Iowa Moves Forward with Legislation to Legalize Standalone Poker Cardrooms

Iowa lawmakers have introduced a bill aimed at creating a new regulatory framework for standalone commercial poker venues.

Iowa Poker Cardroom

Key Takeaways:

  • Iowa proposes legalizing licensed poker-only cardrooms, separating them from casino wagering.
  • The legislation aims to regulate poker separately from casinos
  • Success could influence similar initiatives in other states

Iowa lawmakers introduced Senate File 2134 to permit licensed commercial poker cardrooms that operate solely as poker venues and may charge a rake, with the state gaming commission to set any cap. 

The Iowa Racing and Gaming Commission would oversee licensing, set maximum rake limits (the operator’s share of the pot) and enforce anti-money laundering and consumer protection measures.

The measure would keep cardrooms free of sports betting and other wagering types, moving raked games out of the exclusive domain of casinos and into standalone venues.

Poker Cardrooms Face a Mixed Regulatory History

The proposal comes at a time when live poker economics are under scrutiny. Caesars Entertainment closed the Planet Hollywood poker room in Las Vegas after just eight months.

Industry observers note the proposal preserves the distinction between social home games and commercial operations and could centralize regulation of live poker outside casino floors.

Similar debates have surfaced in other jurisdictions in recent years. In California, tribal operators previously warned that standalone cardrooms were diverting significant gaming spend.

For poker professionals, Iowa presents a clear regulatory experiment to watch.