PRINTER'S NO. 1478
No. 1288 Session of 1999
INTRODUCED BY LYNCH, APRIL 14, 1999
REFERRED TO COMMITTEE ON FINANCE, APRIL 14, 1999
AN ACT
1 Amending the act of December 19, 1988 (P.L.1262, No.156),
2 entitled, as amended, "An act providing for the licensing of
3 eligible organizations to conduct games of chance, for the
4 licensing of persons to distribute games of chance, for the
5 registration of manufacturers of games of chance, and for
6 suspensions and revocations of licenses and permits;
7 requiring records; providing for local referendum by
8 electorate; and prescribing penalties," providing for sales
9 of games of chance to eligible organizations by the
10 Department of Revenue; deleting provisions relating to
11 licensing of distributors; and further providing for
12 enforcement.
13 The General Assembly of the Commonwealth of Pennsylvania
14 hereby enacts as follows:
15 Section 1. Section 6 of the act of December 19, 1988
16 (P.L.1262, No.156), known as the Local Option Small Games of
17 Chance Act, amended December 19, 1990 (P.L.812, No.195), is
18 amended to read:
19 Section 6. Sales limited.
20 (a) Sales by department.--Eligible organizations may only
21 obtain games of chance from the department, which shall have
22 sole control over sales of games of chance to eligible
1 organizations licensed under this act. No other person shall
2 sell, offer for sale or furnish games of chance for use within
3 this Commonwealth [except to an eligible organization or
4 distributor licensed under this act].
5 (b) Limitation.--No game of chance, other than a raffle,
6 sold, offered for sale or furnished for use within this
7 Commonwealth shall contain, permit, depict or designate a prize
8 having a cash value in excess of $500.
9 (c) Exception.--This section shall not apply to the
10 manufacture or distribution of raffle tickets.
11 Section 2. Section 7 of the act is repealed.
12 Section 3. Section 8 of the act is amended to read:
13 Section 8. Registration of manufacturers.
14 (a) Registration required.--No manufacturer of games of
15 chance shall sell or deliver any games of chance [to]:
16 (1) To any person [unless] other than the department.
17 (2) Unless the manufacturer has registered with the
18 department and has been issued a certificate of registration.
19 (b) Annual certificate; fee.--A certificate under this
20 section shall be valid for one year. The annual fee for
21 registration shall be $2,000.
22 [(c) Prohibited sales.--A manufacturer shall not sell games
23 of chance to any person not licensed as a distributor unless the
24 manufacturer is also a licensed distributor.]
25 (d) Exception.--This section shall not apply to the
26 manufacture or distribution of raffle tickets.
27 Section 4. Sections 9(a) and 10(d)(6) of the act, amended
28 December 19, 1990 (P.L.812, No.195), are amended to read:
29 Section 9. Regulations of department.
30 (a) Authorization.--The department shall promulgate
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1 regulations to:
2 (1) Impose minimum standards and restrictions applicable
3 to games of chance manufactured for sale in this
4 Commonwealth, which may include standards and restrictions
5 which specify the maximum number of chances available to be
6 sold for any single game or prize and such other standards
7 and restrictions as the department deems necessary for the
8 purposes of this act. The department shall consider standards
9 adopted by the National Association of Gambling Regulatory
10 Agencies and other standards commonly accepted in the
11 industry.
12 (2) Establish procedures by which manufacturers may
13 register [and distributors of games of chance may apply for
14 licensure] on forms which the department shall provide.
15 (3) Provide for the suspension or revocation of
16 [distribution licenses or] manufacturer certificates for
17 violations of this act or regulations of the department.
18 (4) Carry out other provisions of this act.
19 * * *
20 Section 10. Licensing of eligible organizations to conduct
21 games of chance.
22 * * *
23 (d) Operation.--Each licensed eligible organization shall
24 comply with the following restrictions and rules governing the
25 operation of games of chance:
26 * * *
27 (6) Games, other than raffles [and daily drawings],
28 shall be purchased only from [manufacturers and distributors
29 approved by] the department.
30 * * *
19990H1288B1478 - 3 -
1 Section 5. Section 13 of the act is amended by adding a
2 subsection to read:
3 Section 13. Enforcement.
4 * * *
5 (c) Bureau of Liquor Control Enforcement.--In addition to
6 other enforcement provisions of this section, the Bureau of
7 Liquor Control Enforcement of the Pennsylvania State Police
8 shall investigate alleged violations of this act by an eligible
9 organization which is licensed to sell liquor at retail. The
10 license of the eligible organization to sell liquor may be
11 revoked or suspended and a fine may be imposed in accordance
12 with section 471 of the act of April 12, 1951 (P.L.90, No.21),
13 known as the Liquor Code, for a violation of this act.
14 Section 6. Sections 16 and 17(c) of the act are amended to
15 read:
16 Section 16. Certain persons prohibited.
17 No [distributor nor any] person who has been convicted of a
18 felony or of a violation of the act of July 10, 1981 (P.L.214,
19 No.67), known as the Bingo Law, or of this act or of any
20 comparable State or Federal law shall have a pecuniary interest
21 in the operation or proceeds of games of chance.
22 Section 17. Penalties.
23 * * *
24 (c) Distributors and manufacturers.--Any person who
25 distributes games of chance [without a license or] in violation
26 of any provision of this act or applicable regulations, and any
27 manufacturer of games of chance who delivers games of chance for
28 sale or distribution in this Commonwealth who fails to obtain a
29 permit therefor is guilty of a misdemeanor of the first degree,
30 provided that no license or permit shall be required for the
19990H1288B1478 - 4 -
1 manufacture or distribution of raffle tickets.
2 * * *
3 Section 7. This act shall take effect in 60 days.
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