In Michigan, suppliers of gaming products are regulated under the Michigan Control and Revenue Act (the Act) and the Michigan Gaming Control Board Rules (the Board). All Detroit casino licensees and applicants must comply with the guidelines.
The Board has also published resolutions that guide the correct interpretation of the Act and the Board’s rules. To become a supplier of gaming goods and services in Michigan, applicants must go through an extensive process to ensure they comply with every requirement.
Resources available for use by applicants and licensees
To ensure suppliers understand all the rules well, the Board adopted the Board Resolution 2009-1. Its purpose is to clarify the entire licensing process. The Board has further clarified issues about third-party providers, political contributions, and all licensing-related issues, including license cancellation.
The Board also issues gambling licenses to the MI online casino sector. Applicants are required to pay an application fee and an annual fee to keep operating. The Board allowed players to register gambling accounts online without requiring them to make a trip to a land-based casino.
Requirements for gaming suppliers in Michigan
All supplier licenses issued by the Board cannot be transferred. The entity must meet all requirements and demonstrate its credibility to the Board. Based on the supplier’s Act, a license is required for both non-gaming and gaming products and services suppliers. There is a certain dollar threshold a company must meet.
Under the Michigan gambling laws, the native casinos do not operate under the Board’s rules. A new supplier must undergo a Michigan Supplier License Analysis process before they start the application process. Its purpose is to prepare the entity for the licensing process and educate the owners about all that is expected from them. No entity is allowed to supply casino-related goods or services without a proper supplier license.
What goods and services are licensed suppliers allowed to supply?
Under typical casino terms, a licensed supplier can supply the following and more. Non-value gaming chips, layouts of gaming tables, food, non-alcoholic beverages, and vending machines.
A casino enterprise is allowed to develop buildings and all gaming facilities, such as restaurants and hotels. The minimum dollar threshold to get a license is $400,000 annually. Applicants who expect to supply products worth $50,000 or more must fill out the Vendor Notification and Disclosure Form. Some types of goods may require laboratory testing before shipment is allowed.
