PRIOR PRINTER'S NOS. 857, 1553
PRINTER'S NO. 1680
THE GENERAL ASSEMBLY OF PENNSYLVANIA
HOUSE BILL
No.
782
Session of
2017
INTRODUCED BY NESBIT, DAVIS, DUNBAR, MILLARD, IRVIN, ORTITAY,
D. COSTA, PHILLIPS-HILL AND KORTZ, MARCH 9, 2017
AS AMENDED ON SECOND CONSIDERATION, HOUSE OF REPRESENTATIVES,
MAY 8, 2017
AN ACT
Amending Title 4 (Amusements) of the Pennsylvania Consolidated
Statutes, in general provisions relating to gaming, further
providing for definitions; and, in licensees, further
providing for Category 3 slot machine license and providing
for nongaming service providers.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
Section 1. The definition of "gaming service provider" in
section 1103 of Title 4 of the Pennsylvania Consolidated
Statutes is amended and the section is amended by adding
definitions to read:
§ 1103. Definitions.
The following words and phrases when used in this part shall
have the meanings given to them in this section unless the
context clearly indicates otherwise:
* * *
"Gaming floor." Any portion of a licensed facility where
slot machines or table games have been installed for use or
play.
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* * *
"Gaming-related restricted area." An area of a licensed
facility where access is limited and specifically designated by
the board.
* * *
"Gaming service provider." A person that is not a nongaming
service provider or required to be licensed as a manufacturer,
supplier, management company or gaming junket enterprise and[:
(1) provides goods or services to a slot machine
licensee or an applicant for a slot machine license for use
in the operation of a licensed facility; or
(2)] provides goods or services that require access to
the gaming floor or gaming-related restricted area at a
licensed facility.
* * *
"Nongaming service provider." A person that is not a gaming
service provider nor required to be licensed as a manufacturer,
supplier, management company or gaming junket enterprise and
provides goods and services:
(1) to a slot machine licensee or applicant for a slot
machine license for use in the operation of a licensed
facility; and
(2) that do not require access to the gaming floor or
gaming-related restricted area at a licensed facility.
* * *
"GAMING-RELATED RESTRICTED AREA." ANY ROOM OR AREA OF A
LICENSED FACILITY AND WHICH IS SPECIFICALLY DESIGNATED BY THE
PENNSYLVANIA GAMING CONTROL BOARD AS RESTRICTED OR BY THE SLOT
MACHINE LICENSEE AS RESTRICTED IN ITS BOARD-APPROVED INTERNAL
CONTROLS.
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* * *
"GAMING SERVICE PROVIDER." A PERSON THAT IS NOT REQUIRED TO
BE LICENSED AS A MANUFACTURER, SUPPLIER, MANAGEMENT COMPANY OR
GAMING JUNKET ENTERPRISE UNDER THIS PART OR UNDER REGULATIONS OF
THE PENNSYLVANIA GAMING CONTROL BOARD AND:
(1) PROVIDES GOODS OR SERVICES TO A SLOT MACHINE
LICENSEE OR AN APPLICANT FOR A SLOT MACHINE LICENSE FOR USE
IN THE OPERATION OF A LICENSED FACILITY; [OR] AND
(2) PROVIDES GOODS OR SERVICES [AT] TO A SLOT MACHINE
LICENSEE OR AN APPLICANT FOR A SLOT MACHINE LICENSE THAT
REQUIRES ACCESS TO THE GAMING FLOOR OR A GAMING-RELATED
RESTRICTED AREA OF A LICENSED FACILITY AS DETERMINED BY THE
PENNSYLVANIA GAMING CONTROL BOARD.
* * *
"NONGAMING SERVICE PROVIDER." A PERSON THAT IS NOT A GAMING
SERVICE PROVIDER OR REQUIRED TO BE LICENSED AS A MANUFACTURER,
SUPPLIER, MANAGEMENT COMPANY OR GAMING JUNKET ENTERPRISE UNDER
THIS PART OR UNDER REGULATIONS OF THE PENNSYLVANIA GAMING
CONTROL BOARD AND THAT PROVIDES GOODS OR SERVICES:
(1) TO A SLOT MACHINE LICENSEE OR APPLICANT FOR A SLOT
MACHINE LICENSE FOR USE IN THE OPERATION OF A LICENSED
FACILITY; AND
(2) THAT DOES NOT REQUIRE ACCESS TO THE GAMING FLOOR OR
A GAMING-RELATED RESTRICTED AREA OF A LICENSED FACILITY.
* * *
Section 2. Section 1305(a)(1) of Title 4 is amended to read:
§ 1305. Category 3 slot machine license.
(a) Eligibility.--
(1) A person may be eligible to apply for a Category 3
slot machine license if the applicant, its affiliate,
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intermediary, subsidiary or holding company has not applied
for or been approved or issued a Category 1 or Category 2
slot machine license and the person is seeking to locate a
Category 3 licensed facility in a well-established resort
hotel having no fewer than 275 guest rooms under common
ownership and having substantial year-round recreational
guest amenities. The applicant for a Category 3 license shall
be the owner or be a wholly owned subsidiary of the owner of
the well-established resort hotel. A Category 3 license may
only be granted upon the express condition that an individual
may not enter a gaming area of the licensed facility if the
individual is not any of the following:
(i) A registered overnight guest of the well-
established resort hotel.
(ii) A patron of one or more of the amenities
provided by the well-established resort hotel.
(iii) An authorized employee of the slot machine
licensee, of a gaming service provider or nongaming
service provider, of the board or of any regulatory,
emergency response or law enforcement agency while
engaged in the performance of the employee's duties.
(iv) An individual holding a valid membership
approved in accordance with paragraph (1.1) or a guest of
such individual.
* * *
Section 3. Title 4 is amended by adding a section to read:
§ 1317.3. Nongaming service provider.
(a) Notification required.--
(1) A slot machine licensee or applicant for a slot
machine license that contracts or otherwise does business
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with a nongaming service provider shall provide notification
to the board prior to:
(i) the nongaming service provider's provision of
goods and services at a licensed facility; or
(ii) the provision of goods and services for use in
the operation of a licensed facility.
(2) Notification under this section shall be on a form
and in a manner as the board requires. The board may require
a fee, which may not exceed $100, to accompany the
notification.
(b) Contents of notification.--Notification under this
section shall include:
(1) The name and business address of the nongaming
service provider.
(2) A description of the goods and services to be
provided.
(3) If the nature of the goods and services requires
access to a licensed facility, a description of the areas of
the licensed facility where employees or associated
individuals or entities of the nongaming service provider
will be located during the provision of goods and services.
(4) The length of time in which the slot machine
licensee or applicant for a slot machine license will
contract with or otherwise do business with the nongaming
service provider.
(5) An affirmation from the slot machine licensee or
applicant for a slot machine license certifying that the
licensee or applicant has performed due diligence regarding
the nongaming service provider and believes that the
nongaming service provider and its employees or associated
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individuals or entities will not adversely affect the public
interest or integrity of gaming.
(6) Any other information that the board deems
appropriate.
(c) Confirmation by board.--
(1) Upon receipt of the notification for a nongaming
service provider under this section:
(i) The board shall determine whether the nongaming
service provider appears on the list required by
subsection (j). If the nongaming service provider appears
on the list, the board may not issue confirmation to the
slot machine licensee or applicant for a slot machine
license. In such a case, the board shall inform the slot
machine licensee or applicant for a slot machine license
of the board's determination.
(ii) If subparagraph (i) does not apply, the board
shall provide confirmation to the slot machine licensee
or applicant for a slot machine license.
(2) Except as provided in subsection (i), the slot
machine licensee or applicant for a slot machine license may
not permit the nongaming service provider to provide goods
and services until the licensee or applicant receives
confirmation from the board.
(d) Duration of notification.--Notification for a nongaming
service provider shall be valid from the date that the board
issues the confirmation under subsection (c) until the earlier
of the following:
(1) The final date on which the slot machine licensee or
applicant for a slot machine license indicated that the
nongaming service provider will be providing goods and
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services in the notification under subsection (b)(4).
(2) Three years from the date on which the board issued
the confirmation.
(e) Conditions.--A slot machine licensee or applicant for a
slot machine license that contracts or otherwise does business
with a nongaming service provider shall be subject to the
following conditions, which the board shall enforce:
(1) The nongaming service provider and its employees or
associated individuals or entities shall only provide the
goods and services, in the stated areas and during the stated
times, described in the notification under this section.
(2) The slot machine licensee or applicant for a slot
machine license shall notify the board of any change in the
information provided in the notification under this section.
No fee shall be required for a subsequent change during the
time for which the notification is valid under subsection
(d).
(3) The slot machine licensee or applicant for a slot
machine license shall ensure that its employees and
associated individuals or entities of the nongaming service
provider do not enter the gaming floor or a gaming-related
restricted area of the licensed facility.
(4) The slot machine licensee or applicant for a slot
machine license shall report to the board an employee or
associated individual or entity of a nongaming service
provider that:
(i) enters the gaming floor or a gaming-related
restricted area of the licensed facility; or
(ii) commits an action that adversely affects the
public interest or integrity of gaming.
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(5) The board may prohibit at any time a nongaming
service provider or any of its employees or associated
individuals or entities from providing goods and services to
a slot machine licensee or applicant for a slot machine
license or at a licensed facility if the board determines the
action is necessary to protect the public interest or
integrity of gaming.
(f) Authority to exempt.--The board may exempt a person or
type of business from the requirements of this section if the
board determines that:
(1) the person or type of business is regulated by an
agency of the Federal Government, an agency of the
Commonwealth or the Pennsylvania Supreme Court; or
(2) the regulation of the person or type of business is
not necessary to protect the public interest or integrity of
gaming.
(g) Permit not required.--The board may not require an
employee, individual or entity associated with a nongaming
service provider to obtain a permit or other authorization from
the board.
(h) Criminal history record information not required.--A
nongaming service provider or an employee, individual or entity
associated with the nongaming service provider may not be
required to submit criminal history record information to the
board as a condition of notification under this section.
(i) Emergency notification.--
(1) A slot machine licensee may use a nongaming service
provider prior to the board receiving notification under this
section when a threat to public health, welfare or safety
exists or circumstances outside the control of the slot
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machine licensee require immediate action to mitigate damage
or loss to the licensee's licensed facility or to the
Commonwealth.
(2) The slot machine licensee under this subsection
shall:
(i) Contact the board immediately upon using the
nongaming service provider for which the board has not
previously received notification.
(ii) Provide notification as required in this
section within a reasonable time under the circumstances,
as the board establishes.
(j) Nongaming service provider list.--
(1) The board shall develop and maintain a list of
prohibited nongaming service providers.
(2) A slot machine licensee or applicant for a slot
machine license may not enter into an agreement or engage in
business with a nongaming service provider appearing on the
list under this subsection.
(k) Duties of nongaming service provider.--A nongaming
service provider shall:
(1) Cooperate with the board regarding an investigation,
hearing, enforcement action or disciplinary action.
(2) Comply with each condition, restriction,
requirement, order or ruling of the board in accordance with
this part.
(3) Report any change in circumstances to the slot
machine licensee or applicant for a slot machine license that
may render the nongaming service provider ineligible,
unqualified or unsuitable for the provision of goods or
services at a licensed facility or use in the operation of a
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licensed facility.
§ 1317.3. NONGAMING SERVICE PROVIDER.
(A) NOTIFICATION REQUIRED.--
(1) A SLOT MACHINE LICENSEE OR APPLICANT FOR A SLOT
MACHINE LICENSE THAT CONTRACTS WITH OR OTHERWISE ENGAGES IN
BUSINESS WITH A NONGAMING SERVICE PROVIDER SHALL PROVIDE
NOTIFICATION TO THE BOARD PRIOR TO:
(I) THE NONGAMING SERVICE PROVIDER'S PROVISION OF
GOODS OR SERVICES AT THE SLOT MACHINE LICENSEE'S LICENSED
FACILITY; OR
(II) THE PROVISION OF GOODS OR SERVICES FOR USE IN
THE OPERATION OF THE SLOT MACHINE LICENSEE'S LICENSED
FACILITY.
(2) NOTIFICATION UNDER THIS SECTION SHALL BE ON A FORM
AND IN A MANNER AS DETERMINED BY THE BOARD. THE BOARD MAY
IMPOSE A FEE, NOT TO EXCEED $100, WHICH MUST ACCOMPANY THE
NOTIFICATION.
(B) CONTENTS OF NOTIFICATION.--NOTIFICATION UNDER THIS
SECTION SHALL INCLUDE:
(1) THE NAME AND BUSINESS ADDRESS OF THE NONGAMING
SERVICE PROVIDER.
(2) A DESCRIPTION OF THE TYPE OR NATURE OF THE GOODS OR
SERVICES TO BE PROVIDED.
(3) AN AFFIRMATION FROM THE SLOT MACHINE LICENSEE OR
APPLICANT FOR A SLOT MACHINE LICENSE THAT THE GOODS OR
SERVICES TO BE PROVIDED BY THE NONGAMING SERVICE PROVIDER
WILL NOT REQUIRE ACCESS TO THE GAMING FLOOR OR A GAMING-
RELATED RESTRICTED AREA OF A LICENSED FACILITY.
(4) AN AFFIRMATION FROM THE SLOT MACHINE LICENSEE OR
APPLICANT FOR A SLOT MACHINE LICENSE CERTIFYING THAT THE
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LICENSEE OR APPLICANT HAS PERFORMED DUE DILIGENCE REGARDING
THE NONGAMING SERVICE PROVIDER AND BELIEVES THAT THE
NONGAMING SERVICE PROVIDER AND ITS EMPLOYEES WILL NOT
ADVERSELY AFFECT THE PUBLIC INTEREST OR INTEGRITY OF GAMING.
(5) ANY OTHER INFORMATION THAT THE BOARD MAY REQUIRE.
(C) DURATION OF NOTIFICATION.--THE NONGAMING SERVICE
PROVIDER NOTIFICATION REQUIRED UNDER SUBSECTION (A) MAY BE VALID
FOR THREE YEARS UNLESS MODIFIED BY THE BOARD. IN DETERMINING THE
DURATION OF A NONGAMING SERVICE PROVIDER NOTIFICATION, THE BOARD
SHALL CONSIDER THE FOLLOWING:
(1) THE TYPE OR NATURE OF THE GOODS OR SERVICES.
(2) THE FREQUENCY OF BUSINESS TRANSACTIONS RELATED TO
THE PROVISION OF SUCH GOODS OR SERVICES.
(3) ANY OTHER INFORMATION THE BOARD DEEMS NECESSARY AND
APPROPRIATE.
(D) CONDITIONS.--A SLOT MACHINE LICENSEE OR APPLICANT FOR A
SLOT MACHINE LICENSE THAT CONTRACTS OR OTHERWISE ENGAGES IN
BUSINESS WITH A NONGAMING SERVICE PROVIDER SHALL BE SUBJECT TO
THE FOLLOWING CONDITIONS:
(1) THE NONGAMING SERVICE PROVIDER OR ITS EMPLOYEES
SHALL ONLY PROVIDE THE GOODS AND SERVICES DESCRIBED IN THE
NOTIFICATION UNDER THIS SECTION.
(2) THE SLOT MACHINE LICENSEE OR APPLICANT FOR A SLOT
MACHINE LICENSE SHALL NOTIFY THE BOARD OF ANY MATERIAL CHANGE
IN THE INFORMATION PROVIDED IN THE NOTIFICATION UNDER THIS
SECTION. NO FEE SHALL BE REQUIRED FOR A SUBSEQUENT CHANGE
DURING THE TIME FOR WHICH THE NOTIFICATION REMAINS VALID
UNDER SUBSECTION (C).
(3) THE SLOT MACHINE LICENSEE OR APPLICANT FOR A SLOT
MACHINE LICENSE SHALL ENSURE THAT EMPLOYEES OF THE NONGAMING
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SERVICE PROVIDER DO NOT ENTER THE GAMING FLOOR OR A GAMING-
RELATED RESTRICTED AREA OF THE LICENSED FACILITY.
(4) THE SLOT MACHINE LICENSEE OR APPLICANT FOR A SLOT
MACHINE LICENSE SHALL REPORT TO THE BOARD AN EMPLOYEE OF A
NONGAMING SERVICE PROVIDER THAT DOES ANY OF THE FOLLOWING:
(I) ENTERS THE GAMING FLOOR OR A GAMING-RELATED
RESTRICTED AREA OF THE LICENSED FACILITY.
(II) COMMITS AN ACT THAT ADVERSELY AFFECTS THE
PUBLIC INTEREST OR INTEGRITY OF GAMING.
(5) THE BOARD MAY PROHIBIT A NONGAMING SERVICE PROVIDER
AND ANY OF THE NONGAMING SERVICE PROVIDER'S EMPLOYEES FROM
PROVIDING GOODS OR SERVICES TO A SLOT MACHINE LICENSEE OR
APPLICANT FOR A SLOT MACHINE LICENSE AT A LICENSED FACILITY
IF THE BOARD DETERMINES THE PROHIBITION IS NECESSARY TO
PROTECT THE PUBLIC INTEREST OR INTEGRITY OF GAMING.
(E) AUTHORITY TO EXEMPT.--THE BOARD MAY EXEMPT A NONGAMING
SERVICE PROVIDER FROM THE NOTIFICATION REQUIREMENTS OF THIS
SECTION IF THE BOARD DETERMINES ANY OF THE FOLLOWING:
(1) THE NONGAMING SERVICE PROVIDER OR THE TYPE OR NATURE
OF THE NONGAMING SERVICE PROVIDER'S BUSINESS IS REGULATED BY
AN AGENCY OF THE FEDERAL GOVERNMENT, AN AGENCY OF THE
COMMONWEALTH OR THE PENNSYLVANIA SUPREME COURT.
(2) NOTIFICATION IS NOT NECESSARY TO PROTECT THE PUBLIC
INTEREST OR INTEGRITY OF GAMING.
(F) (RESERVED).
(G) ADDITIONAL AUTHORITY OF BOARD.--IF, UPON EXAMINATION OF
THE PROVIDED NOTIFICATION, THE BUREAU DETERMINES THAT THE
REGISTRATION OR CERTIFICATION OF A NONGAMING SERVICE PROVIDER IS
NECESSARY TO PROTECT THE INTEGRITY OF GAMING, THE BUREAU MAY
REQUIRE THE NONGAMING SERVICE PROVIDER TO FILE AN APPLICATION
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FOR REGISTRATION OR CERTIFICATION AND BE AUTHORIZED BY THE BOARD
PRIOR TO PROVIDING SERVICES AT A LICENSED FACILITY.
(H) EMERGENCY NOTIFICATION.--
(1) A SLOT MACHINE LICENSEE MAY USE A NONGAMING SERVICE
PROVIDER PRIOR TO THE BOARD RECEIVING NOTIFICATION UNDER THIS
SECTION WHEN A THREAT TO PUBLIC HEALTH, WELFARE OR SAFETY
EXISTS OR CIRCUMSTANCES OUTSIDE THE CONTROL OF THE SLOT
MACHINE LICENSEE REQUIRE IMMEDIATE ACTION TO MITIGATE DAMAGE
OR LOSS TO THE SLOT MACHINE LICENSEE'S LICENSED FACILITY OR
TO THE COMMONWEALTH.
(2) A SLOT MACHINE LICENSEE THAT USES A NONGAMING
SERVICE PROVIDER IN ACCORDANCE WITH PARAGRAPH (1) SHALL:
(I) NOTIFY THE BOARD IMMEDIATELY UPON ENGAGING A
NONGAMING SERVICE PROVIDER FOR WHICH THE BOARD HAS NOT
PREVIOUSLY RECEIVED NOTIFICATION IN ACCORDANCE WITH
SUBSECTION (A).
(II) PROVIDE THE NOTIFICATION REQUIRED UNDER
SUBSECTION (A) WITHIN A REASONABLE TIME AS ESTABLISHED BY
THE BOARD.
(I) NONGAMING SERVICE PROVIDER LIST.--
(1) THE BOARD SHALL HAVE THE AUTHORITY TO PROHIBIT A
NONGAMING SERVICE PROVIDER FROM ENGAGING IN BUSINESS WITH A
SLOT MACHINE LICENSEE UPON A FINDING BY THE BOARD THAT THE
PROHIBITION IS NECESSARY TO PROTECT THE PUBLIC INTEREST AND
THE INTEGRITY OF GAMING.
(2) THE BOARD SHALL DEVELOP AND MAINTAIN A LIST OF
PROHIBITED NONGAMING SERVICE PROVIDERS.
(3) A SLOT MACHINE LICENSEE OR APPLICANT FOR A SLOT
MACHINE LICENSE MAY NOT ENTER INTO AN AGREEMENT OR ENGAGE IN
BUSINESS WITH A NONGAMING SERVICE PROVIDER APPEARING ON THE
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LIST UNDER THIS SUBSECTION.
(J) DUTIES OF NONGAMING SERVICE PROVIDER.--A NONGAMING
SERVICE PROVIDER SHALL:
(1) COOPERATE WITH THE BOARD AND BUREAU REGARDING AN
INVESTIGATION, HEARING, ENFORCEMENT ACTION OR DISCIPLINARY
ACTION.
(2) COMPLY WITH EACH CONDITION, RESTRICTION,
REQUIREMENT, ORDER OR RULING OF THE BOARD IN ACCORDANCE WITH
THIS PART.
(3) REPORT ANY CHANGE IN CIRCUMSTANCES TO THE SLOT
MACHINE LICENSEE OR APPLICANT FOR A SLOT MACHINE LICENSE THAT
MAY RENDER THE NONGAMING SERVICE PROVIDER INELIGIBLE,
UNQUALIFIED OR UNSUITABLE FOR THE PROVISION OF GOODS OR
SERVICES AT A LICENSED FACILITY OR USE IN THE OPERATION OF A
LICENSED FACILITY. THE SLOT MACHINE LICENSEE SHALL REPORT ANY
SUCH CHANGE IN CIRCUMSTANCES TO THE BOARD IN SUCH FORM AND
MANNER AS THE BOARD MAY ESTABLISH.
(K) CONSTRUCTION.--NOTHING IN THIS SECTION SHALL BE
CONSTRUED TO LIMIT THE POWERS AND AUTHORITY OF THE BOARD UNDER
SECTION 1202 (RELATING TO GENERAL AND SPECIFIC POWERS) OR THE
REGULATORY AUTHORITY OF THE BOARD UNDER SECTION 1207 (RELATING
TO REGULATORY AUTHORITY OF BOARD).
Section 4. This act shall take effect in 60 days.
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