SB 186 Summary

• Establishes the Lawful Internet Gaming Act to create a regulated system of internet gaming in Michigan, allowing licensed casinos and Indian tribes to offer internet games to players 21 and older.

• Creates a Division of Internet Gaming within the Michigan Gaming Control Board to license and regulate internet gaming operators and vendors, with licensing valid for 5-year renewable periods.

• Imposes an 8% tax on gross gaming revenue from internet gaming operators (except Indian tribes pay 8% directly to the state), with revenue allocated to cities (30%), state fund (55%), school aid fund (5%), transportation fund (5%), and agriculture equine industry fund (5%).

• Requires age verification mechanisms, fraud detection systems, responsible gaming measures including self-exclusion options, and prohibits individuals under 21, those on exclusion lists, or convicted felons from participating.

• Makes unlicensed internet gaming a felony punishable by up to 10 years imprisonment or $100,000 fine, and does not take effect unless Senate Bill 190 is also enacted.