Fiscal impact is an increase or decrease in expenditures from the current level of expenditures, i.e. hiring additional staff,
higher contract costs, programming costs, changes in reimbursements rates, etc. over and above what is currently
expended for that function. It does not include more intangible costs for benefits, such as opportunity costs, the value of
time saved or lost, etc., unless those issues result in a measurable impact on expenditures.
10. Please provide the fiscal impact on the agency (an estimate of the cost of rule imposition or potential savings
for the agency promulgating the rule).
There is no anticipated fiscal impact on the Michigan Bureau of State Lottery from the proposed amended rules.
11. Describe whether or not an agency appropriation has been made or a funding source provided for any
expenditures associated with the proposed rules.
Section 41 of the McCauley-Traxler-Law-Bowman-McNeely Lottery Act creates the state lottery fund in the state
treasury. MCL 432.41. All fees and revenue collected by the commissioner under the Bingo Act are deposited into
the state lottery fund. See MCL432.108(1). Upon appropriations, the Commissioner can expend money from the
fund to cover the costs of regulating and enforcing the act. MCL 432.108(1).
12. Describe how the proposed rules are necessary and suitable to accomplish their purpose, in relationship to the
burden(s) the rules place on individuals. Burdens may include fiscal or administrative burdens, or duplicative
The proposed rules are necessary to regulate charitable gaming in Michigan. The outcome of the amendments to the
rules will be a reduction in current regulatory burdens.
A. Despite the identified burden(s), identify how the requirements in the rules are still needed and reasonable
compared to the burdens.
Any burdens on a licensee are necessary to regulate charitable gaming in Michigan. The proposed rules do not place
additional burdens on licensees.
Impact on Other State or Local Governmental Units
13. Estimate any increase or decrease in revenues to other state or local governmental units (i.e. cities, counties,
school districts) as a result of the rule. Estimate the cost increases or reductions for other state or local
governmental units (i.e. cities, counties, school districts) as a result of the rule. Include the cost of equipment,
supplies, labor, and increased administrative costs in both the initial imposition of the rule and any ongoing
There are no anticipated increases or decreases in revenues or any increases or reductions in costs to state or local
governmental units as a result of the proposed rules.
14. Discuss any program, service, duty, or responsibility imposed upon any city, county, town, village, or school
district by the rules.
There are no anticipated or intended programs, services, duties, or responsibilities imposed on any city, county,
township, village, or school district as a result of these proposed rules.
A. Describe any actions that governmental units must take to be in compliance with the rules. This section should
include items such as record keeping and reporting requirements or changing operational practices.
There are no anticipated actions that a governmental unit must take to comply with these proposed rules.
15. Describe whether or not an appropriation to state or local governmental units has been made or a funding
source provided for any additional expenditures associated with the proposed rules.
No appropriations have been made to any governmental unit as a result of these rules. No additional expenditures are
anticipated or intended as a result of the proposed rules.
16. In general, what impact will the rules have on rural areas?
The proposed rules are intended to provide greater flexibility and ease regulatory burdens on qualified organizations
that conduct charitable gambling to raise funds. Per the Bingo Act, a qualified organization is a “religious,
educational, service, senior citizens, fraternal, [or] veterans’ organization.” MCL 432.103a(d)(i). Qualified
organizations are located throughout the state, including in rural areas.
A. Describe the types of public or private interests in rural areas that will be affected by the rules.