Kansas Construction Continues Despite Lawsuits

Kansas Crossing Casino is headed for a March opening, as the state Supreme Court prepares to hear arguments in lawsuits seeking to stop construction. Castle Rock Casino developers and the Cherokee County Commission claim the state review board did not follow proper procedures when it selected Kansas Crossing over the larger Castle Rock proposal (l.).

On January 25, the Kansas Supreme Court will hear arguments in the consolidated lawsuits of two groups seeking to stop construction of the state-owned Kansas Crossing Casino in Pittsburg, scheduled to open in March. The developers of the proposed Castle Rock Casino and the Cherokee County Commission claim the Kansas Lottery Gaming Facility Review Board erred in choosing Kansas Crossing over the larger proposed Castle Rock. In July 2015, the board voted 5-2 to select the Kansas Crossing proposal over Castle Rock and one other application.

Castle Rock developers and Cherokee County commissioners claim Shawnee County District Judge Larry Hendricks should not have dismissed their lawsuit last April. Hendricks rejected the Cherokee County argument that the state acted “arbitrarily, capriciously and otherwise unreasonably when they selected Kansas Crossing over Castle Rock.”

Castle Rock attorney Russell Jones said Hendricks should have allowed a judge or jury to hear alleged improprieties by the gaming board. “The review board’s procedure was not free from blemish,” the lawsuit states. The lawsuit also claims board members ignored the fact that Castle Rock’s proposal would produce the most revenue for the state.

Attorneys for the review board, Kansas Racing and Gaming Commission and Kansas Lottery dispute the charges. They said the review board acted according to the law and called the allegations “hearsay.” In a legal brief, the state agencies wrote, “It is abundantly clear that substantial evidence exists in the record that each agency satisfied its statutory obligations in taking their respective actions.”

Jones said the appeal to the state supreme court will be an “opportunity to put on evidence showing the decision should be reversed. We are looking for an opportunity to have a fair hearing.” Jones said besides asking the court to stop construction on Kansas Crossing, the county and developers want the high court to reverse Hendricks’ decisions and grant the license to Castle Rock.

If the state Supreme Court sides with Castle Rock or Cherokee County, it could send the case back to Shawnee County District Court for a trial. If the court sides with Kansas Crossing, the state court challenges would be over. Kansas Crossing spokesman Garion Masterson said, “We’re glad the Supreme Court has agreed to hear the case. We believe it will expedite a decision and bring to a conclusion a lawsuit we feel never had merit, and start generating revenues for the counties and the state of Kansas.”

In the meantime, construction continues on Kansas Crossing. “We’re not slowing down by any means. We were shooting for March 2017 when we did the groundbreaking in May. We’re going to keep moving forward. That’s our plan,” Masterson said. Drywall, lights and fixtures are being installed and job fairs have been held, he noted.