Cedar Rapids Casino Opposition Group Claims Public Doesn’t Want More Gambling

Posted on: November 13, 2024, 05:53h. 

Last updated on: November 14, 2024, 10:48h.

Devin O'Connor @CasinoorgDevinO Read More
Expertise: Asia Pacific Gaming, Commercial Gaming, Legislation, Politics.

Opposition to a proposed $275 million casino resort in Cedar Rapids has emerged through a self-described “grassroots coalition” called Iowans for Common Sense.

Iowa casino Cedar Rapids gambling
Opposition to a casino in Cedar Rapids has emerged with a group called Iowans for Common Sense. The group claims a majority of the public opposes more casinos in Iowa. (Image: Iowans for Common Sense)

Iowa’s legislative-mandated moratorium on the Iowa Racing and Gaming Commission (IRGC) not issuing new gaming licenses expired July 1, 2024. While a legislative effort to reimplement a ban on new casinos is expected to reignite when the Iowa Legislature convenes for its 2025 session in January, a group of businesspeople in Cedar Rapids — in partnership with a Los Angeles-based casino operator — are rushing to secure what would be the 20th state-issued casino license.

Iowans for Common Sense says the public doesn’t want more gambling. The group recently deployed a 30-second television spot featuring Iowans expressing their resistance to more casinos.

I think we have plenty. We don’t need one on every street corner,” a man says in the campaign.

“I personally don’t think we need any more casinos,” adds a woman.

Support Gambling, Oppose More of It 

Iowans for Common Sense commissioned UpOne Insights, a Virginia-based polling and research firm, to gauge the public’s interest in Iowa in allowing more casinos. The study concluded that while Iowans strongly support casino gambling, they strongly oppose further expansion of the industry. Along with the 19 commercial casinos, Iowa is home to four tribal casinos.

UpOne reported that 66% of likely voters oppose additional casinos while only 30% support them. All demographics, including Republicans, Democrats, independents, Trump voters, and Harris voters oppose more casino licenses. Each demographic also supports state lawmakers implementing another moratorium on new casino concessions, UpOne found.

“The message from Iowans is clear. People across the state value what our current casinos bring to their communities but do not support further expansion,” said Zachary Harnde, a spokesperson for Iowans for Common Sense.

Jonathan Swain, a longtime executive with Peninsula Pacific Entertainment (P2E), the gaming and hospitality firm partnered with the Cedar Rapids Development Group (CRDG) on the Cedar Rapids casino bid, says the UpOne poll is flawed.

“This poll appears to be a thinly veiled attempt from a group more interested in eliminating potential competition than amplifying the voices of Linn County residents,” Swain told the Corridor Business Journal.

Dubbed Cedar Crossing Casino, P2E and CRDG’s proposal includes a casino floor with approximately 700 slots, 22 live dealer table games, and a sportsbook. The facility would also include a 1,500-seat concert hall, several restaurants and bars, with one coming from PGA Tour golfer and Iowa native Zach Johnson, and over 1,100 parking spaces.

The blueprint additionally includes a STEM (Science, Technology, Engineering, and Mathematics) lab and a cultural arts center that would be separated from the casino facility.

The casino projects supporting over 500 full-time jobs, increasing Iowa’s annual gaming revenue by upwards of $80 million, and drawing over a million visitors to the city annually.

State Review 

In August, the IRGC commissioned two studies regarding the Cedar Crossing Casino application to help the agency determine the feasibility of a casino in Cedar Rapids and how the operation would impact the state’s current casinos. The state gaming commission is expected to field and review those studies in January.

Cedar Rapids, Iowa’s second most-populated city, has been kept out of the state gaming industry for over a decade. Cedar Crossing’s charitable arm, the Linn County Gaming Association, has pledged to direct 8% of the casino’s gross gaming revenue to nonprofits, considerably higher than the state minimum requirement of 3%.

While Iowans for Common Sense hasn’t yet filed a campaign finance disclosure with the state, Swain believes the political campaign is being funded by Elite Casino Resorts and its Riverside Casino.

Patty Koller, executive director of the Washington County Riverboat Foundation, the charitable arm of the Riverside Casino, is quoted on the Iowans for Common Sense website.

“If Cedar Rapids is granted a license, it would harm surrounding casinos and the non-profits that rely on them. These non-profits have poured millions into the corridor, benefiting communities far beyond their borders. As an organization rooted in rural Iowa, we are proud to support our corridor and our rural neighbors, who would undoubtedly be impacted by this proposed development,” Koller said.