Iowa commission votes to keep casino moratorium in place

David Pitt

Friday, Nov. 21, 2003 | 9:36 a.m.

JOHNSTON, Iowa -- The Iowa Racing and Gaming Commission voted Thursday to keep a moratorium on new casinos in the state, placing the issue in the lap of lawmakers.

If the Legislature does not act in the coming session, the moratorium enacted in 1998 will remain, said Michael Mahaffey, commission chairman.

"Absent any direction from the Legislature this session, we will not be revisiting the issue again in the near future," he said.

Legislative leaders, hesitant in recent years to open up the divisive gambling issue, expressed willingness to bring it up this session.

"If we need to have discussion on should there be more gambling boats allowed or not allowed, we can certainly do that," said Senate Majority Leader Stewart Iverson, R-Dows.

So far this year, four counties -- Palo Alto, Worth, Black Hawk and Wapello -- have voted to authorize gambling, the first step in seeking a casino. Three -- Dickinson, Cerro Gordo, and Linn -- voted against it. Clay County has scheduled a vote for Dec. 16.

Commissioners have been criticized by some lawmakers for inaction on the moratorium issue. Commissioners said the issue was so important that the Legislature needed to provide input.

"This requires such far-reaching public policy, the Legislature needs to look at it," said Kate Cutler, a commissioner from Honey Creek.

Mahaffey, Poweshiek County prosecutor, said he has seen the impact gambling problems have on families.

"In the last five or six years, every embezzlement case in Poweshiek County was directly or indirectly tied to gambling," he said. "I think the moratorium is the correct public policy at this time."

Commissioner Diane Hamilton, of Storm Lake, said she understands the support for gambling expansion. She said her community has no swimming pool or recreation center and the elementary school needs improvements.

"I know why these smaller communities are coming to beg for licenses," she said. "We've seen as a commission what Council Bluffs has done with gambling dollars and we've seen it in Dubuque" with the opening of the National Mississippi River Museum & Aquarium.

Hamilton said she is leaning toward lifting the moratorium.

Mahaffey said Gov. Tom Vilsack called him Wednesday about the moratorium.

"He supports keeping it at this time and having the Legislature look at it," Mahaffey said.

At least 250 people, supporting both sides of the issue, attended the meeting.

John Zieser, Meredith Corp. vice president of corporate services, said Des Moines is a family-friendly city and Meredith would like to see that continue.

"Casino gambling does not fit into what downtown Des Moines has become, and the vision of what it could be in the future," he said.

Kim Miller, executive director of the Worth County Development Authority, said expanding gambling would provide a boost to areas of the state where the economy has faltered.

"In lifting the moratorium, the commission can make a difference in the lives of many people," she said.

Charles Nelson, a self-described pathological gambler, said the ban on further gambling licenses should remain intact.

"Could it be that the state of Iowa is already addicted to problem gambling?" said Nelson, who said his gambling addiction left him demoralized and pondering suicide.

He said his gambling forced him to retire early and he entered treatment in 1999.

"Take my story as a cautionary tale and maintain the status quo," Nelson said.