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Slot machine license fee - 4 Pa. Cons. Stat. § 1209

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     § 1209.  Slot machine license fee.
        (a)  Imposition.--Except as provided for a Category 3
     licensed gaming entity under section 1305 (relating to Category
     3 slot machine license) and subject to the requirements of this
     section, at the time of license issuance the board shall impose
     a one-time slot machine license fee to be paid by each
     successful applicant for a conditional Category 1, a Category 1
     or a Category 2 license in the amount of $50,000,000 and
     deposited in the State Gaming Fund. No fee shall be imposed by
     the board for a Category 1 license if the applicant has paid a
     $50,000,000 fee for a conditional Category 1 license.
        (b)  Term.--A slot machine license, after payment of the fee,
     shall be in effect unless suspended, revoked or not renewed by
     the board upon good cause consistent with the license
     requirements as provided for in this part. Slot machine
     licensees shall be required to update the information in their
     initial applications annually, and the license of a licensee in
     good standing shall be updated and renewed annually. As to the
     renewal of a license, no additional license fee pursuant to
     subsection (a) shall be required.
        (c)  Credit against tax for slot machine licensees.--If the
     rate of the tax imposed by section 1403 (relating to
     establishment of State Gaming Fund and net slot machine revenue
     distribution) is increased at any time during the term of ten
     years following the initial issuance of the slot machine
     license, the slot machine licensee shall be entitled to a credit
     against subsequent payment of the tax equal to the difference
     between the tax calculated at the rate when the license was
     issued and the tax calculated at the increased rate. This credit
     shall be applied on a dollar-for-dollar basis as and when the
     tax is payable as set forth in section 1403 but shall not extend
     beyond the ten-year period following the initial issuance of the
     license. The aggregate amount of all credits provided shall not
     exceed the amount of the licensing fee paid by the licensee. The
     department shall enter into a contract with each slot machine
     licensee explicitly setting forth the terms and conditions of
     this credit and which also specifically incorporates the
     requirements of subsection (f).
        (d)  Deposit of license fee.--The total amount of all license
     fees imposed and collected by the board under this section shall
     be deposited in the State Gaming Fund.
        (e)  Change of ownership or control of a license.--In the
     event that the ownership or control of a slot machine licensee
     or its affiliate, intermediary, subsidiary or holding company is
     changed as described in section 1328 (relating to change in
     ownership or control of slot machine licensee), the new owner
     shall be entitled to the full remaining amount of the credit set
     forth in subsection (c) or the return of the license fee in
     accordance with subsection (f) as if the new owner or
     controlling interest was the original licensee.
        (f)  Return of slot machine license fee.--
            (1)  The entire one-time slot machine license fee of
        $50,000,000 for each Category 1 and Category 2 slot machine
        license shall be returned to each licensee in the event
        section 1201 (relating to Pennsylvania Gaming Control Board
        established), 1202 (relating to general and specific powers)
        or 1307 (relating to number of slot machine licenses) is
        amended or otherwise altered by an act of the General
        Assembly within five years following the initial issuance of
        any slot machine licenses pursuant to section 1301 (relating
        to authorized slot machine licenses) to change:
                (i)  the composition of the board;
                (ii)  the number or voting powers of members of the
            board;
                (iii)  the manner in which members are nominated or
            appointed to the board;
                (iv)  the length of term for which each member
            serves;
                (v)  the general jurisdiction of the board in a
            manner that impairs or otherwise reduces the board's
            licensing authority; or
                (vi)  section 1307 to increase the statutory maximum
            number of permissible licensed facilities.
            (2)  In the event that this part is amended or otherwise
        altered by an act of the General Assembly as described
        pursuant to paragraph (1):
                (i)  In the sixth year following the initial issuance
            of any slot machine licenses pursuant to section 1301, a
            Category 1 and 2 slot machine licensee shall be entitled
            to a partial return of the one-time slot machine license
            fee in the amount of $41,666,667.
                (ii)  In the seventh year, the licensee shall be
            entitled to a partial return of the one-time slot machine
            license fee in the amount of $33,333,334.
                (iii)  In the eighth year, the licensee shall be
            entitled to a partial return of the one-time slot machine
            license fee in the amount of $25,000,000.
                (iv)  In the ninth year, the licensee shall be
            entitled to a partial return of the one-time slot machine
            license fee in the amount of $16,666,668.
                (v)  In the tenth year, the licensee shall be
            entitled to a partial return of the one-time machine
            license fee in the amount of $8,333,334.
     In the event that the action described in paragraph (1) occurs
     after the expiration of ten years, the licensee shall not be
     entitled to a return of any portion of the one-time slot machine
     license fee. Notwithstanding the foregoing, no slot machine
     licensee shall be entitled to the return of any portion of the
     fee as a result of any act of the General Assembly insofar as it
     implements a recommendation made by the board pursuant to a
     qualified majority vote. In the event a full or partial return
     of the slot machine license fee imposed pursuant to subsection
     (a) becomes due pursuant to this subsection, the amount to be
     returned to any slot machine licensee shall be reduced on a
     dollar-for-dollar basis by the total accumulated tax credits
     granted to such licensee pursuant to subsection (c). In no event
     shall the total amount of the slot machine license fee returned,
     combined with the total tax credits granted, exceed the amounts
     set forth in this subsection for any licensee. The total or
     partial return of the slot machine license fee shall extinguish
     a licensee's right to claim any further tax credits pursuant to
     subsection (c).
     (Nov. 1, 2006, P.L.1243, No.135, eff. imd.)

        2006 Amendment.  Act 135 amended subsec. (a).
        Cross References.  Section 1209 is referred to in sections
     1208, 1305, 1313, 1315, 1328, 1902 of this title.

Last modified: November 27, 2007