Michigan Gaming Growing Thanks to Budget Boost

By Matt Speakman,
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Last updated: July 5, 2024

How much gambling contributes to state budgets is an often-discussed topic. However, in Michigan, the latest news is that the state is budgeting to invest in gambling.

At the end of June, Michigan’s state legislature reached a budget agreement concerning its 2025 fiscal year. In the budget, gambling is one of the areas that will be invested in. In fact, the state will contribute $1.9 million to the Michigan Gaming Control Board’s budget.

Why does the MGCB need the additional funding?

The investment will allow the MGCB to hire 14 full-time staff. The growth for the gaming board was deemed necessary as Michigan now deals both with sports betting and online gambling, thanks to changes to state laws in late 2019.

Though these verticals have now been active in the state for about four years, time has shown regulators that increased support is needed in order for Michigan’s gambling offerings to function well. This is partly due to the encroachment of illegal gambling platforms.

With many illegal operators still attempting to flog their wares to Michigan residents, the MGCB needs additional help in the form of full-time employees to address this issue. Michigan is one of several states to take legal action against Bovada for operating without a license.

An emphasis on Responsible Gambling

In addition to efforts to reduce illegal gambling in the state while promoting legal platforms, the state budget also has increased the amount of funding for gambling addiction support. Michigan has an entity known as the Compulsive Gambling Prevention Fund. The fund and various programs related to it work to offer help to those dealing with gambling addictions.

The new budget for 2025 will funnel an additional $3 million into the fund. Among other programs, this money will be used to support a 24/7 hotline for those that need advice about problem gambling. It will also help improve gambling-related research, bolster addiction treatment and provide preventative education for children.

MGCB’s Executive Director, Henry Williams, released a statement in response to the budget increase announcement. He said:

“I extend my deepest gratitude to Governor Whitmer and the Legislature for their commitment to enhancing the Michigan Gaming Control Board’s operations with their support of additional FTE positions, underscoring their dedication to strengthening the agency and it’s regulatory efforts. Moreover, the MGCB’s increased contribution, from $3 million to $6 million, to the Compulsive Gambling Prevention Fund demonstrates our proactive approach towards responsible gaming. Together, we are safeguarding the integrity of the industry while prioritizing the well-being of Michigan citizens.”

“Don’t Regret the Bet” Continues

Williams’ statement mentions another change in 2025: The MGCB will also earmark $3 million of its budget towards “RG” or “Responsible Gambling,” by promoting its campaign, “Don’t Regret the Bet.” The campaign was originally launched in 2023.

In order for the budget to receive full approval, it had to be signed into law by Michigan’s governor. Governor Gretchen Whitmer approved the bipartisan budget and signed, which means the funding to the gaming board will be available from October 1, 2024.