The Pennsylvania Senate has passed a bill that would reduce the minimum number of slot machines casinos are required to operate. The bill aims to give venues greater flexibility as gambling habits shift. Lawmakers say the change reflects the growing dominance of online play, which offers vast game libraries and mobile features without space constraints.
Key Takeaways
- The Pennsylvania Senate passed a bill to reduce the minimum number of required slot machines
- The bill aims to keep casinos competitive to meet modern demands
- Opponents of the bill stress that removing slot machines would also create fewer jobs and tax revenue in the state
Currently, casinos in Pennsylvania must maintain a fixed number of machines, even though many of these go unused for days, weeks, and even months. This old rule was once intended to protect jobs and tax revenue, but proponents of the measure argue that keeping these games constitutes a loss due to the shift in the way people play.
Supporters of the new bill also argue that freeing casinos from this old rule will let them repurpose the space for more in-demand attractions, like sportsbooks, table games, events, or dining, while experimenting with new technologies and smaller-scale games.
Admittedly, some lawmakers voiced their concerns about possible job losses and reduced tax contributions, but backers stressed that the bill doesn’t require machine removals. Instead, it only removes the obligation to keep idle ones.
The measure passed with strong support and now heads to the state House.
Pennsylvania governor signs Lottery bill increasing payouts
Other recent gambling legislation in Pennsylvania includes the state’s governor, Josh Shapiro, who signed legislation that cuts the Pennsylvania Lottery’s mandatory profit margin from 20% to 10%.
This move aims to boost sales by allowing higher-payout games. Supporters say that change will make the Lottery more financially stable, with proceeds funding vital programs for older residents through the Department of Aging.
While the Secretary of Revenue Pat Browne called the measure a necessary step to keep the Lottery competitive in a crowded gaming market, Rep. Melissa Shusterman, who sponsored the bill, said the update will help seniors maintain independence and quality of life.
Lawmakers emphasized that Lottery funds remain a crucial lifeline for Pennsylvania’s growing senior population and help cover the essentials, like medication, transit, and community support.
Pennsylvania lawmakers discuss skill-games tax
While Pennsylvania lawmakers agree to change slot machine requirements, some are still debating taxing skill game machines, which resemble slot machines but have not been classified as gambling devices.
Currently untaxed, these games generate hundreds of millions in revenue annually, prompting calls for regulation and taxation.
Business owners and social club operators, who share in the profits, are advocating for a 16% tax rate, arguing that it would legitimize the devices and sustain their operations.
Governor Shapiro, on the other hand, has proposed a much higher 52% rate, which is closer to what slot machine operators pay.
Many now believe a compromise lies between the two proposed rates. However, opponents argue that higher taxation rates could harm small businesses that rely on skill game income.
