Summary:
- A proposed Cedar Crossing Casino in Cedar Rapids could generate a $2.25 billion economic impact over its first decade.
- According to a new study, if approved, the casino could bring substantial economic growth to Cedar Rapids and surrounding areas.
- The benefits would include more than $43.5 million in tax revenue; state and local contributions could reach $34 million.
A study released at the start of the week estimates that a proposed casino in Cedar Rapids could have an economic impact of $2.25 billion over its first decade.
If given the green light of approval, the “Cedar Crossing Casino and Entertainment Center” promises to bring significant economic growth to the city and surrounding areas.
The study, conducted by Decision Innovation Solutions (DIS) and funded by Peninsula Pacific Entertainment (P2E), highlighted the potential benefits of the project.
The Casino Could Generate $257M to the Local Economy
During the construction phase alone, the study estimates that the casino would contribute $257 million to the local economy while generating $183 million in its first year of operation.
The DIS-P2E study also anticipates that the casino could trigger over $43.5 million in tax revenue while state and local contributions could surpass the $34 million mark.
According to the report, the construction phase, which is projected to last 18 months, would support approximately 792 jobs. Once operational, the casino is expected to employ 365 workers directly and create an additional 315 jobs in the surrounding area.
Existing Casinos in Iowa Fear the Competition
However, and as expected, not everyone is a fan of the casino proposal.
Several existing Iowa casinos have raised concerns, arguing that a new gaming venue in Cedar Rapids could siphon customers from their establishments, potentially harming their revenues.
Two previous studies suggest the proposed Cedar Rapids casino could pull up to $68 million from nearby casinos in Riverside and Waterloo.
The reports, commissioned by state gambling regulators, will inform their February vote on the casino application.
Cedar Rapids Mayor Tiffany O’Donnell has remained optimistic, highlighting projections that the casino could generate over $100 million in revenue by the end of the decade.
I think competition will help those existing entities be better, The numbers I see (show) the market’s ready… for a casino in the state’s second-largest city.
However, Patty Koller, Executive Director of the Washington County Riverboat Foundation, expressed concerns.
It’s just a distribution of the clientele,” she said. “It’s not a huge advantage… just distributing the ones that already exist.
The Iowa Racing and Gaming Commission will review all objections on Thursday. The meeting will address both legal and petitioned opposition to the project.
Despite the controversy, Cedar Crossing Casino proponents emphasize its potential to stimulate economic growth, create jobs, and provide entertainment for the community.
As the debate continues, the commission’s decision will play a critical role in determining whether Cedar Rapids will move forward with this ambitious project.
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