Delco reps split on expanded gambling in Pa. – Delco News Network

Posted: June 11, 2017 at 5:39 pm

A vote in favor of a massive gambling expansion in Pennsylvania passed the state House of Representatives late Wednesday night by a vote of 102-89.

First addressing the need to fix the local share tax issue in which the local revenue from Harrahs casino has been crucial to the city of Chester the bill intends to open up and legalize online gambling and daily fantasy sports, and authorizes tablet gambling at Pennsylvania airports. It will allow video gaming terminals in drinking establishments.

Split mostly down party lines, local representatives were deeply divided over the need for revenue and the difficulty in regulating the video gaming terminals.

Democratic Reps. Brian Kirkland, D-159 of Chester, Margo Davidson, D-164 of Upper Darby, and Leanne Krueger-Braneky, D-161 of Swarthmore, voted nay, while Reps. Nick Miccarelli, R-162 of Ridley Park, Jamie Santora, R-163 of Upper Darby, and Steve Barrar, R-160 of Upper Chichester, voted in the affirmative.

This is a revenue generator, Santora said, who serves on the Gaming Oversight Committee. Were finally addressing the fantasy sports, which at some point will have a ruling from the federal government, but if youre not regulating youre not taking part in it.

Under HB 271, daily fantasy sports like FanDuel and DraftKings would have to pay $50,000 license fee and pay a 19 percent tax based on in-state participation. Applicants would also have to verifying they are at least 18 years of age.

Additionally, it solidifies the local shares from casinos locking in Harrahs at 2 percent a year of gross slot-machine gambling to Delaware County and $10 million a year to the city of Chester. Municipalities across the state will receive similar revenue shares, save for the city-county of Philadelphia, where SugarHouse Casino will pay 2 percent a year to both the host county and the host municipality.

Chester is in big trouble. Theyre one of the poorest municipalities in the state. They cant afford to lose the $10 million a year, Santora said. Blocking this is risking that.

The county hasnt raised taxes in three years, and Im sure the casino revenue is a big reason why, he continued.

However, the expansion of video gaming terminals, or VGTs, into bars, hotels, restaurants, truck stops, clubs or nursing homes, has brought great concern over the capacity of those owners to oversee and regulate addictive gambling among their patrons.

The casinos are highly regulated. They have mechanisms in place to identify and support folks with gambling addiction issues. The state police offer safety, said Krueger-Braneky. None of that will be true in this case. This is nothing more than a massive gambling expansion in an attempt to find new revenue from a Republican body that refuses to pass a severance tax (on Marcellus shale extractors).

Gov. Tom Wolf and fellow Democrats have been trying to pass a natural gas severance tax for years.

The bill is expected to go through drastic changes once the state Senate is back in session on Monday.

Barrar said he expects the gambling expansion bill to go to conference committee, which will include members from both the House and Senate from both majority and minority parties to hash out the differences between the two houses.

I voted in favor of the VGTs for the tavern owners. Theyre struggling, and a big chunk will come back to the communities, Barrar said. Right now Harrahs gives back to the county, but I dont know that it benefits my constituents.

Im not sure theres an appetite for VGTs in the Senate, but I do think well see an expansion of gaming, Miccarelli said.

Miccarelli too said the lack of oversight was of concern, but it didnt outweigh the benefits of revenue to local municipalities.

Itll ensure the additional revenue to municipalities is done in a responsible way, Miccarelli said. At the end of the day, you have problems at casinos with the strictest oversight I have concerns about gambling, but that versus raising taxes, Id rather not raise taxes on working families.

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Delco reps split on expanded gambling in Pa. - Delco News Network

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