Bipartisan bill to boost nonprofits’ fundraising abilities stalls in Pa. House
This story was produced by the State College regional bureau of Spotlight PA, an independent, nonpartisan newsroom dedicated to investigative and public-service journalism for Pennsylvania. Sign up for Talk of the Town, a weekly newsletter of local stories that dig deep, events, and more from north-central PA, at spotlightpa.org/newsletters/talkofthetown.
HOWARD, Centre County — A bipartisan bill that volunteer fire companies and similar groups say is critical to their financial survival was not brought up for a final vote before lawmakers left Harrisburg for the year.
The legislation would allow nonprofits to accept credit, debit and mobile payments for raffle ticket sales. These small games of chance serve as popular fundraisers for nonprofits such as veterans’ groups.
However, current law lets nonprofits only accept cash and checks. Advocates have called for modernization, arguing existing policy is outdated given that using cash is now less common.
The bill passed the GOP-controlled state Senate, by a vote of 47-1, and the state House Commerce Committee earlier this year. However, Democrats who narrowly control the state House did not bring it up for consideration, so the bill will need to begin the legislative process over again in 2025.
“We have not heard from nonprofits that this is an issue, but we would be happy to revisit this issue next session,” state House Democratic spokesperson Elizabeth Rementer told Spotlight PA in an email.
State Sen. Devlin Robinson, R-Allegheny County, a co-sponsor of the legislation, told Spotlight PA that he was disappointed by the inaction from the state House. He added that he would’ve connected lawmakers with nonprofits that reached out to his office about the issue. He plans to reintroduce the legislation next year.
“Everybody knows that we have a major problem with volunteer firefighters and the numbers dwindling across the state,” he said.
The legislation, introduced by Robinson and Wayne Fontana, D-Allegheny County, would allow cashless payments for raffles — not online play or live drawings — and still enforce the existing permitting process. The bill also would require nonprofits to verify that people buying tickets are at least 18.
When the COVID-19 pandemic halted in-person events, many fire companies shifted their fundraisers online. But some received warnings from their county treasurers that they were potentially violating their licenses and risking fines or losing their permits altogether.
Lawmakers in the state House passed temporary measures in 2021 so nonprofits could accept payments via Venmo, PayPal, and Cash App during the health emergency. The state Senate never approved the proposal.
Some fire companies still host online events and accept electronic payments. Others are too afraid of the risks.
Meanwhile, lobbying to update the law has continued, with advocates saying the provision is obsolete and prevents nonprofits from bringing in more money to keep the lights on.
The Howard Volunteer Fire Company in Centre County has a roughly $140,000 annual budget. The annual Punkin‘ Chunkin‘ Fall Festival raises a portion of those dollars. The most recent event, which occurred in October, brought in an estimated $30,000. The company also relies on chicken barbecue and direct requests for donations to raise money.
In recent years, the company has made building upgrades and switched to energy-efficient fixtures to reduce costs, said Mark Ott, fire police captain. Still, the company — like volunteer fire units across the state — faces rising utility bills, expensive fuel, and high costs for equipment and training.
“There’s always expenses coming in,” Ott told Spotlight PA. “It’s amazing to me that we’re still alive.”
Approving cashless payments won’t solve every challenge these groups face, but it’s one way lawmakers could help, Ott added.
“To me, it’s a no-brainer,” he said. “Just pass it.”
SUPPORT THIS JOURNALISM and help us reinvigorate local news in north-central Pennsylvania at spotlightpa.org/donate/statecollege. Spotlight PA is funded by foundations and readers like you who are committed to accountability and public-service journalism that gets results.
