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SENATE AMENDED
A08829
THE GENERAL ASSEMBLY OF PENNSYLVANIA
HOUSE BILL
No.
864
Session of
2017
INTRODUCED BY MUSTIO, D. COSTA, DeLUCA, ORTITAY, SANKEY, WARD,
MILLARD, DEASY, MATZIE, KORTZ, MICCARELLI AND JOZWIAK,
MARCH 16, 2017
SENATOR SCAVELLO, COMMUNITY, ECONOMIC AND RECREATIONAL
DEVELOPMENT, IN SENATE, AS AMENDED, APRIL 24, 2018
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," in preliminary
provisions, further providing for legislative intent and for
definitions; in games of chance, further providing for
prohibition regarding pools, for prize limits, AND FOR MAJOR
LEAGUE SPORTS DRAWING, providing for airport 50/50 drawing
and further providing for licensing of eligible
organizations; in club licensees, further providing for club
licensee and for distribution of proceeds; and, in
enforcement, further providing for enforcement.; and, in
tavern gaming, further providing for licenses and
application, for enforcement and for prohibition.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
Section 1. Section 102 of the act of December 19, 1988
(P.L.1262, No.156), known as the Local Option Small Games of
Chance Act, is amended to read:
Section 102. Legislative intent.
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The General Assembly hereby declares that the playing of
games of chance for the purpose of raising funds, by certain
nonprofit associations, for the promotion of charitable or civic
purposes, is in the public interest. In some cases, the proceeds
from games of chance may be utilized to support certain
operating expenses of certain organizations.
The General Assembly hereby declares that raising public
funds from games of chance in licensed restaurants and
protecting the competitiveness of these restaurants is also in
the public interest.
The General Assembly hereby declares that raising funds from
a 50/50 drawing conducted in airport systems, the net proceeds
of which will be used for charitable purposes, is in the public
interest.
It is hereby declared to be the policy of the General
Assembly that all phases of licensing, operation and regulation
of games of chance be strictly controlled, and that all laws and
regulations with respect thereto as well as all gambling laws
should be strictly construed and rigidly enforced.
The General Assembly recognizes the possibility of
association between commercial gambling and organized crime, and
wishes to prevent participation by organized crime and prevent
the diversion of funds from the purposes herein authorized.
Section 2. Section 103 of the act is amended by adding
definitions to read:
SECTION 2. THE DEFINITIONS OF "AFFILIATED NONPROFIT
ORGANIZATION," "ELIGIBLE ORGANIZATION," "MAJOR LEAGUE SPORTS
DRAWING" AND "MAJOR LEAGUE SPORTS TEAM" IN SECTION 103 OF THE
ACT ARE AMENDED AND THE SECTION IS AMENDED BY ADDING DEFINITIONS
TO READ:
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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
otherwise:
* * *
"AFFILIATED NONPROFIT ORGANIZATION." AN ORGANIZATION
ESTABLISHED BY OR AFFILIATED WITH [A MAJOR LEAGUE BASEBALL,
NATIONAL HOCKEY LEAGUE, NATIONAL BASKETBALL ASSOCIATION OR MAJOR
LEAGUE SOCCER TEAM] AN ATHLETIC TEAM FOR THE PURPOSE OF RAISING
FUNDS FOR CHARITY, WHICH IS QUALIFIED FOR AN EXEMPTION UNDER
SECTION 501(C)(3) OF THE INTERNAL REVENUE CODE OF 1986 (PUBLIC
LAW 99-514, 26 U.S.C. § 101(C)(3)).
"Airport." A publicly owned commercial service airport that
is designated by the Federal Government as an international
airport.
"Airport 50/50 drawing." A 50/50 drawing that is conducted
by an airport in accordance with section 304.2.
"ATHLETIC EVENT DRAWING." A 50/50 DRAWING THAT IS CONDUCTED
BY AN AFFILIATED NONPROFIT ORGANIZATION IN ACCORDANCE WITH
SECTION 304.1.
"ATHLETIC TEAM." A SPORTS TEAM OR RACING FACILITY THAT IS
ANY OF THE FOLLOWING:
(1) A MEMBER OF MAJOR LEAGUE BASEBALL, THE NATIONAL
HOCKEY LEAGUE, THE NATIONAL BASKETBALL ASSOCIATION, THE
NATIONAL FOOTBALL LEAGUE OR MAJOR LEAGUE SOCCER.
(2) A PROFESSIONAL SPORTS TEAM AFFILIATED WITH A TEAM
UNDER PARAGRAPH (1).
(3) ANY OTHER PROFESSIONAL SPORTS TEAM THAT HAS A SPORTS
FACILITY OR AN AGREEMENT WITH A SPORTS FACILITY TO CONDUCT
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HOME GAMES AT THE FACILITY.
(4) A STADIUM, GRANDSTAND OR BLEACHER AT A CLOSED-COURSE
MOTOR FACILITY WHERE SPECTATORS DIRECTLY OBSERVE MOTOR RACES
WITH NASCAR, INDY, STOCK OR DRAG RACING CARS.
(5) A COLLEGIATE TEAM THAT COMPETES ON BEHALF OF AN
INSTITUTION OF HIGHER EDUCATION.
* * *
"ELIGIBLE ORGANIZATION." A CHARITABLE, RELIGIOUS, FRATERNAL
OR VETERANS' ORGANIZATION, CLUB, CLUB LICENSEE OR CIVIC AND
SERVICE ASSOCIATION OR AN AIRPORT. IN ORDER TO QUALIFY AS AN
ELIGIBLE ORGANIZATION FOR PURPOSES OF THIS ACT, AN ORGANIZATION
SHALL HAVE BEEN IN EXISTENCE AND FULFILLING ITS PURPOSES FOR ONE
YEAR PRIOR TO THE DATE OF APPLICATION FOR A LICENSE. THE TERM
SHALL INCLUDE AN AFFILIATED NONPROFIT ORGANIZATION LICENSED
UNDER SECTION 307.
* * *
"INSTITUTION OF HIGHER EDUCATION." ANY OF THE FOLLOWING:
(1) A COMMUNITY COLLEGE OPERATING UNDER ARTICLE XIX-A OF
THE ACT OF MARCH 10, 1949 (P.L.30, NO.14), KNOWN AS THE
PUBLIC SCHOOL CODE OF 1949.
(2) A UNIVERSITY WITHIN THE STATE SYSTEM OF HIGHER
EDUCATION.
(3) THE PENNSYLVANIA STATE UNIVERSITY.
(4) THE UNIVERSITY OF PITTSBURGH.
(5) TEMPLE UNIVERSITY.
(6) LINCOLN UNIVERSITY.
(7) ANY OTHER INSTITUTION THAT IS DESIGNATED AS "STATE
RELATED" BY THE COMMONWEALTH.
(8) ANY ACCREDITED PRIVATE OR INDEPENDENT COLLEGE OR
UNIVERSITY.
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* * *
["MAJOR LEAGUE SPORTS DRAWING." A 50/50 DRAWING CONDUCTED BY
A NONPROFIT AFFILIATE OF A MAJOR LEAGUE SPORTS TEAM IN
ACCORDANCE WITH SECTION 304.1.
"MAJOR LEAGUE SPORTS TEAM." A SPORTS TEAM OR RACING FACILITY
THAT IS ANY OF THE FOLLOWING:
(1) A MEMBER OF MAJOR LEAGUE BASEBALL, THE NATIONAL
HOCKEY LEAGUE, THE NATIONAL BASKETBALL ASSOCIATION, THE
NATIONAL FOOTBALL LEAGUE OR MAJOR LEAGUE SOCCER.
(2) A PROFESSIONAL SPORTS TEAM AFFILIATED WITH A TEAM
UNDER PARAGRAPH (1).
(3) ANY OTHER PROFESSIONAL SPORTS TEAM THAT HAS A SPORTS
FACILITY OR AN AGREEMENT WITH A SPORTS FACILITY TO CONDUCT
HOME GAMES AT THE FACILITY.
(4) A STADIUM, GRANDSTAND OR BLEACHER AT A CLOSED-COURSE
MOTOR FACILITY WHERE SPECTATORS ARE DIRECTLY OBSERVING MOTOR
RACES WITH NASCAR, INDY, STOCK OR DRAG RACING CARS.]
* * *
Section 3. Section 302 of the act is amended to read:
SECTIONS 301.1, 302 AND 304.1 OF THE ACT ARE AMENDED TO READ:
Section 301.1. Prohibition regarding pools.
The operation of a pool must comply with [the Professional
and Amateur Sports Protection Act (Public Law 102-559, 28 U.S.C.
§ 3701 et seq.) or other] Federal law in the operation of or
participation in the pool.
Section 302. Prize limits.
(a) Individual prize limit.--
(1) Except as provided under subsections (d) and (d.1),
the maximum prize which may be awarded for any single chance
shall be $2,000[.], other than a weekly drawing.
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(2) The maximum prize which may be awarded for any
weekly drawing shall be $14,000.
[(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) Raffle prize limit.--Up to $15,000 in prizes may be
awarded in raffles in any calendar month.
[(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:
(1) The licensing authority has issued a special permit
for the raffle under section 308.
(2) A licensed eligible organization shall be eligible
to receive no more than ten special permits in any licensed
term except that a volunteer fire, ambulance, rescue or
conservation organization that is not a club licensee shall
be eligible to receive 12 special permits in any licensed
term.
(3) Only one raffle may be conducted under each special
permit issued under section 308.
(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
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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] subsection (a) [and (b)] may be exceeded by a
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]
subsection (a) [and (b)] 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] $14,000 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
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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.
(i) Concurrent operation.--Nothing under this act shall
prohibit the concurrent operation of daily or weekly drawings.
SECTION 304.1. [MAJOR LEAGUE SPORTS] ATHLETIC EVENT DRAWING.
(A) GENERAL RULE.--A PERSON MAY PURCHASE ONE OR MORE [MAJOR
LEAGUE SPORTS] ATHLETIC EVENT DRAWING TICKETS AT A HOME GAME or
team event, AND EACH TICKET PURCHASED SHALL REPRESENT ONE ENTRY
IN THE DRAWING FOR A WINNER. A SINGLE TICKET SHALL BE RANDOMLY
CHOSEN AS THE WINNER AFTER A CERTAIN NUMBER OF TICKETS ARE SOLD
OR A SPECIFIED TIME PERIOD EXPIRES AS DESIGNATED BY THE
AFFILIATED NONPROFIT ORGANIZATION. PURCHASE OF ATHLETIC EVENT
DRAWING TICKETS MAY BE MADE BY CASH, CREDIT CARD OR DEBIT CARD.
(B) FREQUENCY.--AN AFFILIATED NONPROFIT ORGANIZATION MAY
CONDUCT NO MORE THAN ONE [MAJOR LEAGUE SPORTS] ATHLETIC EVENT
DRAWING PER HOME GAME or team event.
(B.1) SALES RESTRICTED.--TICKETS FOR [A MAJOR LEAGUE SPORTS]
AN ATHLETIC EVENT DRAWING MAY NOT BE SOLD IN ANY SEATING AREA
DESIGNATED AS A FAMILY SECTION.
(B.2) CHARITABLE EVENT.--[A MAJOR LEAGUE SPORTS] AN ATHLETIC
EVENT DRAWING MAY BE CONDUCTED BY THE AFFILIATED NONPROFIT
ORGANIZATION DURING A CHARITABLE EVENT HELD WITHIN THE SAME
ARENA, STADIUM, GRANDSTAND, BLEACHERS OR OTHER FACILITY DURING A
HOME GAME, team event OR CAR RACE OF THE [MAJOR LEAGUE SPORTS]
ATHLETIC TEAM. DRAWINGS MAY ONLY BE HELD WITHIN SPECTATOR AREAS
WITHIN THE ARENA, STADIUM, GRANDSTAND OR BLEACHERS WHERE THE
HOME GAME, team event OR CAR RACE IS BEING CONDUCTED AND NOT AT
ANCILLARY AREAS OR FACILITIES, INCLUDING PARKING AREAS,
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RESTAURANTS AND BARS OR AREAS OUTSIDE THE ARENA, STADIUM,
GRANDSTAND OR BLEACHERS OR AREAS WHERE THE SPORT IS SHOWN ON
REMOTE ELECTRONIC EQUIPMENT.
(C) DISTRIBUTION.--THE PRIZE AMOUNT OF [A MAJOR LEAGUE
SPORTS] AN ATHLETIC EVENT DRAWING SHALL BE 50% OF THE TOTAL
AMOUNT COLLECTED FROM THE SALE OF [MAJOR LEAGUE SPORTS] ATHLETIC
EVENT DRAWING TICKETS. EXCEPT AS SET FORTH IN SUBSECTION (C.1),
THE OTHER 50% OF THE TOTAL AMOUNT COLLECTED FROM THE SALE OF
[MAJOR LEAGUE SPORTS] ATHLETIC EVENT DRAWING TICKETS SHALL BE
DONATED WITHIN SEVEN DAYS FROM THE DATE OF THE DRAWING BY THE
AFFILIATED NONPROFIT ORGANIZATION CONDUCTING THE [MAJOR LEAGUE
SPORTS] ATHLETIC EVENT DRAWING TO ONE OR MORE DESIGNATED
CHARITABLE ORGANIZATIONS FOR WHICH THE DRAWING WAS CONDUCTED.
(C.1) USE OF FUNDS.--
(1) THE AFFILIATED NONPROFIT ORGANIZATION MAY UTILIZE
NONPRIZE MONEY COLLECTED FOR THE FOLLOWING:
(I) TO EMPLOY OR PROVIDE PAYMENT TO INDIVIDUALS 18
YEARS OF AGE OR OLDER TO SELL [MAJOR LEAGUE SPORTS]
ATHLETIC EVENT DRAWING TICKETS [AT A PROFESSIONAL
SPORTING EVENT].
(II) FOR ADMINISTRATIVE EXPENSES DIRECTLY RELATED TO
THE CONDUCT OF THE ATHLETIC EVENT DRAWING UNDER THIS
SECTION.
(2) AUTHORIZED EXPENSES UNDER PARAGRAPH (1)(II) MAY NOT
EXCEED 2% OF THE TOTAL AMOUNT COLLECTED FROM THE SALE OF
[MAJOR LEAGUE SPORTS] ATHLETIC EVENT DRAWING TICKETS.
(D) DESIGNATED CHARITABLE ORGANIZATION.--THE AFFILIATED
NONPROFIT ORGANIZATION CONDUCTING THE [MAJOR LEAGUE SPORTS]
ATHLETIC EVENT DRAWING SHALL DISCLOSE TO ALL TICKET PURCHASERS
THE DESIGNATED CHARITABLE ORGANIZATION FOR WHICH THE [MAJOR
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LEAGUE SPORTS] ATHLETIC EVENT DRAWING IS BEING CONDUCTED.
(E) ELIGIBILITY.--IN ORDER TO RECEIVE PROCEEDS FROM [A MAJOR
LEAGUE SPORTS] AN ATHLETIC EVENT DRAWING, A CHARITABLE
ORGANIZATION MUST BE IN EXISTENCE AND FULFILLING ITS PURPOSES
FOR AT LEAST TWO YEARS PRIOR TO THE DRAWING AND SHALL BE
ELIGIBLE FOR EXEMPTION UNDER SECTION 501(C)(3) OF THE INTERNAL
REVENUE CODE OF 1986 (PUBLIC LAW 99-514, 26 U.S.C. § 501(C)(3)).
A POLITICAL SUBDIVISION SHALL NOT QUALIFY AS A CHARITABLE
ORGANIZATION UNDER THIS SECTION.
(F) UNCLAIMED PRIZES.--ANY [MAJOR LEAGUE SPORTS] ATHLETIC
EVENT DRAWING PRIZE REMAINING UNCLAIMED BY A WINNER AT THE END
OF THE [MAJOR LEAGUE SPORTS] ATHLETIC TEAM'S SEASON SHALL BE
DONATED WITHIN 30 DAYS FROM THE END OF THE SEASON BY THE
AFFILIATED NONPROFIT ORGANIZATION TO THE DESIGNATED CHARITABLE
ORGANIZATION FOR WHICH THE [MAJOR LEAGUE SPORTS] ATHLETIC EVENT
DRAWING WAS CONDUCTED.
(G) APPLICABILITY.--THE LIMITATIONS UNDER SECTIONS 302,
303(B), 308 AND 704 SHALL NOT APPLY TO [A MAJOR LEAGUE SPORTS]
AN ATHLETIC EVENT DRAWING.
(H) ADDITIONAL RECORDKEEPING.--THE DEPARTMENT MAY REQUIRE
ADDITIONAL RECORDKEEPING OR ACCOUNTABILITY MEASURES FOR [MAJOR
LEAGUE SPORTS] ATHLETIC EVENT DRAWINGS.
(i) Mechanical or electrical devices.--An athletic event
drawing may be played with the assistance of a mechanical or
electric al device, nothing under this subsection shall be
construed to authorize any other form of gambling authorized
under 4 Pa.C.S. ( relating to amusements).
(j) Definition.--As used in this section, the term "team
event" means a practice, scrimmage, exhibition or similar event
at the home stadium or training camp facility of an athletic
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team under paragraph (1), (2), (3) or (4) of the definition of
"athletic team" in section 103.
Section 4. The act is amended by adding a section to read:
Section 304.2. Airport 50/50 drawing.
(a) General rule.--A person may purchase one or more airport
50/50 drawing tickets, and each ticket shall represent one entry
in the drawing for a winner. A single ticket shall be randomly
chosen as the winner after a certain number of tickets are sold
or a specified time period expires, as designated by the
airport. Purchase of airport 50/50 drawing tickets may be made
by cash, credit card or debit card. AN AIRPORT 50/50 DRAWING MAY
ONLY TAKE PLACE PURSUANT TO AUTHORIZATION BY THE AIRPORT
GOVERNING BODY.
(b) Airport.--Prior to purchasing an airport 50/50 drawing
ticket, the airport shall request contact information from
prospective buyer.
(b) (c) Frequency and location.--An airport 50/50 drawing
may be conducted at an airport no more than one time per
calendar day. Drawings may only be held within the spaces of an
airport terminal to which the general public, including ticketed
passengers, regularly has access. ACCESSIBLE ONLY BY THE GENERAL
PUBLIC WHO ARE TICKETED PASSENGERS AND HAVE PROCEEDED THROUGH A
SECURITY CHECKPOINT.
(c) (d) Distribution.--The prize amount of an airport 50/50
drawing shall be 50% of the total amount collected from the sale
of airport 50/50 drawing tickets. The other 50% of the total
amount collected from the sale of airport 50/50 drawing tickets
shall be donated within seven days from the date of the drawing
by the airport to the designated charitable organization for
which the drawing was conducted.
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(d) (e) Designated charitable organization.--The identity of
the designated charitable organization for which the airport
50/50 drawing is being conducted shall be disclosed to all
ticket purchasers.
(e) (f) Eligibility.--In order to receive proceeds from an
airport 50/50 drawing, a charitable organization must be in
existence and fulfill its purposes prior to the airport 50/50
drawing and shall be eligible for exemption under section 501(c)
(3) of the Internal Revenue Code of 1986 (Public Law 99-514, 26
U.S.C. § 501(c)(3)). A political subdivision , airport or airport
authority shall not qualify as a charitable organization under
this act, but an organization formed by a political subdivision
that is eligible for exemption under section 501(c)(3) of the
Internal Revenue Code of 1986 shall qualify as a charitable
organization under this act.
(g) Notification.--An airport shall contact a winner based
on the information submitted under subsection (b).
(f) (h) Unclaimed prizes.--Any airport 50/50 drawing prize
remaining unclaimed by a winner 180 days after the drawing shall
be donated to the designated charitable organization for which
the airport 50/50 drawing was conducted.
(g) (i) Applicability.--The limitations under sections 302,
303(b), 308 and 704 shall not apply to an airport 50/50 drawing.
(j) Mechanical or electrical devices.--An airport 50/50
drawing may be played with the assistance of a mechanical or
electrical device, nothing under this subsection shall be
construed to authorize any other form of gambling authorized
under 4 Pa.C.S. (relating to amusements).
(h) (k) Additional recordkeeping.--The department may
require additional recordkeeping or accountability measures for
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airport 50/50 drawings.
(I) RESTRICTION ON AIRPORTS.--NOTWITHSTANDING ANY OTHER
PROVISIONS OF THIS ACT, AN AIRPORT SHALL ONLY BE PERMITTED TO
CONDUCT AIRPORT 50/50 DRAWINGS UNDER THIS SECTION AND NO OTHER
GAMES OF CHANCE.
Section 5. Sections 307(d.1), 501(a)(1), 502(a.1)(1) and,
702(g), 903(b) and (e) and 904 of the act are amended to read:
Section 307. Licensing of eligible organizations.
* * *
(d.1) Bank account and records.--An eligible organization
with proceeds of games of chance that exceed [$40,000] $60,000
per year shall maintain a bank account, which shall be separate
from all other funds belonging to the licensed eligible
organization. Account records shall show all expenditures and
income and shall be retained by the licensed eligible
organization for at least two years.
* * *
Section 501. Club licensee.
(a) Report.--
(1) [Beginning in 2014, a] A club licensee with proceeds
in excess of [$20,000] $30,000 in a calendar year shall
submit annual reports to the department for the preceding 12-
month period on a form and in a manner prescribed by the
department.
* * *
Section 502. Distribution of proceeds.
* * *
(a.1) Amounts retained.--
(1) Notwithstanding subsection (a), if in a calendar
year [beginning January 1, 2013,] the proceeds from a game of
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chance for a club licensee are [$40,000] $60,000 or less, the
licensee shall be eligible to retain the first [$20,000]
$30,000 in proceeds in the following calendar year before
subsection (a) applies.
* * *
Section 702. Enforcement.
* * *
(g) [General rule] Violations of Liquor Code.--
(1) Except as provided in paragraph (2), a violation of
this act by a club licensee shall not constitute a violation
of the Liquor Code.
(2) If a club licensee has committed three or more
violations of this act, the Bureau of Liquor Control
Enforcement may enforce a violation of this act as a
violation of the Liquor Code.
(3) A violation of this act shall not constitute a
violation of the Liquor Code for the purposes of section
471(c) of the Liquor Code.
(4) A violation of section 304.1 or 304.2 shall not
constitute a violation of the Liquor Code.
Section 903. Licenses.
* * *
(b) Information.--The application under subsection (a) shall
include the following information:
(1) The name, address and photograph of the applicant.
(2) A current tax lien certificate issued by the
department and a certificate from the Department of Labor and
Industry of payment of all workers' compensation and
unemployment compensation owed.
(3) The details of any license issued under 4 Pa.C.S.
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Pt. II (relating to gaming), the act of April 12, 1951
(P.L.90, No.21), known as the Liquor Code, or this act which
was applied for or in which the applicant or other owner has
an interest.
(4) [Certified consent by the applicant, including each
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.
(8) Relating to disclosure of conditional license
agreements entered into under the Liquor Code.
(9) Any other information required by the board.
* * *
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[(e) Background investigation.--Each applicant shall include
information and documentation as required to establish personal
and financial suitability, honesty and integrity. Information
shall include:
(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.] (Reserved).
(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]
subsection (c) shall augment the funds appropriated to the
Pennsylvania Gaming Control Board under 4 Pa.C.S. (relating to
amusements).
Section 6. Section 913(c) and (d) of the act are amended,
subsection (f) is amended by adding a paragraph and the section
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is amended by adding subsections:
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.--
* * *
(3) A third violation of this chapter shall result in a
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 under 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.--
(1) Except as provided under paragraph (2), a violation
of this chapter by a restaurant licensee shall not constitute
a violation of the act of the Liquor Code.
(2) If a restaurant licensee has committed three or more
violations of this act in a calendar year, the bureau may
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enforce a violation of this chapter as a violation of the
Liquor Code.
Section 7. 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:
* * *
(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 6 8. Within two years of the effective date of this
section, the Department of Revenue shall publish regulations to
implement and administer the provisions of this act.
Section 7 9. This act shall take effect in 60 days. AS
FOLLOWS:
(1) THE AMENDMENT OF SECTIONS 307(D.1), 501(A)(1), and
502(A.1)(1) AND 702(G) OF THE ACT SHALL TAKE EFFECT JANUARY
1, 2019.
(2) THIS SECTION SHALL TAKE EFFECT IMMEDIATELY.
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(3) THE REMAINDER OF THIS ACT SHALL TAKE EFFECT IN 60 DAYS.
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