HB 1823 — An Act amending Title 4 (Amusements) of the Pennsylvania Consolidated Statutes, in revenues, further providing for establishment of State Gaming Fund and net slot machine revenue distribution.

PRINTER'S NO.   2245

                       THE GENERAL ASSEMBLY OF PENNSYLVANIA



                             HOUSE BILL
                             No. 1823
                                                    Session of
                                                      2025

     INTRODUCED BY COOK AND JAMES, AUGUST 26, 2025

     REFERRED TO COMMITTEE ON GAMING OVERSIGHT, AUGUST 28, 2025


                                         AN ACT
 1   Amending Title 4 (Amusements) of the Pennsylvania Consolidated
 2      Statutes, in revenues, further providing for establishment of
 3      State Gaming Fund and net slot machine revenue distribution.
 4      The General Assembly of the Commonwealth of Pennsylvania
 5   hereby enacts as follows:
 6      Section 1.         Section 1403(c)(2)(i)(E) of Title 4 of the
 7   Pennsylvania Consolidated Statutes is amended to read:
 8   § 1403.    Establishment of State Gaming Fund and net slot machine
 9                   revenue distribution.
10      * * *
11      (c)    Transfers and distributions.--The department shall:
12             * * *
13             (2)   From the local share assessment established in
14      subsection (b), make quarterly distributions among the
15      counties hosting a licensed facility in accordance with the
16      following schedule:
17                   (i)    If the licensed facility is a Category 1
18             licensed facility that is located at a harness racetrack
19             and the county, including a home rule county, in which
 1        the licensed facility is located is:
 2                  * * *
 3                  (E)   A county of the fourth class:   [2% of the
 4             gross terminal revenue from each such licensed
 5             facility shall be distributed as follows:
 6                        (I)   The department shall make distributions
 7                  directly to each municipality within the county,
 8                  except the host municipality, by using a formula
 9                  equal to the sum of $25,000 plus $10 per resident
10                  of the municipality using the most recent
11                  population figures provided by the Department of
12                  Community and Economic Development, provided,
13                  however, that the amount so distributed to any
14                  municipality shall not exceed 50% of its total
15                  budget for fiscal year 2009 or 2013, whichever is
16                  greater, adjusted for inflation in subsequent
17                  fiscal years by an amount not to exceed an annual
18                  cost-of-living adjustment calculated by applying
19                  any upward percentage change in the Consumer
20                  Price Index immediately prior to the date the
21                  adjustment is due to take effect. Distributions
22                  to a municipality in accordance with this
23                  subclause shall be deposited into a special fund
24                  which shall be established by the municipality.
25                  The governing body of the municipality shall have
26                  the right to draw upon the special fund for any
27                  lawful purpose provided that the municipality
28                  identifies the fund as the source of the
29                  expenditure. Each municipality shall annually
30                  submit a report to the Department of Community

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 1                  and Economic Development detailing the amount and
 2                  purpose of each expenditure made from the special
 3                  fund during the prior fiscal year.
 4                      (II)   Any funds not distributed under
 5                  subclause (I) shall be deposited into a
 6                  restricted receipts account established in the
 7                  Department of Community and Economic Development
 8                  to be used exclusively for grants to the county,
 9                  to economic development authorities or
10                  redevelopment authorities within the county for
11                  grants for economic development projects,
12                  infrastructure projects, job training, community
13                  improvement projects, other projects in the
14                  public interest, and necessary and reasonable
15                  administrative costs. Notwithstanding the
16                  provisions of the act of February 9, 1999 (P.L.1,
17                  No.1), known as the Capital Facilities Debt
18                  Enabling Act, grants made under this clause may
19                  be utilized as local matching funds for other
20                  grants or loans from the Commonwealth.] 2% of the
21                  gross terminal revenue shall be deposited into a
22                  restricted receipts account to be established by
23                  the Commonwealth Financing Authority to be used
24                  exclusively for grant projects in the public
25                  interest to municipalities within the host
26                  county.
27                  * * *
28    Section 2.    This act shall take effect in 60 days.




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