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Michigan House Republicans
Rep. Webber: Legalization of fantasy sports closer to reality
RELEASE|October 30, 2019

The Michigan House of Representatives today approved a pair of proposals sponsored by state Rep. Michael Webber legalizing participation in fantasy sports contests and permitting sports betting in Michigan. Webber’s measures are part of a wide-ranging bipartisan plan updating the way gaming is conducted and regulated statewide.

Current state law is silent as to whether participation in fantasy sports games is legal, and no consumer protections exist to protect people who partake in them. Webber’s first of two measures ends the legal debate looming over the fantasy sports industry by creating the Fantasy Sports Games Consumer Protection Act and establishing a regulatory structure to provide crucial consumer protections.

“We’re working to make legal fantasy sports a reality here in Michigan,” said Webber, of Rochester Hills, who chairs the House Regulatory Reform Committee. “Fantasy sports gaming has evolved into a massive industry, attracting millions of residents statewide to enjoy contests spanning over entire sports seasons. With no consumer protections currently in place, participants are at severe risk of personal and financial theft. As a state, it’s important we take this opportunity to get in the game, legalize fantasy sports contests, protect customers and capitalize on its revenue benefits.”

Webber’s second measure provides a framework for sports betting so Michigan could move forward recognizing a 2018 U.S. Supreme Court decision that allows legalization. The legislation also would allow for online wagering through regulated websites and mobile apps offered through casinos.

Webber said the majority of accrued revenue from sports wagers at casinos and online would go toward the state’s School Aid Fund, while a portion of revenue would be directed to local communities where participating casinos are located.

“More than a dozen states, including some of our neighbors in the Midwest have already legalized sports betting and have reaped the benefits,” Webber said. “If Michigan follows suit, we could generate another revenue source for vital public services and improving our school systems.”

Webber said the states that already offer sports betting, such as Indiana, are drawing customers and business away from Michigan. Illinois has recently approved sports betting and will begin offering it soon, while Ohio is among several additional states with legislation in the works to do so.

Indiana attracted $34.5 million in wagers in its first month of offering sports wagering at its casinos. The state’s share of sports betting proceeds in September was $813,000 – and the program is just getting started.

“Each day Michigan remains on the sidelines, we lose our competitive edge in the realm of sports betting and miss out on a considerable amount of state revenue,” Webber said. “Sports wagers are already happening. It’s time we adapt to a rapidly growing entertainment demand by residents and protect them in the process.”

The plan features built-in safety features and strict state oversight – including protections against fraud and age verification systems to prevent those under 21 from participating. Sports betting would be based on official information provided by sports leagues such as the National Football League and National Basketball Association.

House Bills 4309 and 4918, along with the rest of the gaming package, now advance to the Senate for consideration.

Michigan House Republicans

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