Senate Passes Standalone No Tax on Tips Bill
On May 20, the U.S. Senate passed a standalone version of the “no tax on tips” bill that was included in the House’s overall spending and tax mega-bill. Nevada Sen. Jacky Rosen brought the bill to the floor and passed it via unanimous consent, meaning all 100 senators concurred. Such a process is very rare, especially for actual bills and not just procedural motions.
The move to pass the bill through unanimous consent is a way to pull it out of the overall spending bill so that it is not bogged down by partisan debates on other issues in the larger spending bill, such as cuts to Medicaid and other federal programs.
“We shouldn’t be forcing working families to choose between keeping their health care and keeping their tips — which is why we want this bipartisan bill to pass on its own, not [as] part of a harmful, extreme budget bill,” Rosen said on the Senate floor, per the Nevada Independent.
The bill would allow employees in tipped industries—which is not yet defined—to fully deduct cash tips, including those from bank cards, up to $25,000. This would not be available to those making more than $160,000 per year.
Conversely, the House version does not have the $25,000 cap and would only be valid through 2028. Nearly a quarter of Nevada employees work in leisure and hospitality, and five percent of all workers are tipped, the highest rate in the U.S.
Yonkers Mayor Calls for Racino Licenses to be Awarded First
Three downstate New York casino licenses will be awarded by the state gaming commission by year’s end, but Yonkers Mayor Mike Spano is urging the commission to award licenses to two existing racinos—Resorts World New York City in Queens and MGM Empire City in Yonkers—immediately to help bolster tax revenue and licensing fees.
Any bidder chosen for a license must pay a $500 million fee, meaning the state would reap $1 billion by greenlighting licenses for the existing facilities.
“We have two racinos whose owners are ready to pay the State a billion dollars in application fees today, and to start generating hundreds of millions of dollars in new taxes tomorrow,” Spano told the Yonkers Times. “We all know that the cutbacks from Washington are going to cause holes in the State and local budgets by the end of the year, so let’s be proactive.”
Three prospective bidders have already withdrawn their proposals ahead of the June 27 deadline, with major operators Wynn Resorts and Las Vegas Sands already bowing out of the race. There is now considerable doubt as to whether the market has lost its luster after a dragged-out process that is still not close to completion.
“New York should move ahead right away with the two proposals that enjoy community support and are shovel ready to go,” Spano told the Times. “We’ve already lost too much time. Let’s not lose any more.”
Circa’s Stevens Clarifies That Next Project is Years Away
In late April, Las Vegas Mayor Shelley Berkley said in her first State of the City address that Circa Casino Resort owner Derek Stevens was planning to develop a new Circa-branded casino on a parcel in Symphony Park near downtown that he has owned for nearly a decade. However, Stevens clarified to the Nevada Independent this week that the announcement was very premature.
“I can tell you right now that we’re a couple of years out from even starting the design work for the site,” Stevens told the outlet. He also added that “ whatever we build won’t be called Circa,” as Berkley had also announced. Currently, the seven-acre site is being used as a lot for a nearby residential tower.
“We want to be a good neighbor, and it helps the other projects,” Stevens told the Independent. “We have the last site that is zoned for gaming, but we’re going to take our time to consider our plans.”
New Hampshire Casino Expansion Moves forward
In New Hampshire, the Hampton Zoning Board approved a sizable expansion to the charitable gaming space at the Hampton Beach Casino complex, according to the Portsmouth Herald. In addition to the expanded casino, which will be quadruple the size of the existing space, the complex will feature a new music venue, a 204-room hotel and 99 condos. The current casino opened in 2014.
“We are the smallest casino (charitable gaming facility) in the entire state,” owner Sal Lupoli told the board, per the Herald. “Our vision was to always rebuild this and be year-round.”
New Illinois Regulation Mandates Human Trafficking Training
A new regulation from the Illinois Gaming Board went into effect May 2 requiring several new training resources related to human trafficking, according to WICS. State casinos must now provide annual human trafficking training to employees, implement new procedures for documenting and reporting suspicious behavior that could be trafficking, and post notices with telephone hotlines and other information in bathrooms and other visible locations.
“Human traffickers often target casinos and hospitality venues to conduct their illegal activities,” said IGB Administrator Marcus D. Fruchter. “By adopting mandatory human trafficking recognition training, establishing minimum requirements for that training and requiring casino operators to implement appropriate reporting and signage protocols, the IGB, while working in partnership with the Illinois State Police (ISP) and other law enforcement agencies, is taking meaningful steps to combat these heinous crimes.”
Rio Opens New Baccarat Room
Las Vegas’ Rio Hotel & Casino held a grand opening May 15 for its new baccarat room, the latest renovation for a property that has been completely redone in recent years. The new room is located just off the main casino floor
“We are excited to unveil our new Baccarat Room, developed in response to the increasing momentum behind Rio’s gaming operations,” Rio President and CEO Patrick Miller said in a statement. “This inviting new space marks the latest step in the ongoing transformation of our casino floor. As guest preferences continue to evolve, we remain committed to delivering a dynamic, inclusive gaming experience that reflects the energy and spirit of Rio Las Vegas.”
