Iowa Casino Moratorium Bill Sinks in Senate Committee, Keeping Cedar Rapids Casino Alive

^{Iowa Sen. Ken Rozenboom says he is no fan of gambling, but he had to make a practical political decision upon realizing that the bill to stop casino expansion into Cedar Rapids didn’t have the votes to continue. (Image: courtesy of Iowa Senate Republicans)}

The Iowa Senate State Government Committee tabled House File 144 on Tuesday, a bill that would have put a five-year moratorium on new licenses for casinos in the state.

The move paves the way for the Iowa Racing and Gaming Commission (IRGC) to decide whether to approve a license for a Cedar Rapids casino during a meeting this Thursday.

Rozenboom Stops Bill Despite Gambling Reservations

Iowa legislators were attempting to fast track the legislation in order to prevent the proposed Cedar Crossing Casino & Entertainment Center from getting a hearing from the IRGC. Those efforts appeared to be making progress last week, as the Iowa House passed the measure 68-31 on Thursday, with the Local Government Committee advancing the bill in the Senate on the same day.

But Senator Ken Rozenboom (R-Oskaloosa), the chair of the State Government Committee, announced Tuesday that he would not be moving the bill forward. Rozenboom said that his decision was more about political reality than his feelings about the legislation.

“I am no fan of gambling and my decision not to advance this legislation should not be considered in support of casino expansion,” Rozenboom said in a statement. “According to my conversations, this bill did not have enough support from Senate Republicans to advance all the way through the Senate process. In the interest of moving this session forward to other issues of critical importance to Iowans, I have no plans to reconsider the legislation for the remainder of this session.”

Cedar Rapids Mayor: ‘We Got Our Shot’

That decision doesn’t automatically mean that Cedar Rapids will be getting a casino anytime soon. As many opponents of the moratorium pointed out, there’s still a process in place by which the IRGC will evaluate the proposal and determine whether or not to approve a new casino license. The IRGC has already denied Cedar Rapids twice, in both 2014 and 2017.

But for supporters of the move, just having the opportunity to try again is a win.  

“We got our shot, it’s what we asked for,” Cedar Rapids Mayor Tiffany O’Donnell said of the decision. “It’s what a lot of people have worked really hard over the last couple of weeks to get and we are there.”

The Cedar Crossing Casino & Entertainment Center would be a $275 million development, which would include not only a casino but also three live entertainment venues and a dedicated arts and cultural center. The complex is being developed by Peninsula Pacific Entertainment in partnership with the Linn County Gaming Association.

Supporters have said that the casino would bring much needed economic benefits to areas of Cedar Rapids that were previously devastated by flooding. Those opposed to the casino have pointed to economic studies that suggest a large portion of a new casino’s revenue would come at the expense of neighboring facilities, including the Riverside Casino & Golf Resort, which is located less than 40 miles south of Cedar Rapids.