Lawrence County commissioners begin planning how to spend racetrack windfall

The state has earmarked how the money can be used.

By LAURE CIOFFI

VINDICATOR PENNSYLVANIA BUREAU

NEW CASTLE, Pa. — Just a day after learning that a racetrack and casino will be located in their community, Lawrence County commissioners are already talking about the expected economic windfall.

“We need to be ready and look at handling things internally. We need to get the staff together,” said Commissioner Ed Fosnaught.

Fosnaught was referring to the expected $16.6 million the county is projected to receive from gaming revenue at Valley View Downs, a harness track and casino to be built off of U.S. Route 422 in Mahoning Township owned by Centaur Inc. of Indianapolis.

The Pennsylvania Harness Racing Commission on Wednesday awarded its last track license to Centaur Inc. to build a one-mile harness track. The winner of the license is almost assured the lucrative slot machine license from the state gaming board.

Centaur officials said they will apply soon for the gaming license and hope to have it by year’s end. They must build the racetrack within two years or lose the harness track license.

Under Pennsylvania gaming law, the county will receive 2 percent of the gross revenue from the slots.

According to state law, those funds will be put in a trust and distributed to the county through grants and can be used only for human services, infrastructure, facilities, emergency services and health and public safety expenses related to the gaming facility.

The law indicates that the funds must be distributed through an economic development agency or a redevelopment authority.

Both exist in Lawrence County with the redevelopment authority being staffed by county employees. The county economic development agency is a private nonprofit agency with its own board of directors.

Fosnaught, who is ending his tenure as a commissioner in January, said he would prefer the money go to the agency with more county control. He wants to create an economic development office for the county.

“This thing needs to be handled by people committed to one thing. This opportunity is tremendous and it needs to be handled very well,” Fosnaught said.

The two other commissioners did not comment on which agency should get the funds, but agreed there is much work to be done.

“It’s going to be like something we’ve never seen before. It’s going to be an exciting time over the next few years,” Commissioner Steve Craig said.