Michigan has joined the fight for legalized sports betting via state Representative Robert Kosowski. Kosowski’s efforts align with those of New Jersey, New York, Mississippi and Maryland. Kosowski’s bill, entitled H 4060, has been around, but hasn’t been able to achieve any real significance.
Michigan has several casinos and this bill would allow them to host sports betting, a likely endeavor for them given the profits that could be made. The exact wording of the bill says the state would enact “the holder of a casino license may accept wagers of sporting events.” Also, “the board shall promulgate rules to regulate the conduct of sports betting under this act.” (H 4060). Kosowski sees the regulations as a way of capitalizing on an industry that’s already operational, a sentiment echoed by other proponents of legalizing sports betting.
“All we’re doing right now is keeping illegal bookmaking happening in our state when we could regulate it. They’re going to do it anyway, why not have people watching over it?” said Kosowski in an interview.
There are obvious financial benefits from regulating sports betting—the most crucial being the surge in funding for the state. As with all the other cases of states trying to get sports betting, federal law is the prime obstacle. The Professional and Amateur Sports Protection Act, or PASPA, is the specific culprit. PASPA was enacted back in 1992 and prevents 46 states from having Nevada-style sports betting. In its 25th year of action, some states see PASPA as an outdated law that should be repealed or at least reexamined given the shift in the industry. That shift can be attributed to Daily Fantasy Sports groups like FanDuel and DraftKings who legally operate through a bureaucratic loophole.
Kosowski, like others who are working towards the same goal, understand the chances of sports betting being legalized are slim, but there’s enough potential for reform to keep them pushing their bills forward. Aside from PASPA, other obstacles include issues the major professional sports leagues would have with sports betting. League commissioners have long been against sports betting, but some of them are starting to change their stances in light of the industry’s growing popularity. NBA Commissioner Adam Silver has been a supporter of PASPA repealment for some time now—he even wrote an op-ed about it in the New York Times. MLB Commissioner Rob Manfred recently made comments about how the MLB was going to adjust their view on sports betting. The NHL just launched a Las Vegas franchise and the NFL is in the process of approving one, which creates an incentive to support sports betting. After all, Las Vegas is the heart of sports betting in the US.
Regardless, the first hurdle for Michigan is getting the bill through legislation. Then, after passing a referendum, it could be written in. PASPA would still technically overrule any state bill, which is one of the primary arguments for PASPA dissenters. States feel authorizing sports betting should be a state issue, not determined on a federal level. Kosowski remains hopeful that the bill will pass, and he anticipates something happening within the year. If PASPA is repealed, Michigan will be one of many states to bring sports betting into the fold and we may see sports gambling in Michigan emerge in a dramatic way.