A bill that could make online gambling a reality in Pennsylvania passed a House of Representatives vote on Wednesday. Only a few hours after the 600 + page document was released to the public, it managed to pass the House by a 102-89 vote – a vote that was uncomfortably too slim for gambling expansion proponents.
The House Majority Leader, Dave Reed said after the vote: “This is building upon the Senate proposal and will actually enhance revenue a little further.”
It is not sure whether the bill be have the support of the senators or Governor Tom Wolf, however it has the potential to create hundreds of millions of dollars in revenue from an expanded gambling industry through licensing fees and taxes.
The new bill has the potential to allow any business that holds a liquor license, such as bars and bowling alleys, to install electronic gambling machines. Pennsylvania could receive as many as 40,000 of these machines state-wide, with businesses limited to the number of machines they could hold on their premises. Most would only be allowed to offer five, while truck stops could offer ten.
As with all bills relating to gambling, there are very vocal supporters and opponents on both sides of the fence. Those who are in favor of the bill point out the financial benefits for the state as a whole, as well as for the small businesses that would be able to increase their income through the gambling machines. Local communities, they say, will thus benefit from the bill.
On the other hand, opponents state that there is a risk that gambling addiction will increase since machines will be available practically everywhere.
The Pennsylvania Lottery, under the new law, will be allowed to sell tickets and offer games online. Forecasts predict that the lottery will end the year with 2.3% less revenue than last year. Earlier this year, the budget secretary, Randy Albright, said that allowing the lottery to sell online games would generate up to $19 million for the lottery fund. Albright also said that if gambling expansion went ahead in Pennsylvania without including the lottery, it would have a negative impact on the fund.
Opponents to taking the Pennsylvania lottery online state that thousands could lose their jobs as small business owners rely on lottery revenues.
However, a spokesman for the lottery said: “We’re pleased that Senate recognized the need for the Pennsylvania Lottery to modernize by selling games online, which will help us to meet our players where they already are and remain competitive in a rapidly evolving gaming environment. Expanding into iLottery games will help us to generate the long-term, sustainable profit growth necessary to maintain the lottery’s funding of vital services for older Pennsylvanians.”
