Michigan’s horse racing industry has been struggling, with the last thoroughbred race in the state occurring in 2018 and Northville Downs closing in February. The Michigan Gaming Control Board has suspended TwinSpires for violations of gambling laws, specifically for continuing to offer advance deposit wagering (ADW) services to Michigan residents despite a directive to stop. The MGCB requires licensed live racing tracks to host a minimum number of live race days annually in order to conduct activities like ADW and simulcasting.
TwinSpires’ defiance of the MGCB’s directive has led to a suspension order, pending a hearing before an Administrative Law Judge to determine further penalties or fines. Despite this setback, Churchill Downs, the parent company of TwinSpires, saw record revenues in 2024, with TwinSpires increasing its revenue year-on-year in Q3. However, the horse racing betting handle resulted in a revenue decline for the company.
The MGCB has also instructed other ADW providers in Michigan to cease operations for residents, as there are currently no fully licensed live racing tracks in the state. Conditional licenses may be issued for new or returning tracks, but full authorization requires meeting all licensing conditions, including hosting the required number of live race days. The hearing for TwinSpires will address its continued operation in violation of Michigan’s gaming laws and the potential consequences for the company.
