The City of Cedar Rapids, Marion City Council and Linn County Board of Supervisors have each approved letters of support for the Linn County casino gaming license application that’s expected to be submitted soon to the Iowa Racing and Gaming Commission.
All three letters of support, addressed to the IRGC, focused on the charitable and economic benefits of a potential casino in Cedar Rapids, particularly casino developers’ commitment to provide 8% of gross revenues to nonprofit organizations via the nonprofit Linn County Gaming Association.
“This commitment, the highest in the state, would result in an estimated $5-7 million annually,” said the letter from the Marion City Council, approved July 24. “These dollars will help countless organizations that provide essential services within the county and further enhance the quality of life for those who call this part of the state home.”
“(The) contribution percentage, which is more than twice the state’s requirement, will be the highest of any casino in Iowa and will provide a meaningful impact to nonprofit organizations that rely on donations to provide essential services,” says the letter from the Linn County Board of supervisors, approved July 29.
Peninsula Pacific Entertainment (P2E) and the Linn County Gaming Association (LCGA) have announced their plan to file a joint gaming license application with the Iowa Racing and Gaming Commission.
In a virtual meeting July 12, the IRGC approved a procedural outline for consideration of Linn County’s application, indicating they will make a decision on the application Feb. 6, 2025.
The letters of support also point to the potential casino’s economic benefits.
“The proposed entertainment and cultural arts complex will feature bars, restaurants, an entertainment center, and other venues — enriching our city’s vibrant arts and entertainment scene and helping to retain young professionals,” said the July 29 letter, signed by Ms. O’Donnell but indicating it is intended to “convey the City of Cedar Rapids’ support for the casino proposal.”
“The casino will contribute to our economic diversity by creating quality jobs, including full-time, construction, and other indirectly related jobs,” Ms. O’Donnell’s letter adds. “Anchoring redevelopment on the west side of the Cedar River, the casino will further aid our recovery from the 2008 flood, including flood control measures, and generating significant property tax revenue in a location which has been off the tax roll since the flood. The casino’s investment in nongaming features will further attract young audiences and help Iowa further compete with new casino facilities in neighboring states. It will draw tourists, benefiting local businesses like hotels and restaurants, through unique dining experiences and regional and national entertainment acts.”
“Cedar Crossing will positively contribute to the county’s economic landscape,” the Marion letter says. “The casino will create important jobs including full-time, construction and other related jobs. It will add to the economic development in our region by revitalizing the area where Cooper’s Mill was formerly located. Cedar Crossing is expected to draw over one million visitors each year to Linn County. These tourists will visit Cedar Crossing and other businesses throughout the county during their stay. Marion’s recent investments in infrastructure and quality-of-life amenities are poised to support increased visitor activity.”
“A casino in Cedar Rapids has the broad-based support of business, labor, nonprofits, local governments, and residents in Linn County as demonstrated by the successful passage of two separate gaming referendums in 2013 and 2021,” the Linn County letter says. “Now is the ideal time to approve a casino in Cedar Rapids that will strengthen and enhance economic activity and tourism and provide numerous and diverse benefits for Linn County residents and visitors.”
Developers and supporters first unveiled plans for a Linn County casino in Cedar Rapids, dubbed “Cedar Crossing,” in May 2022.
As proposed, Cedar Crossing, with a budget now estimated at $275 million, would incorporate Iowa’s 20th state-licensed casino, as well as bars and restaurants featuring celebrity chefs.
If approved, the casino would be built on city-owned property between F and I avenues NW and First and Fifth streets NW. Most of that property was previously occupied by the Cooper’s Mill restaurant and Best Western Hotel before those facilities were demolished due to damages sustained in the 2008 flood, and the property was subsequently acquired by the city.
The door was opened for a new Linn County gaming license application after a two-year state gaming license moratorium imposed by the Iowa Legislature expired June 30.
The IRGC has twice rejected casino proposals for Linn County, in 2014 and 2017, after commissioners largely sided with opponents who argued the state’s gaming market was saturated and a new Linn County casino would “cannibalize” revenue from existing state-licensed casinos.
But all five members of the IRGC are newly-appointed since the board’s last decision. And Linn County voters have approved two referendums supporting gaming in Linn County, most recently in November 2021.
