Developers seek support for racetrack

A public hearing is planned for 9 a.m. Sept. 8.
By LAURE CIOFFI
VINDICATOR NEW CASTLE BUREAU
NEW CASTLE, Pa. -- Looking for a spot to wager on a horse race, play a slot machine, take a dip in an indoor water park and then do a little shopping?
Developers of Bedford Downs are hoping that spot will be on U.S. Route 422 in Lawrence County and that enough people will let state officials know they want it at a public hearing next week.
The Pennsylvania Harness Racing Commission is having the first of three hearings for potential racing venues -- two in western Pennsylvania and one in Philadelphia -- at 9 a.m. Sept. 8 at the Bedford Downs site.
The chosen venue is almost guaranteed a license to house 5,000 slot machines under the state's new gambling legislation.
"We need the support of the residents. I think that is crucial. If the people here want this, I think we can get it. But I really think a big turnout would impress the harness racing commission," said Carmen Shick, president of Bedford Downs.
The proposed venue in Mahoning Township would be on 550 acres of reclaimed strip mine situated between Shick's family business -- Ambrosia Coal & amp; Construction -- and the family home where Shick grew up.
The largely flat site, which went through necessary environmental studies when it was reclaimed, is impressive with the grass cut to show the one-mile horse racing track in the mostly wooded and scenic section of Route 422.
The facility's nearest competitor is Valley View Downs, a proposed track-slots venue off Pa. Route 51 in Beaver County, Pa.
Both sites boast good access to Pa. Route 60 and other major highways, but Shick contends there are some major differences between the two.
The most important, Shick said, is that Bedford Downs is locally owned. Shick, his sister, Kendra Tabak and brother Kenneth Shick III, both officers in the company, grew up on the property and still live in the county.
Valley View Downs is proposed by Centaur Inc., an Indiana-based company that has an interest in a thoroughbred and harness racing track in Indiana.
Community benefit
Bedford Downs' local roots also make it a good bet for the community surrounding the proposed track/slots venue, said Francis "Poncho" Exposito, Mahoning Township supervisor and chairman of the Lawrence County Council of Governments.
"The Shicks not only are talking about what is good for their own business venture, but they also talk about what is good for the community and good for horse racing. They've always had other people in mind before themselves, which to me is a plus," Exposito said.
Mahoning Township, located on the western end of Lawrence County on the Ohio border, is largely a bedroom community with a few businesses sprinkled along U.S. Routes 422 and 224. The community has struggled in the last few years to develop its own police department and recently entered into an agreement with neighboring Pulaski Township to form a regional police force.
The added tax dollars coming from real estate, slots and wage taxes generated by Bedford Downs would help the township immensely, Exposito said.
It would be poured into public safety such as a police department and aid the fire department and road improvements, he said. Conservative estimates of tax revenue from the slot machines alone have ranged from $2 million to $4 million.
Exposito said he's most impressed that the Shicks have not asked for any tax abatements.
Linda Nitch, executive director of the Lawrence County Economic Development Corporation, said Bedford Downs is probably the only large proposed business in the county not seeking some type of tax relief.
"I was excited to see the plans and just the number of acres available for development and how they intend to use it. Carmen Shick is really thinking outside the box," Nitch said.
What's in plan
The racing venue includes the casino along with a full-service hotel and convention center, water park, restaurants, shopping district and eventually condominiums.
"Other development in the community will definitely benefit, and I would say our neighbors in Ohio will benefit from this opportunity right in their back yard," Nitch said.
It's proximity to Millennium Park -- a proposed high-technology business park in Neshannock Township -- will also help make the county more attractive to other new business, she said.
The area already has access to water and sewer lines going to Millennium Park and they can easily be extended to Bedford Downs, which is only one mile away, Shick said.
Shick estimates about 500 to 700 people will be employed on the racing side alone. The proposed casino could take those numbers above 2,000. Jobs will range from upper management to service industry.
'Ripple effect'
"I feel it would be a positive impact from the initial construction jobs and then jobs created for people working there," said Lawrence County Commissioner Dan Vogler.
"It will also bring people into the county, and they will do other things while they are here."
Vogler calls it the "ripple effect" pointing out that they may buy gasoline, visit a restaurant or do some other activities while here for Bedford Downs.
The proposed full-service hotel is enough to make Joanne McBride, executive director of the Lawrence County Tourist Promotion Agency, a supporter.
The agency will generate some revenue from the county hotel tax, but more importantly, she says, it will keep tourism that is leaving because the county doesn't have amenities like a full-service hotel.
She said an alpaca convention at the Lawrence County Fairgrounds did not return this year because the county didn't have a full-service hotel.
McBride, Nitch, Exposito and Vogler all plan to speak at the hearing in support of Bedford Downs next week.
Carmen Shick said there has been little opposition to the plan.
The family has gotten more than 12,000 letters of support. About 2,000 came from the Lawrence County Fair held earlier this month, he said.
Shick realizes he is up against a well-funded and well-connected competitor in Centaur Inc.
The third competitor, Philadelphia Trotters and Pacers, hasn't been considered by most as a serious contender because it is not eligible for a slots license because of its proximity to another proposed venue.
Centaur Inc.'s local spokesman, Ron Klink, a former U.S. congressman who represented Lawrence, said last month the firm had hired two lobbying firms in Harrisburg.
Differences
But Shick points out some major differences between the two plans which he believes make Bedford Downs the better choice.
The proposed one-mile track could be the premiere site in the country. He said there is even a chance Bedford Downs could become home of harness racing's premier event, The Hambletonian, which may be looking for a new venue in the next five years.
Valley View Downs' proposed track is five-eighths mile, a shorter and more difficult track for the horses and drivers, he added.
Shick estimates his entire development -- from racetrack to condominiums -- would be completed within five years. The track and casino would be operational in about 12 months after getting a license. The family already has secured the $65 million from local banks to start the project, he said.
"This is an opportunity for change and economic growth. My grandfather always said you can either take a chance or let it pass you by," he said.
cioffi@vindy.com