Pennsylvania state Reps. Tarik Khan (D-Philadelphia) and Jamie Flick (R-Lycoming/Union) introduced three bills last week that would ban micro bets, same game parlays involving prop bets and cap online casino wagers in the state, with stricter limits for younger players.
The bills were filed the same day Pennsylvania lawmakers launched a bipartisan Problem Gambling Caucus, which both Khan and Flick joined.
HB 2879, titled the Pennsylvania Online Consumer Protection Act, covers most of what Khan and Flick want to address in online gambling over 34 pages. Along with the micro bet ban and wager caps, which would be lowest for players ages 21 to 25, it would require daily and monthly loss limits and ban VIP programs.
Two separate bills round out the package: HB 2875 would prohibit using credit cards to fund online gambling accounts and HB 2874 would strengthen protections for people on the state’s self-exclusion list.
There is not a lot of time left to get legislation passed this year. Pennsylvania’s legislative session ends Nov. 30 and bills do not cross over to 2027.
Protecting Pennsylvania residents the focus
Pennsylvania is one of seven states with both legal sports betting and online casinos live, making it one of the largest gambling markets in the country.
Khan and Flick say they aren’t trying to stop people from gambling, but they believe the state needs stronger safeguards to protect Pennsylvanians.
“People should be free to enjoy an occasional bet,” Khan said in a statement. “But the gambling industry shouldn’t be allowed to exploit addiction for profit. We studied the problem, we followed the evidence, and now we’re taking bipartisan action to protect Pennsylvanians.”
Capping online casino play for young adults
The package puts a heavy focus on protecting young adults, especially those who just turned 21.
“Kids today are growing up surrounded by sports betting advertisements and gambling apps,” Flick said. “We need to make sure the next generation isn’t being drawn into gambling addiction before they fully understand the risks. This bipartisan bill puts meaningful protections in place, especially for young adults who are particularly vulnerable.”
Operators would not be able to accept a wager of more than $2 per play on any online casino game from players ages 21 to 25. Players older than 25 would be capped at $5 per play.
The bill would also cut off players ages 21 to 25 once they lose $750 in a day or $2,500 in a month, locking them out for 24 hours or 30 days, respectively. Players older than 25 would face higher thresholds of $1,500 in a day or $5,000 in a month.
The bill would also bar operators from targeting anyone under 21 with ads or using celebrities, athletes and social media influencers likely to appeal to minors. Gambling ads would be banned on college campuses and near schools, along with any ads aired from 8 a.m. to 10 p.m. or during live sports broadcasts.
Live play-by-play betting cut, too
Members of Congress have repeatedly pressed FanDuel for details on its VIP program and marketing practices, and have since widened that scrutiny to other operators.
HB 2879 would go further in Pennsylvania, banning what Khan and Flick call “predatory” VIP programs outright.
The bill would also ban micro bets, which are wagers on single moments within a game that are placed live, such as whether the next pitch in an MLB game is a ball or strike, or whether the next NFL play is a run or pass. In addition, the bill would eliminate props parlays, or as the bill describes it as “a proposition bet that involves multiple occurrences, nonoccurrences or outcomes from a single sporting event.”
Additional details per Khan’s office:
- Prohibit credit card gambling and set financial safeguards, including deposit and loss limits.
- Restrict gambling advertising aimed at minors and young adults.
- Limit gambling time and prohibit automatic wagering.
- Fund addiction prevention, treatment and research through an assessment on online gambling revenue.
The bill would also prohibit or restrict the use of artificial intelligence and behavioral data to create individualized gambling promotions that may increase gambling-related harm.
The Massachusetts Gaming Commission is conducting a review of all its licensed operators, including DraftKings, after the New York Times reported that DraftKings used AI to send promotions to losing customers to keep them betting. The Michigan Gaming Control Board also told LSR it is “reviewing the issues raised” in the Times report, though it did not commit to a review specific to DraftKings.
Pennsylvania study shaped the proposals
Khan and Flick referenced a study by the Joint State Government Commission that found 5.7% of online sports bettors accounted for 80% of gambling expenditures. At one sportsbook, 0.5% of customers generated more than 70% of revenue through its VIP program.
The House ordered the study through a 2025 resolution Khan introduced, which passed 189-14. The report, released in July, identified safeguards for lawmakers to consider, including banning micro bets, restricting VIP programs and prohibiting credit card gambling.
All three appear in Khan and Flick’s legislation.
“Problem gambling ruins lives and destroys families,” Khan said. “That’s why I pushed for this statewide study in the first place. What we found was deeply troubling: Gambling companies using predatory practices to keep people betting, even as they’re losing everything. This study became the foundation of our bipartisan legislation to hold these Wall Street bookies accountable and protect Pennsylvania families.”
