Pennsylvania Statewide Rule
Pennsylvania Local Option Small Games of Chance Act
Key Facts
- Licensing authority
- County treasurer (or governing body's designee)
- Local option required
- Municipality must approve by referendum first
- Regular license fee
- $125/year; monthly license $25
- Individual prize limit
- $2,000 per single chance
- Weekly aggregate limit
- $35,000 in prizes per 7 days
- Raffle cap
- $15,000/month, up to $150,000/year with permit
- First-offense penalty
- $1,000 fine plus 30-day license forfeiture
Summary
Pennsylvania nonprofits can't run raffles, punchboards, or 50/50 drawings for charity until their own municipality's voters approve it in a referendum. Once approved, the county treasurer licenses each eligible organization, caps any single prize at $2,000, and limits total weekly payouts to $35,000. Violating the license terms triggers summary-offense fines and forfeiture.
Section 703(a) Election to be held.--In any municipality, an election may be held on the date of the primary election immediately preceding any municipal election, but not more than once in four years, to determine the will of the electors with respect to the issuance of licenses within the limits of such municipality under the provisions of this act. ... (b) Vote.--If a majority of the electors voting on the question vote "yes," then licenses shall be issued by the licensing authority in such municipality, but if a majority of the electors voting on any such question vote "no," then the licensing authority shall have no power to issue or to renew, upon their expiration, any licenses in such municipality... Section 307(a) License required.--An eligible organization shall not conduct or operate games of chance unless the eligible organization has obtained a valid license... Section 302(a) Individual prize limit.--...the maximum prize which may be awarded for any single chance shall be $2,000. (b) Aggregate prize limit.--No more than $35,000 in prizes shall be awarded from games of chance by a licensed eligible organization in any seven-day period.
Full Breakdown
2, lets charitable, religious, fraternal, and veterans' organizations that have existed for at least a year run punchboards, daily and weekly drawings, 50/50s, raffles, and tavern games to fund public-interest purposes -- but only where the host municipality has switched the Act on. " referendum on a primary ballot, triggered by a citizen petition signed by at least 25% of the highest vote cast for any office in the last general election, or by a municipal governing-body resolution, and it can run at most once every four years.
" Once a municipality opts in, Section 307 puts the county treasurer, or in home-rule counties and first-class cities with no elected treasurer the governing authority's designee, in charge of licensing. A regular license costs $125 a year, a 30-day monthly license costs $25, and the treasurer must act on a complete application within 30 days. Section 302 then caps the games themselves: no single chance may pay more than $2,000, and no organization may award more than $35,000 in prizes in any seven-day span.
Raffles get their own $15,000-a-month cap, though a special permit under Section 308 lets an organization exceed $3,000 on a raffle prize up to ten times a licensed term, twelve for volunteer fire, ambulance, rescue, or conservation groups, capped at $150,000 a year, plus another $100,000 for those emergency-service organizations specifically.
Violations & Penalties
Section 707 makes a violating organization guilty of a summary offense: a fine up to $1,000 for a first offense and $1,500 for a repeat, plus license forfeiture -- 30 days on the first offense, 30 to 180 days on the second, and full loss with a 30-month bar on renewal for a third offense within three years. An individual who conducts or assists unlicensed games faces a summary offense for a first violation, a third-degree misdemeanor for a second, and a first-degree misdemeanor for a third or subsequent violation.
Frequently Asked Questions
Can any Pennsylvania nonprofit run a raffle or 50/50 drawing?
Who issues the license, and what does it cost?
How big can a single prize be?
What happens if an organization runs games without the required license?
Sources
See something wrong?
Help us keep this page accurate. If you notice an error or outdated information, let us know.