January 26, 2011, Introduced by Reps. Denby, Kowall, Kurtz, Daley and Rogers and referred to the Committee on Agriculture.
A bill to amend 1996 IL 1, entitled
"Michigan gaming control and revenue act,"
by amending section 4 (MCL 432.204), as amended by 1997 PA 69.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 4. (1) The Michigan gaming control board is created
the department of treasury. The board
shall have has the
powers and duties specified in this act and all other powers
necessary and proper to fully and effectively execute and
administer this act for the purpose of licensing, regulating, and
enforcing the system of casino gambling established under this act.
(2) The board shall consist of 5 members, not more than 3 of
whom shall be members of the same political party and 1 of whom
be a representative of the equine industry,
to be appointed
the governor with the advice and consent of the senate.
whom the members shall be designated by the governor to be
chairperson. Each member shall be a resident of this state.
(3) The members shall be appointed for terms of 4 years,
except of those who are first appointed, 1 member shall be
appointed for a term of 2 years, 2 members shall be appointed for a
term of 3 years and 2 members shall be appointed for a term of 4
A member's term
shall expire expires
on December 31 of the
year of the member's term.
In the event of If there is a
on the board, the governor shall appoint
in like manner a
successor pursuant to subsection (2) to fill the unexpired term.
Each A member of the board shall be reimbursed for
actual and necessary expenses and disbursements incurred in the
execution of official duties.
board member shall not hold any other public office for
he or she
shall receive receives
compensation other than
necessary travel or other incidental expenses.
A The governor shall not
appoint to the board, and a
member shall not remain on the board if the member is, a person who
not of good moral character or who has been indicted
with, or convicted of, pled guilty or nolo
contendere to, or forfeited bail concerning a felony or a
misdemeanor involving gambling, theft, dishonesty, or fraud under
the laws of this state, any other state, or the United States or a
local ordinance in any state involving gambling, dishonesty, theft,
or fraud that substantially corresponds to a misdemeanor in that
not be appointed or remain as a member of the board.
Any A member of the board may be removed by the governor
for neglect of duty, misfeasance, malfeasance, nonfeasance, or any
other just cause.
(8) The governor shall appoint the executive director of the
to serve a 6-year term.
After the effective date of the act that
added this subsection, the The
appointment of the executive
shall require requires the approval of the senate by a
roll call vote. The executive director shall perform
duties that the board
shall assign assigns to him or her. The
executive director shall be reimbursed for all actual and necessary
expenses incurred by him or her in the discharge of his or her
official duties. The executive director shall keep records of all
proceedings of the board and shall preserve all records, books,
documents, and other papers belonging to the board or entrusted to
its care. The executive director shall devote his or her full time
to the duties of the office and shall not hold any other office or
employment. A vacancy in the position of executive director shall
be filled as provided in this subsection for a new 6-year term.
(9) The board shall employ personnel as may be necessary to
out the functions of the board.
under this act.
(10) A person shall not be appointed to or employed by the
board if any of the following circumstances exist:
(a) During the 3 years immediately preceding appointment or
employment, the person held any direct or indirect interest in, or
any employment by, a person who is licensed to operate a casino
under this act or in another jurisdiction, a person who had an
application to operate a casino pending before the board or any
other jurisdiction, or a casino enterprise. However, the person may
employed by the board if his or her interest in
any a casino
licensee or casino enterprise would not, in the opinion of the
board, interfere with the objective discharge of the person's
employment obligations. However, a person shall not be employed by
the board if his or her interest in the casino licensee or casino
enterprise constitutes a controlling interest in that casino
licensee or casino enterprise.
(b) The person or his or her spouse, parent, child, child's
spouse, sibling, or spouse of a sibling is a member of the board of
directors of or a person financially interested in any person
licensed as a casino licensee or casino supplier, any person who
has an application for a license pending before the board, or a
Each An individual who is
a member, of the board, the
and each or a key employee as determined by the
board shall file with the governor a financial disclosure statement
listing all assets and liabilities, property and business
interests, and sources of income of the member, executive director,
each or key employee and any of their spouses his or her spouse
that the member, executive director,
and or key employee
is in compliance with subsection (10)(a) and (b). of
The financial disclosure statement shall be made under oath and
be filed at the time of employment
and annually thereafter.
Each An employee of the board shall file with the board a
financial disclosure statement listing all assets and liabilities,
property and business interests, and sources of income of the
employee and his or her spouse. This subsection does not apply to
the executive director or a key employee.
of the board, executive director, or key
employee shall not hold any direct or indirect interest in, be
employed by, or enter into a contract for services with an
applicant, a person licensed by or registered with the board, or a
a period of 4 years after the date his or her
membership on the board terminates.
An employee of the board shall not acquire
any a direct
or indirect interest in, be employed by, or enter into a contract
any an applicant, person licensed by the board,
casino enterprise for
a period of 2 years after the date his or
her employment with the board is terminated.
board member or a person employed by the board shall
any a person or party other than the this state
or against the board for
a period of 2 years after the
termination of his or her office or employment with the board.
A business entity in which a former
board member or an
or agent of the board has an interest, or
any a partner,
or employee of the business entity shall not make
or representation that is prohibited to
that the former
member, employee, or agent. As used in this subsection, "business
entity" means a corporation, limited liability company,
partnership, limited liability partnership, association, trust, or
other form of legal entity.
shall have has
the general responsibility for the
implementation of implementing this act. The board's duties
include, but are not limited to, all of the following:
(a) Deciding in a reasonable period of time all casino license
A casino license applicant
shall have has the burden
establish of establishing by clear and convincing evidence their
the applicant's suitability as to integrity, moral character, and
reputation; personal and business probity; financial ability and
experience; responsibility; and other criteria considered
by the board. The
criteria considered appropriate by the
board shall not be establish criteria under this subdivision
that are arbitrary, capricious, or contradictory to the expressed
provisions of this act.
(b) To decide in reasonable order all license applications.
Except for casino license applicants granted a hearing under
any a party aggrieved by an action of the board
denying, suspending, revoking, restricting, or refusing to renew a
, or imposing a fine , may request a hearing before the
board. A request for a hearing shall be made to the board in
writing within 21 days after service of notice of the action of the
board. Notice of the action of the board shall be served either by
personal delivery or by certified mail, postage prepaid, to the
party. Notice served by certified mail
shall be considered
is complete on the business day following after the
(c) Conducting its public meetings in compliance with the open
act, 1976 PA 267, MCL
15.231 to 15.246 15.261 to 15.275.
the rules as may be necessary to implement,
and enforce this act.
All rules A
under this act shall not be arbitrary, capricious, or contradictory
to the expressed provisions of this act. The rules may include, but
need not be limited to, rules that do 1 or more of the following:
(i) Govern, restrict, approve, or regulate the casino gaming
authorized in this act.
(ii) Promote the safety, security, and integrity of casino
gaming authorized in this act.
(iii) License and regulate persons participating in or involved
with casino gaming authorized in this act.
(e) Providing for the establishment and collection of all
license and registration fees and taxes imposed by this act and the
rules promulgated by the board.
(f) Providing for the levy and collection of penalties and
fines for the violation of this act and the rules promulgated by
(g) Being present through its inspectors, agents, auditors and
Michigan department of state police or attorney general at any
any a casino and related or casino
enterprise for the
of certifying the revenue
thereof of the casino licensee,
receiving complaints from the public, and conducting other
investigations into the conduct of the gambling games and the
of the equipment as
from time to time the board may consider
considers necessary and proper to assure compliance with
this act and the rules promulgated by the board and to protect and
promote the overall safety, security, and integrity of casino
gaming authorized in this act.
(h) Reviewing and ruling upon any complaint by a licensee
any investigative procedures of
the this state which that
are unnecessarily disruptive of gambling operations. The need to
inspect and investigate shall be presumed at all times. A licensee
shall establish by clear and convincing evidence that its
operations were disrupted, the procedures had no reasonable law
enforcement or regulatory purposes, and the procedures were so
disruptive as to unreasonably inhibit gambling operations.
(i) Holding at least 1 public meeting each quarter of the
fiscal year. In addition, special meetings may be called by the
or any 2
board members upon 72 hours' written notice to
member. Three members
of the board shall constitute a quorum,
when that in making determinations a determination on
an application for a casino licenses when license, 4
shall constitute a quorum. Three votes shall be are
in support of a final
determinations determination of the
application for a casino
The board shall keep a complete and accurate record of all its
and hearings. Upon order of the board, 1 of the
members or a hearing officer designated by the board may conduct
any hearing provided for under this act or by the rules promulgated
by the board and may recommend findings and decisions to the board.
board A member or hearing officer conducting the a hearing
have has all powers and rights regarding the conduct of
hearings granted to the board under this act. The board or a
majority of the members shall review a record made at the time of
shall be reviewed by the board, or a majority of
and the findings and decision of the
a majority of the board shall
members constitute the order of the board in the case.
are separate and distinct
from the records of any other state board. The records shall be
available for public inspection subject to the limitations of this
act, and shall accurately reflect all board proceedings.
(k) Reviewing the patterns of wagering and wins and losses by
in casinos under this act and
make making recommendations
the governor and the legislature in a written annual report
governor and the legislature and
additional reports as
by the governor.
request. The annual report shall
include a statement of receipts and disbursements by the board,
actions taken by the board, and any additional information and
recommendations that the board considers appropriate or that the
may request requests.