An Act amending the act of December 19, 1988 (P.L.1262, No.156), known as the Local Option Small Games of Chance Act, in preliminary provisions, further providing for definitions; and, in games of chance, further providing for prize limits.

PRINTER'S NO. 2608
THE GENERAL ASSEMBLY OF PENNSYLVANIA
HOUSE BILL
No. 2038
Session of
2025
INTRODUCED BY SCHLEGEL, COOK, BANTA, K.HARRIS, WATRO AND CIRESI,
NOVEMBER 17, 2025
REFERRED TO COMMITTEE ON GAMING OVERSIGHT, NOVEMBER 17, 2025
AN ACT
Amending the act of December 19, 1988 (P.L.1262, No.156),
entitled "An act providing for the licensing of eligible
organizations to conduct games of chance, for the licensing
of persons to distribute games of chance, for the
registration of manufacturers of games of chance, and for
suspensions and revocations of licenses and permits;
requiring records; providing for local referendum by
electorate; and prescribing penalties," in preliminary
provisions, further providing for definitions; and, in games
of chance, further providing for prize limits.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
Section 1. The definitions of "daily drawing" and "weekly
drawing" in section 103 of the act of December 19, 1988
(P.L.1262, No.156), known as the Local Option Small Games of
Chance Act, are amended and the section is amended by adding a
definition to read:
Section 103. Definitions.
The following words and phrases when used in this act shall,
except as provided under section 902, have the meanings given to
them in this section unless the context clearly indicates
otherwise:
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* * *
"Daily drawing." A game of chance in which a bona fide
member selects or is assigned a number for a chance at a prize
with the winner determined by random drawing to take place on
the licensed eligible organization's licensed premises during
the same operating day. The term includes games of chance
commonly known as "member sign-in lotteries" and "half-and-half
lotteries." Daily drawing winners may be determined with the aid
of a passive selection device or reference to drawings conducted
by the department pursuant to the act of August 26, 1971
(P.L.351, No.91), known as the State Lottery Law. Daily drawing
chances may not be sold for an amount in excess of [$1] $10, and
no more than one chance per individual may be sold per drawing.
Nothing in this definition shall restrict an eligible
organization from conducting more than one drawing per day.
After a daily drawing is held, a bona fide member may
immediately select a number for a chance at a prize for the next
day's daily drawing.
* * *
"Monthly drawing." A game of chance in which a bona fide
member selects or is assigned a number or numbers for a chance
at a prize with the winner determined by random drawing to take
place on the licensed eligible organization's licensed premises
during an operating month. Nothing in this act shall be
construed to prohibit the carrying over of a jackpot where the
winning number has not been entered in the game in a particular
month. Monthly drawing winners may be determined with the aid of
a passive selection device or reference to drawings conducted by
the Department of Revenue pursuant to the act of August 26, 1971
(P.L.351, No.91), known as the State Lottery Law. Monthly
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drawing chances may not be sold for an amount in excess of $10.
* * *
"Weekly drawing." A game of chance in which a bona fide
member selects or receives a number or numbers for a chance at a
prize with the winner determined by a random drawing to take
place on the licensed eligible organization's licensed premises
at the end of a seven-day period. Weekly drawing winners may be
determined with the aid of a passive selection device or
reference to drawings conducted by the Department of Revenue
pursuant to the act of August 26, 1971 (P.L.351, No.91), known
as the State Lottery Law. Weekly drawing chances may not be sold
for an amount in excess of [$1] $10. After a weekly drawing is
held, a bona fide member may immediately select a number for a
chance at a prize for the next weekly drawing.
Section 2. Section 302 of the act is amended by adding a
subsection to read:
Section 302. Prize limits.
* * *
(h.1) Monthly drawing carryover exception.--Monthly drawings
shall be governed by the prize limitation contained in
subsection (b). The prize limitation contained in subsection (b)
may be exceeded by a monthly drawing under the following
circumstances: a monthly drawing may award a prize where the
cash value is in excess of $35,000 if such prize is the result
of a carryover of a drawing or drawings which resulted from the
winning number or numbers in such drawing or drawings not being
among the eligible entrants in such drawings. Nothing contained
in this chapter shall authorize the prize limitation under
subsection (b) to be exceeded as a result of a failure to
conduct a drawing for a month during which chances were sold for
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a monthly drawing or for a monthly drawing for which chances
were sold in excess of $1.
* * *
Section 3. This act shall take effect in 60 days.
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