COUNCIL BLUFFS, Iowa (AP) — The Iowa Racing and Gaming Commission rejected a proposed $164 million Cedar Rapids casino Thursday, saying it would hurt existing casinos.
Supporters of the Cedar Crossing Casino development have said it would give an economic boost to Cedar Rapids and the region. They also argued it would be a catalyst for development in an area ravaged by a 2008 flood, create jobs and generate millions for tax revenue and charities.
But representatives of casinos in Riverside, Dubuque and Waterloo fought the plan, saying it would take business away from them.
The five-member commission voted 4 to 1 against the new casino during a meeting in Council Bluffs, with more than 300 people attending. The panel hasn't approved a new casino license since 2010, when it called for a three- to five-year moratorium due to concerns about market saturation.
The lone member who voted to approve the proposal, Dolores Mertz of Ankeny, said she didn't "want to put anyone out of business," but thinks industry — including Iowa's gaming industry —should be market driven.
"As a farmer, if I really believe that in agriculture, I'd be really remiss not to do that in gaming," she said.
Last month, more than 500 people packed the commission's hearing in Cedar Rapids on the proposed casino, which would be located near Interstate 380. The majority were supporters of the project, holding signs urging the commission to "vote yes" and cheering when speakers made key points.
The most vocal contingent opposing the development came from the Riverside Casino and Golf Resort in the small town of Riverside about 40 miles south of Cedar Rapids.
Riverside CEO Dan Kehl had said he likely would be forced to lay off about 250 of its 750 workers if the commission approved the Cedar Rapids project, which he said would take 30 percent or more of Riverside's business.
The Cedar Crossing Casino plan had called for a $138 million development that would include a casino, several restaurants and a 400-seat events center designed to attract touring entertainment acts, with most of the investors local business leaders. The city also would have built a $26 million parking ramp across the street.
More than 61 percent of voters in Linn County, which includes Cedar Rapids, supported the proposed casino during an election last year.