The Pennsylvania Gaming Control Board yesterday awarded a Category 3 license to permit the operation of slot machines at an existing resort to Woodlands Fayette, LLC, operators of the Nemacolin Woodlands Resort in Wharton Township, Fayette County. The award, made by the seven-member Board at its public meeting in Harrisburg, is the second award of a Category 3 license. The Board has previously awarded the Valley Forge Convention Center with a Category 3 license.

The vote to approve the license was 6-1 with Commissioner Ken Trujillo voting against the motion to award the license to Nemacolin. However, since all four legislative appointees and at least one of the three gubernatorial appointees approved the motion in favor of the award to Nemacolin, the decision met the guidelines of the qualified majority vote provision required to approve a casino license.

Category 3 license permits the casino at Nemacolin Woodlands to have a maximum of 600 slot machines in operation. A $5 million license fee must be paid to the Commonwealth for that license. In addition, Nemacolin can petition the Board to operate up to 50 table games at the casino. That can only occur, however, after the Board holds public hearings and votes to approve the petition, and after an additional $7.5 million fee is paid by the license holder for the approved table games certification.

Nemacolin Woodlands Resort offers 335 rooms, suites, cabins or luxury homes, 31,000 square feet of meeting and banquet facilities, and numerous guest amenities including golf, cross country skiing, an antique car museum, a shooting academy, wildlife habitats, mountain bike trails, an equestrian center, a spa and fitness center, and five swimming pools. In addition, Nemacolin has 14 retail stores in a 55,000 square foot shopping arcade.

Nemacolin has entered into an agreement to have Isle of Capri Casinos, Inc. manage the facility which will be named Lady Luck Casino. Officials from the proposed casino resort said during its public hearings that the casino is expected to generate $37 million in annualized tax revenue from slot machines in its first year of operation. Officials from Nemacolin also testified that the casino could be opened within a remodeled existing facility on the property in six to nine months following issuance of the license.

"This was a challenging decision, but when all was said and done the Board felt the Nemacolin project best fit the intent of the Gaming Act and was best overall for Pennsylvania," said Chairman Gregory C. Fajt. "This decision was the result of a tremendous amount of work by our staff and many citizens of the Commonwealth who took the time to provide the Board with their views both pro and con on each of the projects."

The three losing bids were from Mason-Dixon Resorts, LP, at the Eisenhower Hotel, Conference Center and Resort near Gettysburg in Cumberland Township, Adams County; Penn Harris Gaming, LP, at the Park Inn Harrisburg West, Hampden Township, Cumberland County; and Bushkill Group, Inc, at the Fernwood Hotel and Resort, Middle Smithfield Township, Monroe County. Under the Gaming Act, these losing contenders and any party with standing in the licensing decision will have 30 days from the date of the issuance of the Order and Adjudication to file an appeal of the Board's decision to the State Supreme Court. (E-04.15.11)

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