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Towns looking out for their own boom
 Message was posted: 07:12 Aug 29th, 2006     
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Mandy Yeggy recently launched Dinners D'fined in downtown Riverside, a new business that packages take-and-bake meals.

Yeggy hopes to catch some cross traffic from the nearby Riverside Casino & Golf Resort, which opens Thursday. The casino sits 1.5 miles east of Highway 218, while Riverside is two miles west of the highway. It remains unclear whether casino patrons will stop at places like Yeggy's or just pass on by, but she is optimistic.

"I am sure it will help us somewhat. We are hoping for some of the people coming through town to see us," Yeggy said. "Maybe some employees will call, and we can get their dinner ready for them to pick up on the way home from work."

There will be some direct impact from the Riverside casino. For example, the city of Riverside expects $1.7 million in taxes, Washington County will draw .5 percent of yearly gaming revenue or about $350,000, and each incorporated town in the county will pocket a portion of revenues based on their population. Casino officials project an estimated 1.6 million visitors each year and a staff of 900 to 950 employees. That could create a ripple effect for nearby businesses.

"We will see some impact from people moving into the area. We have a lower cost of living than Kalona or Riverside," Wellman Mayor Ryan Miller said.

Municipal leaders surrounding communities are aware of the potential bonanza and are considering how best to capitalize.

"I am sure Kalona will (get tourists). I don't foresee Wellman getting a lot of tourism, though we are trying to see how we can get in on that market," Miller said. "I do think (the casino) can be positive for the area. But we will wait and see for a year before we start making new plans."

Kalona, with its rich Amish culture, has always been a quaint destination town with real-life scenes of horse-drawn buggies.

"I could see them including Kalona in their tour while they are coming to visit the casino," mayor Jerry Kauffman said.

Kauffman, who said he hopes to net 10 percent of the casino's visitors, also foresees new jobs outside the casino, saying, "more people mean more jobs to serve those people."

Like Miller though, Kauffman has a wait-and-see attitude. He is not ready to allocate resources based on potential yet, but he will try to benefit from the casino.

"Whether I voted for it or not, it doesn't matter now," he said about the Aug. 31, 2004, countywide special election that approved legalized gambling. "It's here now. We are going to use it to our advantage."

Ed Raber, executive director of the Washington Economic Development Group, said having a large client nearby will benefit existing businesses. The demand, he said, could lead to the creation of new business and new jobs.

"What you will see in the Corridor, especially in Washington County, we will see them buy from local companies," Raber said.

The Riverside casino, as part of the Iowa Gaming Association, supports the Buy Iowa First program. Under the program, 16 of the state's casinos have pledged to employ Iowans and purchase products and goods made and grown in Iowa.

To the north, Johnson County officials said they expect some kind of financial bounce -- they're just not sure how much.

The casino will add to the list of attractions in the area, said Joe Raso, president of Iowa City Area Development Group, which could help lure new business. But it is only one piece of the puzzle.

"I don't know if any single attraction is going to drive people to come," Raso said. "The issue of quality of place is important, but it is not the most important. The cost of doing business in the area is most important."

Josh Schamberger, president of the Iowa City/Coralville Convention and Visitors Bureau, doesn't foresee much of an impact, however.

"There could be people staying in this area when the golf course opens," he said. "Otherwise, I don't see any economic impact from this property."





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