Pa. scraps limit on slot-makers
Pennsylvania has scrapped a regulation that limited individual slot machine manufacturers to no more than 50 percent of casino floors.
Language to eliminate the cap was included in the bill legalizing table games in the state, which was signed by Gov. Ed Rendell earlier this month, allowing casinos to offer craps, blackjack, roulette and other table games in exchange for licensing fees and a 16 percent tax on gaming revenues.
Pennsylvania had been one of only three states that capped manufacturers’ market share. Now all three of those states - they included New Jersey at one time and Delaware - have rescinded their limits.
The cap was seen initially as an attempt to limit IGT’s dominance of the U.S. slot market, and it was supported by rival slot-makers. IGT has since seen its market share reduced. Chuck Brooke, senior vice president of government relations for Reno, Nev.-based IGT, said he was pleased the limit was eliminated. “Let’s just say good things happen to those who wait,” he said. “When it comes to politics, timing is everything.”
Slot machines have been allowed in Pennsylvania since 2004. Five standalone casinos and seven racetrack casinos are allowed up to 5,000 slot machines each and pay a 53 percent tax on the revenues generated by the games.