michigan during February, with internet gaming taxes and fees contributing $26.3 million and internet sports betting taxes and fees contributing $583,263.

The three Detroit Casinos – MotorCity Casino, MGM Grand Detroit, and Greektown Casino – reported city wagering taxes and municipal service fees of $7.3 million, with internet gaming taxes and fees contributing $7 million and internet sports betting taxes and fees contributing $377,534 for the month of February.

Tribal operators reported making total payments of $3 million of wagering payments to the tribes’ governing bodies according to the MGCB.

An online gaming and sports betting revenue distribution table is available on the agency’s website.

During February, a total of 15 operators offered internet gaming and internet sports betting .

Details for each operator’s internet gaming and internet sports betting results are available and published on the MGCB website.


MGCB Public Meeting Scheduled for Tuesday, April 18

The Michigan Gaming Control Board (“MGCB”) will hold a regular public meeting on Tuesday, April 18, 2023, at the MGCB’s Cadillac Place Office, 3062 W. Grand Boulevard, Suite L-700, Detroit, 48202-6062. The meeting will begin at 9:30 AM and will also be accessible via Zoom.

The MGCB will consider approval of occupational licenses, supplier licenses, supplier license renewals, approval of new key persons, and the approval of some acknowledgements of violations among other issues. The full agenda for the April meeting may be found here.

The meeting is open to the public, and comments from the public are welcomed and encouraged during the public comment portion of the meeting. The MGCB asks you to submit this form to MGCBweb@michigan.gov by 9:30 AM, Tuesday April 18, to notify them you plan to address the Board during public comment. Please include your telephone number on the form. You also may use the Q&A in the Zoom meeting to indicate you wish to speak during public comment. Please provide your name and telephone number, and you will receive a call placing you in the queue.

The meeting will also be accessible to the public via Zoom at this link.


Northville Downs’ Race Meeting Begins April 7 as Michigan Marks 90th Anniversary of Pari-Mutuel Wagering in 2023

In a press release issued by the Michigan Gaming Control Board (“MGCB”), Northville Downs will open it 52-date live race meeting at 7 p.m. Friday April, 7, as the horse racing industry in 2023 marks the 90th anniversary of pari-mutuel wagering in Michigan.

“Horse racing was the first form of legal gambling in Michigan, and the first licensed, pari-mutuel race was held Sept. 2, 1933, at the former State Fairgrounds in Detroit. Northville Downs and the Michigan Harness Horsemen’s Association will continue Michigan’s live horse racing tradition during 2023. I wish them a successful season and congratulate the horse racing industry on its accomplishments over 90 years of pari-mutuel wagering in the state,” said Henry Williams, Michigan Gaming Control Board executive director.

The 2023 race meetings will run on Fridays and Saturdays through Sept. 30, and post time is 7 p.m. Each race date must offer no fewer than eight and no more than 16 live horse races per race day. The 2023 schedule will include 10 fewer dates than in 2022.

Northville Downs also continues to simulcast races to and from the track and may offer pari-mutuel wagering on simulcast races except on April 9, Nov. 23, Dec. 24 and Dec. 25.

Pari-mutuel wagering initially was authorized under Public Act 199 of 1933. Under the Horse Racing Law of 1995, Michigan taxes simulcast wagering at 3.5% but does not tax wagering on live races.


Kewadin Casinos Gaming Authority Statement on Settlement

Yesterday, the Kewadin Casinos Gaming Authority (“KCGA”) announced that it has reached a settlement agreement with its former development partner.

According to a press release issued by KCGA ,under the agreement Kewadin Casinos will pay its former partners JLLJ Development and Lansing Future Development II a total of $25 million by April 12, 2023. The agreement also stipulates that Kewadin will also pay up to $10 million from the proceeds of its malpractice claim against its former legal counsel, Patterson, Earnhart, Real Bird & Wilson LLP. If Kewadin is unsuccessful in its suit against Patterson, Kewadin will pay its former development partners an additional $5 million in place of the $10 million described earlier.

Kewadin Casinos General Counsel Aaron Schlehuber explained that the settlement agreement Kewadin reached with its former development partners represents nearly a 75% reduction from the $88 million in damages Ingham County Judge Joyce Draganchuk had previously ordered. “It also avoids lengthy appeals process to fight the ruling, the significant legal expenses that would have been incurred, and millions of dollars in interest. . . “

“This agreement allows Kewadin to move forward and now focus 100% of its efforts on providing the best entertainment services possible to the areas we serve,” Schlehuber said. “Casino revenues contribute significantly toward the services the Sault Tribe provides to its members, including health care and cultural programs, so this settlement ensures that the casino will continue to have the resources to maximize our operations and continue serving the community.”


Nominations Are Open for the Emerging Leaders of Gaming 40 Under 40

Emerging Leaders of Gaming (“ELG”) is now accepting nominations for its annual recognition program. The ELG 40 Under 40 was created to support young executives on the path to leadership through education, networking, and other career developments opportunities in the gaming industry.

Are there exceptional individuals in your organization under the age of 40 who have contributed above and beyond your expectations? Have you noticed a young person on the path to leadership, or do you believe that your abilities set you apart from your peers?

The ELG 40 Under 40 is presented by Global Gaming Business and The Innovation Group. Click here for more information about Emerging Leaders of Gaming or contact Allison McCoy for sponsorship opportunities.

To nominate yourself or someone else for the ELG 40 Under 40, please complete the appropriate form.  The deadline for nominations is August 1, 2023.