Culver urges state gambling regulators to approve licenses for 4 new casinos

Culver urges approval of new casino licenses

DES MOINES, Iowa — State gambling regulators should approve licenses for four new casinos because it would create hundreds of new jobs and generate $250 million in economic activity, Gov. Chet Culver said Thursday.

“The one thing that has been consistent in all my discussions has been an overriding interest in creating new jobs and economic development during tough times,” Culver told reporters. “Opportunities to create new jobs are difficult to come by and shouldn’t be dismissed easily.”

Voters in Lyon, Webster, Tama and Wapello counties have voted in favor of seeking a license to open new casinos, and Culver said there’s frustration in those counties by the lack of progress.

“These gaming establishments, like each of the others that have been developed in Iowa, will create hundreds of construction jobs and hundreds of permanent jobs,” Culver said in a letter to the Iowa Racing and Gaming Commission. “I believe the Racing and Gaming Commission should embrace the wishes of those Iowans who voted for gaming and approve the pending license applications for all of those four counties.”

The commission was meeting Thursday to discuss the applications, but a final decision isn’t scheduled until May.

There are 17 state-licensed casinos in the state, in addition to those operated by Native American tribes.

The issue of expanding the number of casinos in the state splits the gambling industry, with supporters of the existing casinos claiming new casinos would drain money from their operations.

Culver rejected that argument.

“Competition is a good thing,” he said. “That argument can be made every single time.”

Culver said backers of the new casinos aren’t necessarily locked into building giant operations, but can scale their facilities to the market they are in.

“They can be any size,” the governor said. “They can scale them for the number of visitors they think they might get.”

Culver dismissed questions about the social impact of expanded gambling, saying voters considered those arguments during local elections on whether they should proceed to apply for a casino license. The results were not even close, the governor said.

“The point is, that the people at the local level have spoken,” Culver said.

Far more important, he said, is the potential economic impact of new casinos.

“It’s important that Iowans know that I want to bring these jobs to Lyon, Webster, Wapello and Tama counties,” Culver said. “The economic impact of the jobs will be enormous, bringing more than a quarter of a billion dollars in economic activity and far more in indirect spending in the communities. These communities have spoken loudly and clearly.”

Culver downplayed worries about the growth in gambling, saying no other communities in the state are currently considering applying for a license.

“At this time, there are no other communities that are going through that process,” the governor said.