College Township to Probe Casino Impact on Community Near Penn State
Posted on: September 9, 2022, 09:29h.
Last updated on: September 9, 2022, 11:34h.
The College Township Council near State College, Pa., where Penn State University’s main campus is located, will probe the impact a commercial casino at the Nittany Mall would have on life in the region.
After receiving hundreds of letters in opposition to the $123 million Bally’s casino project — and a petition signed by more than 1,000 local community members voicing their disapproval of the project — councilmembers say they will investigate their legal options to halt the development.
Our staff and council appreciate the concerns being raised. We hear them,” Mike Bloom, assistant township manager, told ABC23 this week.
Township councilmembers plan to vote next week on approving a local impact study focused on what negative repercussions would be levied on the area if a casino is allowed to take the place of the former Sears department store at the mall. The Bally’s venue would be less than five miles from Beaver Stadium and the Penn State University campus.
Impact Study Prep Underway
The College Township Council will vote on authorizing the impact study on Sept. 15. In the meantime, study preparations are underway.
Council has directed staff to begin evaluation and preparation of its own impact study. Thus far, staff has begun developing the potential scope of this study, particularly what aspects staff can compile that may fall outside of staff capacity,” Bloom explained.
Penn State alumni and former university trustee Ira Lubert secured the rights to the mini-casino through the state’s September 2020 Category 4 auction round.
Lubert qualified to bid on the gaming license after the Pennsylvania Gaming Control Board (PGCB) opened up the competitive bidding process. They ruled that investors holding a 1% or more stake in a current casino could bid. Lubert owns a 3% ownership position in Rivers Casino Pittsburgh.
After securing the license with a $10 million tender, Lubert pinpointed College Township for the project after the local government decided not to opt-out of being considered for a Category 4 casino. However, township leaders are now remorseful?for not removing the town as a potential casino host jurisdiction.
Legal Opinions Fielded
College Township is consulting with its legal advisors along with a potential impact study. They are attempting to determine the merits of asking the PGCB to deny Bally’s a gaming license for State College. Lubert partnered with Bally’s soon after securing the gaming opportunity.
The PCGB is next scheduled to consider the Bally’s State College casino plan during its October 19 meeting in Harrisburg.
A separate legal challenge is being brought by The Cordish Companies, which Lubert outbid during the September 2020 auction. The suit stands on grounds that Lubert wrongly orchestrated a scheme with Bally’s before being declared the high bidder remains.
Cordish, which operates Live! Casino Hotel Philadelphia and Live! Casino Pittsburgh, believes Lubert violated PGCB rules by partnering with Bally’s. They contend that Bally’s wasn’t qualified to participate in the bidding before the auction round.
The Cordish litigation continues to play out in the Commonwealth Court.
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Last Comment ( 1 )
Remorseful? Yes, it says that. "Township leaders are now remorseful for not removing the town as a potential casino host jurisdiction." The decision-makers and stakeholders of Bally's Corporation should consider how often remorseful is used to describe the sentiment of a municipality for a planned casino even prior to the casino's license application being approved or denied by the state's Gaming Control Board. While focusing on potential casino revenue for College Township when that 2017 decision was made to not opt-out from a casino, perhaps the township forgot to consider the future casino now planned for an old Macy's store in a dying mall is less than five miles away from the home of the Penn State University Nittany Lions. Now the residents of Happy Valley are not happy. As for College Township's leadership? They are now remorseful. Let's hope for that denial by the PA Gaming Control Board when they vote to make the correct decision!