PLAINS TWP. — The Mohegan Sun Pocono casino’s new property tax assessment will be $152.5 million, Luzerne County Manager C. David Pedri announced Monday.
The casino had no active assessment because its past real estate tax payments were flat amounts dictated by a 2007 court-approved assessment appeal agreement that expired the end of 2015.
Under this agreement, the casino paid $2.9 million last year to the three taxing bodies. The breakdown: $2.01 million, Wilkes-Barre Area School District; $653,360, county; and $261,460, township.
Although these payments had no correlation to an assessment, a property valued at $113.7 million would have paid $653,360 in county taxes last year.
The county is in the process of mailing a change-of-assessment notice to Mohegan Sun, which is owned by Connecticut-based Downs Racing LP. The casino has the right to challenge the value.
Mohegan Sun Pocono representatives could not immediately be reached for comment on the new assessment.
The Wilkes-Barre Area School School District also has the power to file a reverse appeal arguing for a higher value if district officials believe the assessment is too low.
The county hired Media, Pennsylvania-based Coyle, Lynch & Company to complete an appraisal for the new assessed value. County officials wanted an expert’s input because casino valuations are complicated. Several other Pennsylvania counties with casinos have used a a similar approach.
The Mohegan Sun complex is 264 acres.