HARRISBURG -- A $425 million racetrack-casino in Lawrence County is still in the race, but now it has two major hurdles to clear or the state Harness Racing Commission may put it out of its misery.

On Friday the panel, with only Chairman Roy Wilt voting, imposed two deadlines that must be met before the proposed track for standardbred horses can be built west of New Castle, on Route 422 near the Ohio line.

By Oct. 5, Centaur Inc. of Indianapolis, which doesn't have the financial backing to build Valley View Downs, must certify to the commission there is at least one new written bid to take over the track project.

If there's more than one bidder, an auction will be overseen by the U.S. Bankruptcy Court in Delaware, because Centaur has filed for bankruptcy protection from its creditors.

If no bidders come forward, the racing license "shall be automatically and immediately terminated, revoked and surrendered to the commission," the panel said.

If at least one new bidder steps forward, a second deadline -- Dec. 31 -- comes into play. That is when the winning bidder, after being approved by the bankruptcy court, must file its own racing license application with the Harness Commission so the panel can do a background check on the bidder.

Lawrence County Commissioner Dan Vogler and an Adams County standardbred horse farm owner were pleased with Friday's actions. Mr. Vogler said the project was vital to his county because of the 1,000 or so jobs that a track and casino would create.

Jim Simpson, president of Hanover Shoe Farms Inc., a major breeder of the kind of horses used in harness races, called the decision "a good outcome. The project is still alive and it's back in the running. I'm sure there will be some bidders, or at least one. That's all that's required. I want another harness track, so there are more opportunities to race."

But two Democratic state legislators from Westmoreland and Cambria counties weren't happy. Sen. John Wozniak of Johnstown and Rep. John Pallone of New Kensington advocated yanking Valley View Downs' license immediately, so a new developer with resources can be found and the proposed racetrack/casino can be moved to another part of the state.

Mr. Wozniak said it was important to get the new track and casino up and running as soon as possible to create new jobs and increase tax relief for homeowners. Much of the slots tax revenue from casinos goes to reduce property taxes.

The harness panel's decision "unfortunately, rewards a failed project and unnecessarily delays property tax relief and job-creation efforts," Mr. Wozniak complained.

Mr. Pallone thinks the track/casino should be located at one of "several convenient locations" in the Alle-Kiski Valley.

"It appears the commission is rewarding Centaur for failure and bad behavior," he said Friday. "... Giving this company another extension ... only further delays the development of a harness racing track and the creation of jobs."

Daryl Price, part of a group that has expressed interest in building a racetrack near Johnstown, attended Friday's meeting but declined comment.

Centaur originally got the racing license in 2007 and was supposed to start live racing in Lawrence County this month. It had been seeking a two-year license extension, which it didn't get, but it got more time.

If a winning bidder fails to meet the Dec. 31 deadline to apply for a license, Centaur's existing license would be revoked and the commission would have to start from scratch on finding a racetrack developer, a process that could take several years.

If a winning bidder does apply for a license, the harness panel will thoroughly review its application, said commission lawyer Jorge Augusto. He wasn't sure how long that would take or when racing might start.

If the commission grants the new developer a racing license, it would be "site specific" -- the track must be built at the Valley View Downs site on Route 422 in Lawrence County. That is what pleased Mr. Vogler.

Having a racing license is seen as especially valuable because it enables the holder to apply for a gambling license to the state Gaming Control Board so the track can add a casino with slots and table games.

Pennsylvania has six racetrack/casinos, three with harness racing, including The Meadows in Washington County, and three with thoroughbred racing. The Lawrence County project would be the seventh and final racetrack/casino.

The Harness Commission is supposed to have three members, but one seat is vacant. One of the two current members, Richard Welch, disqualified himself from Friday's vote, to avoid any potential conflict of interest. His employer, Wells Fargo Bank, represents some of Centaur's creditors.

Mr. Augusto said his research showed it was legal for only one board member to vote.

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