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State Rep. Robert Leadbeter (R-Columbia) plans to introduce legislation that would regulate the Pennsylvania skill games market while using casino-based revenues to fund school choice programs statewide.
Under the forthcoming proposal, all skill games, the controversial machines often found in bars, restaurants, and convenience stores, would be taxed. Revenue from machines located outside casinos would go to the state’s General Fund, while those placed inside casinos would have their tax proceeds directed to a newly created School Choice Fund.
Leadbeter is the first to propose marrying skill games with Pennsylvania casinos.
Legislation expected to be introduced next year
The representative has not formally introduced a bill. He’s produced only a memo that legislation is coming.
Mike Barley, chief public affairs officer of Pace-O-Matic, a Georgia-based skill games manufacturer that operates several machines in Pennsylvania, told PlayPennsylvania Monday the company looks forward to seeing the bill.
“We have not seen the details of the representative’s proposal, so we cannot yet comment. We remain committed to supporting legislation that would implement commonsense regulation and a fair tax rate for the skill game industry.”
Purpose of bill
Leadbeter said the legislation is designed to bring oversight, fairness, and community benefit to an industry that currently operates in a legal gray area.
“We want to ensure that skill games are properly regulated and that the revenue they generate is put to good use. When casinos in Pennsylvania are run responsibly, they can be used for the greater good to drive community investments.”
He added that the proposal mirrors the Local Share Account (LSA) model already used in Pennsylvania, which allocates gambling revenue toward local infrastructure, emergency services, and economic development.
“This legislation would expand that concept. By directing these funds to a School Choice Fund, we can help parents choose the education that best fits their children’s needs rather than relying on a one-size-fits-all approach. We have a responsibility to make sure our younger people are prepared for what’s to come in their lives. By using these funds for school choice, we’re investing directly in their future.”
Skill games have become a contentious issue in Pennsylvania, with lawmakers, casinos, and small businesses divided over how, or whether, they should be taxed and regulated.
Leadbeter’s bill seeks to bring the machines under the state’s gaming oversight structure while turning their tax potential into a long-term educational funding stream.
