Robbins: Senate Votes to Add Safeguards to Slots Law

Harrisburg – The State Senate today approved a legislative package co-sponsored by Senator Bob Robbins (R-50) amending Pennsylvania’s new gambling law to prohibit government officials from investing in gaming venues and expand the state Attorney General’s power to prosecute crimes associated with gaming.

Robbins said a key provision of Senate Bill 1209 would bar any ownership by state, county, municipal and party officials, executive-level state employees and their immediate families in gaming venues, their holding companies, affiliates or associated businesses. The slots law, Act 71, passed in July, allowed a one-percent investment. Senate Bill 1209 would also ban having a financial interest in businesses that manufacture or supply gaming venues.

“The original slots law contained a loophole that raised legitimate questions and demanded that we act to make it clear that public officials cannot benefit from the money brought in by these new slots facilities,” said Robbins.

The legislation excludes mutual funds, pension funds, blind trusts, and Section 529 tuition account programs. Individuals covered by the provisions of Senate Bill 1209 would have three months to divest or could face a misdemeanor punishable by a fine of up to $1,000 and up to one year imprisonment, said Robbins.

Robbins said the legislation also addresses a request by the Attorney General’s Office and the State Police to expand the jurisdiction of prosecutions for racketeering and organized crime. The legislation would add the new gambling offenses of Act 71 to those crimes prosecuted under the existing Pennsylvania’s Racketeer Influence and Corrupt Organizations (RICO) Act.

The legislation also establishes a Gaming Division within the Attorney General’s office to monitor the activities of the gaming venues.

“With the authorization of slots venues, we’re entering uncharted waters in Pennsylvania. It is vital that we use the strongest tools available to prevent corruption,” said Robbins. “The truth is, many of these issues were initially raised when the slots law was passed, but in their zest to pass the initial slots legislation the gambling proponents turned a blind eye toward some of these basic accountability provisions. I voted for these safeguards when they were initially brought up and I am pleased that we were finally able to pass this legislation today.”

Senate Bill 1209 requires that the Gaming Board adhere to the provisions of several key statutes and regulations including the Right-to-Know Law, the State Adverse Interest Act, the Open Meetings (Sunshine Act), Ethics Standards and Financial Disclosure, the Procurement Code, the Commonwealth Attorneys Act, the Commonwealth Documents Law, and the Regulatory Review Act, said Robbins.

In addition, Senate Bill 1209 would mandate background checks by the Pennsylvania State Police for all employees of the Gaming Board and it would prohibit board members and employees from holding or campaigning for public office or actively participating in any political campaign.

The bill now goes to the House of Representatives for consideration.

CONTACT: Mike Hengst (717) 787-1322