Developers still after Cape casino

Cape Girardeau businessman David Knight said he will continue to pursue a casino-company partner to participate in the riverboat and entertainment complex he hopes to build.

The announcement came despite a unanimous Missouri Gaming Commission vote Monday to impose a statewide freeze on new riverboat applications until November, when voters may see a ballot issue that would permanently block the construction of new casinos.

Because companies already operating casinos in Missouri are sponsoring the ballot measure through an initiative petition and have refused to negotiate for a share in the Cape Girardeau project, Knight said he must attract an out-of-state casino operator to take part. He intends to have an application ready if the ballot measure fails to make the ballot or if voters reject the proposal.

"We've got nobody left in Missouri to talk to," Knight said. "We are proceeding on in the meantime and getting a gaming partner."

Knight, the owner of barbecue oven manufacturer Ole Hickory Pits, and Jim Riley, owner of Red Letter Communications, have formed a company called Dreambig LLC. They purchased or placed under a contract to purchase the land along North Main Street owned by Boyd Gaming Group, a Las Vegas-based company that was selected in 1993 to develop a casino in Cape Girardeau.

Cape Girardeau fell behind other cities seeking licenses, and the only boat south of St. Louis is in Caruthersville, Mo. Boyd Gaming closed shop in Cape Girardeau in 1998 after becoming embroiled in the bribery scandal that sent former Missouri House speaker Bob Griffin to federal prison.

The casino companies Ameristar and Pinnacle Entertainment have bankrolled the petition-gathering effort for the ballot measure. Called the "Schools First Elementary and Secondary Education Funding Initiative," the measure would impose the ban on new boats, repeal the $500 loss limit on Missouri casinos and increase the tax on casino profits to 21 percent from the current 20 percent. In addition, the measure requires annual audits to make sure the new revenue is spent as a supplement to, not in lieu of, other education funding.

In announcing his renewed effort late Friday afternoon, Knight noted the coincidence of the initiative for a ballot measure, the commission's action Monday and the unresponsiveness of Missouri casino companies. "It seems paranormal that all of the major Missouri casino operators would arrive at the same conclusion within such a brief period of the time relative to the commission's June 16th meeting," he said.

Commission staff members could not be reached for comment. A message left after hours with Troy Stremming, chief governmental affairs officer for Ameristar in Kansas City, was not returned.

Finding a company already operating a Missouri casino would speed up the process of approval if an application for a Cape Girardeau riverboat was selected for review. While other avenues are open for challenging the moratorium, Knight said he is focused on finding a casino partner.

"Success is always defined as getting up one more time when you get knocked down," he said.

rkeller@semissourian.com

335-6611, extension 126

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