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Gaming Control Board awards Second State Gaming License to Nemacolin Woodlands

Posted on April 16th, 2011

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The search for Pennsylvania’s second gaming license is finally over. After months of hearings, reviews, testimonies, analysis, lobbying and arguments, the Pennsylvania Gaming Control Board has decided to award the Nemacolin Woodlands Resort located in Fayette County the state’s second casino license. The Pennsylvania Gaming Board had the choice between Nemacolin Woodland Resorts, two Harrisburg-based candidates and one from Poconos only to later award it to Nemacolin on a 6-1 vote. The other proposal that garnered a vote is the Fernwood Hotel and Resort in the Poconos while both Harrisburg facilities did not get any support from the 7-membered panel. Those facilities are the Eisenhower Inn in Gettysburg and the Park Inn in Mechanicsburg.

“I feel great,” says “No Casino Gettysburg” chairwoman Susan Star Paddock who was hand-in-hand with many other groups and societies in resisting the proposal to build a gambling facility near historic Gettysburg. “It’s a win for our grassroots group. It’s a win for Adams County, it’s a win for the nation, and it’s a win for future generations.” Stephanie Mendenhall, another “No Casino Gettysburg” supporter echoed the remark. “I couldn’t be happier,” she said. She also happens to live right across the Eisenhower Inn. The Gettysburg proposal was initiated by Mason-Dixon Resort and Casino and would have placed a facility less than half a mile from the hallowed grounds of the Gettysburg Battlefield. Earlier this month, a poll by Mason-Dixon polling firm, not related to the casino proponent, showed an overwhelming 75% of Pennsylvanians oppose the Gettysburg proposal purely because of a location perspective. Take the casino away from Gettysburg and many residents actually favor a second casino license.

“I don’t think there’s any question the people of Adams County lost,” retorted Mason-Dixon spokesman David LaTorre regarding the opposition and subsequent awarding of the license to Nemacolin. “They’re the big losers in this,” he said, “because the casino would have stimulated tourism, created jobs and led to lower taxes.” The same sentiment was prevalent in the other areas where the Harrisburg bidders planned to put up their gaming halls had they gained the board’s support. In Hampden Township and Cumberland County where Penn Harris Gaming was planning to build an RV-themed casino, residents and game operators alike were disappointed at the board’s decision.

”We’re very disappointed,” said Michael Sklar of Penn Harris. “We still believe that we had the best project among the four applicants, but we respect the board’s decision.” Sklar has said this all along when he remarked, in an earlier interview, “We have the best location in the state and we are going to generate the most revenue, the most jobs for the commonwealth.” Mechanicsburg proponents also expressed dismay and regret over the recent developments in the battle for the state’s second license. However, the case with Mechanicsburg is special as it has become a focal point of interest for casino opposition seeking to make Gettysburg as free from gambling establishments as possible. Led by Paddock, the Mechanicsburg proposal has been the most publicly vetted out of all the bids and would have not been supported by residents.

Likewise, both the board and locals alike have reviewed the pros and cons of each proposal countless of times over the one year plus time frame that the process has lasted. Most residents favor the selection of facilities close to their areas given the promise of tax revenues and job creation but there are also those who argue that social impacts will be hard to balance out over the long term. “You need new business, you need new jobs to spur that and without that, there isn’t going to be a future,” explained Jeff Klein who represents the Pro Casino Adams County group during a rally shortly before the Pennsylvania Gaming Board released its verdict.

The approved license will allow Nemacolin Woodlands Resort to install up to 600 slot machines and 50 gaming tables. Such an offering would not be enough to lay claim as the top casino in the state but it certainly does well in terms of helping Pennsylvania move along in a bid to compete with New Jersey as the primary destination in the region. Already, Pennsylvania has wrestled the title of most profitable slots industry from New Jersey for March 2011 and it hopes to continue this trend as New Jersey scrambles to keep up.