COUPONS AWARDED IN REDEMPTION GAMES:  INCREASE ALLOWABLE VALUE

House Bill 4932

Sponsor:  Rep. Tory Rocca

Committee:  Regulatory Reform

Complete to 5-19-09

A SUMMARY OF HOUSE BILL 4932 AS INTRODUCED 5-12-09

The bill would increase the allowable redemption value for coupons awarded in redemption games to $500.

Public Act 539 of 1996 amended the Michigan Penal Code to exempt certain "redemption games," such as skee ball or basketball games found in many arcades, restaurants, and bars from the code’s regulations banning gambling.  To be eligible for the exemption, the redemption value of coupons or other representations of value awarded for the successful play of the game cannot exceed 15 times the amount charged for a single game or $3.75, whichever is less.  In addition, players may accumulate coupons or other representations of value for redemption for noncash prizes, toys, or novelties of a greater value up to, but not exceeding, $250 wholesale value.

House Bill 4932 would amend Chapter XLIV of the Michigan Penal Code, entitled "Gambling," to increase the allowable value of a prize, toy, or novelty that can be redeemed by coupons awarded in a redemption game from $250 to $500.

MCL 750.310b

FISCAL IMPACT:

The bill would have no significant fiscal impact on state or local correctional systems. 

                                                                                           Legislative Analyst:   Susan Stutzky

                                                                                                  Fiscal Analyst:   Marilyn Peterson

■ This analysis was prepared by nonpartisan House staff for use by House members in their deliberations, and does not constitute an official statement of legislative intent.