SIOUX CITY, Iowa (KTIV) -
Penn National Gaming has announced it has signed an offer, by Missouri River Historical Development, to extend its current agreement, for the Argosy Casino, through March 2015. But, MRHD President Mark Monson says the news is the first he's heard from Penn on the subject.
Two weeks ago, the MRHD board voted to offer Penn a two-and-a-half year extension of their agreement to operate the casino. Under that deal, MRHD would continue to collect the same amount of casino revenue, three percent. That's an estimated $4.5-million, in two-and-a-half years. Penn would get about $50-million.
The deadline to accept was July 6th, a day before the Argosy's gaming license expires.
In a statement, released Friday, Penn cited the continued uncertainty from Thursday's Iowa Racing and Gaming Commission meeting, and the impending July 6th deadline, as reasons to sign the offer from MRHD. "Given what has been up to this point a positive 20-year relationship with MRHD, and our strong desire to move as expeditiously as possible to begin development of a new land-based casino, we decided it was in the best interest of all the parties to extend our current agreement," said Eric Schippers, Sr. Vice President of Public Affairs for Penn National Gaming.
But, in an interview with KTIV, Monson said the deal isn't done. "This is the first we've heard of Penn National Gaming executing their prior proposal to extend," Monson said. "We will be discussing this on Monday and will respond to the Iowa Racing & Gaming Commission as they have requested us to do."
325 jobs are at stake if the two parties can't reach a deal on an extension of their agreement.
