Pennsylvania: Influence

Foxwoods' casino failure could cost Phila.


When Pennsylvania legalized gambling in 2004, legislators failed to think through what would happen if a license was revoked. In particular, the gaming act is silent on whether a casino operator should get a refund of the $50 million licensing fee for a slots parlor, said Doug Sherman, general counsel for the gaming board.

When Pennsylvania legalized gambling, they did so at midnight on the Fourth of July and neglected many other issues, more egregiously 'children left in vehicles.'


Schroder said that he thought [he thought? Imagine state policy being governed by guesses?] bids on the Foxwoods license should start at $50 million, and that letting the market decide a location would take some of the politics out of the process.

When the gaming board awarded Philadelphia's two licenses in December 2006, it was widely perceived that political connections had played a role in the selections. One license (Foxwoods) went to a group led by friends of Gov. Rendell, and the second (SugarHouse) was awarded to a project including onetime allies of then-State Sen. Vincent J. Fumo, the Democratic power broker who spearheaded legalized gaming in Pennsylvania.

State Rep. Michael O'Brien, a Philadelphia Democrat who supports Schroder's bill, said he believed gaming in Philadelphia already had reached a saturation point, with Parx to the north in Bensalem, SugarHouse in the city, Harrah's Chester to the south, and a proposed smaller resort casino in Valley Forge to the west.