The Senate and House recently affirmed its commitment to veterans clubs and similar organizations when it forwarded to the governor for his signature a bill to provide relief by permitting them to use a larger share of small games of chance revenue for operating expenses during the emergency declaration. House Bill 777 is the result of a collaborative effort between Rep. Frank Farry (R-Bucks), Kate Klunk (R-York) and John Hersey (R-Mifflin/Juniata/Franklin).
“Social organizations, such as veterans’ clubs, provide vital support to countless charities and youth sports leagues in our community,” Klunk said. “Unfortunately, these clubs were forced to close and then operate under deep restrictions, which could cause many to shutter their doors.”
Legislation by the three representatives would provide the financial boost they need so they can survive during the emergency declaration. This would help ensure they can continue to provide assistance to charitable causes.
“Social clubs do so much more to support our local communities, and we need to do what we can to give them a financial lifeline. They are hurting in 2020, just like other small businesses across Pennsylvania,” said Hershey.
Specifically, House Bill 777 would alter the state-imposed financial requirements social clubs must adhere to regarding small games of chance profits. Normally, proceeds from small games of chance are split with 60 percent going to charitable purposes and the remaining 40 percent staying with the clubs. The proposal would change the fund distribution ratio during the COVID-19 pandemic, so a club would be able to use the 60 percent to cover general operating expenses, such as rent, payroll and utilities.
“The passage of House Bill 777 provides critical financial assistance to our local service organizations,” Farry said. “We must do all we can to keep these vital organizations, which are dedicated to building stronger communities, so they can continue to serve our veterans and local charities now and into the future.”
