2003 House Bill 4610 ↩

Senate Roll Call 244: Passed

To authorize the placement of 500 (or more) video lottery machines (slot machines) at each of seven Michigan horse racetracks (referred to as "racinos"), and probably at two new tracks (the language is unclear but legislative leaders say that is the intent). No other new tracks could become racinos. The first part of the of the new racino revenue would go to the Michigan Strategic Fund, depending on whether its revenue from casino’s falls. Of the amount remaining, 70 percent would go to the state. Of this, 94 percent would go into the general fund, and the rest to the School Aid Fund. (In the House version the state received 40 percent of the take.) The operators would get 18.24 percent of the take, local governments where racinos are located would get .76 percent, and one percent would go to problem gambler programs. The remaining 10 percent would go to horse race prizes and awards. Racino operators and owners would be subject to strict regulations, similar to those that apply to Detroit casino operators, which among other things would prohibit them from making political campaign or ballot issue contributions. Racetracks could only become a racino if county voters approve it in a referendum. Racinos could not be located within 50 miles of Indian casinos that have agreed to pay eight percent of their revenue to the state. In addition to the state’s 70 percent of the slot machine revenue, operators would pay the state an application fee of at least $15,000 per slot machine, or more if a market study shows that the market will bear a higher amount.