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- Pennsylvania lawmakers are reviewing HB 2801, a sweeping legislative proposal that would outright ban online sweepstakes platforms operating on dual-currency models, threatening operators with massive fines of up to $500,000 per violation.
- While the bill seeks to eliminate the sweepstakes model, it simultaneously proposes expanding the state’s regulated video gaming footprint to more social clubs and truck stops—arriving just as state police prepare to begin seizing unregulated retail skill machines starting October 14.
Pennsylvania lawmakers are considering HB 2801, a bill that would ban online sweepstakes casino games in the state while expanding regulated video gaming under Pennsylvania Gaming Control Board oversight.
The proposal matters because Pennsylvania already has a broad regulated gambling market, including online casinos, retail casinos, sports betting, fantasy contests and video gaming terminals at qualified truck stops. If passed, HB 2801 would draw a clearer line between state-authorized gambling and sweepstakes-style products that use dual-currency systems and offer prizes, cash or cash equivalents.
Rep. Russ Diamond introduced the bill on Sept. 24, and it was referred to the House Gaming Oversight Committee, according to the source report.
HB 2801 targets sweepstakes casinos and sets steep penalties
Under the bill, online sweepstakes casino games that combine casino-style play with a dual-currency model would be prohibited. The source report says violations could carry fines ranging from $50,000 to $500,000 per violation, along with possible licensing consequences.
At the same time, HB 2801 would extend regulated video gaming beyond the current framework to more qualifying establishments. The report says those establishments could include restaurant liquor licensees, clubs and truck stops.
The source does not say when the committee might take up the bill, whether a hearing or vote has been scheduled, or whether the measure has bipartisan support.
Skill-game enforcement adds to the broader Pennsylvania crackdown
The legislation is being considered alongside a separate enforcement push involving skill-game machines in Pennsylvania.
According to the report, the Pennsylvania State Police set Oct. 13 as the compliance deadline for businesses to remove skill-game machines after a Pennsylvania Supreme Court ruling on June 15 that found skill games qualify as slot machines under current gaming law. Enforcement begins Oct. 14.
The report says businesses without the required Gaming Control Board license cannot legally keep the machines after the compliance period ends. It also says turning a machine off or unplugging it is not enough; businesses must arrange physical removal.
From Oct. 14, police may seize machines, related equipment and proceeds, and criminal charges may follow where appropriate, according to the report.
Together, the proposed sweepstakes ban and the skill-game enforcement timeline show Pennsylvania officials moving to tighten control over gaming that falls outside the state’s licensed system. For now, the next question is whether HB 2801 advances beyond committee review.
Source: As reported by igaming.org.
