New law reauthorizes clubs to use 100% of small games of chance revenue
HARRISBURG, July 8 – New legislation signed by the governor Thursday reauthorizes social clubs throughout Erie and the commonwealth to use all of the revenue they receive from small games of chance, state Rep. Pat Harkins, D-Erie, announced today.
Harkins, who is Democratic chairman of House Gaming Oversight Committee, said Act 49 of 2022 essentially continues a policy implemented during the pandemic that allowed clubs to use 100% of that revenue for costs rather than having to allocate 60% to public interest programs.
“Under the standard rule in effect before the pandemic, clubs were permitted to retain 40% of their small games of chance revenue for costs but were required to use 60% of that revenue for public interest programs and projects,” Harkins said. “A provision implemented during the pandemic eased that rule and permitted clubs to tap 100% of their small games of chance revenue to help them shoulder operating costs at a time when pandemic restrictions and shutdowns dried up fundraising and other key revenue.
“The law easing restrictions during the pandemic recently expired, but civic, fraternal and veterans’ clubs in Erie and throughout Pennsylvania are still very much feeling the impact of pandemic-related restrictions. The new law reauthorizing that policy is great news because it ensures that these terrific groups that do so much for our community will have the help they need to continue operating.”
Harkins said that under the new law, clubs will be able to use all of their small games of chance revenue through the end of the calendar year.