Pennsylvania lawmakers have introduced an enormous new gaming bill with a section buried inside that could ban sweepstakes casinos in the Keystone State.
House Bill 2801 was introduced last week by Representatives Russ Diamond, Thomas Kuzma, Jacob Banta, Brad Roae, and Dan Moul (all Republican lawmakers). And if you’re wondering why this bill has arrived so late in the year, there are two reasons.
First, Pennsylvania’s legislative session runs later than in many states, with lawmakers continuing to work until November. More importantly, the state is currently trying to work out what happens next with its controversial ‘skill games’.
Skill Games in PA
In June, the Pennsylvania Supreme Court ruled that certain so-called skill games are subject to Pennsylvania’s gaming and gambling-device laws. These aren’t quite the same as the standard slots you’d find in a casino, although they look remarkably similar.
The machines at the centre of the case use three virtual spinning reels and pay out based on winning combinations, but they also include a separate skill element. For example, players can be offered a memory game after the initial spin.
That skill element had previously been used to argue that the machines weren’t gambling devices because players could influence the outcome. However, the Supreme Court rejected that argument, finding that whether the player gets the opportunity to play the memory game is itself determined by chance.
The court held that the devices were subject to Pennsylvania’s gaming and gambling-device laws, but stayed its order for 120 days to give lawmakers time to address the issue. That deadline will expire on October 13, and it’s kicked off a rush of legislation dealing with the future of these skill games, and more.
HB 2801 Is One of a Few Bills Addressing Skill Games
On top of HB 2801, Representative Brad Roae has also introduced separate legislation that would temporarily extend the deadline to April 13, 2027, while another bill would create a temporary transition period for existing skill game machines. Both were referred to the House Gaming Oversight Committee on September 24.
But HB 2801 goes considerably further than simply dealing with skill games – this bill is a sweeping overhaul of Pennsylvania’s gaming laws, covering areas including:
- Fantasy contests
- Casino slots
- Table games
- iGaming
- Sports wagering
- Gaming taxes
- Video gaming
- The powers of the Pennsylvania Gaming Control Board
The title of the associated memo is ‘Skill Games & Gaming Modernization‘, and tucked into the bill’s wider package is a section that would specifically prohibit online sweepstakes games.
This section would make it illegal to:
- Operate, conduct, or promote online sweepstakes games in Pennsylvania
- Support or assist in their administration, operation, conduct, or promotion
The proposed penalties are substantial too, with fines of $50,000 to $500,000 for each violation.
What Would This Mean For Sweepstakes Casinos?
The potential impact is significant because Pennsylvania is still a big market for sweeps casinos. SweepsKings currently tracks 280+ sweepstakes casinos, and just 43 of them restrict Pennsylvania players – big brands like McLuck, Spree, and WOW Vegas still offer their platforms there.
It’s also worth remembering that Pennsylvania already has legal, regulated iGaming, and that this appears to be the first PA bill we’ve identified to propose banning online sweepstakes games.
However, the bill was only introduced on September 24 and still would have to work its way through the Gaming Oversight Committee, and the official legislative record shows no votes or committee meetings scheduled in. The October 13 deadline for lawmakers to address the wider skill-games issue also leaves relatively little time for HB 2801 to make the necessary moves. But it does signal that at least some lawmakers in the Keystone State have sweeps on their mind.
Author: Bogdan Lunkan
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