Judge Denies Scotts Valley Bid to Revive Vallejo Casino, Calls $10M in Losses 'Self-Inflicted'
A federal court refused to reopen the path to a casino in Vallejo, leaving the Interior Department's decision in place.
Illustration: BetWiseBrief
Key points
- A federal judge denied the Scotts Valley Band of Pomo Indians' request for a preliminary injunction on Sept. 30.
- The ruling leaves in place a Department of the Interior finding that the Vallejo site is not eligible for casino gaming.
- Judge Trevor McFadden called the tribe's $10 million in claimed losses "self-inflicted."
- The lawsuit itself continues, and the $700 million casino project remains stalled.
What the court decided
The Scotts Valley Band asked the court for emergency relief that could have reopened the path to casino gaming on its Vallejo, California, property while its lawsuit against the Department of the Interior moves forward. Judge Trevor McFadden refused. He wrote that the request fails on all four factors courts use for such orders and that the tribe "falters on every front."
The judge found the tribe had not shown it is likely to win any of its claims. He did not decide that the land no longer belongs to the tribe, and it remains held in trust for Scotts Valley. But without gaming eligibility, the tribe cannot legally operate a casino resort with slots, blackjack and roulette there.
Why the judge called the losses self-inflicted
The tribe argued it was suffering serious financial harm. The judge was not persuaded. After Interior first found the site eligible in January 2025, the tribe spent more than $10 million, including on a temporary "Preview Casino." The court had already warned it not to rely heavily on that early win, and the judge said the tribe "rolled the dice" and invested anyway.
He also called the claim that the temporary facility costs $235,247 a month to maintain "questionable."
The dispute behind the ruling
The fight is about whether Scotts Valley has a significant historical connection to the Vallejo area. Interior concluded in its final decision that it does not. Two other tribes, the Yocha Dehe Wintun Nation and the Kletsel Dehe Wintun Nation, challenged Scotts Valley's claim to the area. Local officials and others have also opposed the plan over the years.
The planned $700 million resort on the 128-acre site never broke ground. The only operation the tribe built was the temporary preview casino, which offered Class II games. It opened on July 24 and was shut down on July 31, a day after Interior issued its final denial of Class III gaming on July 30.
What happens next
The ruling is a major setback, but it is not the end of the case. The judge only decided that an emergency order was not warranted. The tribe's lawsuit against Interior remains pending, so the Vallejo site stays on hold for now.
Quick summary
| Item | Detail |
|---|---|
| Ruling | Preliminary injunction denied, Sept. 30, 2026 |
| Judge | Trevor McFadden, federal court |
| Tribe | Scotts Valley Band of Pomo Indians |
| Site | Vallejo, California (Solano County) |
| Status | Lawsuit continues; $700M project stalled |