Tag Archives: Michigan State Legislators

Time For a Referendum on Michigan Gambling Outlets Amendment, Proposal 1 (2004).

How many of the individuals who signed the Casino’s petition really knew what it was really all about?

Once on the ballot how much of the residents who voted on it really understood the only Industry it would hurt.

The Proposal as it was stated: And read the last paragraph good.

The proposed constitutional amendment:

Requires voter approval of any form of gambling authorized by law after January 1, 2004.

Requires voter approval of any new state lottery games utilizing “table games” or “player operated mechanical or electronic devices” introduced after January 1, 2004.

Provides that when voter approval is required, both statewide voter approval and voter approval in the city or township where gambling will take place must be obtained.

Specifies that the voter approval requirement does not apply to Indian tribal gaming or gambling in up to three casinos located in the City of Detroit.

End

Now does not apply to Indian tribal gaming or gambling in up to three casinos located in the City of Detroit.

And what needed a public vote again?

Since this proposal passed in 2004, Charity Gaming increased by 75%. Poker/Texas Holdem’Rooms licenses were handed out everywhere. Bars, Bowling Alley’s, Strip Joints, Churches, Bingo Halls and other venues.

Most just down the streets, roads and next to neighborhoods of people who opposed any type of gambling at all and they sure didn’t need anybody’s vote as to whether these venues could have them.

That been said and it being a 100% fact who alone did this passed proposal really affect & hurt. Just one I know of, Horse Racing Tracks. The very first gambling establishment ever signed into law in 1933.

It was the Horse Racing Industry that the petition was drawn up by the Casino’s to stop. And that it did, to a screeching halt.

Horse Racing was here in Michigan 39 years before the Lottery (1972) was implemented, 55 years before the first tribunal casino’s (1988) and 63 years before the three Detroit Casino’s (1996).

And it was Horse Racing alone that generated $Billions of dollars for the State through all of this time.

At one time had directly and indirectly 42,000 jobs connected to this Industry and for Agriculture, now sadly down to about or under 12,000.

It wasn’t bad enough that all of a sudden the Detroit Casino’s became God to the State. They decided to cut the throats further of the State’s first money generator, so much so in 1999 Governor Granholm decided to dissolve The Office Of Racing Commissioner and then take the industry to where it had been under Agriculture and place it under a 4 member board that only oversaw the Casino’s. The Michigan Gaming Control Board.

And what great thing did they do for now some entity they never wanted or cared about in the first place, slash their racing dates. Who took the biggest hit, Thoroughbred Racing.

Without the ORC we were stripped of any representation at all in Michigan and within the Michigan Gaming Control Board itself.

They allotted 84 racing days in 09′ & 10’then slashed the dates from 84 to 3.

3 days that’s all, the MIHBPA Horsemen & women had to buy back the dates with their own money. You can click onto the Horse Racing Tab and read all those blogs and details.

Let’s get down to real business. On the The American Gaming Association (AGA) site I found something very interesting in the Statistical notes.

It should be noted that, in many cases, effective tax
rates are higher at racetrack casino facilities where
gaming machines are operated by the state lottery,
as opposed to the more traditional regulatory
structure in which gaming licensees are the owners
and operators of the machines. In the case of the
former, the gaming machines are called video
lottery terminals (VLTs), and the lottery commission
takes in all revenues before making distributions
to stakeholders such as track owners, breeders and
others. States that operate in this manner include
Delaware, Maryland, New York, Ohio, Rhode Island
and West Virginia. Because of this important
difference in the regulatory structure in these
states, the survey details the percentage of revenue
retained by operators as opposed to state gaming
tax rate. The percentage of revenues retained by
operators should in no way be interpreted as profit
margin. These are revenues earned before paying
other non-gaming taxes, employee salaries as well
as a host of other operating expenses.

“are operated by the state lottery”

Funny because just two years after Horse Racing’s ORC was dissolved, in 2011 Kathie Oviedo was named Deputy Commissioner of Charitable Gaming by Lottery Commissioner M. Scott Bowen.

Again no public vote by the States citizens is needed when the Lottery adds more and more games, nor is a vote necessary when Charity licenses are handed out like candy. Though recently Richard Kalm has cracked down on how many charity gaming licenses can be now given because of the Detroit Casino’s crying it’s cutting into their business.

Well the truth is it not Charity anything cutting down Detroit Casino’s, what has is when our neighbor Ohio opened their Casino and gave their Horse Racing Tracks Racinos.

The buses no longer needed to travel here 3 times a day from there since they got their own. And exactly how much money is actually generated from Racinos. The Data from the AGA site (Pg. 3) (not including Ohio since they were only implemented in 2014.

1. Philadelphia, Pa. $835.33 million
2. New York City, N.Y. $672.57 million
3. Yonkers, N.Y. $544.70 million
4. Charles Town, W.V. $536.99 million
5. Providence, R.I. $477.83 million
6. Indianapolis, Ind. $445.40 million
7. Dade County, Fla. $427.89 million
8. Dover/Harrington, Del. $297.57 million
9. Meadow Lands, Pa. $284.38 million
10. Grantville, Pa. $282.60 million

These numbers just don’t lie people. The are from RACINOS ALONE.

Michigan and Governor Snyder proclaims additional tax $$$ is needed for disintegrating roads, needed for this needed for that. Just look at the above numbers and the money generated by the Racetracks that have been allowed VLT’s.

Indiana and now Ohio below us, it is not only a damn shame but a crime to what has been done to horse racing here.

Where our neighbors have chosen to support their horse racing industry’s and the jobs associated with them, Michigan stupidly sits on the side line crying broke and trying to protect three Detroit Casino’s that are now losing money because of Ohio.

In Nov. of 2012 both the House and the Senate passed HB5466 for Instant Racing. House by a vote of 91-16, Senate at the end of a marathon session in mid-December by a margin of 24-11.

On Jan. 11, 2013 Gov. Snyder killed the bill by pocket veto.
The supposed reason: it was likely unconstitutional and “It would have authorized a form of gambling without a statewide and local vote, which is required by the constitution” because of Proposal 1 that was passed in 2004.

Even though Instant Racing is just a band-aid for an Industry that’s bleeding out, do you know how much money that alone has brought into KY?

Instant Racing has best month ever in Kentucky. Sept. 3, 2014.

Excerpt: The $30.44 million wagered at Kentucky Downs beat the previous record of $29.4 million in March for the Franklin track that implemented the game in September 2011. It was a 12.98 percent jump over the previous August.

And Gov. Snyder cries no money for roads let’s raise taxes to generate $$$.

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Slots keep Rolling in and Race Horses keep Shipping out in Michigan

Gun Lake Casino in Wayland Twp. receives slot machines

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Filed under Detroit News, Horse Racing, Huron Township Michigan, Mi. Standard-bred Horse Racing, Michigan Horse Racing, Michigan Horse Racing News, Michigan Politics, Michigan Thoroughbred Horse Racing, Michigan Thoroughbred Horse Racing History, New Boston Michigan, New Jersey Horse Racing, News, Pinnacle Race Course, Politics, Racinos, Sports, The Michigan Gaming Control Board