The authorities in charge of regulating the Hawkeye State gambling industry are the Iowa Gaming Association and the Iowa Racing and Gaming Commission. They operate based on the Iowa State Code.
Based on the statistics, for the longest time casino gambling was the main breadwinner for the local businesses, with the land-based venues making up to $140 million per month. However, as of 2019, when sports betting was legalized, this niche is quickly catching up with casino games in terms of making money. The annual sports betting handle for the year following its legalization reached more than $575 million.
Here is a closer look at the Iowa gambling industry.
Land-Based Casinos in Iowa
The Hawkeye State has commercial, tribal, and riverboat casinos. In fact, it was the first state to legalize and regulate riverboat casinos. In terms of commercial land-based venues, there are plenty of popular brands to head to, including Catfish Bend Casino, Diamond Jo Casino Fort Worth, the Grand Falls, and Ameristar Council Bluffs. The latter is one of the biggest in the state, offering more than 1,500 slot machines, as well as video pokers and table games (including blackjack, baccarat, roulette, and craps).
Overall, Iowa has 15 riverboat, three racetrack, and three tribal casinos.
Pari-Mutuel Betting in Iowa
Pari-mutuel betting is legal in the state. So is horse racing and greyhound racing. The state takes a 6% cut from racetrack revenues, which is considered one of the highest in the USA.
For many years, sports betting was one of the few forms of gambling prohibited in the state. After the PASPA was overturned, the state first tried to legalize sports betting in 2018 but failed. After some improvements were added to the bill, it finally became a law in the summer of 2019, making sports betting an official business in Iowa.
At first, Iowans had to register in person at racetrack and betting venues to place bets. However, with time, online and mobile sports betting also became legal and this boosted the industry to a new level. On average, Iowans gamble more than $9 million a day on sports and the revenues from the industry now approach $20 million.
Iowas already has more than 15 companies licensed and regulated to provide online sports wagering but the number of these providers will definitely grow.
Lotteries in Iowa
The first lottery was in Iowa in 1985. The state is the sole owner of lotteries, with commercially operated lotteries illegal in the state. Iowans will be able to enjoy pull-tabs, instant tickets, scratch-off tickets, and other popular activities, including national events like Powerball and Mega Millions.
According to statistics, instant tickets generate the biggest sales, with Powerball tickets and Mega Millions tickets coming second and third, respectively. That being said, Iowa tends to be more relaxed about investing in lotteries. Part of this has to do with the fact that the Hawkeye State is less densely populated than other states of the US. Plus, with all other gambling activities being legal, it is understandable why Iowans are less excited about lotteries than, let’s say, the residents of Maryland.
The surplus generated from the state lottery is used to support the veterans, general funds, and the Vision Iowa program.
