Gambling in Pennsylvania
The modern purpose of gambling legislation in Pennsylvania is focused on using revenues to help create more jobs, boost the economy, and stitch together the state's financial deficit.
The lottery is also intended to curb illegal gambling operations that were taking place in PA.
The bill also outlines the procedures for selling tickets, commercial advertising, and distribution of prizes.
Likewise, the opposers of gambling said legalization would have a corrosive effect on families, and would increase the number of business failures, crimes, and traffic congestion.
However the referendum proposal was not scheduled for a vote, and this effort acquired the same outcome as legislation in the previous years.
[8] In 2004, Pennsylvania legislators passed Act 71, making progress in their push to legalize gambling.
[9] It was apparent that horse racing was a viable industry that would create thousands of new jobs and bring more money into Pennsylvania.
[10] The revenues gained by the machines and tracks would primarily go towards providing property tax relief, various horse breeders in the state, local governments, as well as various funds that were established by Act 71.
[8] Another factor that contributed to this acceptance was that the historic link between gambling and crime had diminished as the ownership structure of casinos had shifted to publicly traded corporations.
The original legislation called for each of the four racetracks (at that time) to have a 35-mile protective radius in which the off-track locations could be established.
In 2004, the Pennsylvania Race Horse Development and Gaming Act was passed which legalized slot machines at fourteen locations beginning in 2006.
The Act also mandated that two of the five stand-alone casinos be located in Philadelphia, one in Pittsburgh, and the remaining two at-large.
Table games legislation increased the number of slots that resort casinos may have, from 500 to 600 machines.
The 4th and newest license category, satellite casinos, allows existing operators to establish smaller, secondary locations.
In addition to regular drawings, the state also participates in Powerball (offered through the Multi-State Lottery Association) and Mega Millions games and sells scratchcard tickets.
On May 1, 2018, the Pennsylvania lottery launched keno as a part of their gaming offerings, with drawings every 4 minutes.
[18] iLottery has received backlash from Pennsylvania's casino operators, who claim the iLottery games are slot or casino-style in nature, and for casinos to offer online gaming in the state, they are required to pay a $10 million license fee.
[21] On October 26, 2017, the state legislature approved a bill that would allow casino gambling at truck stops, airports, and online, including fantasy sports.
[22] On May 14, 2018, the Supreme Court declared the Professional and Amateur Sports Protection Act of 1992 unconstitutional.
[36] Even with the legalization of sports betting in the state, the high tax rate of 36% and licensure fee of $10 million may allow the underground economy of bookmakers to continue to flourish.
