HARRISBURG, PA, Feb. 15, 2022 (GLOBE NEWSWIRE) -- Pennsylvania Skill, powered by Pace-O-Matic, today congratulated the Pennsylvania Lottery on continuing to achieve record revenues for the Commonwealth. This exceptional growth took place at the same time Pennsylvania Skill has expanded.
According to testimony today before the House Appropriations Committee, the Pennsylvania Lottery broke sales and profit records. Last fiscal year was the 10th the Lottery generated more than $1 billion in profits to benefit older Pennsylvanians with a total of $1.2 billion. From July 1, 2020 to June 30, 22021, the sale of scratch-off games totaled a record of more than $3.7 billion, up by $555 million, or over 17 percent, from the previous year. These games account for more than 70 percent of total traditional sales. This growth is taking place in many locations where Lottery and Pennsylvania Skill games operate together.
"This is great news for Pennsylvania,” said Mike Barley, spokesman for Pennsylvania Skill, which has also experienced increased growth. “We have been clear that our economic forecast numbers show legal games of skill have no negative impact on the Lottery. This is confirmed by the continuing growth of Lottery revenues.”
Barley explained that state residents, small businesses, fraternal organizations, veterans groups, seniors and charities all benefit from the Lottery and skill games doing well. Skill games could further assist the state financially if proposed legislation passes that further regulates skill games and imposes additional taxes on the games.
“At a reasonable tax rate, skill games could provide over $250 million in recurring revenue to the Commonwealth annually while providing critical supplemental income to Pennsylvania small businesses and fraternal clubs, like our American Legions and VFWs,” said Barley. “This could help many Pennsylvanians.”
Pennsylvania Skill, which has been operating legal games of skill across the state for over seven years, could actually be assisting the Lottery. An economic study done by a Villanova University professor indicates that Lottery sales may increase if those machines are coupled with PA Skill machines in an establishment.
Supporters of legal skill games are asking state lawmakers to pass legislation so the games are further regulated and provide additional tax revenue for the state. Pennsylvania Skill operators and locations already pay taxes. Last year Pennsylvania Skill also donated over $1 million to local charities, including food banks, children's hospitals and senior centers.
All of the games, and most of the parts used for building the machines, are made in Pennsylvania.
Pace-O-Matic's Pennsylvania Skill products are manufactured by Miele Manufacturing in Williamsport, which has created over 100 jobs in the Commonwealth. Additionally, Pennsylvania Skill game revenue has become a lifeline to fraternal clubs and organizations across the commonwealth, including American Legions, VFWs and local fire companies.
As part of ongoing efforts to ensure compliance, Pace-O-Matic employs a team of former Pennsylvania State Police officers to enforce all terms of contracts and codes of conduct. These contracted terms limit the number of machines and where they are placed in a location and have protections in place to prevent anyone underage from playing the devices.
In 2014, the Beaver County Court of Common Pleas ruled that Pace-O-Matic's Pennsylvania Skill games are legal as games of predominant skill. Click here to read that court decision.
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