Cedar Rapids Casino Blocker Bill Expected Next Week

Posted on: January 11, 2025, 05:28h. 

Last updated on: January 11, 2025, 05:28h.

Philip Conneller @casinoorgphilc Read More
Expertise: Gaming Business, Regulation, Tribal Gaming.

A bill that would prevent any new casinos from being built in Iowa within the next few years is expected to drop early in the new legislative session, which starts Monday.

Cedar Rapids casino, Cedar Crossing Casino, moratorium, Bobby Kaufmann
State Rep. Bobby Kaufmann, above, believes that a Cedar Rapids casino would cannibalize revenues from existing gaming venues in the state. He wants to block regulators from issuing a license for the project. (Image: Iowa Public Radio)

House Rep. Bobby Kaufmann (R-Wilton) told Iowa’s News Now that the legislation will be similar to the bill he introduced last year, which was approved by the House but fizzled out when the Senate failed to act on the measure. That would have put the kibosh on any new casinos until 2029.

While the bill mentioned casinos, plural, the primary goal of the legislation is to block Cedar Rapids, Iowa’s second most populous city, from pursuing a casino license.

Cedar Crossing Casino

The Cedar Rapids City Council and Mayor Tiffany O’Donnell (R) are hoping the state will issue a license to the Cedar Rapids Development Group, a collection of local businesspeople who want to build a $275 million gaming venue, the Cedar Crossing Casino, on land owned by the city. State gaming regulators are scheduled to vote on the matter on February 6.

Iowa’s gaming industry opposes a Cedar Rapids casino, arguing the market is saturated now that Nebraska has legalized gaming and that fresh expansion would cannibalize the revenues of existing casinos.

Kaufmann, whose district includes the Riverside Casino & Golf Resort, a 30-minute drive south of Cedar Rapids, has argued that Cedar Crossing would put his constituents’ jobs in jeopardy.

Recent studies estimate that a Cedar Rapids casino would generate $80 million in new taxes, while diverting about $68 million from casinos in Riverside, Waterloo, and Dubuque.

Local Support

Residents of Cedar Rapids have twice voted on a referendum supporting casino gaming in Linn County, most recently in 2021, and backers of the casino believe the state legislature should not interfere with local consensus.

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 poll by casino opposition group, Iowans for Common Sense, claims that two thirds of residents statewide are against casino expansion.

Meanwhile, with less than six weeks until state regulators vote on the license, time is of the essence for Kaufmann’s moratorium. The lawmaker told Iowa’s News Now he believes the bill will run through committees as early as the second week of the session.

Like last year, support for the bill is mixed, although Kaufmann says it’s growing.