PRINTER'S NO. 3379
THE GENERAL ASSEMBLY OF PENNSYLVANIA
HOUSE BILL
No.
2444
Session of
2024
INTRODUCED BY MEHAFFIE, MERSKI, ABNEY, BURGOS, CABELL, CONKLIN,
DALEY, GROVE, GUZMAN, JOZWIAK, KINSEY, MADDEN, MADSEN, MAJOR,
MALAGARI, ORTITAY, ROZZI, STENDER, STRUZZI, WARREN AND
D. WILLIAMS, JUNE 24, 2024
REFERRED TO COMMITTEE ON GAMING OVERSIGHT, JUNE 24, 2024
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 and for sales
limited, providing for pull-tab deals, further providing for
distributor licenses, for registration of manufacturers, for
regulations of department and for licensing of eligible
organizations; in club licensees, further providing for
distribution of proceeds; and, in enforcement, further
providing for revocation of licenses and providing for other
penalties and for licensed eligible organizations subject to
audit by Auditor General.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
Section 1. The definitions of "games of chance" and "passive
selection device" 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, are amended and the section is amended by adding
definitions to read:
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
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:
* * *
"Electronic pull-tab device." An electronic device used by a
player solely to facilitate the play of an electronic pull-tab
game. For the purpose of this definition, the following shall
apply:
(1) An e lectronic pull-tab device shall be a cabinet or
portable tablet, not including a mobile phone or other
personal computing device.
(2) An electronic pull-tab device shall be
incorporated
into
an electronic
pull-tab system and may not be used for
personal communication or capable of connection to an
unsecured or publicly accessible communication network.
"Electronic pull-tab game." An electronic or digital
representation of a pull-tab game played on an electronic pull-
tab device. For the purpose of this definition, an electronic
pull-tab game may not replicate or simulate the game of keno,
blackjack, roulette, poker, craps, any other casino-style table
game or slot machine. The reveal of numbers or symbols in an
electronic pull-tab game may incorporate an entertainment or
bonus theme if all of the following apply:
(1) The reveal does not include spinning reels that
resemble a slot machine.
(2) The reveal theme does not require an additional
consideration or award any prize other than the predetermined
prize associated with the winning electronic pull-tab ticket.
20240HB2444PN3379 - 2 -
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
"Electronic pull-tab system." Electronic pull-tab games,
electronic pull-tab devices and an associated computer or
device, including all related hardware and software, used to
facilitate the play of electronic pull-tab games and store and
manage game data between and from points-of-sale.
* * *
"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. For the
purpose of this definition, the following shall apply:
(1) An event pull-tab may not be both an instant winner
and a hold card.
(2) A game may not contain duplicate hold combinations.
If a game contains multiple sets of hold combinations, each
set shall be distinguishable by color or distinguishing
features.
(3) An event pull-tab may contain more than one hold
combination.
(4) The number of winners and prize amounts 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 paper and
electronic pull-tab games, 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
20240HB2444PN3379 - 3 -
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
the assistance of any mechanical or electrical devices or media
other than a dispensing machine [or], passive selection device
or electronic pull-tab system and further provided [that] 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 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.
* * *
"Passive selection device." A device which is used to hold
or denote the universe of possible winning numbers or entrants
in a daily drawing, bingo game, event game or raffle. Such a
device may not have the capability of being utilized to conduct
or aid in the conducting of unauthorized or illegal forms of
gambling.
"Pick-board game." A pu ll-tab game played with a flare
containing more than one sealed tab that when opened reveal
predesignated winning numbers or symbols. For the purpose of
this definition, certain tickets in the game 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 multiple seal cards designed by the manufacturer to
20240HB2444PN3379 - 4 -
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
include a jackpot prize that is carried over to a subsequent
deal of pull-tab tickets of the same form number if the jackpot
prize is not won. For the purpose of this definition, the amount
dedicated to the progressive jackpot shall be predetermined by
the manufacturer and built into the payout structure for the
game, however, the progressive jackpot does not need to be a
predetermined amount.
* * *
"Pull-tab game." A deal of pull-tab tickets with a finite
number of winning and losing tickets and a predetermined prize
structure. For the purpose of this definition, each pull-tab
within a game shall have a unique serial number and be sold for
the same price.
* * *
"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. For the purpose of
this definition, the following shall apply:
(1) Each subset shall have a corresponding flare, which
shall contain at least one sealed tab.
(2) Certain tickets in each subset shall bear a
designation providing one or more players the opportunity to
win a prize when the sealed tab or tabs are opened.
* * *
Section 2. Section 302(a), (b), (c), (c.1), (d)(4), (d.1),
(f) and (h) of the act are amended and the section is amended by
adding a subsection to read:
Section 302. Prize limits.
(a) Individual prize limit.--Except as provided under
20240HB2444PN3379 - 5 -
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
subsections [(d) and (d.1)] (a.1), (d), (d.1), (f) and (h), the
maximum prize which may be awarded for any single chance shall
be [$2,000] $10,000.
(a.1) Progressive or subset pull-tab games.--Notwithstanding
subsection (a), the maximum prize for an individual jackpot
prize in a progressive pull-tab game or subset pull-tab game may
not exceed $20,000.
(b) Aggregate prize limit.--No more than [$35,000] $150,000
in prizes shall be awarded from [games of chance] a daily or
weekly drawing by a licensed eligible organization in any seven-
day period.
(c) Raffle prize limit.--Up to [$15,000] $50,000 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)]
(a) 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] $15,000 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] $300,000 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] $250,000 from raffles
20240HB2444PN3379 - 6 -
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
which shall not be subject to the aggregate limit under
subsection [(b), (c) or (d)] (c).
(f) Daily drawing carryover.--The prize limitation contained
in subsections (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] $10,000 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) 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.
* * *
(h) Weekly drawing carryover exception.--Weekly drawings
shall be governed by the prize limitation contained in
subsection (b). The prize limitation contained in subsection (b)
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] $150,000 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) 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.
20240HB2444PN3379 - 7 -
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
* * *
Section 3. Section 303(b) of the act is amended to read:
Section 303. Sales limited.
* * *
(b) Limitation.--No game of chance, other than a raffle
under section 302(d), a progressive pull-tab game or subset
pull-tab game, which is sold, offered for sale or furnished to a
licensed eligible organization for use within this Commonwealth
shall contain, permit, depict or designate a prize having a
prize limit in excess of [$2,000] $10,000.
Section 4. The act is amended by adding a section to read:
Section 303.2. Pull-tab deals.
(a) Sale or transfer.--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
or electronic pull-tab game that contains more than 4,000
individual pull-tabs.
(b) Paper pull-tabs.--Nothing in this section shall be
construed to impose a restriction on the number of paper pull-
tabs that can be put out for public play as part of a single
deal.
(c) Last remaining tickets.--Nothing in this section shall
prohibit a pull-tab deal from awarding a cash prize or chance at
a seal prize to the purchaser of the last remaining ticket in
the deal.
Section 5. Section 304(g) of the act is amended to read:
Section 304. Distributor licenses.
* * *
(g) Ineligibility.--The department shall not issue or renew
a distributor license for the sale of games of chance to a
20240HB2444PN3379 - 8 -
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
person, including any corporation, firm or partnership which has
as an officer, director or other person in a supervisory or
management position, [or] an employee eligible to make sales on
behalf of the distributor or an affiliated person or entity ,
who:
(1) has been convicted of a felony in a state or Federal
court within the past five years; [or]
(2) has been convicted within ten years of the date of
application in a state or Federal court of a violation of any
of the following:
(i) This act.
(ii) The act of July 10, 1981 (P.L.214, No.67),
known as the Bingo Law.
(iii) A gambling-related offense under 4 Pa.C.S.
(relating to amusements).
(iv) A gambling-related offense under 18 Pa.C.S.
(relating to crimes and offenses).
(v) A Federal or State law comparable to the
statutes listed under subparagraphs (i), (ii), (iii) and
(iv)[.];
(3) has engaged in a business operation, whether through
direct participation or via an arm's-length sales
relationship, for which the product, device, service or
commodity sold or otherwise provided has been determined to
be illegal gambling in this Commonwealth or any other state
or jurisdiction where the product, device, service or
commodity is utilized; or
(4) has received direct or indirect financial benefit
from the operation of illegal gambling in this Commonwealth
or any other state or jurisdiction.
20240HB2444PN3379 - 9 -
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
* * *
Section 6. Section 305 of the act is amended by adding a
subsection to read:
Section 305. Registration of manufacturers.
* * *
(c.1) Ineligibility.--The department shall not issue or
renew a certificate under this section for the sale of games of
chance to a person, including any corporation, firm or
partnership which has as an officer, director or other person in
a supervisory or management position, an employee eligible to
make sales on behalf of the manufacturer or an affiliated person
or entity , who:
(1) has been convicted of a felony in a Federal or state
court within the past five years;
(2) has been convicted within ten years of the date of
application in a Federal or state court of a violation of any
of the following:
(i) this act;
(ii) the act of July 10, 1981 (P.L.214, No.67),
known as the Bingo Law;
(iii) a gambling-related offense under 4 Pa.C.S.
(relating to amusements);
(iv) a gambling-related offense under 18 Pa.C.S.
(relating to crimes and offenses); and
(v) a Federal or state law comparable to the
statutes listed under subparagraphs (i), (ii), (iii) and
(iv);
(3) has engaged in a business operation, whether through
direct participation or via an arms-length sales
relationship, for which the product, device, service or
20240HB2444PN3379 - 10 -
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
commodity sold or otherwise provided has been determined to
be illegal gambling in this Commonwealth or any other state
or jurisdiction where the product, device, service or
commodity is utilized; or
(4) has received direct or indirect financial benefit
from the operation of illegal gambling in this Commonwealth
or any other state or jurisdiction.
* * *
Section 7. Section 306(a)(1) and (2) 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, except as
provided under section 303.2, 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] North American Gaming Regulators
Association and other standards commonly accepted in the
industry.
(2) Establish procedures by which manufacturers may
register and distributors of games of chance may apply for
licensure on forms which the department shall provide.
Procedures shall include a requirement that manufacturer and
distributor applicants provide criminal history record
20240HB2444PN3379 - 11 -
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
information obtained from the Pennsylvania State Police under
18 Pa.C.S. § 9121(b) (relating to general regulations) for
each [officer and manager of the manufacturer's or
distributor's organization and for any other individual
specified by the department] person specified under sections
304(g) and 305(c.1). As used in this paragraph, the term
"criminal history record information" has the meaning given
in 18 Pa.C.S. § 9102 (relating to definitions).
* * *
Section 8. Section 307(d) of the act is amended by adding
paragraphs to read:
Section 307. Licensing of eligible organizations.
* * *
(d) Operation.--Each licensed eligible organization shall be
prohibited from the following:
* * *
(7) Conducting electronic pull-tab games utilizing more
than the following number of devices at a location:
(i) Ten devices if occupancy limits for the location
are greater than 250.
(ii) Seven devices if occupancy limits for the
location are more than 100 and up to 250.
(iii) Five devices if occupancy limits for the
location are less than or equal to 100.
(8) Utilizing an electronic pull-tab system that has not
been tested by an independent gaming test laboratory approved
by the department as meeting the standards adopted by the
department.
* * *
Section 9. Section 502(a) of the act is amended to read:
20240HB2444PN3379 - 12 -
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
Section 502. Distribution of proceeds.
(a) Distribution.--The proceeds from games of chance
received by a club licensee shall be distributed as follows:
(1) No less than [60% ] 40% of the proceeds shall be
paid for public interest purposes within one year of the end
of the calendar year in which the proceeds were obtained.
(2) No more than [40%] 60% of the proceeds obtained in a
calendar year may be retained by a club licensee.
* * *
Section 10. Section 701(a) of the act is amended by adding a
paragraph to read:
Section 701. Revocation of licenses.
(a) Grounds.--The following shall be grounds for suspension,
revocation or nonrenewal of a license:
* * *
(16) Operation of an electronic pull-tab device that was
not obtained from a licensed distributor.
* * *
Section 11. The act is amended by adding sections to read:
Section 708.1. Other penalties.
In addition to any other penalty specified under this
chapter, a person who conducts, finances, manages, supervises,
directs or owns an electronic gambling device intended for use
in this Commonwealth in violation of this act shall be subject
to a civil penalty not to exceed $25,000 for each device, which
shall be payable to the county where the device was operated.
The Attorney General or the district attorney of the county may
cause an action in equity to be brought in the name of the
Commonwealth or the county, as applicable, to:
(1) enjoin the operation of an electronic gambling
20240HB2444PN3379 - 13 -
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
device specified under this section;
(2) request an attachment against the electronic
gambling device and money within the device; and
(3) recover the civil penalty specified under this
section.
Section 709. Licensed eligible organizations subject to audit
by Auditor General.
The Auditor General shall conduct random audits of licensed
eligible organizations to ensure compliance with this act and
other laws of this Commonwealth.
Section 12. This act shall take effect in 60 days.
20240HB2444PN3379 - 14 -
1
2
3
4
5
6
7
8
9
10
11