PRINTER'S NO. 1088
THE GENERAL ASSEMBLY OF PENNSYLVANIA
SENATE BILL
No.
784
Session of
2019
INTRODUCED BY YAW, SCHWANK AND STEFANO, JULY 8, 2019
REFERRED TO COMMUNITY, ECONOMIC AND RECREATIONAL DEVELOPMENT,
JULY 8, 2019
AN ACT
Amending the act of December 19, 1988 (P.L.1262, No.156),
entitled "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," in preliminary
provisions, further providing for definitions; in games of
chance, further providing for prize limits, providing for
pull-tab deal and further providing for regulations of
department; and, in tavern gaming, further providing for
licenses, for application, for approval, for enforcement and
for prohibitions.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
Section 1. The definition of "games of chance" in section
103 of the act of December 19, 1988 (P.L.1262, No.156), known as
the Local Option Small Games of Chance Act, is amended and the
section is amended by adding definitions to read:
Section 103. Definitions.
The following words and phrases when used in this act shall,
except as provided under section 902, have the meanings given to
them in this section unless the context clearly indicates
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otherwise:
* * *
"Event game." A pull-tab game, played with or without a seal
card, in which certain prizes are determined by the draw of a
bingo ball or some other approved specified event which randomly
selects numbers or symbols that correspond to the numbers or
symbols printed by the manufacturer on the pull-tab. All of the
following shall apply:
(1) No event pull-tab may be both an instant winner and
a hold card.
(2) No game may contain duplicate hold combinations. If
a game contains multiple sets of hold combinations, each set
must be distinguishable by color or distinguishing features.
(3) An event pull-tab ticket may contain more than one
hold combination.
(4) The number of winners and prize amount shall be
built into the payout structure for the game by the
manufacturer.
* * *
"Games of chance." Punchboards, daily drawings, weekly
drawings, 50/50 drawings, raffles, tavern games, pools, race
night games and [pull-tabs,] pull-tab games, including event
games, subset pull-tab games, pick-board games and progressive
pull-tab games as defined in this act, provided that no such
game shall be played by or with the assistance of any mechanical
or electrical devices or media other than a dispensing machine
or passive selection device and further provided that, except
for pull-tab event games, the particular chance taken by any
person in any such game shall not be made contingent upon any
other occurrence or the winning of any other contest, but shall
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be determined solely at the discretion of the purchaser. This
definition shall not be construed to authorize any other form of
gambling currently prohibited under any provision of 18 Pa.C.S.
(relating to crimes and offenses) or authorized under 4 Pa.C.S.
(relating to amusements). Nothing in this act shall be construed
to authorize games commonly known as "slot machines" or "video
poker" or other games regulated by the Pennsylvania Gaming
Control Board.
* * *
"Pick-board game." A pull-tab game played with a flare
containing more than one sealed tab that when opened reveal
predesignated winning numbers or symbols. Certain tickets in the
deal shall bear a designation providing one or more players the
opportunity to win a prize by selecting which sealed tab to open
from among the sealed tabs on the flare.
* * *
"Progressive pull-tab game." A pull-tab game played with a
seal card or seal cards that is designed by the manufacturer to
include a jackpot prize that is carried over to a subsequent
deal of the same form number if the jackpot prize is not won.
The amount dedicated to the progressive jackpot must be
predetermined by the manufacturer and built into the payout
structure for the game.
* * *
"Subset pull-tab game." A pull-tab game consisting of a
single pull-tab deal, with all tickets bearing the same serial
number, that is packaged by the manufacturer into smaller
subsets, each of which is played separately. Each subset shall
have a corresponding flare, which must contain at least one
sealed tab. Certain tickets in each subset shall bear a
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designation providing one or more players the opportunity to win
a prize when the sealed tab or tabs are opened.
* * *
Section 2. Section 302(b), (c.1), (d) introductory paragraph
and (4), (d.1), (f), (g) and (h) of the act are amended to read:
Section 302. Prize limits.
* * *
[(b) Aggregate prize limit.--No more than $35,000 in prizes
shall be awarded from games of chance by a licensed eligible
organization in any seven-day period.]
* * *
[(c.1) Total limit.--All prizes awarded under this section
shall be subject to the aggregate prize limits under subsection
(b).]
(d) Exception for raffles.--Notwithstanding subsection [(b)
or] (c), a licensed eligible organization may conduct a raffle
under section 308 and award a prize or prizes valued in excess
of $3,000 each only under the following conditions:
* * *
(4) Except as provided under subsection (d.1), the total
of all prizes awarded under this subsection shall be no more
than $150,000 per calendar year, which shall not be subject
to the aggregate limit under subsection [(b) or] (c).
(d.1) Additional award.--A volunteer fire, ambulance, rescue
or conservation organization may, in addition to the total under
subsection (d)(4), award up to $100,000 from raffles which shall
not be subject to the aggregate limit under subsection [(b),]
(c) or (d).
(f) Daily drawing carryover.--The prize limitation contained
in [subsections (a) and (b)] subsection (a) may be exceeded by a
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daily drawing under the following circumstances: a daily drawing
may award a prize in excess of $2,000 if such prize is the
result of a carryover of a drawing which resulted from the
winning number in such drawing not being among the eligible
entrants in such drawings. Nothing contained herein shall
authorize the prize limitation as contained in [subsections (a)
and (b)] subsection (a) to be exceeded as a result of a failure
to conduct a drawing on an operating day during which chances
were sold for a daily drawing or for a daily drawing for which
chances were sold in excess of $1 or for which more than one
chance was sold to an eligible participant.
[(g) Additional exception.--When a daily drawing or weekly
drawing is set up or conducted in such a manner as to pay out or
award 100% of the gross revenues generated from such drawing,
the limitation contained in subsection (b) shall not apply.]
(h) Weekly drawing carryover exception.--Weekly drawings
shall be governed by the prize limitation contained in
subsection [(b)] (a). The prize limitation contained in
subsection [(b)] (a) may be exceeded by a weekly drawing under
the following circumstances: a weekly drawing may award a prize
where the cash value is in excess of $35,000 if such prize is
the result of a carryover of a drawing or drawings which
resulted from the winning number or numbers in such drawing or
drawings not being among the eligible entrants in such drawings.
Nothing contained in this chapter shall authorize the prize
limitation under subsection [(b)] (a) to be exceeded as a result
of a failure to conduct a drawing for a week during which
chances were sold for a weekly drawing or for a weekly drawing
for which chances were sold in excess of $1.
* * *
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Section 3. The act is amended by adding a section to read:
Section 303.2. Pull-tab deal.
Nothing in this act shall be construed to prohibit a person
from selling or transferring to another person for use within
this Commonwealth a pull-tab deal which contains more than 4,000
individual pull-tabs, nor shall this act place any restriction
on the number of pull-tabs which can be put out for public play
as part of a single deal.
Section 4. Sections 306(a)(1), 903(b)(4), (5), (6) and (7),
(d) and (e), 904 and 905(c) of the act are amended to read:
Section 306. Regulations of department.
(a) Authorization.--The department shall promulgate
regulations to:
(1) Impose minimum standards [and restrictions]
applicable to games of chance manufactured for sale in this
Commonwealth[, which may include standards and restrictions
which specify the maximum number of chances available to be
sold for any single game of chance or prize and such other
standards and restrictions] as the department deems necessary
for the purposes of this chapter. The department shall
consider standards adopted by the National Association of
Gambling Regulatory Agencies and other standards commonly
accepted in the industry.
* * *
Section 903. Licenses.
* * *
(b) Information.--The application under subsection (a) shall
include the following information:
* * *
(4) [Certified consent by the applicant, including each
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owner and officer of the restaurant licensee, to a background
investigation by the bureau.] A criminal history record
information report issued under 18 Pa.C.S. Ch. 91 (relating
to criminal history record information) obtained from the
Pennsylvania State Police.
(5) Relating to criminal information under paragraph
(4), disclosure of all arrests and citations of the
applicant, including nontraffic summary offenses. The
information shall include all of the following:
(i) A brief description of the circumstances
surrounding the arrest or issuance of the citation.
(ii) The specific offense charged.
(iii) The ultimate disposition of the charge,
including any dismissal, plea bargain, conviction,
sentence, pardon, expungement or order of Accelerated
Rehabilitative Disposition.
(6) Financial background and interests and transactions
as required by the bureau.
(7) Relating to citations of the applicant issued under
the Liquor Code or any other discipline or penalty
administered or issued by a Commonwealth agency.
* * *
(d) Review.--Within six months of receipt of the background
investigation report from the bureau, the board shall approve or
disapprove the application within 30 days of receipt of the
application.
[(e) Background investigation.--Each applicant shall include
information and documentation as required to establish personal
and financial suitability, honesty and integrity. Information
shall include:
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(1) Criminal history record information.
(2) Financial background information.
(3) Regulatory history before the board or other
Commonwealth agency.
(4) Other information required by the bureau.]
* * *
Section 904. Application.
(a) Application fee.--An applicant shall pay the board a
nonrefundable application fee of [$1,000] $500.
[(b) Investigative fee.--An applicant shall pay an
investigative fee of $1,000 to the bureau.]
(c) [Costs.--In addition to the fee under subsection (b),
an] Investigative costs.--An applicant and any owner and officer
of the applicant shall pay for the [actual] reasonable and
necessary costs of a background investigation conducted by the
bureau [that exceed the application fee]. The bureau may:
(1) Charge an estimated amount to be provided prior to
the background investigation.
(2) Submit for reimbursement from the applicant for the
additional costs incurred in the background investigation.
(d) Funds.--Funds collected under [subsections (b) and (c)]
subsection (c) shall augment the funds appropriated to the
Pennsylvania Gaming Control Board under 4 Pa.C.S. (relating to
amusements).
Section 905. Approval.
* * *
(c) Fee.--Upon approval, the applicant shall pay a [$2,000]
$1,000 license fee to be deposited in the General Fund. The
annual renewal fee shall be $1,000.
* * *
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Section 5. Section 913(c), (d) and (f) of the act are
amended and the section is amended by adding subsections to
read:
Section 913. Enforcement.
* * *
(c) Penalties.--The board may impose a civil penalty for a
violation of this chapter in accordance with the following:
(1) Up to [$2,000] $800 for an initial violation.
(2) Up to [$3,000] $1,000 for a second violation.
(3) Up to [$5,000] $2,000 for a third violation.
(d) Criminal penalty.--A violation of this chapter shall be
a [misdemeanor of the third degree] summary offense. A second or
subsequent offense shall be a misdemeanor of the [second] third
degree.
* * *
(f) Suspension, revocation or failure to renew.--
(1) In addition to any other sanctions the board may
impose under this chapter or under the Liquor Code, the board
may, at its discretion, suspend, revoke or deny renewal of
any license issued under this chapter if it receives any
information from any source and determines that:
(i) The applicant or any of its officers, directors,
owners or employees:
(A) Is in violation of any provision of this
chapter.
(B) Furnished the board with false or misleading
information.
(ii) The information contained in the applicant's
initial application or any renewal application is no
longer true and correct.
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(2) In the event of a revocation, suspension or failure
to renew, the applicant's authorization to conduct the
previously approved activity shall immediately cease, and all
fees paid in connection therewith shall be deemed to be
forfeited. In the event of a suspension, the applicant's
authorization to conduct the previously approved activity
shall immediately cease until the board has notified the
applicant that the suspension is no longer in effect.
(3) A third violation of this chapter shall result in
the revocation of a license issued under this chapter. A
licensee shall be ineligible to apply for or be awarded a
license under this chapter for a period of five years
following a revocation.
(g) Law enforcement officials.--Nothing in this chapter
shall be construed to restrict or limit the power of a State,
county or local law enforcement official to conduct
investigations and file criminal charges under this chapter.
(h) Violations by restaurant licensee.--
(1) Except as provided under paragraph (2), a violation
of this chapter by a restaurant licensee shall not constitute
a violation of the Liquor Code.
(2) If a restaurant licensee has committee three or more
violations of this act in a calendar year, the bureau may
enforce a violation of this chapter as a violation of the
Liquor Code.
Section 6. Section 914(4) and (7) of the act are amended to
read:
Section 914. Prohibitions.
The following shall apply to any license authorized or issued
under this chapter:
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* * *
(4) The board shall be prohibited from issuing a license
to any person who has been convicted of a felony offense or
misdemeanor gambling offense in [any jurisdiction] this
Commonwealth unless 15 years have elapsed from the date of
conviction of the offense.
* * *
(7) It shall be unlawful for an owner, officer or
employee of a licensee to sell, operate or otherwise
participate in the conduct of tavern games if the employee
has been convicted in [any jurisdiction] this Commonwealth of
a felony or a misdemeanor gambling offense unless 15 years
have elapsed from the date of conviction of the offense.
* * *
Section 7. This act shall take effect in 60 days.
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