Bellagio art ruling delayed

Jace Radke

Thursday, Aug. 20, 1998 | 10:33 a.m.

Resort owner Steve Wynn will have to wait until Oct. 5 before the Nevada Tax Commission rules on whether his Bellagio hotel-casino's art gallery qualifies for $15 million in tax breaks during its first year in operation, and nearly $3 million annually after that.

Wynn addressed the commissioners Wednesday evening at McCarran International Airport, but they felt more time was needed to determine what Wynn and the Bellagio must do to be eligible for the tax break.

Wynn said that his gallery will meet the standards set forth by the 1997 Legislature to qualify for an exemption on the personal property tax and on the sales tax for art purchased for more than $25,000 and put on public display.

"He (Wynn) cleared a lot up tonight," Commissioner Robert Robinson said. "This was the first I'd heard that the paintings were going to be in a separate gallery away from the casino, which clears up a lot of concerns about access."

The commission had voiced concerns about public access to the art, especially for children, and the proposed $10 admission fee.

The commission unanimously decided in its morning session that the gallery would have to be open free to the public 20 hours a week, 35 weeks out of the year.

Wynn countered Wednesday evening that an admission fee was vital to the survival of museums and galleries.

"Every museum in the world charges admission in order to survive," Wynn said. "It goes toward security and keeping an environment that can house these works of art."

Wynn added that the net profits of the gallery and the shop next to it would go to Nevada charities, and that children will have access to the gallery when accompanied by parents.

Despite Wynn's testimony, the admission fee remained a sticking point for Sen. Joe Neal, D-North Las Vegas.

"Mr. Wynn has addressed the issue of access and now the only issue I have is the admission fee," Neal said. "My concern is that the public is not hit twice with this, once with the tax break and again with an admission fee."

Robinson disagreed with Neal, saying that he did not see how the Bellagio could be expected to allow the exhibit to be free 100 percent of the time because of security costs.

"A $25,000 painting can be rolled up and tucked in a pant leg," Robinson said. "Having art means paying for security."

The $285.5 million worth of art that will appear in the gallery has been collected over the past year and a half. Wynn said the art is intended to give a soul to the property, similar to the dolphins' function at the Mirage hotel-casino.

The gallery also will be used as an education tool for Clark County schoolchildren, just as the dolphins are, Wynn said.

"We stand on our record in regard to education and children," Wynn said. "Two hundred schoolchildren a day see the dolphins at the Mirage for free, after completing curriculum we specially developed.

"The only thing we ask is that small children are accompanied by their parents when they come to the gallery."

Robinson was confident that the matter would be resolved at the commission's Oct. 5 meeting, 10 days before the Bellagio is scheduled to open.

"We'll sit down with the people putting the gallery together and get input and make a decision," Robinson said. "It's going to be a privilege to have a real art gallery here in Las Vegas."