2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 4 - AMUSEMENTS › Chapter 12 - Pennsylvania Gaming Control Board › Section 1207 - Regulatory authority of board

§ 1207. Regulatory authority of board.
The board shall have the power and its duties shall be to:
(1) Deny, deny the renewal, revoke, condition or suspend any license, permit, certificate, registration or other authorization provided for in this part if the board finds in its sole discretion that a licensee, permittee, registrant, certificate holder, or interactive gaming certificate holder, under this part, or its officers, employees or agents, have furnished false or misleading information to the board or failed to comply with the provisions of this part or the rules and regulations of the board and that it would be in the public interest to deny, deny the renewal, revoke, condition or suspend the license, permit, certificate, registration or other authorization.
(2) Restrict access to confidential information in the possession of the board which has been obtained under this part and ensure that the confidentiality of information is maintained and protected. Records shall be retained by the board for seven years.
(3) Prescribe and require periodic financial reporting and internal control requirements for all licensed entities.
(4) Require that each licensed entity provide to the board its audited annual financial statements, with such additional detail as the board from time to time shall require, which information shall be submitted not later than 90 days after the end of the licensee's fiscal year.
(5) Prescribe the procedures to be followed by slot machine licensees for any financial event that occurs in the operation and play of slot machines, table games, authorized interactive games, casino simulcasting, multi-use computing devices or sports wagering.
(6) Prescribe criteria and conditions for the operation of slot machine progressive systems, including multistate wide-area progressive slot machine systems. A wide area progressive slot system shall be collectively administered by participating slot machine licensees in accordance with the terms of a written agreement executed by each participating slot machine licensee and, in the case of a multistate wide-area progressive slot machine system, in accordance with the multistate agreement, as approved by the board.
(6.1) Collaborate with the appropriate regulatory agencies in other states or jurisdictions to facilitate the establishment of multistate wide-area progressive slot machine systems by slot machine licensees in this Commonwealth and, if determined necessary, enter into the multistate agreements.
(7) Enforce prescribed hours for the operation of slot machines so that slot machine licensees may operate slot machines on any day during the year in order to meet the needs of patrons or to meet competition.
(7.1) Enforce prescribed hours for the operation of table games so that a certificate holder may conduct table games on any day during the year in order to meet the needs of patrons or to meet competition.
(7.2) Enforce prescribed hours for the operation of authorized interactive games so that an interactive gaming certificate holder or interactive gaming operator may conduct authorized interactive games on any day during the year in order to meet the needs of registered players or to meet competition.
(7.3) In consultation with the commission, enforce prescribed hours of operation of casino simulcasting by slot machine licensees.
(8) Require that each licensed gaming entity prohibit persons under 21 years of age from operating or using slot machines, playing table games or participating in interactive gaming, casino simulcasting and sports wagering.
(9) Establish procedures for the inspection and certification of compliance of each slot machine, table game, table game device and associated equipment, interactive game and interactive gaming device and associated equipment, casino simulcasting technology and equipment and sports wagering and sports wagering devices prior to being placed into use by a slot machine licensee. The board shall collaborate with the commission to facilitate the inspection and certification of casino simulcasting technology and equipment.
(10) Subject to paragraph (10.1), require that no slot machine or authorized interactive game that replicates the play of a slot machine, other than a slot machine or authorized interactive game that replicates the play of a slot machine that is used in a multistate wide-area progressive slot machine system, may be set to pay out less than the theoretical payout percentage, which shall be no less than 85%, as specifically approved by the board. The board shall adopt regulations that define the theoretical payout percentage based on the total value of the jackpots expected to be paid by a play or a slot machine game or an authorized interactive game that replicates the play of a slot machine divided by the total value of wagers expected to be made on that play or slot machine game or an authorized interactive game that replicates the play of a slot machine during the same portion of the game cycle. In so doing, the board shall decide whether the calculation shall include the entire cycle of a slot machine game or an authorized interactive game that replicates the play of a slot machine or any portion thereof. Subject to paragraph (10.1), in the case of a slot machine that is used in a multistate wide-area progressive slot machine system, the theoretical payout percentage shall be as set forth in the multistate agreement.
(10.1) For each of the following, define the player's win percentage based on the relative skill of the player or the combination of skill and the elements of chance of the game:
(i) A skill slot machine or an authorized interactive game that replicates the play of a skill slot machine. For a skill slot machine or authorized interactive game that replicates the play of a skill slot machine that is used in a multistate wide-area progressive slot machine system, the player's win percentage shall be as set forth in the multistate agreement.
(ii) A hybrid slot machine or an authorized interactive game that replicates the play of a hybrid slot machine. For a hybrid slot machine or an authorized interactive game that replicates the play of a hybrid slot machine that is used in a multistate wide-area progressive slot machine system, the player's win percentage shall be set forth in the multistate agreement.
(11) Require each slot machine license applicant to provide detailed site plans of its proposed licensed facility which shall be reviewed and approved by the board for the purpose of determining the adequacy of the proposed security and surveillance measures inside and outside the facility. Applicants will cooperate with the board in making changes to the plans suggested by the board and will ensure that the plans as modified and approved are implemented.
(12) Upon request, provide background investigation reports of applicants for licenses and permits for use at racetracks to the State Horse Racing Commission and the State Harness Racing Commission.
(13) Require slot machine licensees to provide onsite facilities for use by the board and other appropriate persons for the purpose of carrying out their respective responsibilities under this part.
(14) Consult with members of the Pennsylvania State Police, the Office of Attorney General, the department and such other persons it deems necessary for advice regarding the various aspects of the powers and duties imposed on it under this part and its jurisdiction over the authorization, operation and play of slot machines, table games and licensed facilities.
(15) Enter into contracts with any person for the purposes of carrying out the powers and duties of the board under this part.
(16) Require each slot machine licensee to sell Pennsylvania State Lottery tickets at its licensed facility at a location as near as practicable to the pay windows.
(17) Permit, in its discretion and upon application or petition, the use of a temporary facility within which slot machines and table games may be available for play or operation at a licensed gaming facility, for a period not to exceed 24 months, provided that, upon good cause shown, the board may extend permission to operate a temporary facility for an additional 24-month period.
(18) (Reserved).
(19) Authorize an employee of the board to approve, deny or condition a request to decrease the number of slot machines in operation at a licensed facility. An employee may not approve a requested decrease in the number of slot machines under this paragraph if the requested decrease exceeds 2% of the total number of slot machines in operation at a licensed facility. Except as provided under paragraph (20), at no time shall the number of slot machines in operation at a Category 1 or Category 2 licensed facility be less than 1,500 or less than 250 slot machines at a Category 3 licensed facility.
(20) Approve or authorize an employee of the board to approve a temporary reduction in the number of slot machines in operation at a licensed facility under the following circumstances:
(i) For the duration of any renovation, remodeling or modification of an area of a licensed facility where slot machines are located.
(ii) To enable the licensed facility to respond to an emergency.
(21) Authorize, in its discretion, a slot machine licensee to conduct slot machine contests or tournaments, table game contests or tournaments in accordance with section 13A22.1 (relating to table game tournaments) or interactive gaming contests or tournaments and adopt regulations governing the conduct of such contests and tournaments.
(21.1) Authorize, at its discretion, a slot machine licensee to place slot machines that are used in a multistate wide-area progressive slot machine system, skill slot machines or hybrid slot machines and make them available for play at licensed facilities.
(21.2) Adopt and promulgate regulations to govern the operation and placement of skill slot machines and hybrid slot machines by slot machine licensees at licensed facilities in the same manner as provided in section 13B03 (relating to regulations).
(22) License, regulate, investigate and take any other action determined necessary regarding all aspects of interactive gaming, casino simulcasting and sports wagering.
(23) Define and limit the rules of authorized interactive games, including odds, interactive gaming devices and associated equipment permitted and the method of operation of authorized interactive games and interactive gaming devices and associated equipment.
(24) Require, as applicable, that all wagering offered through an interactive gaming website display the permissible minimum and maximum wagers associated with each authorized interactive game.
(25) Ensure, in consultation with the commission, that the wagering at casino simulcasting facilities is conducted in conformance with the pari-mutuel system of wagering regulated by the commission under 3 Pa.C.S. Ch. 93 (relating to race horse industry reform).
(26) Negotiate and enter into interactive gaming reciprocal agreements on behalf of the Commonwealth to govern the conduct of interactive gaming between interactive gaming certificate holders in this Commonwealth and gaming entities in other states or jurisdictions. Notwithstanding any provision of this part, wagers may be accepted in accordance with this part and regulations of the board from persons in other states or jurisdictions and wagers from persons in this Commonwealth may be made through an interactive gaming platform to a state or jurisdiction with which the Commonwealth has an interactive gaming reciprocal agreement if the board determines that such wagering is not inconsistent with Federal law or the law of the state or jurisdiction in which the person or gaming entity is located, or such wagering is conducted pursuant to an interactive gaming reciprocal agreement to which this Commonwealth is a party that is not inconsistent with Federal law. The board, with the approval of the Governor, is hereby designated as the agency of the Commonwealth with the power and authority to enter into interactive gaming reciprocal agreements with other states or jurisdictions.
(27) Enter into multistate agreements with other states or jurisdictions for the operation of multistate wide-area progressive slot machine systems.
(28) Authorize a Category 2 or Category 3 slot machine licensee to enter into an agreement with a Category 1 slot machine licensee for the conduct of casino simulcasting under the Category 1 slot machine licensee's authority as a licensed racing entity, if such agreement is approved by the board and by the commission, pursuant to the commission's authority under 3 Pa.C.S. Ch. 93.
(29) Adopt, in consultation with the commission, regulations to govern the conduct of casino simulcasting by a Category 2 or Category 3 slot machine licensee in accordance with paragraph (28).
(30) Adopt and promulgate regulations to govern the installation of video display technology in approved areas of a Category 1 licensed facility to enable the delivery of simulcast horse race meetings to patrons through video walls and other such video display technology. The board may consult with the commission to facilitate the installation of video display monitors in accordance with this paragraph and to facilitate the conduct of casino simulcasting under paragraph (28).
(Nov. 1, 2006, P.L.1243, No.135, eff. imd.; Jan. 7, 2010, P.L.1, No.1, eff. imd.; Oct. 30, 2017, P.L.419, No.42, eff. imd.)
2017 Amendment.
Act 42 amended pars. (1), (5), (6), (8), (9), (10) and (21) and added pars. (6.1), (7.2), (7.3), (10.1), (21.1), (21.2), (22), (23), (24), (25), (26), (27), (28), (29) and (30).
2010 Amendment.
Act 1 amended pars. (4), (5), (8), (9), (14) and (17) and added pars. (7.1), (18), (19), (20) and (21).
Cross References.
Section 1207 is referred to in sections 1103, 1317.3, 13A02, 13C02, 13F44 of this title.