Judge addresses racing license Parties granted legal status regarding Penn National decision

BANGOR – A Penobscot County Superior Court justice has granted legal standing to all of the parties that requested it with regard to the Maine Harness Racing Commission’s 4-0 decision last month to issue a conditional racing license to Penn National Gaming Inc.

Justice Andrew Mead also outlined the legal issues he intends to address concerning the matter, which he consolidated into one civil case on Feb. 27. Oral arguments are set to start at 9 a.m. Wednesday, March 31, in Penobscot County Superior Court.

The issues Mead will consider include:

. Did the harness racing commission abuse its discretion or otherwise act unlawfully when it denied the petitioners’ requests to intervene?

. If so, what is the appropriate relief?

. Are the petitioners “aggrieved” for the purposes of these proceedings?

According to Mead, the court’s answer to these questions will determine the future course of the court proceedings. While Mead deferred the issue of the petitioners’ allegations of impropriety in the issuance of the license, he noted that it might be necessary to address that topic in the future.

Obtaining a racing license is a critical step in Penn National’s plan to develop a racino, or racetrack casino, in Bass Park. The facility would combine harness racing with year-round entertainment, namely slot machines.

Penn National began the process of acquiring Bangor Historic Track, which operates racing at the city-owned racetrack, in early January, while the commission was in the midst of conducting its state-mandated suitability hearing on Penn’s predecessor, Shawn Scott and Capital Seven LLC.

The decision to grant Penn National a conditional license – despite legal staff’s recommendation that the commission first conduct a state-mandated suitability investigation – was lauded by horsemen and others in the state’s distressed harness racing industry.

The decision also, however, immediately began racking up legal challenges from CasinosNo!, the Penobscot Nation and the Passamaquoddy Tribe – two of the three groups that unsuccessfully sought intervenor status in the licensing matter during the commission’s Feb. 17 proceedings.

The two tribes want to operate the Bangor racino, and CasinosNo! opposes gambling.

The Christian Civic League of Maine also sought legal standing but isn’t at this time among the groups pursuing the matter in court.

More recently, three new petitioners came forward with an opposing agenda. Original racino developer Shawn Scott and his company Capital Seven LLC, the Maine Harness Horsemen’s Association and the parent company of Scarborough all are seeking legal standing in the civil actions that CasinosNo! and the two tribes have brought against the racing panel.

Mead, who is presiding over the matter, denied a motion on Feb. 20 to stay the license. At the same time, Mead agreed to “fast-track” appeals of the commission’s licensing decision.

On Friday, he granted legal standing to all the parties who sought it in the civil action CasinosNo! and the tribes brought against the commission.

If Penn meets the state’s suitability requirements, which require race operators be financially responsible and of good moral character, it eventually will receive a regular license.

In addition, commissioners ruled that the grandstand at Bangor Raceway, which recently underwent major renovations, be returned to a condition conducive to harness racing and pari-mutuel wagering by no later than April 15.

During a recent meeting with Bangor officials, Penn National executives said that they have hired Bangor Raceway veteran Fred Nichols to oversee this year’s meet. The Orrington resident has been at the helm of harness racing here for at least a decade.

The five-member harness racing commission, which normally conducts its business in Augusta, is slated to meet in Bangor on Wednesday to draft its written decision regard its licensing and race date actions on Feb. 17.