Gambling in the USA

Massive borrowing, gambling bills advance in Pennsylvania budget scramble

Published

7 years ago

October 26, 2017

Reading Time: 3 minutes

The last cinderblocks in a four-month stalemate over how to fix Pennsylvania’s deficit-riddled finances began falling Wednesday as Pennsylvania lawmakers worked into the night to advance massive borrowing and casino gambling measures.

Hundreds of pages of legislation — including a 470-page gambling bill first unveiled Wednesday evening — moved through the Legislature as top lawmakers bowed to concessions they had resisted since mid-summer.

The Senate voted 31-19 to approve its just-unveiled, far-reaching gambling expansion plan after months of talks as part of a wider budget agreement. Efforts to win its quick passage in the House ran late into Wednesday night, and debate was to continue Thursday morning.

Under it, Pennsylvania, already the nation’s No. 2 commercial casino state, could see casino-style gambling in truck stops, airports, online portals and 10 brand new casino locations around the state, each with hundreds of slot machines and possibly table games.

It also would make Pennsylvania the first state to allow both casino and lottery games online, in a quest for money from new and younger players. Bars would be frozen out of the package, despite the House’s long insistence that a gambling expansion should favor those businesses, rather than casino operators.

In House debate, House Gaming Oversight Committee Chairman Scott Petri, R-Bucks, warned lawmakers not to pass something that they had not read, and that the bill carried a raft of unintended consequences.

“If you pass this bill, you will see an explosion of gambling in Pennsylvania like you’ve never seen before,” Petri said.

The bill’s license fees and taxes on higher gambling losses is projected to net upward of $200 million a year for Pennsylvania, a state that already netted $1.4 billion in taxes from the industry last year.

However, Pennsylvania-headquartered Penn National said it will consider suing over the gambling package, if it becomes law, because of the “uniquely punitive impact” on the Hollywood Casino it owns in suburban Harrisburg.

Earlier Wednesday, the Senate approved a House plan that revolves around borrowing $1.5 billion — with interest, payback likely would cost more than $2 billion over 20 years — and a grab bag of tax increases that is projected to yield as much as $140 million a year. For months, the Senate and Democratic Gov. Tom Wolf had sought a larger tax package and a lower borrowing limit, but ultimately found unyielding opposition from House Republicans.

Public finance analysts generally regard borrowing to pay operating costs as bad fiscal practice, and a last resort for a state in fiscal distress.

Along with tapping $500 million from off-budget funds, Senate Majority Leader Jake Corman, R-Centre, said gambling, tax and borrowing package should carry the current year’s spending, as well as next year’s.

“This should bring closure to the budget,” Corman said.

Pennsylvania has had spending authority since the fiscal year began July 1 under a nearly $32 billion budget bill that lawmakers overwhelmingly approved. However, it had a gaping, $2.2 billion hole in it, largely from state government’s biggest cash shortfall since the recession, and the ugly fight over how to fill it has pitted Wolf and the Republican-controlled Senate against the Republican-controlled House.

With perhaps a dozen budget-related bills passing the House and Senate this week, Wolf would not give his blessing to the package Wednesday. His office would only say that he would evaluate the bills.

“These bills contain many policy changes and deserve a full vetting,” Wolf’s office said.

In many ways, Wolf had moved on from the budget fight.

Three weeks ago, Wolf began exploring borrowing and cost-cutting avenues without the involvement of lawmakers, declaring he was finished waiting for House Republicans to compromise.

Paying bills on time has required short-term loans from the Treasury Department and more is expected to be necessary, with a $1.2 billion payment due to public schools Thursday.

The state did not emerge unscathed from the budget standoff. It got slapped with another credit downgrade, which will add more than $50 million a year in borrowing costs, according to Wolf’s office.

Amid threats of a mid-year tuition increase for tens of thousands of in-state students, the House released roughly $650 million in aid to Temple, Pitt, Lincoln, the University of Pennsylvania’s veterinary school and Penn State and its agricultural research and extension programs.

With lawmakers itching to depart the Capitol until November, a debate over imposing a tax on Marcellus Shale natural gas production will wait indefinitely, amid opposition by Republican leaders there.

Gambling in the USA

Gaming Americas Weekly Roundup – November 11-17

Published

4 days ago

November 18, 2024

Niji Narayan

Reading Time: 2 minutes

Welcome to our weekly roundup of American gambling news again! Here, we are going through the weekly highlights of the American gambling industry which include the latest news and new partnerships. Read on and get updated.

Latest News

Golden Entertainment Inc. reported financial results for the third quarter ended September 30. The Company reported third quarter revenue of $161.2 million, net income of $5.2 million and Adjusted EBITDA of $34.0 million. In addition, on November 5, the Company’s Board of Directors authorised the Company’s recurring quarterly cash dividend of $0.25 per share of the Company’s outstanding common stock payable on January 7, 2025 to shareholders of record as of December 20, 2024.

Snoqualmie Casino has announced its rebranding to Snoqualmie Casino & Hotel, reflecting an exciting new chapter in the venue’s history as it embarks on a much-anticipated expansion. Set for completion in mid-2025, this project promises to elevate the guest experience, making Snoqualmie Casino & Hotel a premier destination for entertainment, relaxation and culinary excellence. The cornerstone of the expansion is the construction of a luxurious hotel, which will offer guests unparalleled comfort and stunning views of the Snoqualmie Valley and Mount Si.

Galaxy Gaming Inc., the world’s largest independent developer and distributor of casino table games and technology announced, at a special meeting of its stockholders held on November 12, 2024 (the Special Meeting), Galaxy Gaming stockholders voted to approve the Company’s acquisition by Evolution Malta Holding Limited (Evolution), Evolution AB (publ)’s wholly owned subsidiary. Galaxy Gaming will file a Form 8-K with the U.S. Securities and Exchange Commission reporting the final voting results of the Special Meeting.

Caesars Virginia has announced that its highly anticipated opening date will be Thursday, Dec. 12, 2024. The resort will welcome its first guests beginning at noon. Additional details on the opening festivities will be announced at a later date. Caesars Virginia is a 587,000 square foot casino resort with more than 90,000 square feet of gaming space.

Partnerships

NGX has entered into a strategic partnership with Sportradar, a global leader in sports integrity solutions, which collaborates with more than 180 sports federations and leagues. The agreement aims to support the Brazilian football federations of Rio Grande do Sul, Paraná and Pará, providing detailed reports to ensure the integrity of sporting events and combat fraud.

EvenBet Gaming has announced the launch of its advanced poker solutions in partnership with JugaMax, one of the largest and most respected casino operators in Paraguay. This strategic collaboration marks EvenBet’s debut in the Paraguayan iGaming market, solidifying the company’s expansion within Latin America. The newly established partnership enables the integration of EvenBet Gaming’s poker offering on the JugaMax platform.

Jackpocket, the leading lottery app in the US, and Barstool Sports announced a new collaboration naming Jackpocket as the “Exclusive & Official Digital Lottery Partner of Barstool Sports”. The deal with Barstool follows Jackpocket’s parent company, DraftKings, announcing a similar agreement with the media company in February 2024. This collaboration centers around the integration of Jackpocket in Barstool’s content. Fans can participate in the lottery alongside some of Barstool’s biggest names such as Dave Portnoy, Big Cat & PFT from Pardon My Take – the leading sports podcast in America, Wallo & Gillie from Million Dollaz Worth of Game and more.

Gambling in the USA

Gaming Americas Weekly Roundup – November 4-10

Published

1 week ago

November 12, 2024

Niji Narayan

Reading Time: 2 minutes

Latest News

PENN Entertainment and ESPN announced that account linking between ESPN BET and ESPN is now available for customers, creating an even more deeply integrated media and betting experience. By linking accounts, fans now have the ability to seamlessly track upcoming, live and settled bets within the ESPN app and on ESPN.com. With this product enhancement, ESPN BET will soon bring fans more personalised bets and timely promotions based on their favourite sports, teams, players and fantasy rosters.

Accel Entertainment Inc. has announced that it has completed the acquisition of 85% of the ownership interests of Toucan Gaming LLC and LSM Gaming LLC, two Louisiana-based route operators and owners of multiple licensed video poker establishments (collectively, “Toucan”), for approximately $40 million. The combined business will operate as Toucan Gaming throughout Louisiana and will be led by Stan Guidroz, an industry-leading gaming executive and current CEO of Toucan Gaming. Mr. Guidroz owns the remaining 15% of Toucan’s ownership interests and will lead the Accel team supporting Toucan’s continued growth.

INTRALOT S.A. has announced the undertaking of a new project between the British Columbia Lottery Corporation (BCLC), the sole lottery operator for the Government of British Columbia in Canada, and INTRALOT, its US subsidiary, for the provision of an online lottery platform. The project also includes the digitalisation of the existing land-based network. The solution will be based on the Player X platform, part of the Lotos X ecosystem, and adds to the company’s overall partnership with BCLC, which has been extended until 2028.

BetMGM Poker has become the third US operator to offer multi-state online poker. The company has merged its player pools in Michigan and New Jersey. Both states are a part of the Multi-State Internet Gaming Agreement, which allows online poker networks to share liquidity and players in participating markets. The two-state network went live Wednesday afternoon after morning maintenance.

Betsson Group has celebrated its success at the SBC Awards Latinoamérica 2024, winning two prestigious awards: Sportsbook Operator of the Year and Leader of the Year, which was awarded to Kevin Saliba, Commercial Director (Business Development) for Latin America. This marks the second consecutive year Betsson has earned the Leader of the Year accolade, following Andrea Rossi’s win in 2023 – an achievement that underscores Betsson’s consistent leadership in the region.

Partnerships

Play’n GO has announced a new operator partnership with renowned gaming brand Hard Rock Digital for their top-rated Hard Rock Bet online casino platform in New Jersey. The Hard Rock brand is synonymous with entertainment worldwide, and this partnership will see Hard Rock Bet players in New Jersey gain access to hit Play’n GO titles such as Piggy Blitz, Book of Dead and Rise of Olympus 100.

SCCG Management, a global leader in gaming innovation and advisory, has announced a strategic partnership with Chata.AI, a technology provider specialising in self-service, proactive analytics that enables businesses to access real-time insights without requiring extensive technical expertise. This partnership introduces Chata.AI’s technology to the gaming industry, providing operators with powerful tools to streamline decision-making and increase operational efficiency.

Gambling in the USA

Gaming Americas Weekly Roundup – October 28-November 3

Published

3 weeks ago

November 4, 2024

Niji Narayan

Reading Time: 2 minutes

Latest News

Elray Resources Inc. has announced a significant milestone in the company’s growth strategy. The company has completed the sale of proprietary technology to 180 Life Sciences Corp. (NASDAQ:ATNF), a NASDAQ-listed company in exchange for preferred stock convertible into a 40% stake in ATNF and warrants to purchase 3 million shares of ATNF common stock, the conversion/exercise of which is subject to stockholder approval. The technology stack contained within Elray’s technology package will assist ATNF in launching an iGaming Blockchain casino.

PrizePicks, the largest daily fantasy sports operator in North America, has announced that it has been awarded Daily Fantasy Sports Operator Licenses in Delaware and Missouri. The company will launch Arena, its innovative peer-to-peer fantasy sports contest, in both states. With these new state launches, Arena will now be available in 15 states across the US.

The Pennsylvania Gaming Control Board (Board) unanimously voted to renew the Category 2 stand-alone casino license of Wind Creek Bethlehem LLC, operator of Wind Creek Bethlehem casino in Northampton County. In making the decision, the Board determined that Wind Creek Bethlehem LLC had fulfilled the obligations under its previously approved casino operator’s license and therefore qualified to have its license renewed for an additional five-year period.

Aristocrat announced that the company was the first international slot and online technology company to be granted a Gaming-Related Vendor license by The General Commercial Gaming Regulatory Authority (GCGRA), the federal entity overseeing commercial gaming activities in the United Arab Emirates (UAE). This announcement grants Aristocrat the ability to provide the company’s land-based electronic gaming machines (EGMs) and online games and technology solutions to commercial gaming operators licensed by the GCGRA.

Partnerships

SCCG Management, a leading global advisory and consulting firm in the gambling industry, has entered into a strategic partnership with Slot Machines Unlimited, a premier provider of refurbished slot machines and gaming equipment. The partnership between SCCG Management and Slot Machines Unlimited leverages both companies’ strengths: Slot Machines Unlimited’s expertise in refurbished gaming equipment and SCCG’s deep industry insight, global network and strategic growth capabilities. The collaboration will enhance Slot Machines Unlimited’s international sales and service operations, ensuring gaming establishments worldwide have access to high-quality slot machines and support.

Galaxy Gaming Inc. has announced that the Galaxy Operating System (GOS) is now live on over 50 ships worldwide with Carnival Corporation & PLC, the world’s largest leisure travel company. Since the installation, tables powered by GOS have awarded over $5 million in jackpot payouts to players. GOS is the jackpot progressive system for all Carnival Corporation ships, including Carnival Cruise Line, Holland America Line and Princess Cruises. Launched in 2024, GOS is the next-generation game management system developed by the industry’s leading table game experts.

The hottest new game from Aristocrat Gaming, Phoenix Link, is now live on casino floors, with Yaamava’ Resort & Casino being the first in North America to offer the highly-anticipated game. As the next evolution of the international hit game, Dragon Link, Phoenix Link features player-favourite mechanics from top games with all-new themes, features and bonuses.

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