Click here to subscribe today or Login.
WILKES-BARRE — Will taxing entities hit the jackpot when a real-market value is determined for the sprawling Mohegan Sun Pocono entertainment complex is assessed?
That will be disclosed on Sept. 30, when a yet-to-be chosen appraisal service determines the value of the Plains Township casino, racetrack and hotel facilities off Route 315.
Since 2007, the Mohegan Tribe of Indians of Connecticut have been paying a total of $2.9 million per year to Wilkes-Barre Area School District and the governments of Luzerne County and Plains Township in lieu of property taxes, as per a 2007 court order settlement. That order determined the market value of the fledgling casino could not be accurately determined at that time.
The settlement will expire at the end of this year, opening the door to the assessment.
Michael Bean, President and CEO at Mohegan, said Tuesday he looks forward to the appraisal.
“I believe it will be done fairly,” he said, “and am looking forward to the continued growth of the Mohegan Sun.”
For the current yearly tax burden to be maintained, the entertainment venue would need to be assessed at $125 million. At that amount, it would remain one of the highest valued properties in the county.
In the eight years since the casino opened its doors, it has continued to expand, with the addition of a new casino building and hotel, and the renovation of its race track. The property covers 264 acres, according to county records.
The Luzerne County Bureau of Assessments issued Request for Proposals (RFP) Tuesday on the project, outlining specialized assessors needed to satisfactorily complete the work, which must be received or postmarked no later than July 17.
Deadline near
The county’s Project Overview indicates the appraiser successfully obtaining the bid must satisfactorily complete the assessment by Sept. 30.
The appraisal and resulting real estate tax are set to take effect at the end of the year.
County Manager Robert Lawton has previously said in order to bid on the project, potential assessors would be required to have previous experience in valuing similar properties, to ensure taxing bodies are in the most advantageous position possible.
The RFP indicates the successful vendor would be required to personally inspect the entire complex and provide a fair market value, based upon accepted real estate practices and standards.
A selection team, chosen by the county, will evaluate the proposals based on the qualifications, experience, reputation, time request to complete the project and cost, reserving the right to choose the “vendor whose proposal is in the best interest of the county, regardless of total cost.
Reassessment of the casino follows news reflected by a recent draft audit that the county spent $3.6 million more than it brought in during 2014, making apparent the need for continuing revenue.