Pickett disappointed in content of table games legislation
Published: December 17, 2009
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Rep. Tina Pickett (R-Bradford/Sullivan/Susquehanna) recently said that the legislation allowing table games at Pennsylvania's slot machine casinos does not adequately address the many problems within the gaming industry, and as a result, she cast a "no" vote on Senate Bill 711.
"Since the law to expand gambling and allow slot machines in Pennsylvania, the industry has been fraught with problems and controversies," Pickett said. "For many years, my colleagues and I have been pushing necessary reforms to restore some semblance of integrity to the Gaming Control Board and to reach our overriding goal of this expansion - property tax relief. Unfortunately, many of our reforms were denied from being included in the current legislation."
Senate Bill 711 contained some reforms, including a lifetime ban on principal applicants who have felony convictions, but was lacking in allowing the state police to conduct background checks. The legislation also allows table games at a new, 15th location with a Category 3 license.
Under the bill, Category 1 and Category 2 licensed slot machine facilities can operate up to 250 table games at any one time, while Category 3 licensees could operate up to 50. Licensees approved by the Pennsylvania Gaming Control Board to operate table games would pay a one-time fee of $16.5 million. The fee for Category 3 licensees would be $7.5 million.
In total, licensees also would pay a state tax rate of 14 percent until June 1, 2011, and then 12 percent thereafter. Two additional percent of all daily table game revenues will be directed to local governments, 1 percent for the host municipality and 1 percent for the host county. A tax rate of 34 percent is set for fully automated electronic gaming tables.
In future years, if the state's Rainy Day Fund reaches $750 million - the amount withdrawn from the fund for this year's budget - table games' proceeds will be deposited into the Property Tax Relief Fund, an action that many feel is unlikely.
Although not in favor of Senate Bill 711, Pickett was pleased to see that funding will be released for the state's four state-related universities - Penn State, Pitt, Temple and Lincoln. Their funding was erroneously tied to table games legislation as part of the 2009-10 budget agreement.
"I am also disheartened that the General Assembly would push forth such a dramatic change in public policy just to fill a budget hole," Pickett said. "Slot machine gambling was enacted in 2004 to provide property tax relief, and we have yet to fully realize the promised results. Now, as gaming is expanded to include table games, property tax relief is left on the back burner."
Senate Bill 711 must go back to the state Senate for its consideration. It is not yet known what changes that chamber will make.
This article was submitted by the office of Rep. Tina Pickett.












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