The Ottumwa Courier

AP Iowa

June 23, 2013

Legal costs soar for Sioux City casino nonprofit

SIOUX CITY, Iowa (AP) — Documents show that legal costs for Missouri River Historical Development soared last year as the local nonprofit group and its former casino partner battled in court over their disintegrated contractual relationship.

The Sioux City Journal reported (http://bit.ly/11Upb4o ) that the nonprofit group spent $324,769 in legal fees in 2012, according to figures the organization released to the Journal last week. That's more than six times the $50,795 reported in 2011. A year before that, the nonprofit's fees were $11,641.

The nonprofit and Argosy Sioux City riverboat casino operator Penn National Gaming Co. have been locked in a legal battle over their contract for more than a year.

Penn National Gaming sued the nonprofit in September, claiming the group breached exclusivity in their operating agreement by negotiating with other casino operators.

That followed a lawsuit the nonprofit filed against Penn in an effort to block the riverboat casino operator from threatening legal action against other gambling operators that tried to talk to the nonprofit. A federal judge dismissed the case.

"I don't think the cost of litigation is going to hamper us in any way," Missouri River Historical Development President Mark Monson told the Journal. "It's unfortunate we have to spend it."

Penn spokeswoman Karen Bailey declined to comment to the newspaper for the story.

The nonprofit's operating agreement with Penn expired in July. After months of stalled talks on a contract extension that would have included a land casino, the Iowa Racing and Gaming Commission took the unprecedented step of putting the Woodbury County license up for bid.

In April, the new land license was awarded to Missouri River Historical Development and its new partner, Sioux City Entertainment, the developer of the Hard Rock Hotel & Casino planned for downtown Sioux City.

Penn, one of two other applicants for the land license, had proposed a Hollywood-themed casino in downtown Sioux City or rural Woodbury County.

Iowa law requires casino operators to share the state license with qualified nonprofit organizations, which also collect and distribute a portion of casino profits for charitable and civic purposes.

------

Information from: Sioux City Journal, http://www.siouxcityjournal.com

1
Text Only
AP Iowa
  • Hot air balloon brushes power line at Iowa event INDIANOLA, Iowa (AP) — A hot air balloon brushed a power line and caused an outage at the National Balloon Classic near Indianola. An event official, Bill Clemons, says the balloon was on the ground Tuesday night when it touched the wire and then dra

    July 30, 2014

  • Wilson Island State Recreation Area set to reopen COUNCIL BLUFFS, Iowa (AP) — A state recreation area near Council Bluffs is scheduled to reopen soon. The Iowa Department of Natural Resources says the Wilson Island State Recreation Area will open its gates Monday. Workers are currently adding fire r

    July 30, 2014

  • Iowa parents speak out against school changes DES MOINES, Iowa (AP) — Students at Des Moines middle schools no longer have the option to take advanced English and science classes. The Des Moines Register reports (http://dmreg.co/WMKKcT ) Tuesday that some parents are concerned that top performer

    July 30, 2014

  • Iowa's first startup accelerator set to begin CEDAR RAPIDS, Iowa (AP) — Cedar Rapids is joining the expanding pool of U.S. cities that want to kick-start fledgling businesses. The Des Moines Register reports (http://dmreg.co/1nSV5z7 ) that the Iowa Startup Accelerator begins Monday and is the fi

    July 30, 2014

  • Cedar Rapids murder case now in judge's hands CEDAR RAPIDS, Iowa (AP) — A Linn County judge is considering the fate of a 20-year-old man accused of killing a former women's basketball standout from Cedar Rapids. Cedar Rapids television station KGAN says (http://bit.ly/1oKi8eC ) closing arguments

    July 30, 2014

  • Inspector had cited lauded Iowa nursing home WAVERLY, Iowa (AP) — A northeast Iowa nursing home was cited for unsanitary conditions in its kitchen seven weeks before it was lauded by the governor's office as among the best such facilities in the state, The Des Moines Register (http://dmreg.co/U

    July 29, 2014

  • Dozens of animals found inside two Fort Dodge homes FORT DODGE, Iowa (AP) — Fort Dodge authorities have found a total of 50 to 60 animals inside two homes that stank of urine and feces. Officers who responded to a nearby residence on Saturday were told about the animals. Officers then found eight dogs

    July 29, 2014

  • US Treasury secretary to visit Davenport area DAVENPORT, Iowa (AP) — U.S. Treasury Secretary Jacob Lew will visit the Davenport area to tour a manufacturing plant. Lew is scheduled to travel to Iowa on Tuesday. He'll tour Alcoa's Davenport Works facility, which produces aluminum products, includ

    July 29, 2014

  • Authorities: Fire destroys railroad bridge in Iowa DUBUQUE, Iowa (AP) — Authorities say a fire has completely destroyed a railroad bridge in eastern Iowa along the Mississippi River. The Dubuque County Sheriff's Office says multiple departments responded to the Monday fire near the Massey Station. Cr

    July 29, 2014

  • Golf rounds donated for Linn County veterans CEDAR RAPIDS, Iowa (AP) — Corporate sponsors and the city of Cedar Rapids have donated 675 rounds of golf for active duty and honorably discharged veterans in Linn County. Patriot Golf Week begins on Aug. 25 and ends on Labor Day. The week is set up

    July 29, 2014

Obituaries
Record
Facebook
AP National