Federal Reversal Forces Immediate Closure of Scotts Valley Band Preview Casino in Vallejo
The Scotts Valley Band of Pomo Indians shuttered its temporary Preview Casino in Vallejo, California, right after the U.S. Department of the Interior withdrew gaming eligibility for the tribe's trust parcel, and the move came because officials determined the site lacked sufficient historical connection to the tribe.
That small-scale facility had opened only recently as a way to show the viability of a larger resort project, yet it operated for just a short period before the shutdown took effect, and more than 100 employees found themselves without work as a direct result of the sudden closure.
Background on the Trust Parcel and Initial Eligibility
The tribe had placed the Vallejo parcel into trust with the expectation that gaming could proceed under federal guidelines, and prior federal reviews had supported that step, while a 2025 federal court ruling had reinforced the tribe's position on related land issues.
Those earlier findings created a foundation for the Preview Casino, which served as an operational test site rather than a full-scale destination, and the facility allowed the tribe to gather data on market demand while maintaining compliance with existing regulations at the time.
The Department of the Interior Decision and Immediate Effects
Officials at the Department of the Interior issued the withdrawal notice without advance warning to the tribe, and the decision cited insufficient historical ties between the Scotts Valley Band and the specific parcel in question, which reversed the prior eligibility determination that had allowed the temporary casino to open.
Once the eligibility ended, the tribe had no choice but to close the Preview Casino immediately, and the action aligned with federal rules that prohibit gaming on land that no longer meets trust criteria for such activities.
Workforce and Operational Impact
More than 100 employees lost their positions when the doors closed, and many of those workers had been hired locally to staff the short-lived operation, which featured limited gaming options designed to demonstrate the concept rather than generate long-term revenue.
The closure also halted any ongoing data collection from the Preview Casino, and that information had been intended to support applications for a larger resort project that the tribe had envisioned for the same site.
Tribe's Position and Planned Legal Response
The Scotts Valley Band described the Department of the Interior action as inconsistent with earlier federal findings and the 2025 court ruling, and tribal leaders announced plans to file a new lawsuit challenging the decision under the Administrative Procedure Act.
That statute allows tribes and other parties to contest federal agency actions they believe exceed statutory authority or fail to follow required procedures, and the tribe indicated it would seek to restore the gaming eligibility that had supported the Preview Casino.
Observers note the lawsuit will focus on the sudden change in eligibility status, and the filing is expected to argue that the Department did not adequately explain its reversal or consider the reliance interests created by prior approvals and the court decision.
Timeline and Context in August 2026
The shutdown occurred in August 2026, and it marked a rapid reversal for a project that had moved forward under the assumption that the trust parcel would retain its gaming eligibility, and the timing left the tribe with limited options to transition staff or salvage equipment from the temporary facility.
Those who have followed similar land and gaming disputes recognize that challenges under the Administrative Procedure Act often involve detailed reviews of agency records, and the Scotts Valley Band case will likely examine correspondence and analyses that preceded both the original eligibility and the later withdrawal.
Conclusion
The closure of the Preview Casino illustrates how shifts in federal land determinations can halt ongoing operations with little notice, and the tribe's planned lawsuit under the Administrative Procedure Act will test whether the Department of the Interior followed proper procedures when it reversed the eligibility finding for the Vallejo parcel. The outcome may influence how other tribes approach temporary gaming facilities while awaiting final approvals for larger projects, and the case remains active as of the latest reports from industry coverage of the matter.