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Gambling in Pennsylvania

From Wikipedia, the free encyclopedia
Gambling in the US state

Gambling in Pennsylvania includescasino gambling, thePennsylvania Lottery,horse racing,bingo, andsmall games of chance conducted bynonprofit organizations andtaverns under limited circumstances. Although casino gaming has been legal for less than two decades,Pennsylvania is second only toNevada in commercial casino revenues.[1]

On October 26, 2017, the House passed a bill to legalize onlinegambling. GovernorTom Wolf signed that bill into law on October 30, 2017.

History

[edit]

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.[2]

The PA state lottery was established in Act 91 of 1971 as a government run entity.[3] The purpose of the lottery, as stated in the bill, is to provide property tax relief to the elderly for property taxes paid in 1971 and thereafter to persons 65 years of age or older. 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.[4] The passing of this bill led to repeated pushes for casinos in the 1980s-1990s. The first major effort to establish casinos took place in the Pocono Mountains Resort Area. Several polls were taken in the region, and in all cases residents rejected the idea.[5] This is primarily due to a general apprehension about gambling in the 1980s. Pennsylvanians looked to Nevada as an example of what casinos could do to a society, and saw nothing but corruption and criminals.[6]

In 1993 and 1994, there was another push for gambling, this time on riverboats in state waterways. Although supporters of riverboats were determined that legalizing riverboat gambling would bring more money into Pennsylvania, fiscal experts and social scientists had said that the gambling industry could generate crime and actually cost the state money. 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.[7] Another reason riverboat gambling legislation failed to be passed in the mid-1990s is that the newly elected governor,Tom Ridge, demanded a series of voter referendums as a condition for his support of any legislation. This consequently drained any existing momentum for the passage of riverboat legislation.[8]

One last failed push for gambling in Pennsylvania occurred in 1999. A gaming bill, that was approved by the State House, would have allowed for a voter referendum to decide whether the state should have slot machines at the four racetracks, authorize riverboats, and allow video poker at taverns. 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. This act, also known as the Pennsylvania Racehorse Development and Gaming Act, established the Pennsylvania Gaming Control Board and legalized casinos and racetracks within the state.[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.[3] The moral, social, and religious grounds on which people had previously opposed gambling became less of a factor as new generations of Pennsylvanians became adults, which eventually led to a greater public acceptance of gambling.[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.[6] During the first full year of operations, seven casinos produced machine revenues of over one billion dollars, which yielded tax revenues of about seven hundred and sixty-six million dollars, and by the end of 2009, the revenues of Pennsylvania machines exceeded those of machines in other states with the exception of Nevada.[3]

The success of Act 71 led to calls for more gambling legislation to be passed in Pennsylvania. The 2017 Truck stop and Satellite casino bill included in it a plan to establish 10 new mini-casino sites, as well as expand casino-style gambling to truck stops, online portals, and airports.[2] In 2016 there were approximately 18,000 people employed by the various racetracks and casinos around the state, all of which generate approximately $1.4 billion annually in tax revenue.[11]

In April 2025, Pennsylvania’s gambling revenue rose 10.7% year-on-year to $558.7 million, largely driven by significant growth in iGaming, which neared a monthly record with $227.7 million, up 31.3% from last year. Online slots and table games saw significant increases, while online poker dipped slightly.Hollywood Casino at Penn National led the iGaming sector, followed by Valley Forge andRivers Casino Philadelphia. Sports betting revenue remained steady at $42.5 million, withFanDuel and DraftKings dominating the market. Land-based slots revenue dipped 1.2% to $203.1 million, but retail table games rose 2.8%. Overall, legal gambling generated $234.5 million in tax revenue for the state, with iGaming and land-based slots as the largest contributors.[12]

In July 2025, PA's gaming revenue reached $557.7m, up 11.4% year-on-year.[13] This was primarily driven by iGaming, up 30.9% vs 2024. Sports betting saw a 0.5% decline, generating $40.6m.

Horse racing

[edit]

Horse Racing was the first type of gambling to be legalized in Pennsylvania, having been legal since the passing of the Race Horse Industry Reform Act in 1959. The first race track to open after the passage of that act wasMeadows Racetrack in 1963.[14] In addition to the racetracks, there are also severaloff-track betting establishments with simulcasting available. Online betting and phone betting on horse racing is also legal. Greyhound racing, however, is not permitted.

Current racetracks

[edit]
List of horse racetracks in the U.S. state ofPennsylvania
RacetrackOpening DateTypeCity
Harrah's PhiladelphiaJanuary 22, 2007HarnessChester
Hollywood Casino at Penn National Race CourseAugust 30, 1972ThoroughbredGrantville
Hollywood Casino at The MeadowsJune 28, 1963HarnessWashington
Mohegan PennsylvaniaJuly 15, 1965HarnessWilkes-Barre
Parx Casino and RacingNovember 1974ThoroughbredBensalem
Presque Isle DownsFebruary 28, 2007ThoroughbredErie

Current off-track betting locations

[edit]
South Philadelphia Race & Sportsbook

There are several locations offering off-track betting throughout the state. Each location is affiliated with a specific racetrack. Off-track betting has been legal since 1988. Pennsylvania was the 5th state in the country to legalize off-track betting parlors. 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. The legislation also called for a maximum of 23 locations total throughout the state.[15]




List of off-track betting locations in the U.S. state ofPennsylvania
NameCityAffiliation
The Downs at Lehigh ValleyAllentownMohegan Sun
South Philadelphia Race & SportsbookPhiladelphiaParx

Former off-track betting locations

[edit]

Due to horse racing's decline in popularity, many off-track betting locations have closed. However, some operators, including Parx, will be adding sports betting to existing off-track betting locations in 2019.




List of former off-track betting locations in the U.S. state ofPennsylvania
NameCityAffiliationOpening DateClosing DateReference
The Downs at CarbondaleCarbondaleMohegan SunMay 20, 2018[1]
The Downs at HazletonHazletonMohegan Sun1997December 31, 2011[2]
Brandywine Turf ClubConcordvilleParx
Center City Turf ClubPhiladelphiaParx1990March 2016[3]
Northeast Turf ClubPhiladelphiaParx2001December 2018[4]
Oaks Race & SportsbookOaksParx
Upper Darby Turf ClubUpper DarbyParxMay 2010[5]
Penn National OTW ChambersburgChambersburgPenn National19942018[6]
Penn National OTW Exeter TownshipReadingPenn National1992March 30, 2015[7]
Penn National OTW JohnstownJohnstownPenn National1992 (owned by Meadows until 1998)June 20, 2007[8]
Penn National OTW WilliamsportWilliamsportPenn National2007
The Meadows GreensburgGreensburgMeadows2007[9]
The Meadows Moon TownshipCoraopolisMeadows1993June 2013[10]
The Meadows New CastleNew CastleMeadows1990November 30, 2014[11]
The Meadows West MifflinWest MifflinMeadows

Casino gambling

[edit]
See also:List of casinos in Pennsylvania
Valley Forge Casino Resort

Since its creation in 2004Pennsylvania Gaming Control Board oversees all casinos in the state.

In 2004, the Pennsylvania Race Horse Development and Gaming Act was passed which legalizedslot machines at fourteen locations beginning in 2006. The act authorized licenses for seven horse track racing locations (orracinos), five standalone casinos, and tworesort casinos.[16] All casinos can have up to 5,000 machines, except the resort licensees, which can have up to 600. The Act also mandated that two of the five stand-alone casinos be located inPhiladelphia, one inPittsburgh, and the remaining two at-large. Community organization Casino-Free Philadelphia campaigned against expansion during this period and after, both through attending Pennsylvania Gaming Control Board and by engaging in a series of protests and stunts.[17][18]

Casinos in Pennsylvania have been permitted to operatetable games since July 2010. Stand-alone and racinos may have up to 250 table games, while resort casinos are limited to a maximum of 50 table games. 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.

Pennsylvania casinos set a revenue record for 2017 as a whole, generating $3.227 billion in revenues.[19]

Types

[edit]

The Pennsylvania Gaming Control Board has authorized four categories of casino licenses:[20]

  • Category 1:Horse race track casinos
  • Category 2: Stand-alone casinos
  • Category 3: Resort casinos
  • Category 4: Satellite casinos

Lottery

[edit]
Main article:Pennsylvania Lottery
The current logo of the Pennsylvania Lottery.

The Pennsylvania Lottery has been available throughout the Commonwealth since 1972. In addition to regular drawings, the state also participates inPowerball (offered through the Multi-State Lottery Association) andMega Millions games and sellsscratchcard tickets.

Draw games offered by the Pennsylvania Lottery include Pick 2, Pick 3, Pick 4, Pick 5, Treasure Hunt, Cash 5, and Match 6, as well as the multi-state gamesCash4Life, Mega Millions, and Powerball. The "Pick" games are standard fixed-payout games, while Treasure Hunt, Cash 5, and Match 6 are jackpot-style games similar to Mega Millions and Powerball. The lottery also offers the annual raffle game, Millionaire Raffle.

On May 1, 2018, the Pennsylvania lottery launchedkeno as a part of their gaming offerings, with drawings every 4 minutes. Results are displayed at selected lottery retailers on monitors.[21] The Pennsylvania Lottery also launched Xpress Sports later in 2018, which include two virtual sports games, football and racing. Keno and Xpress Sports games are offered at all lottery retailers, but players can view the results live via monitors at select retailers.

Pennsylvania's gaming expansion also allowed for the creation of Pennsylvania's online lottery, iLottery, which began operation on June 4, 2018. The iLottery consists of unique games; standard draw games are not available online.[22] 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.[23]

Bingo and small games of chance

[edit]

The Pennsylvania Local Option Small Games of Chance Act became law in 1988.[24] The legislation allows limited gaming in non-profit organizations and in for-profit taverns. Game types include pull-tab games, punchboards, raffles (including special permit raffles), daily drawings, weekly drawings, fifty-fifty (50/50) drawings (including major league sports drawings), Race Night Games, and pools.

The Pennsylvania Bingo Law was passed in 1981 and allows for organizations to conduct bingo games.[25]

Future expansion

[edit]

On October 26, 2017, the state legislature approved a bill that would allow casino gambling attruck stops,airports, andonline, including fantasy sports. The bill was signed byPennsylvania governorTom Wolf on October 30, 2017. The bill also would authorize licenses for ten new satellite casinos with a requirement that they be located at least 25 miles from an existing casinos. The satellite casino licenses allowing up to 750 slot machines and 30 table games would only be granted to existing owners of casinos in Pennsylvania. Municipalities also have the option to prohibit casinos within their borders.[26]

The passage of the October 30th gambling expansion bill made Pennsylvania the fourth state to legalize online gambling, joining Nevada, New Jersey, and Delaware.[27] Pennsylvania is the only state to offer both gaming and lottery tickets online. Finally, the law authorized casinos to offersports betting pending a change in federal law or a possibleSupreme Court ruling.[26] On May 14, 2018, the Supreme Court declared theProfessional and Amateur Sports Protection Act of 1992 unconstitutional. Casinos began to offering sports betting on November 15, 2018.[28] Gambling companies must pay a 34% state tax on their revenue.[29] Betting on eSports is, however, not legal.

Truck stops may operate up to five slot machines with counties having the option to prohibit gambling at truck stops. Casinos may make agreements to operate an interactive gambling parlor with an airport authority at any of Pennsylvania's international or regional airports. Pennsylvania became the only state other than Nevada to permit gaming at airports, although as of January 2018, no airport has announced plans to offer gaming. In August 2019,Rutter's andPenn National Gaming opened the first video gaming room at a Rutter's convenience store inManchester Township inYork County. There are plans to open video gaming rooms at more Rutter's locations in 2019 and 2020.[30]

The Pennsylvania Gaming Control Board began accepting applications for online gaming licenses in July 2018. Nine casinos in the state applied by the initial deadline. The four Pennsylvania casinos that did not apply prior to the deadline can still do so in the future, but for an increased fee.[31]

Fantasy sports

[edit]

Eight providers are licensed to offerfantasy sports in Pennsylvania.[32]

  • DraftKings
  • FanDuel
  • Draft
  • Boom Fantasy
  • Sportshub Technologies
  • Full Time Fantasy Sports
  • Yahoo Fantasy Sports
  • Fantasy Draft

Truck Stops

[edit]

As of December 2019, video gaming terminals are available at eight qualified Pennsylvania truck stops.[33]


List of truck stop VGT parlors in the U.S. state ofPennsylvania
NameOpening DateAddressCity
Bald Eagle Truck StopSeptember 9, 2019[34]612 McElhattan DrMcElhattan
Emlenton Truck PlazaAugust 23, 2019[35]6406 Emlenton Clintonville RdEmlenton
Keystone Truck StopOctober 27, 2019[36]208 Keystone DrLoganton
Pit Stop Travel Plaza3400 E Valley RdLoganton
Rutter'sAugust 16, 2019[37]2125 N Susquehanna TrlYork
Rutter's4425 W Market StYork
Rutter's27335 Rte 75 NMifflintown
Rutter's935 Plank RdDuncansville

Skill games

[edit]

A new phenomenon across Pennsylvania is the proliferation of "skill machines". These machines, often looking like video slot machines or VGTs, are able to circumvent gaming laws due to a 2014 court decision that decided they were not slot machines. Thus, these machines can now be found at many bars, clubs, gas stations, and tobacco shops across the state.[38] These games are largely unregulated and the state legislature has debated whether to tax the machines.[39]

Illegal gambling

[edit]

Even with the proliferation of gambling in the state in recent years as Pennsylvania's gaming laws become more permissive, illegal gambling is still commonplace in Pennsylvania. Many bars, private clubs, truck stops, fire company social halls, and many other establishments have long allowed slot machines or video poker machines on the premises.[40] Legislation has often been discussed about legalizing and regulating VGTs in these establishments, but it has yet to pass.[41] Currently, enforcement is typically done by the Pennsylvania State Police, Bureau of Liquor Control Enforcement, and there are an estimated 40,000 illegal machines throughout the state.[42]

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.[43]

List of casinos

[edit]
Main article:List of casinos in Pennsylvania

See also

[edit]

References

[edit]
  1. ^Levy, Marc (October 26, 2017)."Major Gambling State Pennsylvania Poised for Big Expansion".U.S. News & World Report. Associated Press. RetrievedOctober 28, 2017.
  2. ^ab"Pennsylvania House debates casino expansion bill".Associated Press. October 25, 2017.ProQuest 1955328437.
  3. ^abcThompson, William N. (2010)."Gambling Taxes: The Philosophy, the Constitution, and Horizontal Equity".Jeffrey Moorad Sports Law Journal.17 (2). Villanova University Charles Widger School of Law Digital Repository: 389. RetrievedAugust 13, 2019.
  4. ^"1971 Act 91 State Lottery Law".Pennsylvania General Assembly. August 26, 1971. RetrievedMarch 26, 2018.
  5. ^Thompson, William Norman (2001).Gambling in America: An Encyclopedia of History, Issues, and Society. ABC-CLIO. p. 292.ISBN 9781576071595.In 1999 gambling pennsylvania.
  6. ^abEadington, William R (Summer 1999)."The Economics of Casino Gambling".Journal of Economic Perspectives.13 (3):173–192.doi:10.1257/jep.13.3.173.
  7. ^Hinds, Michael Decourcy (April 7, 1994)."Riverboat Casinos Seek A Home in Pennsylvania".The New York Times. p. A18. RetrievedMarch 26, 2018.
  8. ^abcMadonna, G. Terry; Young, Michael (May 12, 2003)."Betting On It"(PDF).Politically Uncorrected. Franklin & Marshall College. RetrievedAugust 13, 2019.
  9. ^"Pennsylvania Race Horse Development and Gaming Act"(PDF).Pennsylvania Gaming Control Board. RetrievedAugust 13, 2019.
  10. ^Joint State Government Commission (February 2017)."Horse Racing In Pennsylvania"(PDF).General Assembly of Pennsylvania. RetrievedAugust 13, 2019.
  11. ^"2016 Racetrack Casino Benchmark Report"(PDF). Pennsylvania Gaming Control Board. 2016. RetrievedAugust 13, 2019.
  12. ^Fletcher, Robert (May 20, 2025)."Pennsylvania gambling revenue up 10.7% in April due to iGaming growth".iGB. RetrievedMay 20, 2025.
  13. ^"PA Online Casinos 2025 | Full list of Pennsylvania Casinos".Casino.org. RetrievedSeptember 16, 2025.
  14. ^"From Horse Racing To Possibly iGaming: The Timeline of Legal Gambling In Pennsylvania".PA Online Casino News. September 14, 2015. RetrievedOctober 28, 2017.
  15. ^Drachler, Stephen (December 1, 1988)."Betting Parlors OK'd; L.V. Called Likely Site".The Morning Call. RetrievedAugust 13, 2019.
  16. ^"Pennsylvania governor signs bill to bring in 61,000 slot machines". Associated Press. July 5, 2004. Archived fromthe original on October 29, 2017. RetrievedOctober 28, 2017.
  17. ^Hunter, Daniel (June 17, 2024)."Nonviolent Direct Action as Social Parable".The Commons Social Change Library. RetrievedApril 12, 2025.
  18. ^350.org; Hunter, Daniel (April 16, 2024)."Campaign Tactics".The Commons Social Change Library. RetrievedApril 12, 2025.{{cite web}}: CS1 maint: numeric names: authors list (link)
  19. ^"Pennsylvania Casinos Set A New Revenue Record In 2017".Online Poker Report. January 17, 2018. RetrievedJanuary 29, 2018.
  20. ^Derbyshire, Martin (March 31, 2018)."The Four Types Of Land-Based PA Casino Licenses Explained".PA Online Casino. RetrievedAugust 13, 2019.
  21. ^"PA Lottery Launches Keno, Here's How to Play".WNEP-TV. April 30, 2018. RetrievedAugust 13, 2019.
  22. ^O'Boyle, Bill (July 2, 2018)."PA Lottery introduces PA iLottery interactive online games".Times Leader. RetrievedAugust 13, 2019.
  23. ^Thompson, Charles (June 27, 2018)."Pennsylvania casinos ask Wolf Administration to suspend iLottery games".The Patriot-News. RetrievedAugust 13, 2019.
  24. ^"Small Games of Chance Overview"(PDF).Pennsylvania Department of Revenue. Archived fromthe original(PDF) on June 19, 2018.
  25. ^"Frequently Asked Questions about the Bingo Law"(PDF).Pike County, Pennsylvania. RetrievedAugust 13, 2019.
  26. ^ab"Highlights of Pennsylvania's casino gambling expansion law".Miami Herald. Associated Press. October 30, 2017. Archived fromthe original on October 30, 2017. RetrievedOctober 31, 2017.
  27. ^"Pennsylvania Online Casinos & Online Gambling".Online Gambling Sites. RetrievedAugust 13, 2019.
  28. ^Andrew Maykuth (December 3, 2018)."Pa.'s first sports-betting casino attracts a younger crowd".The Philadelphia Inquirer.
  29. ^Thompson, Charles (May 15, 2018)."Casinos seem receptive to sports betting, but some complain about Pa.'s 34 percent tax rate".The Patriot-News. RetrievedMay 15, 2018.
  30. ^Staff (August 16, 2019)."Rutter's partners with Penn National to open 1st gaming room". Allentown, PA: WFMZ-TV. RetrievedAugust 16, 2019.
  31. ^Wood, Joss (July 17, 2018)."PA Online Gambling Ready For Takeoff: Nine PA Casinos Apply For Full Licenses".Online Poker Report. RetrievedAugust 13, 2019.
  32. ^"Pennsylvania Fantasy Contests Revenue Up 37% In September - Pennsylvania Gaming Control Board".gamingcontrolboard.pa.gov.
  33. ^"Pennsylvania Gaming Control Board Posts First Video Gaming Terminal Revenue Reports - Pennsylvania Gaming Control Board".gamingcontrolboard.pa.gov.
  34. ^Keating, Chris (September 9, 2019)."Video Gaming Lounge Added to Travel Plaza in Clinton County".WNEP. RetrievedDecember 21, 2019.
  35. ^"First legal Video Gaming Terminals opened in Emlenton, PA".YourErie.com. Nexstar Broadcasting, Inc. August 23, 2019. RetrievedDecember 21, 2019.
  36. ^Keith, Patt (October 27, 2019)."Cambria welcomes first Video Gaming Terminals".Altoona Mirror. RetrievedDecember 21, 2019.
  37. ^Strebig, Neil (August 16, 2019)."Rutter's unveils digital gambling machines at York County location, more set for 2019".York Daily Record. RetrievedDecember 21, 2019.
  38. ^Thompson, Charles (June 12, 2018)."Unregulated gambling finds a corner in the corner store (and bar, and lots of other places, too)".The Patriot-News. RetrievedAugust 13, 2019.
  39. ^"In the battle over how to legislate skill games, everyone is playing for keeps".City & State PA. August 26, 2024. RetrievedJuly 7, 2025.
  40. ^Lindstrom, Natasha (September 19, 2017)."Pennsylvania lawmakers call for crackdown on illegal gambling, booze sales".Tribune-Review. RetrievedAugust 13, 2019.
  41. ^Sroka-Holzmann, Pamela (January 30, 2015)."Illegal social club gambling undermines legitimate gaming operators, experts say".Lehigh Valley Live/The Patriot-News. RetrievedAugust 14, 2019.
  42. ^Murphy, Jan (March 27, 2017)."Effort to legalize video gaming in bars is back with broader support".The Patriot-News. RetrievedAugust 14, 2019.
  43. ^Greger, Mike (May 15, 2018)."Legal sports gambling in PA: 'Bookies are laughing' at the state's high tax rate".Billy Penn.WHYY-TV. RetrievedAugust 14, 2019.

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