A proposal aiming to stop the construction of new casinos in Iowa for the next few years is anticipated to be introduced early in the upcoming legislative session, beginning Monday.
House Representative Bobby Kaufmann (R-Wilton) informed Iowa’s News Now that the upcoming legislation will closely resemble the bill he presented last year, which received House approval but stalled when the Senate did not take action on it. That would have halted any new casinos until 2029.
Although the bill referenced multiple casinos, the main objective of the legislation is to prevent Cedar Rapids, the second largest city in Iowa, from seeking a casino license.
Cedar Crossing Gaming House
The Cedar Rapids City Council and Mayor Tiffany O’Donnell (R) are optimistic that the state will grant a license to the Cedar Rapids Development Group, a group of local entrepreneurs aiming to construct a $275 million gaming facility, the Cedar Crossing Casino, on city-owned land. State gaming regulators are set to cast their votes on the issue on February 6.
Iowa’s gaming sector is against a casino in Cedar Rapids, claiming the market is saturated due to Nebraska's legalization of gaming, and that further expansion would harm the revenues of existing casinos.
Kaufmann, representing the area that encompasses the Riverside Casino & Golf Resort, located a half-hour drive south of Cedar Rapids, has asserted that Cedar Crossing would threaten the employment of his constituents.
Recent research estimates that a Cedar Rapids casino could produce $80 million in new tax revenue, while pulling roughly $68 million from casinos in Riverside, Waterloo, and Dubuque.
Community Assistance
Cedar Rapids residents have voted twice on a referendum favoring casino gaming in Linn County, with the latest vote in 2021, and supporters of the casino assert that the state legislature should not intervene in local agreement.
"The residents of Linn County have spoken twice now about their desire to have that casino within Linn County in Cedar Rapids and the legislature should stay, stay out of it and let the process that is the law currently take place,” said Rep. Jeff Cooling (D – Cedar Rapids).
A recent survey by the casino opposition organization, Iowans for Common Sense, asserts that two-thirds of residents across the state oppose casino expansion.
In the meantime, with under six weeks remaining until state regulators decide on the license, time is crucial for Kaufmann's moratorium. The legislator informed Iowa’s News Now that he expects the bill to progress through committees by the second week of the session.
Similar to last year, backing for the bill is varied, although Kaufmann claims it is increasing.
