This session has been very active in terms of legislation, and there have been many positive developments on PFMA priority legislative initiatives.
iLottery Under Consideration
PFMA worked extensively with its members, state legislators, and other stakeholders to address a proposal reforming the gaming industry that included the creation of an online lottery (iLottery) in the Commonwealth. We were successful at having protections for lottery retailers included in the proposed legislation. Members and Leadership in the state House of Representatives played a crucial role in including those protections in their amended version of House Bill 271.
Those protections under consideration include the creation of prepaid cards for online lottery play to be sold by lottery retailers in-store in order to encourage online players to continue visiting brick-and-mortar locations. Retailers would receive no less than a 6% commission on the sale of prepaid cards. This approach was a key segment of Michigan’s successful iLottery program, and preliminary reports from lottery retailers in that state indicate an increase in food traffic since implementation.
The legislation would also raise the commission rate for lottery sales from 5% to 6%, similar to the commission rates offered by the surrounding states, as shown in the chart at right. Retailers that issue prizes for winning tickets would receive a cash bonus of at least 1% equal to the amount of the prize. Pennsylvania is the only state in the area that does not currently offer a cashing bonus, with most of the surrounding states offering anywhere from 1% to 1.5% of the prize amount for winning tickets redeemed in their store.
At presstime, negotiations continue between the Wolf administration and legislative leaders on this issue.
SNAP
PFMA is a strong supporter of House Bill 877 (Toohil) and SB 568 (Argall), which is crucial for helping retailers maintain staffing and stocking levels in their stores during the SNAP benefits distribution period. Many other states have expanded their benefit distribution across a longer time period, including Florida, which now uses a 28-day time period. Senator Argall sent a letter to Senate Majority Leaders expressing his support for including the bill in the Human Services Code in this year’s state budget.
Cigarette Tax
Legislation that would eliminate the 40% tax placed on the existing inventory of e-cigarettes, and replace it with a 5-cents-per-milliliter retail tax on e-liquid was discussed on Monday, June 26, by the House Finance Committee, and PFMA submitted written testimony in support of the measure. The original tax was so excessive that it has put many retailers of these products out of business, destroying the vaping industry in Pennsylvania and depleting the revenue collected by the state.
USTIF Board
In the previous legislative session PFMA helped secure House passage of legislation that would have put the association on the Underground Storage Tank Indemnification Board in place of the Middle Atlantic Truck Stop Operators, which is no longer in existence. That bill, however, did not make it through the Senate for concurrence before the end of Session. PFMA is hopeful that either House Bill 290 (Metzgar) or Senate Bill 143 (Yaw) will pass this legislative session.
Thank you!
Thank you PFMA members for your involvement on behalf of the food retail industry. Your voice is vital to advancing these legislative priorities by educating legislators on the real-world impact these initiatives have on businesses and their employees and families. Again, PFMA thanks you all for your advocacy.
iLottery Under Consideration
PFMA worked extensively with its members, state legislators, and other stakeholders to address a proposal reforming the gaming industry that included the creation of an online lottery (iLottery) in the Commonwealth. We were successful at having protections for lottery retailers included in the proposed legislation. Members and Leadership in the state House of Representatives played a crucial role in including those protections in their amended version of House Bill 271.
Those protections under consideration include the creation of prepaid cards for online lottery play to be sold by lottery retailers in-store in order to encourage online players to continue visiting brick-and-mortar locations. Retailers would receive no less than a 6% commission on the sale of prepaid cards. This approach was a key segment of Michigan’s successful iLottery program, and preliminary reports from lottery retailers in that state indicate an increase in food traffic since implementation.
The legislation would also raise the commission rate for lottery sales from 5% to 6%, similar to the commission rates offered by the surrounding states, as shown in the chart at right. Retailers that issue prizes for winning tickets would receive a cash bonus of at least 1% equal to the amount of the prize. Pennsylvania is the only state in the area that does not currently offer a cashing bonus, with most of the surrounding states offering anywhere from 1% to 1.5% of the prize amount for winning tickets redeemed in their store.
At presstime, negotiations continue between the Wolf administration and legislative leaders on this issue.
SNAP
PFMA is a strong supporter of House Bill 877 (Toohil) and SB 568 (Argall), which is crucial for helping retailers maintain staffing and stocking levels in their stores during the SNAP benefits distribution period. Many other states have expanded their benefit distribution across a longer time period, including Florida, which now uses a 28-day time period. Senator Argall sent a letter to Senate Majority Leaders expressing his support for including the bill in the Human Services Code in this year’s state budget.
Cigarette Tax
Legislation that would eliminate the 40% tax placed on the existing inventory of e-cigarettes, and replace it with a 5-cents-per-milliliter retail tax on e-liquid was discussed on Monday, June 26, by the House Finance Committee, and PFMA submitted written testimony in support of the measure. The original tax was so excessive that it has put many retailers of these products out of business, destroying the vaping industry in Pennsylvania and depleting the revenue collected by the state.
USTIF Board
In the previous legislative session PFMA helped secure House passage of legislation that would have put the association on the Underground Storage Tank Indemnification Board in place of the Middle Atlantic Truck Stop Operators, which is no longer in existence. That bill, however, did not make it through the Senate for concurrence before the end of Session. PFMA is hopeful that either House Bill 290 (Metzgar) or Senate Bill 143 (Yaw) will pass this legislative session.
Thank you!
Thank you PFMA members for your involvement on behalf of the food retail industry. Your voice is vital to advancing these legislative priorities by educating legislators on the real-world impact these initiatives have on businesses and their employees and families. Again, PFMA thanks you all for your advocacy.
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