Current through Register Vol. 54, No. 44, November 2, 2024
Section 421a.5 - Undue concentration of economic opportunities and control(a) In accordance with section 1102(5) of the act (relating to legislative intent), a slot machine license, management company license or principal license may not be issued to or held by a person if the Board determines that the issuance or holding will result in the undue concentration of economic opportunities and control of the licensed gaming facilities in this Commonwealth by that person.(b) For purposes of this section, "undue concentration of economic opportunities and control of the licensed gaming facilities" means that a person: (1) Would have actual or potential domination of the gaming market in this Commonwealth contrary to the legislative intent.(2) Could substantially impede or suppress competition among licensees.(3) Could adversely impact the economic stability of the gaming industry in this Commonwealth.(c) In determining whether the issuance or holding of a license by a person will result in undue concentration of economic opportunities and control of the licensed gaming facilities in this Commonwealth, the Board will consider the following criteria: (1) The percentage share of the market presently controlled by the person in each of the following categories: (i) Total number of slot machine licenses available under section 1307 of the act (relating to number of slot machine licenses).(ii) Total gaming floor square footage.(iii) Number of slot machines and table games.(iv) Gross terminal and table game revenue.(v) Net terminal and table game revenue.(vi) Number of persons employed by the licensee.(2) The estimated increase in the market share in the categories in paragraph (1) if the person is issued or permitted to hold the license.(3) The relative position of other persons who hold licenses, as evidenced by the market share of each person in the categories in paragraph (1).(4) The current and projected financial condition of the industry.(5) Current market conditions, including level of competition, consumer demand, market concentration, any consolidation trends in the industry and other relevant characteristics of the market.(6) Whether the gaming facilities held or to be held by the person have separate organizational structures or other independent obligations.(7) The potential impact of licensure on the projected future growth and development of the gaming industry in this Commonwealth and the growth and development of the host communities.(8) The barriers to entry into the gaming industry, including the licensure requirements of the act, and whether the issuance or holding of a license by the person will operate as a barrier to new companies and individuals desiring to enter the market.(9) Whether the issuance or holding of the license by the person will adversely impact consumer interests, or whether the issuance or holding is likely to result in enhancing the quality and customer appeal of products and services offered by slot machine licensees to maintain or increase their respective market shares.(10) Whether a restriction on the issuance or holding of an additional license by the person is necessary to encourage and preserve competition and to prevent undue concentration of economic opportunities and control of the licensed gaming facilities.(11) Other evidence related to concentration of economic opportunities and control of the licensed gaming facilities in this Commonwealth.The provisions of this §421a.5 amended June 12, 2015, effective 6/13/2015, 45 Pa.B. 2829.The provisions of this § 421a.5 amended under 4 Pa.C.S. §§ 1202(b)(9)-(23), 1205, 1206(f) and (g), 1207(1) and (2), 1208(1)(iii), 1209(b), 1212, 1213, 13A11, 13A12-13A14, 13A15 and 1802 and Chapter 13.