Michigan regulator ratifies DFS rules in the wake of pick'em ban
Wolverine State approves regulatory framework as controversy surrounding links with sports betting continues
New rules excluding pick’em daily fantasy sports (DFS) contests proposed by the Michigan Gaming Control Board (MGCB) have taken effect after being filed with the Michigan Department of State.
Changes were put forward by the MGCB to the Fantasy Contests Consumer Protection Act in August and prohibited so-called “proposition selection” style contests.
In this case, proposition selection means a fantasy contest player choosing whether an identified instance or statistical achievement will occur, will be achieved, or will be surpassed.
The rule states: “Unless otherwise approved by the board, a fantasy contest operator or licensed management company may not offer or allow any of the following:
“Proposition selection or fantasy contests that have the effect of mimicking proposition selection.
“Any fantasy contests that involve, result in, or have the effect of mimicking betting on sports,” the MGCB rules detail.
The ratification comes despite a concerted effort by advocacy group the Coalition of Fantasy Sports (CFS) to block the implementation of these rules via a petitioning of state officials.
Earlier this month, the CFS revealed that the Joint Committee on Administrative Rules (JCAR) had held no meetings on the implementation of the rules, and as such they were accepted by default under state rules, despite opposition to their introduction.
“Fantasy contests, like any other form of competitive gaming, thrive on rules and regulations,” MGCB executive director Henry Williams said.
“The Administrative Rules, which were reviewed by the Michigan Legislature, provide a level playing field for all fantasy contest operators and participants, and will help ensure that fairness, transparency, and integrity are upheld,” Williams added.
The MGCB issues two types of fantasy contest licenses: an operator license is needed to conduct or offer fantasy contests for play and a management company license handles the day-to-day fantasy contest operations for an operator.
The MGCB has said it will conduct a review of the offerings of all current fantasy contest operator applicants to ensure they comply with the Fantasy Contests Consumer Protection Act and rule requirements.