Is it possible for Las Vegas to lose its informal title as Hawaii’s “Ninth Island?” This might occur if a new bill in Hawaii gets approved.
Sen. Stanley Chang (D) introduced SB 935 this week. The bill proposes a ban on Nevada casinos advertising in Hawaii.
The bill details’ description says it all – Hawaii is targeting Nevada casinos.
Bans advertisements for Nevada’s hotels, resorts, or other leisure services that endorse casinos or gambling devices licensed by the Nevada Gaming Commission from being aired, shown on TV, advertised in print, shared online, or communicated electronically within the state. Enforces a general excise tax of thirty percent of gross income on individuals involved in organizing, providing, or selling vacation packages or other recreational services within the state that promote gambling or gambling devices not prohibited by state law.
Similar to tourism boards globally, the Las Vegas Convention and Visitors Authority (LVCVA) often promotes in different states to attract tourists. Nonetheless, this bill is specifically targeting one casino operator in Las Vegas.
Boyd Gaming customers and Hawaii
Many of Boyd Gaming’s Las Vegas clients are from Hawaii. This legislation is particularly aimed at Boyd Gaming and its casinos in Las Vegas.
The bill provides details about the national casino operator, stating:
Boyd Gaming, a gaming corporation based in Nevada, was reported to have made roughly $600 million per year from Hawaii in 2011. In a 2021 annual investor report, the company emphasized that over half of the room nights sold at The California, the Fremont, and Main Street Station were purchased by Hawaiian customers. The report warned that any decline in spending from the Hawaiian market could negatively impact Boyd Gaming’s business and financial health.
Boyd Travel is a widely-used service by Hawaiian gamblers who wish to visit Las Vegas. Through Boyd Gaming, clients can directly reserve hotel and airfare packages.
The California Hotel and Casino, located just off Fremont Street in downtown Las Vegas, attracts many visitors. These same visitors often lodge at Main Street Station and the Fremont Hotel and Casino as well, both of which are Boyd casinos situated in downtown Las Vegas.
Boyd views the other Boyd casinos around Las Vegas as “local properties” for residents, and few visitors from Hawaii stay at these locations.
Hawaii may have bigger plans for gambling
Hawaii, along with Utah, is one of the two US states without any form of legal gambling. Over the years, there have been numerous attempts to introduce some form of legalized gambling in Hawaii.
In January, Representative John Mizuno addressed the issue of Hawaii losing funds to Las Vegas due to residents departing the state to gamble. Mizuno conveyed this to TV channel KHON:
Given that residents of Hawaiʻi are spending a billion dollars in Las Vegas, Nevada annually, I believe it’s worth at least discussing a sports and card gaming bill.
He elaborated that he would prefer to keep the money that is currently being spent in Las Vegas, within Hawaii.
What is the reason for the legality of gaming in 48 states and why are a significant number of residents from Hawai’i frequently visiting Las Vegas, with several of them making more than one trip? Most of the people I am acquainted with who enjoy Las Vegas trips are mainly kūpuna, not lawbreakers. I believe it’s crucial to explore alternatives for retaining local funds in our local economy.
Many cities prioritize maintaining local finances. It could be that Hawaii will tackle the core of this issue and permit casino gambling and sports betting for its inhabitants.
Otherwise, targeting other states that provide the hobby enjoyed by Hawaiians seems harmful to its residents.