Pennsylvania Senate Bill SB626

Pennsylvania 2025-2026 Regular Session

• Introduced: 4/14/25
• Refer: 4/14/25

Caption

Providing for skill video gaming; imposing duties on the Department of Revenue; providing for issuance of licenses for skill video gaming; imposing a tax and criminal and civil penalties; and providing for zoning.

Impact

The passage of SB 626 would significantly alter the landscape of gaming regulation in Pennsylvania. It establishes taxation on gross profits generated by skill video gaming, with a set tax rate of 16%. The revenue generated from this tax will be allocated to various funds, including the Clean Streams Fund and counties and municipalities where the games are operated. Ultimately, this law seeks to create a regulated market for skill video games, ensuring compliance and safety for both players and operators.

Summary

Senate Bill 626, also known as the Skill Video Gaming Act, aims to establish a comprehensive regulatory framework for skill video gaming within the Commonwealth of Pennsylvania. The bill mandates the issuance of licenses for the operation of skill video game systems, imposing duties on the Department of Revenue for regulation and enforcement. It defines key terms, sets forth licensing requirements, and outlines the procedures for application, renewal, and potential revocation of licenses. The act intends to ensure lawful operation while supporting consumer protections and promoting responsible gaming practices.

Sentiment

The general sentiment regarding SB 626 appears to be supportive among proponents who argue that it will create a more structured and economically beneficial environment for skill gaming. However, there exists a degree of contention, primarily revolving around local control issues, as municipalities may feel their authority to regulate gaming within their boundaries is diminished by state-imposed regulations. Economic development advocates view this framework as a step towards modernization in the gaming sector, while local governance advocates express reservations about state overreach.

Contention

Key points of contention in this legislation include concerns about the implications of preempting local regulations regarding zoning and business operations related to skill video game systems. Critics argue that while the intent to regulate and tax is clear, local governments could be stripped of the ability to tailor regulations to meet the specific needs of their communities. Additionally, the financial burdens associated with obtaining a license—such as the substantial application fees—raise concerns over potential monopolization of the skill gaming market by larger operators, potentially sidelining smaller businesses.