Despite outpouring of public comment, PSU trustees decline to take stance on casino project

Centre County residents and others have called for Penn State’s board of trustees to take a public stance on a proposed nearby casino that some believe could be harmful to University Park students — but trustees chairman Matt Schuyler said Friday the board would not be weighing in.

The proposed mini-casino, which would be built at College Township’s Nittany Mall, is about 3 miles from the University Park campus and is being headed by Ira Lubert, a university alum and former trustees chairman. But Schuyler said such decisions are made by municipalities and the Pennsylvania Gaming Control Board, and not by the university.

He said the board received more than 200 comments about the casino.

His full statement, which was made at the start of Friday’s public trustees meeting, is below:

“Before we begin our agenda formally, I want to acknowledge that the board has received well over 200 public comment submissions regarding the proposed casino in College Township,” Schuyler said. “Understanding the unique and important role the university plays in the local community, we appreciate that residents are voicing their diverse opinions on this topic. The proposed casino is planned for a property in College Township, but it is otherwise not associated with Penn State University.

“Decisions regarding whether a casino can be opened are made by local municipalities and the Pennsylvania Gaming Control Board. And there are mechanisms in place for individuals to share their opposition to — or support of — this private endeavor with these decision-making entities. The board of trustees does not have a stance on this project, nor does the board have a means to promote or stop the development of a private, legal operation that has been approved by local and state officials.

“The board remains focused on helping the university and students continue with teaching, research, outreach missions and supporting the goals and safety of Penn State students, faculty and staff.”

Supporters of the proposed casino — which would also include table games and sports wagering — point to the economic benefits and the potential revitalization of the Nittany Mall, while more than 1,400 have signed an online petition opposing the casino. Critics point to the potential for crime, strain on services, gambling issues for the vulnerable (e.g. Penn State students) and a community’s overall well-being.

According to officials, the casino is expected to employ between 350 and 400 full-time equivalent positions. And, according to a consultant, College Township would likely stand to receive about $1.6 million during the casino’s first year of operation. (For comparison’s sake, the township’s annual General Fund Budget is about $10.5 million.)

Lubert initially won a $10 million bid for a Category 4, or mini-casino, license in September 2020 that would allow for up to 750 slot machines. He partnered with Bally’s in January 2021 to construct a $120 million casino into the nearby Nittany Mall. And he’s been waiting for approval from the gaming control board since then, with formal approval (or denial) set to come as early as this November.

College Township held a public hearing in August 2021, and the gaming control board left the comment period open for nearly a year, until this past June. Township officials discussed the potential casino again earlier this month, due in part to public opposition, though no official action was taken.

The gaming control board has so far denied only one mini-casino license, in Beaver County, and that came only after the winning bidder acknowledged they couldn’t finance the project.