COLEMAN: Legislators Should Not Make Rash Decisions on Skill Games

Since I was elected, I have authored, sponsored, and passed legislation focused on improving the lives of veterans. In that work, I have seen firsthand the importance of veteran organizations to our communities. They are not just places where folks can have a beer and get a bite to eat. Our VFW and American Legion posts provide essential services, programs, and support to our veterans.
Our men and women who have served in the military, especially those deployed in combat situations, often face significant challenges returning to civilian life. Having a place where they can gather with peers and benefit from a sense of community is vital. Protecting these spaces is the least we can do in return for their sacrifices.
That is why I encourage my colleagues in Harrisburg to vote no on Senate Bill 756 and any other legislation that includes the language from this dangerous bill.
Senate Bill 756 will impose the largest tax increase on small businesses and fraternal clubs in our state’s history, and it would also implement impossible regulatory red tape, jeopardizing the very existence of important veteran organizations.
Pennsylvania’s VFWs and American Legions, as well as other fraternal organizations across the Commonwealth, have relied on income from games of skill for about a decade. The benefits are real — revenue from these games has enabled organizations to update aging buildings, renovate meeting spaces, install new kitchen equipment, maintain staff, increase hours of operation, and donate to important charitable causes.
However, the unprecedented tax rate and unfeasible overregulation in Senate Bill 756 would make it impossible for our veteran organizations to continue benefiting from skill games. The bill would impose a crushing 35 percent additional tax on the games, with an effective rate of over 40 percent when including fees and other costs. The bill would also impose unreasonable limits on terminals, which would result in veteran organizations across the state losing their ability to offer the games and, consequently, earning critical, supplemental revenue.
Senate Bill 756 is the very definition of big government, oppressive taxation, and overregulation.
Veteran organizations have said that if this devastating bill passes, they will have to lay off employees, reduce hours of operation, or stop important programming and services. Many have stated in no uncertain terms that it could mean the closing of their posts for good.
Forcing the closure of our VFWs, American Legions, and other fraternal clubs would hurt not only our veterans but the entire community. Many of these clubs’ primary mission is to raise funds for charitable endeavors, including sponsoring local Little League teams, providing backpacks and school supplies to children in need, organizing toy drives for the holidays, and numerous other community-driven initiatives.
Veteran groups use the revenue they generate to support their veteran community. It is not debatable that the suicide rate amongst veterans is alarmingly high, and services to provide counseling are costly and too few. These clubs provide support to our veterans, and these posts serve as a beacon where current and former military can feel safe and welcome to open up with others who have similar experiences.
The bottom line is that we must do better for our veterans.
It seems that the majority of legislators agree that some form of regulation is necessary for skill games. A framework is needed to help ensure that only legal games of skill are available in establishments, and we need to focus on reducing the number of illegal machines operating across the state. But this must be done the right way.
We need a solution that does not tax and regulate skill games out of existence. They have served as a lifeline for our small businesses, volunteer fire companies, fraternal clubs, and veterans.
As budget negotiations continue, lawmakers cannot make a rash decision on skill games. Especially if it means jeopardizing important community support for our veterans.
Some legislators would rather tax Pennsylvanians to the hilt than implement necessary spending cuts to balance the budget. They would rather overregulate an industry and pick winners and losers than trust the free market and consumers to make voluntary decisions. While Democratic politicians routinely propose bigger government, sometimes my Republican colleagues do, too, and I call them out on it.
I was elected on a commitment to fight for government transparency, against wasteful spending and taxation, and for fair policies that serve the interests of our citizens and taxpayers.
Protecting our Pennsylvania veterans from the overreach of government, as currently proposed in Senate Bill 756, is, without a doubt, what is right.