Published on: February 3, 2026, 07:56h.
Updated on: February 3, 2026, 07:56h.
- Peoria City has dismissed a motion to drop its challenge against a new casino in East Peoria
- Boyd Gaming has put forth a proposal for a “modernized riverboat” casino that is primarily land-based, featuring a 1,000-gallon water basin underneath part of the structure
In a divided vote of 5-5, the Peoria City Council chose not to accept a settlement proposed by Boyd Gaming and East Peoria to resolve an ongoing dispute regarding a new Par-A-Dice casino.
During the meeting, the Peoria City Council evaluated the possibility of ceasing its opposition to the new casino in East Peoria. The city asserts that the proposed project breaches a 1991 intergovernmental agreement requiring riverboat gaming to operate in East Peoria and mandating that any land-based casino must relocate across the Illinois River to Peoria.
Boyd Gaming, based in Las Vegas, has suggested constructing a “modernized riverboat” on the site of the existing Par-A-Dice hotel parking lot, slightly inland from its docked riverboat. Reports suggest that this modernized casino will primarily be a land-based establishment, except for a 1,000-gallon water basin situated beneath the casino floor.
Support for the Agreement
Traditionally, Peoria and East Peoria have shared a 5% local gaming tax from Par-A-Dice, while all additional taxes related to property, hotels, sales, food, and beverages generated by the casino benefit East Peoria exclusively.
Boyd Gaming has proposed that Peoria receive 2.25% of all non-gaming revenue in return for the city halting its opposition to the redevelopment. This arrangement is anticipated to net Peoria approximately $1.8 million each year.
Councilor Michael Vespa, who supported the resolution, argued that the estimated $1.8 million is likely more than the total revenue Peoria would generate if the entire casino resort relocated across the river. Additionally, he noted that keeping the casino in East Peoria would help contain related crime.
“We would not have to deal with the increase in crime typically associated with casinos. Patrons losing their money may wander into our local bars and restaurants,” Vespa expressed.
Mayor Rita Ali, also in support of the resolution, emphasized that the $1.8 million is a significant amount, projecting nearly $50 million for the city over the next 25 years.
Vespa questioned city attorney Patrick Hayes about the likelihood of the Illinois Gaming Board (IGB) approving Boyd’s “modernized riverboat” proposal.
While I don’t wish to underestimate the board’s capabilities, our discussions with the board’s administrator indicate that there is a substantial risk of approval for Boyd’s proposal,” Hayes explained.
Hayes further clarified that should the city choose to appeal the IGB’s endorsement of Boyd’s project in East Peoria, the legal process could extend from one year to eighteen months through the state appellate courts. If escalated to the Illinois Supreme Court, expected legal expenses could surpass $1 million.
Opposition to the Resolution
Councilor Alex Carmona dismissed Hayes’ projections of legal costs.
While there’s an inherent risk in us as a city contesting this matter in court, it’s a calculated one since we believe we are in the right. We could potentially spend around a million dollars in litigation to uphold our stance,” Carmona stated.
Carmona made it clear, “I’m advocating for a more favorable settlement agreement than what is currently proposed.”
With the motion rejected, the City of Peoria must now decide its next course of action, whether to engage with Boyd to refine the settlement or to proceed with litigation.