July 10th, 2019


Pennsylvania Gaming Control Board
Commonwealth Tower, Strawberry Square
303 Walnut Street, 5th Floor
Harrisburg, PA 17101


Doug Harbach or Richard McGarvey (717) 346-8321

Gaming Control Board To Hold Category 4 Satellite Casino Auction On September 4th

HARRISBURG, PA:   The Pennsylvania Gaming Control Boardtoday announced that it will hold an auction for the right to apply for a Category 4 casino license.

The announcement was made following the ratification by the Board at its public meeting to re-implement the auction process that ended in April of 2018.

The first auction in this round is scheduled for September 4, 2019 at 10:00 a.m. just prior to the start of its regularly scheduled Board meeting. The auction will be held in the PGCB’s Public Hearing Room located on the second floor of Strawberry Square in Harrisburg. All current holders of a Category 1, 2 or 3 casino license in Pennsylvania are eligible to participate in this auction.

Under the Gaming Expansion Act of 2017, the Gaming Control Board was authorized to award up to 10 Category 4 (satellite) slot machine operator licenses through an auction process which was conducted from January to April 2018, resulting in five successful auctions garnering $127 million in bids to secure the right to obtain a Category 4 license. The successful winners and their bid price are as follows:

  • Mountainview Thoroughbred Racing Association, LLC, which operates Hollywood Casino at Penn National Race Course, is seeking a license to construct a satellite casino in Springettsbury Township, York County ($50,100,000);
  • Stadium Casino, LLC, which is constructing a Category 2 casino in Philadelphia, is seeking a license to construct a satellite casino in Hempfield Township, Westmoreland County ($40,100,005);
  • Mount Airy #1, LLC which operates the Mount Airy Casino Resort, is seeking a license to construct a satellite casino in Big Beaver Borough, Beaver County ($21,188,888.88);
  • Greenwood Gaming and Entertainment Inc., which operates the Parx Casino, is seeking a license to construct a satellite casino in Shippensburg Township, Cumberland County ($8,111,000); and,
  • Mountainview Thoroughbred Racing Association, LLC was a successful bidder a second time and was awarded a Category 4 license on June 12, 2019 to construct a satellite casino in Caernarvon Township, Berks County ($7,5000,003).

The Board will stream the auctions live via its web site.

The Gaming Expansion Act 42 of 2017 established a minimum bid price of $7.5 million for Category 4 slot machine licenses.  A separate certificate for table games can then be obtained through Board approval for a fee of $2.5 million. A Category 4 facility may have between 300 and 750 slot machines along with a maximum of 30 table games at opening with the capability of adding an additional 10 table games after its first year of operation.

Following the auction process, winning bidders must pay the winning bid amount no later than 4 p.m. on the second business day after the date of the auction. They then have up to six months to submit an application for the Category 4 slot machine license which includes an exact location of the proposed satellite casino.

The procedures to be followed in this and any subsequent auction will be posted on the Board’s website.

About the Pennsylvania Gaming Control Board:

The Pennsylvania Gaming Control Board is tasked to oversee all aspects of the state’s casino industry. In addition to slot machine and table games gambling, this now includes sports wagering offered through land-based sportsbooks at eight locations and through three online outlets. The oversight also includes other new gaming initiatives, expected to be launched in the coming months, which were created through Act 42 of 2017, an amendment to the Race Horse Development and Gaming Act.

The Commonwealth’s casino industry currently consists of 10 stand-alone and racetrack casinos in operation, along with the two smaller resort casinos.  These facilities collectively employ over 16,000 people and annually generate approximately $1.4 billion in tax revenue from slot machine and table games play. The largest portion of that money is used for property tax reduction to Pennsylvania homeowners.

Additional information about both the PGCB’s gaming regulatory efforts and Pennsylvania’s gaming industry can be found at  . You can also follow the agency on Twitter by choosing @PAGamingControl.