Group raises over $500,000 to push ‘yes’ vote for Linn County gaming referendum

CEDAR RAPIDS — The Linn Wins! campaign, which is asking Linn County voters to back the gaming referendum on Tuesday’s ballot, has raised nearly $530,000 to support a “yes” vote.

And the Paving for More Progress group — supporting the extension of the 1 percent local-option tax on Tuesday’s ballot — has raised $223,500 in support of a “yes” vote

State campaign finance disclosure reports show the $529,403 raised in support of the gaming referendum came from the Cedar Rapids Development Group. The group has an agreement with Cedar Rapids through Oct. 9, 2029, saying the city would support the group if it applies for a casino license.

Drew Skogman, chairman and treasurer of Linn Wins, said the group has more than 100 investors and that 98 percent of them live in Linn County. He declined to name the investors.

Linn Wins reported spending $465,682, with $63,720 cash on hand, in its Oct. 28 filing with the Iowa Ethics and Campaign Disclosure Board.

More than a third of that total was spent on advertising — $192,005 — on radio and digital ads, billboards, mailers and event sponsorship.

Skogman said advertising has focused on informing voters about how the referendum is a “step in the process,” should Linn County want to submit an application for a casino.

“Not being a national election, it’s hard to educate people on what is actually on the ballot,” Skogman said. “ … With that confusion out there, we were trying to make it as clear as possible what you’re voting for.”

A quarter of the development group’s spending — $130,729 — went to Iowa-based consultants, including Buzz Creative Group, Wixted & Co., BrownWinick and Campaign HQ.

In 2013, Linn voters passed a gaming referendum with a 61.23 percent “yes” vote. The development group spent just over $1.9 million on that election, and the Just Say No Casino group spent $1.5 million.

If the referendum passes again, gaming would be permanently authorized, and Cedar Rapids/Linn County could again seek permission from the Iowa Racing and Gaming Commission to operate a state-licensed casino. The commission has twice rejected previous proposals.

No campaign was formed to oppose the gaming referendum this year.

Local-option sales tax

The Paving for More Progress group — supporting extension of a 1 percent local-option tax that’s on Tuesday’s ballot — reported raising $223,500 in support of a “yes” vote.

The current local-option sales tax collected in the county will expire in 2024. If the referendum passes Tuesday, the sales tax would be extended through 2034.

Donations to Paving for More Progress came from almost 40 companies — including construction, paving and engineering firms — in Linn County and across the state, according to the campaign finance disclosure report.

The largest contributions — $10,000 each — came from 15 companies: Peterson Contractors, Dave Schmitt (from Dave Schmitt Construction), Snyder & Associates, Anderson Bogert, Rathje Construction, Boomerang, HR Green, LL Pelling, Bolton & Menk, Hall & Hall Engineers, Shive-Hattery, Shoemaker & Haaland, Foth Infrastructure & Environment, Pirc-Tobin Construction and HDR, Inc.

Most of the money raised — $180,000 — has gone to advertising, including radio and TV ads, social media and mailers. The campaign donated $20,000 to the Vote Yes Marion campaign.

City and county leaders have advocated for extending the sales tax.

In Cedar Rapids, the tax is used exclusively for the city’s Paving for Progress streets program, with about $122 million spent on more than 200 projects.

In 2013, Linn County voters approved the local-option sales tax, with 62 percent of voters in the metro voting bloc — Cedar Rapids, Marion, Hiawatha, Robins and Fairfax — supporting the measure.

That year, the Fix the Streets Committee raised $103,090 ahead of the election, and the opposing Get the Facts CR raised $1,616. No group opposing extension of the tax was formed this year.

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