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Iowa retail casino owners won’t be willing to discuss the possibility online casino gaming until a moratorium on new casino licenses is back in place. Support from the brick-and-mortar sector is necessary for any online casino legislation to have a chance. However, the threat of new competition in the retail space is a more pressing concern.
Iowa Gaming Association President Wes Ehrecke told PlayUSA he doesn’t expect an iGaming bill to advance in 2025. That’s because the casinos’ attention will be legislation to stop the building of any new properties.
The IGA’s focus next session will be on extending a moratorium on any new casino licenses, and all the gaming companies are unified to support this effort. If there is a successful outcome to extend the moratorium, then members can assess if and when there will ever be unified support to advance iGaming.
Wes Ehrecke, Iowa Gaming Association President, in an interview with PlayUSA
A two-year moratorium on Iowa casino expansion expired in June, leading to a casino proposal in Cedar Rapids, Iowa.
Iowa casinos still divided on iGaming
Rep. Bobby Kaufmann first introduced Iowa online casino legislation in 2022.
PlayUSA’s bill tracker shows that Iowa iCasino proposals have made no progress over the past three years, with Kaufmann saying the effort wouldn’t go anywhere until casinos unify in support.
Ehrecke previously told PlayUSA that 13 of 19 Iowa casinos support iGaming.
Kaufmann no longer chairs the House State Government Committee that handles gaming bills. He now chairs the Ways and Means Committee. As a result, he has said he will not introduce an iGaming bill in 2025.
Ehrecke said the IGA is indifferent on the 2025 introduction of Iowa online casino bill.
“It’s possible there could be an iGaming bill introduced in the next legislative session,” Ehrecke said. “The IGA will not be involved with it if it happens, as a few gaming companies remain opposed. And I’m doubtful it will advance.”
Iowa Gaming Commission took comments on casino bid
The Iowa Racing and Gaming Commission met Wednesday at the site of the proposed Cedar Crossing Casino and Entertainment Center to take public comments.
Backers of the proposal included county officials, union workers and local business owners.
Proponents championed the economic impact that the $275 million investment by Peninsula Pacific Entertainment and the Linn County Gaming Association. They spoke of the 500 temporary construction jobs and more than 400 permanent casino jobs the project could create.
They estimated the casino would draw one million visitors a year, generating $6.3 million in community impact. The revenue could revitalize the area and keep people in Iowa.
Opponents argued that the project wouldn’t create jobs but take skilled casino workers away from other casinos in the state. And that a new casino would cannibalize revenue from existing casinos in eastern Iowa.
“Twenty-seven counties will be negatively impacted by a Cedar Rapids Casino. Only one county will be positively impacted,” said Chad Moine, SVP and GM at Isle Casino Hotel Waterloo. “Ask yourself if the decision you’re going to make is the best for the citizens of Iowa.”
The Commission plans to decide the casino application Feb. 6. Kaufmann has said he will refile the bill to reinstate the casino moratorium he introduced at the end of last session when the legislature returns Jan. 13.
“The math simply does not work, and a casino in Linn County only harms all of the existing casinos in eastern Iowa,” Ehrecke told the Commission. “It does not bring in outside revenue for our state. By shifting the tourism away from the casinos located on our state border, it makes it even more challenging for them to continue to drive out-of-state tourism into their communities and into Iowa.”
