Pennsylvania lottery retailers call for statewide ticket boycott over skill games ban

Pennsylvania Lottery Retailers Call For Statewide Ticket Boycott Over Skill Games Ban

Pennsylvania small business owners are urging lottery retailers statewide to halt ticket sales for one week following enforcement of a state ban on unregulated skill games. The protest comes as store owners report immediate sales declines of up to 75% after state authorities began removing tens of thousands of gray-market gaming terminals from retail locations on Oct. 14.

Retailers face immediate losses following machine removals

The campaign to boycott Pennsylvania Lottery sales began in the Pittsburgh area, where business owners say the loss of skill game revenues threatens the survival of their storefronts. In June, the Pennsylvania Supreme Court ruled that skill games are legally indistinguishable from slot machines and fall under state gambling prohibitions. The court issued a 120-day stay before enforcement began, giving businesses time to remove an estimated 70,000 skill games operating across the Commonwealth.

Pat Schade, co-owner of Plaza News and Lottery in the Hopewell Shopping Center, told WPXI that foot traffic collapsed immediately after removing the terminals. “We should have four or five customers right here now that are not here,” Schade said. “Business has already dropped 75%.”

Schade operates newsstands in Hopewell Township and nearby Aliquippa, while also running a vending firm that installed skill games in other small businesses under a 50% revenue-sharing model. That secondary income stream has vanished entirely. “We’re afraid we’re going to have to close one store and let six employees go,” Schade added. “That’s what it looks like is going to happen.”

Store owners organize one-week lottery sale stoppage

To force state legislators back to the negotiating table, Schade and co-owner Kerrie Caivano are asking fellow lottery retailers to turn off their ticket terminals for seven consecutive days. The objective is to disrupt state lottery cash flow until lawmakers consider regulating and taxing skill games rather than enforcing a total ban.

“One week, do not sell lottery,” Schade insisted. “If the state doesn’t want to bring skill games, do not sell lottery. If they take our money, we take it from them.”

Other independent business owners have expressed support for the ticket boycott. Tim and Serena Martz, owners of McBride Station in Butler, credit skill games with keeping their establishment solvent through pandemic-related disruptions. “It seems like the small guys are the ones paying the price for it,” Tim Martz said. Serena Martz added: “I honestly think we should boycott the lottery so they can understand how bad they’re hurting us right now.”

State police begin active enforcement across Pennsylvania

Pennsylvania Attorney General Dave Sunday confirmed that state agencies have initiated joint enforcement measures to ensure full compliance with the court order. “The Pennsylvania State Police are the ground-level enforcers for the statute,” Sunday said. “We would come into play in the event there would be a seizure of any type of equipment.”

While state officials maintain that removing unregulated machines protects public gaming safety and legal casino revenue, retailers argue that skill games provided vital income to offset rising commercial rents and operating costs.

How the proposed boycott impacts state lottery revenues

Pennsylvania Lottery retailers receive a 5% commission on standard ticket sales, along with cashing incentives and potential bonuses for selling winning tickets. However, retail locations rely primarily on lottery games to generate store foot traffic. Players entering a store to buy scratch-offs or draw tickets frequently purchase high-margin products like beverages and food.

Surges in national jackpots routinely drive customer visits to convenience stores, such as when Mega Millions and Powerball combined jackpots pass $1 billion ahead of weekend draws. Disruptions in retail sales operations can impact lottery revenue delivery, a parallel seen when the Ohio Lottery begins statewide equipment overhaul in $90k system upgrade to maintain retail infrastructure.

Pennsylvania Lottery proceeds directly fund senior citizen services across the state, including property tax relief, prescription drug assistance, and local transportation subsidies. A widespread retail boycott could temporarily reduce daily ticket sales revenue earmarked for these state-mandated programs.

Comparing Pennsylvania skill games and official lottery terminals

The regulatory and operational distinctions between skill games and legal lottery terminals in Pennsylvania are summarized below:

FeatureSkill Games (Gray Market)Pennsylvania Lottery Terminals
Legal StatusOutlawed by PA Supreme CourtState-authorized and regulated
Enforcement BodyPA State Police & Attorney GeneralPennsylvania Department of Revenue
Retailer Commission40%–50% split with distributor5% standard commission on sales
BeneficiariesStore owners and machine operatorsPennsylvania Senior Citizen Programs

Legislative outlook and alternative gaming options

Proponents of skill games argue that the legislature should introduce taxation frameworks similar to those used for regulated casino gaming. Several state representatives have previously offered bills proposing a statutory tax rate and age-verification protocols for skill terminals, but legislative consensus remains unmet amidst pushback from licensed casino operators.

As brick-and-mortar retail availability faces regional disputes, players in participating states can also utilize digital lottery access. Where permitted by law, players looking for digital options can purchase official lottery tickets online via authorized platforms.

Frequently Asked Questions

Why are Pennsylvania lottery retailers planning a ticket sales boycott?

Retailers are organizing a one-week stoppage of lottery ticket sales to protest the state’s total ban on skill games. Store owners report foot traffic and sales drops of up to 75% following machine removals and want state lawmakers to enact regulation rather than an outright prohibition.

Are skill games legal in Pennsylvania?

No. In June, the Pennsylvania Supreme Court ruled that unregulated skill games function as illegal slot machines under state gaming laws. Law enforcement officials began seizing machines and enforcing the ban after a 120-day transition period expired on Oct. 14.

How does the Pennsylvania Lottery use ticket sale profits?

Net proceeds from Pennsylvania Lottery sales directly fund public programs for older state residents. These include property tax rebates, low-cost prescription assistance through PACE, free local transit programs, and local senior community centers.

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