THE GENERAL ASSEMBLY OF PENNSYLVANIA

HOUSE BILL

INTRODUCED BY SONNEY, EVERETT, FABRIZIO, GROVE, HENNESSEY, KORTZ, MILLER, PYLE, REICHLEY AND VULAKOVICH, JANUARY 31, 2011

REFERRED TO COMMITTEE ON GAMING OVERSIGHT, JANUARY 31, 2011  

AN ACT

Amending the act of December 19, 1988 (P.L.1262, No.156),

entitled, as amended, "An act providing for the licensing of

eligible organizations to conduct games of chance, for the

licensing of persons to distribute games of chance, for the

registration of manufacturers of games of chance, and for

suspensions and revocations of licenses and permits;

requiring records; providing for local referendum by

electorate; and prescribing penalties," further providing for

licensing of eligible organizations to conduct games of

chance.

The General Assembly of the Commonwealth of Pennsylvania

hereby enacts as follows:

Section 1.  Section 10 of the act of December 19, 1988 (P.L.

1262, No.156), known as the Local Option Small Games of Chance

Act, amended December 19, 1990 (P.L.812, No.195) and October 18,

2000 (P.L.602, No.79), is amended to read:

Section 10.  Licensing of eligible organizations to conduct

games of chance.

(a)  License required.--No eligible organization shall

conduct or operate any games of chance unless such eligible

organization has obtained and maintains a valid license issued

pursuant to this section. Auxiliary groups within eligible

organizations shall be eligible to conduct small games of chance

using the license issued to the eligible organization provided

that the auxiliary group or groups are listed on the application

and license of the eligible organization. No additional

licensing fee shall be charged for an auxiliary group's

eligibility under this act. Auxiliary groups shall not include

branches, lodges or chapters of a Statewide organization.

(b)  Issuance and fees.--The licensing authority shall

license, upon application, within 30 days any eligible

organization meeting the requirements for licensure contained in

this act to conduct and operate games of chance at such

locations within the county or in such manner as stated on the

application as limited by subsection (b.1). The license fee to

be charged to each eligible organization shall be $100, except

for limited occasion licenses which shall be $10. Licenses shall

be renewable annually upon the anniversary of the date of issue.

(b.1)  Location of small games of chance.--Where there exists

a location or premises which is the normal business or operating

site of the eligible organization and is owned or leased by that

eligible organization to conduct its normal business, that site

shall be the licensed premises for small games of chance

conducted by the eligible organization. If that location

consists of more than one building and the eligible organization

wishes to conduct its games in a different building at that

location from the one that is listed on its application and

license, the eligible organization must notify, in writing, the

district attorney and the licensing authority of the change in

building site and the dates and times that will be affected.

When an eligible organization does not own or lease a specific

location to conduct its normal business, that eligible

organization may use another eligible organization's premises to

conduct its games or may make such other arrangements that are

consistent with this act, including, but not limited to, leasing

a premise under a written agreement for a rental which is not

determined by either the amount of receipts realized from the

playing of games of chance nor the number of people attending

except that an eligible organization may lease a facility for a

banquet where a per head charge is applied in connection with

the serving of a meal. When such eligible organization changes

the site of its games from that which is listed on its

application and license, the eligible organization must notify,

in writing, the district attorney and licensing authority of the

change in their games' site and dates and times that will be

affected.

(b.2)  Off-premises games of chance.--Notwithstanding any

other provisions of this section, an eligible organization may

conduct small games of chance at a location off its premises

when such games are part of an annual carnival, fair, picnic or

banquet held or participated in by that eligible organization on

a historical basis. The eligible organization must notify, in

writing, the district attorney and licensing authority of the

location, date and times of such events where it will be

conducting small games of chance.

(b.3)  Limited occasion licenses.--Eligible organizations

which do not own their own premises or which do not lease a

specific location to conduct their normal business may apply for

a limited occasion license to conduct small games of chance on

not more than three occasions covering a total of seven days

during a licensed year. A limited occasion license entitles

eligible organizations holding such a license to conduct no more

than two raffles during a licensed year where prizes may not

exceed the established limits for regular monthly raffles.

Holders of limited occasion licenses may not apply or be granted

any other license or special permit under this act. No holder of

a regular license or special permit under this act shall apply

or be granted a limited occasion license.

(b.4)  Gambling facility prohibited.--It shall be unlawful

for a person, corporation, association, partnership or other

business entity to offer for rent or offer for use a building or

facility to be used exclusively for the conducting of small

games of chance. It shall also be unlawful for any eligible

organization to lease under any terms a facility or building

which is used exclusively for the conducting of small games of

chance.

(c)  Display.--Licenses issued pursuant to this section shall

be publicly displayed at the site of the small games of chance.

(d)  Operation.--Each licensed eligible organization shall

comply with the following restrictions and rules governing the

operation of games of chance:

(1)  No person under 18 years of age shall be permitted

to operate or play games of chance.

(2)  No eligible organization shall permit any person who

has been convicted of a felony in a Federal or State court

within the past five years or has been convicted in a Federal

or State court within the past ten years of a violation of

the act of July 10, 1981 (P.L.214, No.67), known as the Bingo

Law, or of this act to manage, set up, supervise or

participate in the operation of games of chance.

(3)  No eligible organization shall pay any compensation

to any person for conducting any games of chance. Games of

chance may only be conducted by managers, officers,

directors, bar personnel and bona fide members of the

eligible organization.

(4)  Games shall be conducted only on the licensed

premises or as otherwise provided by this act.

(5)  The eligible organization shall not lease such

premises under either an oral or a written agreement for a

rental which is determined by either the amount of receipts

realized from the playing of games of chance or the number of

people attending, except that an eligible organization may

lease a facility for a banquet where a per head charge is

applied in connection with the serving of a meal. An eligible

organization shall not lease such premises from any person

who has been convicted of a violation of this act within the

past ten years.

(6)  Games, other than raffles, daily drawings and weekly

drawings, shall be purchased only from manufacturers and

distributors approved by the department.

(7)  No licensed eligible organization shall permit its

premises to be used for small games of chance by another

licensed eligible organization at the same time that it is

conducting small games of chance on the premises. When a

licensed eligible organization is permitting another licensed

eligible organization to use its premises for purposes of

small games of chance, it must cease the operation of its own

small games of chance during the period that the other

licensed eligible organization is conducting its games on the

premises.

(8)  (i)  Raffle tickets may be sold off the licensed

premise in any municipality in this Commonwealth which

has adopted the provisions of this act by an affirmative

vote in a municipal referendum. A licensed eligible

organization which plans to sell raffle tickets in a

municipality located in a county other than the county in

which the eligible organization is licensed must notify

that county's district attorney and licensing authority

as to the location and the dates that the eligible

organization plans to sell raffle tickets.

(ii)  Raffle tickets may be sold off the licensed

premises in any licensed eating place, restaurant or

retail dispenser as defined under section 102 of the act

of April 12, 1951 (P.L.90, No.21), known as the Liquor

Code. A licensed eligible organization which plans to

sell raffle tickets at any licensed eating place,

restaurant or retail dispenser must notify the county's

district attorney and licensing authority as to the

location of the eating place, restaurant or retail

dispenser and the dates that the eligible organization

plans to sell raffle tickets at the club.

(e)  Application for license.--Each eligible organization

shall apply to the licensing authority for a license on a form

to be prescribed by the Secretary of Revenue. The form shall

contain an affidavit to be affirmed by the executive officer or

secretary of the eligible organization stating that:

(1)  No person under 18 years of age will be permitted by

the eligible organization to operate or play games of chance.

(2)  The facility in which the games of chance are to be

played has adequate means of ingress and egress and adequate

sanitary facilities available in the area.

(3)  The eligible organization is not leasing such

premises from the owner thereof under an oral agreement, nor

is it leasing such premises from the owner thereof under a

written agreement at a rental which is determined by the

amount of receipts realized from the playing of games of

chance or by the number of people attending, except that an

eligible organization may lease a facility for a banquet

where a per head charge is applied in connection with the

serving of a meal.

(f)  List of licensees.--The licensing authority, on a

semiannual basis, shall send a copy of all licensees to the

Department of Revenue.

(g)  List of municipalities.--The licensing authority shall

include with any license or renewal issued to an eligible

organization, an up-to-date listing of those municipalities

within the licensing county which have approved the referendum

question on small games of chance.

Section 2.  This act shall take effect in 60 days.