Michigan regulator renews Detroit casino licences

The Michigan Gaming Control Board (MGCB) has unanimously approved renewed licences for Detroit’s three commercial casinos.

Licences for MGM Grand Detroit, MotorCity Casino and Hollywood Casino at Greektown will run through to August next year.

Approved casinos in the city pay tax at a rate of 18% on adjusted gross receipts. Casinos submit wagering tax daily via electronic funds transfer.

Michigan receives 8.1% and the City of Detroit 9.9% of the wagering tax, plus development agreement payments.

Casinos also pay an 8.4% tax on their retail sports betting qualified adjusted gross receipts (QAGR). In addition, each licensee pays an annual fee to cover the MGCB’s expenses.

“Maintaining high standards”

“Renewing a casino licence reflects an ongoing commitment to operate a reputable and responsible establishment,” MGCB executive director Henry Williams said. “It signifies a dedication to maintaining high standards of quality, security and fair play within the industry.

“The renewal of these licences is validation of the casinos’ commitment to operating as responsible and valued corporate citizens within Michigan that contribute positively to the state’s gambling industry while ensuring a safe and enjoyable experience for all patrons.”

The triple renewal comes after it was revealed the three Detroit casinos posted $107.2m in revenue for the month of July. This was level with last year and slightly up month-on-month.

Some $106.7m came from slots and table games, up by 0.7% year-on-year. Sports betting generated $485,763 in QAGR – a drop of 62.0% – while handle reached $8.0m.

Original Article