From the Lock Haven Express

STATE COLLEGE — After nearly four years of legal challenges, the Pennsylvania Supreme Court has sided with the developers of the Nittany Mall Casino, clearing the way for the project to move forward.

The Pa. Supreme Court ruled unanimously in favor of the Pennsylvania Gaming Control Board’s decision to award a Category 4 slot machine license to SC Gaming OpCo, LLC and former Penn State trustee chairman Ira Lubert, dismissing the claim by competitor Stadium Casino RE, LLC that their bid was invalid.

Stadium contested the board’s decision on the grounds that SC Gaming’s bid should have been denied as it was funded in part by individuals not authorized to participate in the auction. They contend that in exchange for contributions to the approximately $10 million winning bid, Lupert gave ownership interests in SC Gaming, disguised as debt, thereby providing unauthorized persons and entities a means to apply for a Category 4 slot license.

Because of this, they argue the Pa. Gaming Control Board lacked jurisdiction to consider SC Gaming’s application. As the second-highest bidder, Stadium contended it should have been awarded the license or that a second auction should have been held.

In their review, the court evaluated whether the board overstepped its authority and failed to comply with mandatory directives in the Gaming Act, which guides the Gaming Control Board in regulating the commonwealth’s gaming industry.

Justice Christine Donohue, who penned the court’s opinion, wrote that Section 1305.2(c), the provision of the Gaming Act that outlines license auction procedures and was at the heart of Stadium’s legal argument, “only defines the Board’s conduct in connection with Category 4 slot machine license auctions, not its competency to preside over slot machine auctions, application and licensing proceedings.”

Wednesday’s ruling opens the door for construction on the planned $120 million mini-casino to finally begin.

“College Township is pleased that the Pa. Supreme Court ruling, barring any further appeals, appears to end this period of uncertainty on whether or not the casino project can proceed,” said Mike Bloom, assistant township manager.

College Township has consistently noted its interests rest in a project that can address key economic considerations including stabilizing the struggling Nittany Mall property, inducing redevelopment and revitalization within the Dale Summit area and creation of new jobs in the community.

Bloom shared the township has not yet been made aware of a definitive timeline or anticipated opening date.

Previous estimates provided by the developers projected completion of construction within one year of the project’s start date.

The Nittany Mall Casino is a partnership between SC Gaming and entertainment corporation Bally’s, the owner and operator of 15 casinos around the country.

The casino is expected to have significant impacts on Centre County tourism and to provide millions in economic impact. Estimates in early 2023 projected the construction alone would have a $61.4 million one-time economic impact on the county, supporting 460 jobs and over $20 million in employee earnings.

Some community members have, however, expressed worries the construction may have negative impacts on those in the community suffering from gambling addictions.

Plans for the mini-casino include 750 slot machines, 30 table games, a retail sports book, a sports-themed restaurant and bar along with a stage for live music and special events.

The casino will operate 24 hours a day, seven days a week, supporting the full-time equivalent employment of 350 people.