Saturday, May 31, 2008

Bingos Remain Mostly Forgotten in Smoking Debate

We're concerned that bingo halls may be left out of a potential House and Senate compromise on the smoking ban. The Detroit casinos remain the major sticking point, and it's our hope that bingos aren't simply used as a bargaining chip. The worst possible scenario for nonprofit bingo halls would be a statewide smoking ban that exempts their competitors, the casinos.


Below are some excerpts from the Ann Arbor Business Review:

Debate among Michigan's top legislators about how to resolve the impasse over a proposed statewide smoking ban roared to the forefront of the Mackinac Policy Conference this afternoon.

House Speaker Andy Dillon expressed optimism that the House could reach an agreement with the Senate on the smoking ban. Both chambers have passed slightly different versions of the bill.

"I think we're pretty close and I would assume that we can reach a compromise soon," Dillon said during a panel session at the Mackinac Policy Conference. "I don't see it being that big of an issue."

But concern persists among advocates of the smoking ban after the House this week approved a different version of the Senate's bill. The Senate approved a smoking ban without exceptions, but the House's bill would exempt casinos, horse racetracks, bingo halls and cigar bars.


For the complete story, please see Nathan Bomey, Michigan legislators indicate smoking ban may move forward, Ann Arbor Business Review via Mlive, May 29, 2008.

Friday, May 30, 2008

Beyond Bingo Supplies: How to Manage a Successful Bingo Event Part 4

So, if you've read our prior posts on how to manage a successful bingo fundraiser you should have:

1. Determined your bingo licensing regulations for your state.
2. Estimated your bingo player attendance.
3. Built your bingo program.
4. Determined your prize payout.

Now, let's focus on the revenue generators for your bingo.

Bingo Books & Admission

Many bingos will sell an admission package to each bingo player when they arrive. This package usually sells for around $20 and includes entry to the event, a bingo book with bingo sheets for each game in the bingo program, and perhaps an added bonus such as a free dauber or an extra bingo sheet for a jackpot game.

If you have early bird games (a handful of games before your main bingo program), you should sell bingo books for them for around $3-$5. Additionally, extra bingo books should be sold (usually for $5-$15 each) at a discount to the admission price. Finally, it's a good idea to sell extra single bingo sheets for the larger prize (jackpot) games.

If you choose not to have an admission package, you can simply sell bingo books for a set price once the bingo players have entered.

Raffles

Raffles are a great way to earn additional funds during your bingo event. During the night, have a friendly person walk around selling with a smile. If possible, it's a good idea to advertise and presell the raffle tickets beforehand.

You can have 50/50 raffles (where 50% of the proceeds go to the prize), or raffle off one or more prizes. Your prizes should be good quality and have obvious value. Don't be cheap!

Be careful, raffles, like bingos, can also fall under state regulation. Be sure you find out your state's policy on raffles beforehand.

Pulltabs

Like raffle tickets, pulltabs (charity tickets) are a great way to increase sales and revenues during a bingo. A pulltab is a similar to a scratch off lottery ticket, but instead it has a number of "windows" that are peeled open to reveal a possible prize. Each box of pulltabs contains a set amount of prizes (usually around 75% of the take). Therefore, each box (once sold) is guaranteed a certain profit.

Pulltabs come in a variety of games and styles. If you decide to sell pulltabs, make sure you know how each game is played beforehand.

Be warned! Pulltabs are even more heavily regulated than bingos. Be sure that they are legal in your state. And, if they are legal, make sure that you are properly licensed to sell them.

Bingo Supplies

Bingo supplies, especially bingo paper, can be a little confusing. If you are unfamiliar with bingo, ordering the proper bingo books can be difficult. We recommend you read How to Order Bingo Paper for a quick overview, or check out WholesaleBingo Supplies-Bingo Cards/Paper for some idea what cuts and sizes bingo paper can come in.

Make sure you order your bingo supplies in advance to give yourself some time. You'll likely need the following, bingo books, additional bingo sheets for jackpot games, bingo daubers (markers for the players), and raffle tickets and pulltabs (if legal in your area).

If you plan on hosting bingos on a regular basis, you might even consider purchasing an advanced bingo console and bingo equipment. But, this can get pricey. For an annual bingo, it's best to find bingo equipment you can borrow. Also, you can get by purchasing a low-cost, quality, bingo cage.

Next: Part 5 of 5, Bingo Concessions & More.

Thursday, May 29, 2008

House Exempts Bingo Halls from Smoking Ban

As we reported yesterday, the House voted 65-39 to pass their version of the smoking ban which exempted Detroit casinos and nonprofit bingos.

Below is an exerpt from a Detroit Free Press article on this topic:

Plans to exempt Detroit’s three casinos from a proposed statewide ban on smoking in workplaces got renewed life in the House today. On a 65-39 vote, the House sent yet another bill to the Senate to ban smoking except for casino gaming floors, cigar bars and bingo halls.

All proposals so far would ban smoking in all restaurants and bars, which has sparked controversy from those who say it will cost those establishments business.

For the full article, please see Chris Christoff, Casinos may get exemption from Michigan smoking ban, Detroit Free Press, May 28, 2008

Beyond Bingo Supplies: How to Manage a Successful Bingo Event Part 3

First, you checked out the licensing requirements for bingos in your state and then you made an estimate of how many bingo players will be in attendance. Finally, you decided on how you wanted to build your bingo program.

Now let's look at determining your bingo prize payouts.

Determining Your Bingo Prize Payouts

For nonprofit groups that have your bingo prizes donated, determining your prize payouts can be easy. You simply take the prizes donated, divide them up in smaller value items for most regular games and bigger value items for the special or jackpot games. However, if you are awarding cash prizes based upon your bingo players' attendance and spending levels, you need to make sure that you are budgeting appropriately.

For instance, if you plan on 100 bingo players attending your bingo event, how much do you expect each player to spend on bingo books? Perhaps, you're limiting sales to one bingo book per player and charging $10.00 per book. This means you can expect $1,000.00 in revenue to pay prizes with.

So, in the above example, if you have a bingo program with 10 regular games and 3 of those are specials (jackpots), you don't want to pay out $100 and $300 for the jackpots (for a total of $1,600.00). Instead, maybe you award say $40 for the regular games and $150 for the specials (for a total of $730).

Your bingo prize payouts should be a delicate balance between the revenue you hope to obtain and prize payouts that will keep your bingo players happy. A good rule of thumb is to try to have bingo prizes totalling 75% of bingo revenue.

Note: In the above example, bingo book prices and bingo prize payouts are not necessarily based in reality. As we said before, bingo games, prices, and prizes can vary dramatically from area to area.

Also, in the above example, some groups limit bingo paper sales to control inventory and keep things equal between players. Limiting sales may or may not be a good thing depending on your crowd. If you have mostly novice bingo players who are there more to support the charity than to play bingo, this may be a good strategy.

However, if you're crowd consists of many regular bingo players, then you will be better off not limiting spending, both from a sales standpoint and from a bingo player satisfaction standpoint. Regular bingo players do not want to be limited on the number of bingo books they can play.

Next: Part 4 of 5, Revenue Generators for your Bingo

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Wednesday, May 28, 2008

House Passes Version of Smoking Ban Exempting Bingos

Our sources have just informed us that the House has passed a smoking ban that exempts charitable bingos, but not private clubs.

This is a newer version of the original bill HB-4063 that was passed by the Senate earlier this month. This newer version passed the House by a vote of 65-39. It now goes back to the Senate.

Beyond Bingo Supplies: How to Manage a Successful Bingo Event Part II

So, you've checked out the licensing requirements for bingos in your state and you've got a rough idea of how many bingo players will be attendance. Now let's look at building your bingo event's bingo program and determining your bingo prize payouts.

Bingo games can vary on structure and prize payout depending on location, crowd size, and most importantly, the chairperson. Even within the same city, different bingo games can vary tremendously.

Building Your Bingo Program

A typical bingo game structure consists of some early games ("Early Bird"), the main body of games ("Regular Games"), and various jackpot or special games throughout.

Early bird games

The early bird games are usually a handful of games (3-5) played before the regular games begin. Often, faster paced than regular games, they are played on separate bingo game books from the regular game books. Payouts are usually modest and roughly the same as standard (non-jackpot) games in the regular game books. It is not essential that you include early bird games in your bingo program.

Regular & special (jackpot) games

The regular & special games begin after the early bird games have finished or at the start of your bingo program (if you have no early bird games). Played on multiple sheet game books, they are the main event of the bingo program, and usually consist of 6-10 games played on 6 or 9 face (faces are individual bingo plays) sheets. The regular game books include bingos of varying payouts, including a number of special (jackpot or higher paying) games.

Note: Some bingos remove the special (or jackpot) games from their regular game bingo books and play them on separate special (or jackpot) bingo books.


Next: Part 3 of 5, Determining Your Bingo Prize Payouts

Tuesday, May 27, 2008

Beyond Bingo Supplies: How to Manage a Successful Bingo Event Part 1

"BINGO" is a popular and fun way for many nonprofit organizations to raise funding for their worthy causes. Many schools, churches, and other groups will hold annual bingo events which raise thousands of dollars each. These bingos can be regular bingos with cash prizes, "Basket Bingos" where gift baskets go to the winners, or a combination of the two. Because of their large fundraising potential, many organizations will hold multiple bingo fundraisers throughout the year.

How Does a Nonprofit Organization Get Started?

Licensing Regulations

Licensing regulations vary from state to state, and so you need to be aware of your state's licensing regulations, if any. Some states require nothing and leave bingo pretty much unregulated. Other states require that you acquire a license, file paperwork, maintain prize jackpots, and follow other rules. Be sure to contact your state's lottery division before you begin. They should be able to answer any regulatory questions about bingo in your state.

Determine Your Expected Bingo Attendance

Like any planned event, it is impossible to know your exact attendance beforehand, but it is important that you have a good idea. So,ask these questions: Have other nonprofit groups in your area held bingos? If so, what was their attendance? Are you spending a lot of time and effort to market your event, or depending on word of mouth? Can your organization depend on regular patronage for your events from some people?

Most successful bingo events will have 100, 200, or even 300 bingo players in attendance. But, bingos with fewer bingo players can still be winners with proper planning. By having a good idea of your future bingo attendance, you can determine what and how much bingo supplies you need to order, the number of bingo prizes, the size of bingo prize payouts, the amount of food, etc.

Next: Part 2 of 5, Building Bingo Programs.

Monday, May 26, 2008

No Mention of Bingo Halls In House's Smoking Ban Exemptions

Bars, restaurants and workplaces in Michigan will not be forced to go smoke-free anytime soon unless lawmakers can resolve whether to excuse casinos and other businesses from the proposed statewide ban.

The conflict over exemptions could prove insurmountable and keep any smoking ban from becoming law.

It has been two weeks since the Republican-led Senate surprisingly voted to prohibit smoking inside all workplaces, including bars and restaurants. The vote energized health advocates and members of the public who want a smoking ban.

But the Democratic-controlled House has yet to send the legislation to Gov. Jennifer Granholm, who supports it.

House Speaker Andy Dillon, D-Redford, sympathizes with Detroit casinos and cigar bars who argue that not having smoking in their facilities would hurt business. Tribal casinos could continue allowing smoking because state laws do not apply due to tribal sovereignty.

As of Friday, Dillon planned to vote, possibly next week, to exempt cigar bars and Detroit's three casinos from a smoking ban that would apply to all other workplaces.

"We'll see if the Senate would like to negotiate,'' Dillon spokesman Greg Bird said.

For the full story, please see No Deal Yet On Smoking Ban In Michigan, Associated Press via WWJ Newsradio 950, May 24,2008.

Why are Casino Articles on a Bingo Blog?

"Why is there casino articles on a bingo blog" is a question our subscribers ask from time to time.

The answer is pretty simple really. Casinos have a major impact on the gaming industry, and like it or not charitable bingos are a part of that industry. If casino revenues are down in Las Vegas due to a soft economy, then naturally you'd expect this to reflect on what the bingos should expect as well.

Also, if new casinos are opening, increasing their marketing, adding new games, etc., they will all have a direct impact on the bingos in that area. Plus, we just think it makes sense to keep tabs on all aspects of the gaming industry whether it relates directly with bingo, or not.

Finally, if this bingo blog only dealt strictly with bingo games, bingo paper, bingo cards, bingo equipment, bingo daubers, bingo kits, and other bingo supplies, it might get a little stale. After all, how many different articles on bingo daubers would you want to read in a week?

Four Winds Casino a Draw for Michigan Tourism

Southwestern Michigan's first casino is transforming an area long known as a pit stop for out-of-state tourists into a vacation destination in its own right.

While many Chicagoans have long enjoyed holiday weekends and summertime vacations in or near the quaint harbor town of New Buffalo, other Michigan-bound leisure travelers may be less familiar with the region. But with last summer's opening of the Four Winds Casino Resort, the enormous and luxurious gambling complex just off Interstate 94 near Lake Michigan and the Indiana border, the secret is out.

"It gives people more options at the gateway of Michigan to enjoy themselves even more when they come to the New Buffalo area," said Jerry Welsh, owner of Garden Grove Bed and Breakfast in nearby Union Pier.

For the complete story, please see James Prichard, Four Winds Casino boosts tourism in Michigan's southwestern corner , Associated Press, May 24, 2008.

Sunday, May 25, 2008

Opponents Using Final Options to Quash Casino

With Michigan Gambling Opposition’s latest appeal turned down 2-1 in the U.S. Court of Appeals in April, there still appear to be several obstacles to the Gun Lake tribe’s plans for a casino in Wayland Township.

A compact will the state still awaits a vote in the state senate, and MichGO is pursuing further court action.

The Match-E-Be-Nash-She-Wish Band of Pottawatomi Indians, now commonly referred to as the Gun Lake tribe, has plans to build a casino and hotel on 147 acres of land in Wayland Township placed into trust for the tribe by the federal government in 2007.

Proponents of the plan tout the tribe’s claims that the casino not only will provide economic development revenue for the tribe but also provide 1,800 jobs in an economically depressed area and create more jobs during construction.

Opponents claim the casino would increase crime and strain the local infrastructure; opposition has also rallied around the moral implications of encouraging gambling.

For the complete story, please see Ryan Lewis, Opponents using final options to quash casino, The Allegan County News, May 21, 2008.

Saturday, May 24, 2008

Battle Creek Charitable Bingos Future in Question

The Nottawaseppi Huron Band of Potawatomi Indians recently closed financing for its FireKeepers Casino, to be built near Interstate 94 and 11 Mile Road southeast of Battle Creek.

FireKeepers Development Authority, an unincorporated instrument of the tribe, issued $340 million in senior notes due in 2015.

The casino will be owned by the tribe and managed by Gaming Entertainment (Michigan), a joint venture between Full House Resorts [AMEX: FLL] and RAM Entertainment, a privately owned investment company.

For the full story, please see Lynn Stevens Nottawaseppi Huron close financing on Battle Creek casino, Business Review Western Michigan via MLive, May 16, 2008.

Bingos an Afterthought in Smoking Ban Politics Part II

We are hearing various rumblings about what the House will do regarding the smoking ban, but nothing appears set in stone. One unfavorable outcome is that they may introduce a version of the smoking ban only exempting casinos. If this happens, it is likely that amendments will be proposed to exempt charitable bingos and/or the private clubs as well. However, whether or not these amendments would be voted in remains in question.

If no amendments are added, we could have a smoking ban that exempts only the casinos. This would be the worst possible scenario for charitable bingos. If both regular casinos and Native American casinos (which compete directly with bingo halls) can permit smoking while charitable bingos must ban it, it would unfairly widen the playing field considerably.

As we have mentioned before, it is unfortunate that very few politicians or reporters consider the effect a smoking ban will have on charitable bingos and private clubs. Studies have shown (and we can point to a mountain of anecdotal evidence as well) that smoking bans kill many bingos. Bingos, for whatever reason, have a large smoking population. And, bingos compete directly with casinos.

We hope that when the politicians finalize this legislation, they don't forget the many beneficial projects that charitable bingos and their organizations provide. Wehope that if all casinos are going to remain exempt from a smoking ban, that bingos are allowed the same rights as their competitors.

Friday, May 23, 2008

Bingo Blower Motor Acting Up? Here's Some Quick Tips.

If your bingo blower motor is slowing down, the first thing that you should examine is the blower filter. Over time, a bingo blower filter can build up a lot of dirt and this will slow down performance. So, if your bingo blower's filter is dirty, change your filter.

If your bingo blower is still acting up after changing a dirty filter, then you need to take a look at the blower motor. Oil the motor and clean it completely.

If your still seeing poor bingo blower performance after changing the filter, cleaning the blower, and oiling the bingo blower motor, then you need to check the voltage. Find out if your bingo blower is receiving the proper line voltage at your bingo hall. If voltage is a problem, you need to contact your local power company.

If none of the above helps, it's very possible that your bingo blower may have run its course. Contact your bingo service representative.

Thursday, May 22, 2008

Pulltab Thieves Targeting Pulltab Machines

A number of private clubs have reported recent pulltab thefts from their pulltab machines. Following is a letter that the Charitable Gaming Division has sent out to all of our annual pulltab licensed accounts.


Dear Annual Charity Game Licensee:

A week ago, a series of ticket machine crimes began that targeted VFW and American Legion halls statewide. All suspects were large white males and carried membership cards indicating they were from out of state. In most cases two men were reported while in at least one case, there were four men.

The method of operation used by the suspects was to have more than one person standing at the ticket vending machine. Because they were large men and standing close together, it was not determined exactly what was happening except that they continued playing the most expensive ticket in the club (either a $2 or $5 ticket). After they cashed in their prizes and left, it was determined the ticket vending machine did not contain the cash it should have had.

Casinos in Las Vegas have had similar problems until about 1991 with several slot cheats using a device known as a monkey paw or slider to keep their money from feeding completely into the machine. They would be surrounded by big guys as screens. After the slot manufacturers added technology that would counter the device, a tongue-shaped device was created that added credits to the machine (which could later be cashed out).

If you suspect this is happening at your club, please contact your local law enforcement then notify Mark Bentley with the Charitable Gaming Division at 517-241-7049.

Chippewa Tribe to Expand Operations in Standish

STANDISH - Five months after opening, Saganing Eagles Landing Casino will spawn at least three new ventures in Standish in coming months, including an 80-bed hotel, tribal planners say.

Developers posted signs this week announcing the hotel, a restaurant/travel plaza and a sporting goods store that will include a mini specialty mall.

There's more. As soon as the Saginaw Chippewa Indian Tribe solves a water/sewer dilemma at its Standish casino - 6 miles from the proposed developments - developers confirmed plans to build a second, more upscale hotel and unspecified amenities.

For the full story, please see Helen Lounsbury, Chippewa tribe to build hotel, travel plaza in Standish
, The Bay City Times, May 16, 2008.

Wednesday, May 21, 2008

How to Avoid Duplicate Bingo Cards with Case Bingo Paper

How to Avoid Duplicate Bingo Cards with Case Bingo Paper

Case paper is a box of multiple sheets of bingo paper that are all the same color. These paper sheets are generally sold for specific bingo games in a program (such as a large jackpot) in addition to collated game books. Typically case paper is packaged in groups of single, loose sheets. It is much harder to have duplicate bingo cards with case paper.

To avoid duplicate bingo cards with case bingo paper, simply make sure that you use up each box of case bingo paper the same way each time. For instance, start with the sleeve of bingo paper with the lowest numbers on the top bingo card every time you open a new box.

Tuesday, May 20, 2008

Duplicate Bingo Cards at Your Bingo? How You Order Bingo Paper Might be the Cause.

We sometimes hear complaints from bingo chairpeople that they occasionally have bingo players with duplicate bingo cards. This can be a problem for bingos because bingo players are forced to share every prize with another bingo player who is playing the exact same bingo book as them. Not only this, but sometimes duplicate bingo books can cause unwarranted suspicion of cheating. So, this is something every bingo chairperson should want to avoid.

How to Avoid Duplicate Bingo Cards with Collated Bingo Paper (Bingo Books)

Without going into too much detail, it's helpful to know the basics of how collated bingo paper (bingo books) is manufactured. Collated bingo paper (differently colored bingo sheets glued together to form a bingo book) is manufactured in a variety of "series", or numerical sequences of 9,000 different bingo faces. Each series is formed into "sets" of collated bingo books. Each set of collated bingo books is broken into numbered boxes, for example 1 of 4, 2 of 4, 3 of 4, and 4 of 4. (NOTE: the number of boxes per set can vary, but we will use 4 boxes for this example)

To avoid duplicate bingo cards with collated bingo books, you should:

1. Locate your box numbers of collated bingo books before your bingo. Then, make sure that you are rotating through the different boxes. (NOTE: It doesn't matter if you use box 1 of 4 and then 3 of 4 and then 4 of 4 and then back to 2 of 4. It only matters that the next box you use is different from all other boxes used in the same bingo)

2. Order your bingo books by the set, not by individual boxes.

If you order individual boxes of collated bingo cards, your more likely to receive box 1 of 4 with this order and again with the next order. By ordering a complete set of collated bingo paper (all 4 boxes), you will receive all of the boxes within a set and you can make sure that you are rotating properly through them.

Tomorrow..."How to Avoid Duplicate Bingo Cards with Case Bingo Paper"

Smoking Ban Causes Drop in Gaming Revenues

Colorado casino revenues in April fell for the fourth straight month since the smoking ban took effect in January, dropping 7.1 percent from March and down 12.5 percent from April, 2007.

For the full story, please see Casino revenues drop for 4th month since smoking ban The Gazette, May 16, 2008.

Monday, May 19, 2008

Bingos an Afterthought in Smoking Ban Politics

It appears that the Michigan smoking ban battle will primarily pit the Detroit Casinos and the restaurant/bar industry against the politicians. Charitable organizations and private clubs appear to be an afterthought.

Articles on the subject debate the impact a smoking ban will have on both restaurants and casinos. Those for the ban question doubt if there will be any impact to the bottom line of these businesses. While those against the ban argue that their businesses will suffer tremendously. The truth is probably somewhere in-between.

However, very few of these debates even mention the affect a smoking ban will have on charitable bingos and private clubs. Studies have shown (and we can point to a mountain of anecdotal evidence as well) that smoking bans kill many bingos. Bingos, for whatever reason, have a large smoking population. And, bingos compete directly with Native American casinos which allow smoking and will continue to allow smoking after the ban.

It's unfortunate that the groups that will be most affected by the smoking ban are the least considered in the debate.

Detroit Casinos vs the Smoking Ban

Detroit casinos say they would lose 15 to 20 percent of their smoking customers to Native-run casinos even though the nearest one -- Saganing Eagle's Landing Casino in Standish -- is 142 miles from the MGM Grand.

In what may have been a Machiavellian maneuver, Senate Republicans eager to look good to their constituents but not necessarily bad to their "small government" core, last week amended the smoking ban bill to include politically powerful Detroit casinos and then returned it to the Democratically controlled House as if raising the ante in a high-stakes poker game.

For the full article, please see Todd Spencer, Casinos bluffing House Dems to slow smoking ban?, Michigan Messenger, May 18, 2008.

Sunday, May 18, 2008

Electronic Handhelds Increase Bingo Profits

Every month, more and more of our bingo customers are signing up for and enjoying the benefits of electronic bingo.

For those of you who don't know (and that number is dwindling every day), electronic bingo allows bingo players to play cards electronically. Players have cards loaded into handheld units similar to large calculators and play these alongside their paper books.

Initially popular in mainly the larger commercial halls, players all over Michigan are now embracing the fun of electronic bingo. Smaller bingos have caught on and are now bringing the excitement to their players.

Players that want electronics must spend a little extra for the privelage, and that's where the charities benefit. It's not uncommon for bingos using electronics to make $100's more in profit per bingo session. Player's love them and frequently demand them.

Jerry Klima, chairperson of the Elks 113 in Jackson, stated these words to me awhile back "If not for electronic bingo, our bingo would have closed the doors. We were barely scraping by and now our attendance is growing and we're making good money. I don't know how any bingo will be able to survive in the future without them."

With no upfront costs & no risk (you're charged a fee only if you rent a unit to a bingo player), more and more bingo chairpeople across the state are enjoying the increased profits and player fun that electronics offer.

Saturday, May 17, 2008

Greektown Casino given until June 10 to avoid forced sale

DETROIT -- Just days after announcing a $100 million cash infusion from a new Metro Detroit investment group, Greektown Casino was told it has until June 10 to come up with a convincing argument why the Michigan Gaming Control Board should not force casino owners to sell the gaming hall.

The board's demands could threaten a deal announced last week by Entertainment Interests Group to invest some much-needed cash into Greektown. The group agreed to buy a 40 percent stake in the casino for $79 million, and invest another $21 million to pay off former minority investors. Sault Tribe of Chippewa would have a 60 percent stake in Greektown.

For the full story, please see Nathan Hurst
Greektown Casino given until June 10 to avoid forced sale, The Detroit News, May 13, 2008.

Friday, May 16, 2008

Smoking Ban Update (Friday)

The Latest:

Our sources are at the Capitol are telling us to expect nothing new to happen this week (only today left anyway)and they are doubtful that anything will happen next week as well. Of course, this is politics and things often surprise us.

The House wants their smoking ban exemptions for casinos, bingo halls, and private clubs to remain in place, while the Senate wants no exemptions. At the moment, both sides seem firm in their positions.

Thursday, May 15, 2008

Smoking Ban Update

Will Michigan bingos, private clubs, and non-native american casinos be exempt from a smoking ban? Stay tuned as we are hearing new information (and usually conflicting information) all of the time.

The latest from the Detroit News:

LANSING -- House Democrats are scrambling to decide how they will handle surprise Senate-passed legislation that broadens their own ban on smoking in restaurants, bars and other workplaces.

The Senate version, passed last week, prohibits smoking indoors, including cigar bars, bingo parlors and Detroit's three casinos -- three places exempted from a no-smoking bill the House approved in 2007. Some members of the Detroit delegation in the House and the bill's sponsor, Rep. Brenda Clack, D-Flint, still prefer the exemptions, especially those for the casinos.

For the full story, please see Gary Heinlein Smoking ban vote delayed, Detroit News, May 15, 2008.

Wednesday, May 14, 2008

Beware! Thefts from Pulltab Machines Increasing.

A number of clubs have recently reported pulltab thefts from their pulltab machines occuring in their clubrooms.

Apparently, two men have been spotted entering private clubs (mostly VFWs). Once there, they eventually head over to the pulltab machines, turn their backs to block the view, and using some sort of an electronic device, trick the bill acceptors into dispensing pulltabs. They are described as two big men driving a jeep with Ohio VFW cards.

Perhaps it's the state of the economy, but we've also heard of some robbery attempts at bingos recently. This would be a good time for every private club and every bingo to review your security policy (if you have one), and keep your eyes open for anyone acting strangely.

Tuesday, May 13, 2008

Overheard on the Radio this Morning...

Not sure what this means, but apparently the Senate passed version of the Michigan smoking ban (which does not exempt bingos and private clubs) has yet to be given to the House. Typically, this is routine.

Why the delay? It could easily be nothing, but perhaps something is going on behind the scenes.

Monday, May 12, 2008

Michigan Legislature Contact Info

In response to the smoking ban, we've received a number of requests to post the contact information for the Michigan Legislature.

So, if you'd like to keep bingos and private clubs exempt from the smoking ban, you need to contact the House and urge them not to concur with the Senate version of the smoking ban.

The House and Senate links are below:


House Representative Contact Info

Senate Contact Info.

Smoking ban has apparently cut into revenue from charitable gambling

In Minnesota, they enacted a smoking ban last year at bingos and and other charitable gaming venues. As a result, many charitys that depend on charitable gaming for funding have been hurt. A number have even closed the doors on their bingo.

Below is an excerpt from an article that appeared earlier this year in the Minneapolis-St.Paul Star Tribune:

The statewide ban, which began late last year, is tied to a significant decline in bar pulltab and bingo receipts, according to a study by the State Gambling Control Board.

Affirming what American Legion hall operators and mom-and-pop bar owners had warned, a new report shows that the statewide ban on smoking enacted last year appears to have cut into charitable gambling revenues from bar game pulltabs and bingo.

Gross receipts from charitable gambling were down 12.8 percent in the last three months of 2007, which correlates with when the statewide smoking ban took effect. Even taking into account a weakening economy, the ban is likely to be responsible for a decline in gross receipts of 7.5 percent to 8 percent, or a loss equal to $95 million to $105 million a year, according to the report.

The overall 12.8 percent drop represents the largest decline in receipts since lawful gambling was first regulated in the state in 1985, according to the report released Monday by the State Gambling Control Board, which regulates the industry.


For the full article, see Mark Brunswick, Smoking ban has apparently cut into revenue from charitable gambling Star Tribune, March 31, 2008.

Businesses Prepare for Smoking Ban

A smoking ban approved by the Michigan Senate that includes casinos could keep gamblers away in Detroit, and gives an unfair advantage to casinos operated by tribes, casinos officials and observers said.

But the proposed ban was welcomed by Caesars Windsor officials, who said a similar government edict against smoking in Ontario moved many of its customers to Detroit's three casinos.

"There have been smoking bans around the country," said Lansing gaming consultant Jacob Miklojcik. "There is a definite impact, and it's not irrelevant."

Delaware and Windsor have banned smoking, and casino revenues there have suffered, Miklojcik said.

How much it hurts casinos depends on where smokers come from and whether nearby casinos ban smoking, he said.

For the full story, please see Margarita Bauza Saginaw County Health Department, Tri-City businesses prepare for smoking ban Detroit Free Press, May 9, 2008

Sunday, May 11, 2008

40% Stake in Greektown Casino Sold for $100 Million

A racetrack owner and bank founder and four local real estate investors have teamed up to buy a 40% stake in the cash-strapped Greektown Casino.

The Bloomfield Hills company Entertainment Interests Group LLC signed a purchase agreement to buy the stake in the Detroit casino for $100 million Friday and announced the deal Tuesday.

The Sault Ste. Marie Tribe remains majority owner of the casino, which is building a 400-room hotel and completing a 25,000-square-foot expansion of the gaming floor.

The transaction will go to the Michigan Gaming Control Board for consideration Tuesday. Entertainment Interests Group will also have to be licensed by the board, which regulates Detroit's casinos.

For the full story, please see Margarita Bauza, Detroit-area investors buy into Greektown Detroit Free Press, May 7, 2008.

Saturday, May 10, 2008

Bingo Hall Chain Looks to Stop the Decline After Smoking Ban

The owner of England's second-largest bingo hall chain, Rank Group Plc, has taken steps to ease the downturn in business after a ban on indoor smoking inpublic places.

Rank opened sheltered outdoor gaming areas and installed electronic gear that permits remote play at its bingo halls to counter a fall in sales after England barred indoor smoking in public places in July. The company is vulnerable to prohibitions on tobacco use because about half of bingo players smoke, twice the rate of the general populace, according to executives.

While this has helped stem the decline, sales for bingo are still down despite these efforts.

For the full story, please see Louisa Nesbitt and Loveday Morris Rank Sales Drop Eases on Casino, Bingo-Hall Visits , Bloomberg.com, May 7, 2008.

Tribe exemption unfair, casino officials say

A smoking ban approved by the Michigan Senate that includes casinos could keep gamblers away in Detroit, and gives an unfair advantage to casinos operated by tribes, casinos officials and observers said.

For the full story, see Margarita Bauza, Tribe exemption unfair, casino officials say, Detroit Free Press, May 9, 2008.

Friday, May 9, 2008

Michigan Legislature Contact Info

In response to the smoking ban, we've received a number of requests to post the contact information for the Michigan Legislature.

So, if you'd like to keep bingos and private clubs exempt from the smoking ban, you need to contact the House and urge them not to concur with the Senate version of the smoking ban.

The House and Senate links are below:


House Representative Contact Info

Senate Contact Info.

More on Michigan's Smoking Ban

From Chris Christoff, State smoking ban closer to reality Detroit Free Press, May 9, 2008.

From Angie Schmitt, Senate OKs smoke ban in Michigan
Toledo Blade, May 9, 2008.

From Charlie Cain, Senate passes ban on smoking Detroit Free Press, May 9, 2008.

Michigan Senate Passes Smoking Ban

Yesterday, the Michigan Senate passed a statewide smoking ban that bans smoking at charitable bingos. The Michigan House had earlier passed a smoking ban that exempted charitable bingos, so now the bill will go back to the House for final consideration. However, this doesn't look good for charity bingos in Michigan.

Should smoking be banned from bingo halls, charitable bingo will now be at an even greater disadvantage when competing with casinos with no such restriction. We will continue to follow this story as it unfolds. Below are links to a copy of the bill, as well as, a Detroit News story.


Version of the Senate passed bill. HB 4163

See Gary heinlein, Michigan Senate OKs smoking ban in bars, restaurants Detroit News, May 8, 2008.

Thursday, May 8, 2008

More Bingo Tips for Running a Successful Bingo

More tips for running a successful bingo.

1. The Caller is the most important worker at your bingo. Choose them carefully, because a poor caller can mean failure for your bingo.

2. If possible, pay your workers the maximum amount allowed by your state. This will make your workers feel appreciated.

3. When floor workers have free time, they should volunteer to help bingo players any way they can. Take and deliver food orders, pick up trash, and (if allowed) play bingo cards for players so they make head to the restroom. Encourage your workers to be as helpful as possible.

Again, make your bingo a fun and exciting environment for everyone (bingo players and bingo workers) and your bingo players will keep coming back.

Wednesday, May 7, 2008

Odds Slim on Stopping Grand Rapids Casino

The Michigan Legislature doubts that a Grand Rapids area casino can be stopped.

For the full article, please see Jim Harger Odds slim on stopping casino, Senate leader says, The Grand Rapids Press, May 6, 2008.

Tuesday, May 6, 2008

Grand Rapids Area Casino Facing Final Hurdle?

In what could be their final legal challenge to the project, opponents of a proposed tribal casino plan to ask the U.S. Supreme Court to hear a constitutional challenge to a Depression-era law aimed at bettering the lives of American Indians.

If successful, the case could change how tribes secure and expand their reservations.

For the full article, please see Indian casino foes will ask Supreme Court to hear case
, Detroit Free Press, May 4, 2008.

Monday, May 5, 2008

Michigan Horse Tracks Fight Gaming Prohibition

Michigan racetracks would love to be able to offer slot machines and other video gaming devices, but an amendment to the Michigan constitution prohibits this. "Racinos", if allowed in Michigan would no doubt hurt charitable bingo attendance.

Below is the latest information from a recent article:

"Northville Downs and other Michigan horse racing interests filed a federal lawsuit Thursday against the governor and state attorney general, alleging state lotteries and casinos are killing their industry and state restrictions on installing video lottery terminals and other forms of gambling at Michigan horse tracks violate the U.S. Constitution.

Targeted in the lawsuit is an amendment to Michigan's Constitution passed as a result of a 2004 ballot initiative which the horse racing interests allege was largely financed by the state's casinos.

The state provision requires both a statewide and a local referendum before any new gambling can occur. Exempted from the provision are the casinos.

The law prevents tracks such as Northville Downs from installing VLTs and benefiting from innovations such as telephone wagering and theater wagering at restaurants, the lawsuit alleges.

Because the state constitutional amendment essentially protects the casinos, it violates the equal protection, due process and commerce clauses of the U.S. Constitution, Maxwell said. He wants the court to declare the provision invalid."

For the full artcle, please see Paul Egan, Casinos are killing state's race track industry, lawsuit alleges, The Detroit News, May 1, 2008.

Friday, May 2, 2008

Bingo Paper Prices Going Up.

As we stated about a week ago, bingo paper prices have increased at the manufacturing level and are now increasing at the distributor level. Blue Bay South, Michigan's leading bingo provider of bingo supplies to licensed bingos, has officially announced a price increase.

Some excerpts from their news release:

"Earlier this year, all of the major bingo paper manufacturers (Arrow, Bingo King, & American Games) raised their prices significantly to us and to every other distributor. Unfortunately, this was inevitable. Commodity prices for Canadian pulp (the key ingredient in bingo paper) have risen over 50%. This increase is compounded by the devaluation in the U.S. dollar. Further, diesel prices continue to climb, and bingo paper is a heavy product that is expensive to ship. These things have created a recipe for upward pricing.

It has been several years and many manufacturer price increases since we last raised our paper prices. We’ve dealt with the same higher freight and gas costs that the manufacturers’ have, but on top of this, our Michigan small business tax has quadrupled. And, while we are absorbing much of these cost increases, we simply cannot absorb them all. Therefore, we are sorry to inform you that effective May 10, 2008, we will be forced to increase our bingo paper prices."

Hopefully, this will be the last of bingo paper price increases for some time.