Enforcement deadline for skill games passes with no action from state legislators
As the calendar reached Oct. 13, no last-minute intervention by the General Assembly materialized to prevent the thousands of skill game machines deployed across Pennsylvania from being shut down.
The small businesses and organizations hosting the machines have been forced to deactivate and remove the machines as a result of a state Supreme Court ruling issued in June of this year.
“Our message to operators and locations has been clear and consistent: follow the law, rely on accurate information and take the necessary steps to ensure games are not available for play,” Pace-O-Matic skills games spokesperson Rachel Albritton wrote in a statement. “We remain hopeful that lawmakers will reach a reasonable, common sense legislative solution.”
On June 15, the state Supreme Court ruled skill game machines were considered slot machines under the state’s Gaming Act. This meant that, as slot machines, they could be operated only in casinos by law.
The decision from the Supreme Court granted a 120-day extension before law enforcement could take any action on the ruling, giving Pennsylvania lawmakers until Tuesday to agree on new legislation that could give skill games a legal place in the state’s businesses. However, the deadline came and went with no action taken.
Recently elected state Rep. Brandon Dukes, D-12th, said he’s hopeful for a legislative solution in the future for skill games to continue to exist.
“My House Democratic colleagues and I stand willing to come to a reasonable resolution to this issue, one that both brings in new revenue and ensures a safe and equitable framework,” Dukes said. “Three years ago, Senate Republican lawmakers said they wanted to take the lead on skill games, and they must prove their ability to pass something. In the meantime, I’ll continue standing up for the Legions, VFWs and volunteer emergency services in my district.”
State Rep. Marci Mustello, R-11th, placed the blame for the lack of a compromise on what she called inaction by Gov. Josh Shapiro.
“During this time, Gov. Shapiro could and should have called together legislative leaders to negotiate the specific terms for legalizing these games. This did not happen,” Mustello said. “The absence of leadership from the governor’s office on this issue is a shame, because I believe there could be a negotiated pathway that would be beneficial to the state and our citizens.”
According to Albritton, the end of the Supreme Court grace period is already having serious consequences for Pennsylvania businesses and nonprofits who have been relying on skill games for supplemental — and even primary — income, as well as annual charitable contributions.
“A majority of the locations that we’re in ... they run on very tight margins,” Albritton said. “We're talking about mom-and-pop shops. We're talking American Legion, VFWs, we’re talking about volunteer fire departments. While they don't rely exclusively on the income, it is a major part of their revenue in terms of bridging that gap and keeping the lights on. … They're gonna have to make up that revenue loss with chicken barbecues and it's just not feasible.”
Poo’s Place, a dedicated skill game parlor on Freeport Road in Summit Township wasted no time and closed its doors on Sunday — two days before the deadline.
“We want to take a moment to sincerely thank each and every one of you for your support, loyalty and friendship throughout the years,” a statement on the Poo’s Place website reads. “What started as a place to play games became so much more. It grew into a community, a gathering place and for many of us, a second family.”
Local businessman Doug Sprankle was also forced to disable and remove the skill game machines at all three of his Sprankle’s Neighborhood Markets independent grocery stores, including one in Saxonburg.
In addition to managing the Saxonburg location, Sprankle is also president of PA TAP — the Pennsylvania Taverns and Players Association — and is an advocate for skill game legalization. He said his primary concern is for fraternal clubs and other nonprofit organizations which may be impacted.
“It's going to have a dramatic impact on our community, especially in Main Street Pennsylvania,” Sprankle said. “I've been talking to a lot of these people and their concern is that without the skill games, they're not sure how they're going to make their organization work. Since COVID, there's been a huge downturn in people being members of these organizations and so they had to find another way. Years ago they found skill games and have incorporated them into their budget ever since.”
Earlier this month, the state Senate passed a bill which would allow nonprofit organizations to keep half of all proceeds from small games of chance, such as pull-tabs and raffles — an increase from the 40% they are currently allowed. The bill is currently in committee in the state House.
However, Sprankle said this won’t be enough to cover reduced revenue caused by the loss of skill games.
“The state did pass some additional relief with the pull tabs and the other games of chance,” Sprankle said. “But the issue is that if those were more profitable than skill games for those organizations, obviously they would have used those instead of skill games.”
