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.

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