Pennsylvania Bill Would Ban Sweepstakes Casinos and Impose Fines of Up to $500,000

HB 2801 places a proposed sweepstakes prohibition inside a wider plan to regulate skill games before an Oct. 13 court deadline.
Pennsylvania Bill Would Ban Sweepstakes Casinos and Impose Fines of Up to $500,000
October 01, 2026

Pennsylvania House Bill 2801 would prohibit sweepstakes games in the state, potentially shutting sweepstakes-casino operators out of a market that already permits regulated online casino gaming. The proposal carries fines of $50,000 to $500,000 for each violation.

The bill was introduced Sept. 24 by Republican Representatives Russ Diamond, Thomas Kuzma, Jacob Banta, Brad Roae and Dan Moul. Reports by SweepsKings and Deadspin identify its sweepstakes language as part of a wider gaming-modernization measure, rather than a standalone effort directed at the sector.

Sweepstakes casinos generally operate through a dual-currency model, offering casino-style games and, in some cases, promotional currency redeemable for prizes. SweepsKings, which tracks more than 280 such sites, said 43 already restrict Pennsylvania players, while brands including McLuck, Spree and WOW Vegas remain available in the state.

The proposed ban sits alongside a larger legislative response to Pennsylvania’s skill-game dispute. In June, the Pennsylvania Supreme Court held that many skill-game machines met the state-law definition of slot machines. The court rejected the argument that a later skill element prevented them from being gambling devices, because chance determined whether a player received the opportunity to play that element.

The court stayed its order for 120 days, giving the General Assembly until Oct. 13 to address the issue. Diamond said House Bills 2801 and 2802 were the product of 18 months of discussions with gaming-industry stakeholders, skill-game operators, regulators and the public, and were intended to put skill games into a regulated framework before that deadline.

The package would regulate and tax skill games at 20%, place oversight with the Pennsylvania Gaming Control Board and allow up to five machines at qualifying clubs, liquor-licensed bars and restaurants, and truck stops. It would also set a 49.9% tax rate for casino slot machines and online casino games, while directing gaming revenue toward property-tax relief, gambling-treatment support, the Race Horse Development Trust Fund and the General Fund.

The measure follows Indiana’s sweepstakes-casino ban taking effect in July, as we covered at the time. In Pennsylvania, however, HB 2801 has not received a vote or a scheduled committee meeting and must first move through the House Gaming Oversight Committee; legislative review, debate and amendments remain possible.

A separate Roae bill would extend the skill-game deadline to April 13, 2027, while another proposal would create a temporary transition period for existing machines.

21+ in OH. Please play responsibly. For help, call the Ohio Problem Gambling Helpline at 1-800-589-9966 or 1-800-GAMBLER.

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