Casino water rule could be dropped

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By Charlotte Eby | Thursday, April 19, 2007 12:48 AM CDT | () comments

The Iowa House gave final approval Wednesday to junking a requirement that gambling facilities with riverboat casino licenses locate their gaming floors over water.

The rule, dating back to the beginning of Iowa’s riverboat casino industry, has remained even as the industry morphed through regulatory changes to allow land-based casinos.

The change in the law could benefit Clinton’s Mississippi Belle II Casino, a riverboat which is moving to a land-based facility.

A new casino in Waterloo scheduled to open this summer and The Diamond Jo Casino in Worth County, which announced an expansion just months after its opening, could benefit from the changes as well.

“It seems to me like a really good time to remove that rule,” said Rep. Polly Bukta, D-Clinton.

To meet the water requirement, some land-based casinos have put water-filled “bladders” under their gaming floors. Legislators compared them to waterbeds, but said they were needlessly expensive.

Rep. Sandra Greiner, R-Keota, said the bladders have been expensive, costing up to $1.2 million to install.

But she thought removing the rule could give an unfair advantage to new casinos over existing casinos that include the Riverside Casino & Golf Resort in her home county.

Opponents of legalized gambling argued that approving the bill would simply allow Iowa’s casino industry to grow.

“We walk in here and find a new way each session to expand gambling in this state,” said Rep. Mike May, R-Spirit Lake, who opposed the bill.

The House voted 71 to 26 to remove the requirement, which has already been approved in the Iowa Senate. It now heads to Gov. Chet Culver for his consideration.

— Charlotte Eby