Racino celebrates one year with owners lauding region

A year ago, Penn National Gaming opened the doors to its $250 million horse-racing track and slots-only casino in Austintown with much fanfare and a great deal of hope and expectation.

Penn National is in the top tier of the gambling and entertainment industry, but officials knew that their Hollywood Gaming at Mahoning Valley Race Course was starting virtually at the end of the pack.

Similar racinos were already operating within driving distance of the Valley, and Mountaineer Race Track and Resort, with its full-service casino, had long had a loyal following in this area.

Thus, while the new facility certainly ignited the passions of many Valley residents – it’s no secret that legal and illegal gambling are very much a part of our history and culture – there was the question of customer loyalty.

A year later, that question has been answered loudly. As the front-page retrospective in Sunday’s Vindicator noted, more than $855 million credits were played since the racino went live for a VIP night Sept. 15, 2014, and officially opened to the public Sept. 17.

There also was the question of employment, and whether Penn National would make good on its promise to hire mostly local residents. The Wyomissing, Pa.-based, company has done that – and more.

There were 300-plus full-time employees in the first year, and more than 100 employees hired full-time for about six months during the live horse-racing season.

In addition, there have been 77 internal promotions.

Here’s how Mike Galle, Hollywood Gaming vice president and general manager, painted the employment picture to Vindicator Reporter Robert Connelly:

“So a number of people have been able to enhance their career. … Some of the positions we held open so we could see how our team did and could advance them.”

RACINO BUYS LOCAL

But it isn’t just within the confines of the racino that the benefits are being derived.

Hollywood Gaming buys its produce locally and has a local T-shirt maker for its gift shop.

As we said in an editorial a year ago marking the opening of the racino, the facility is more than just the hundreds of video-lottery terminals and the state’s newest thoroughbred horse-racing track. It represents a long-term financial commitment to this region.

About 1,000 direct and indirect jobs were anticipated, in addition to the 1,000 construction jobs that were filled.

Penn National Gaming paid about $4.6 million for the 186-acre Centerpointe property and a $75 million fee to the state of Ohio to relocate its Beulah Park track near Columbus. The company also shelled out $50 million for its licensing fee to the Ohio Lottery Commission for the VLTs.

The horse-racing season began Nov. 24 and ran about 100 days through April. There also were simulcast races from other tracks.

But the real payoff was the $1 million Austintown received in December 2013 and June 2014 and the $500,000 a year it is getting for two years. The money is being used for police, fire and other services, and to cover infrastructure or capital costs.

The Austintown payoff came from the state under a law that provided communities with racinos a portion of the gambling revenue from the four full-service casinos and the seven facilities that have horse-racing tracks and slots.

Although Hollywood Gaming at Mahoning Valley Race Course was the last of the seven to open in Ohio, Penn National spared no expense to ensure that it is an entertainment showcase for the region.

The people of the Mahoning Valley and those living within a 50-mile radius have shown their appreciation by their patronage.

“We’ve been very happy with the support of the community,” Galle told The Vindicator. “It’s just a tremendous community to live in, to work in and be a part of it.”

What the next year will bring is anybody’s guess. But, for now, Penn National Gaming’s commitment to the Mahoning Valley remains as strong as ever.