Hopeless lawsuit only adds to Cedar Rapids' opportunity costs

Cedar Rapids movers and shakers should be pursuing alternative plans for a prime downtown location rejected for a casino license in April. Instead, city leaders have vowed to find a legislative path to their casino dream. Now a former Linn County attorney hopes a court will throw out the Iowa Racing and Gaming Commission’s decision. Rick Smith reports for the Cedar Rapids Gazette,

[Eugene] Kopecky filed a lawsuit this week in Linn County District Court against the commission and the four of five commission members who voted April 17 to deny a state gaming license to casino investor group Cedar Rapids Development Group LLC.

Kopecky, who has practiced law in Cedar Rapids since 1966, said Thursday that his lawsuit seeks a declaratory judgment. He said he wants the court to instruct the commission on the state’s gaming law in a way that would require the commission to revisit the Cedar Rapids casino application and grant a state gaming license.

Kopecky said the state’s gaming law requires voters in a county to approve gaming before a casino is permitted to operate. […]

He said state law doesn’t give the state commission the ability to deny a casino license in one county based on a license in another county, he said.

The fact that voters must approve a plan before a casino can be licensed does not imply that the commission must approve every application for a casino license where a referendum has passed. The Racing and Gaming Commission has denied some two dozen gambling licenses in its 30-year history. There is ample precedent for the commission denying a license based on concerns a new casino would largely cannibalize from existing ones. I’ve seen no evidence that state legislators thought commissioners were exceeding their authority in those cases. I’m not an attorney, but I would be shocked if a court agreed with Kopecky’s interpretation of Iowa statute.

Cedar Rapids Mayor Ron Corbett commented yesterday that he supports the lawsuit. For his part, Kopecky “said his lawsuit could take more than two years to make its way through the Iowa court system if a decision in Linn County District Court is appealed.”

What a shame to waste so much time on a Hail-Mary pass, when Cedar Rapids could be considering other development plans for the downtown space. Richard Florida, a leading expert on urban land use, has written that “urbanists across the ideological spectrum are unanimous” about one thing: “building casinos, especially in an already thriving downtown, is a truly terrible idea.”  

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