Thursday, Dec. 6, 2001 | 10:29 a.m.
CARSON CITY -- A regulation to permit large casinos to set aside private rooms for gambling for high rollers who don't like to rub shoulders with the public has been approved by the state Gaming Control Board.
The proposed rule now goes to the state Gaming Commission for a hearing on Dec. 20 and possibly for final approval in January.
The Legislature, at the request of Las Vegas casino owners, approved a bill to allow these private casinos in the resorts as a way of attracting high-end players who go to clubs in other countries that allow gambling behind closed doors.
Casino representatives said there were probably 100 of these individuals in the world and it would mean new business.
But the way the regulation stands now is that many of the present high-end players who come to Las Vegas would qualify for this special treatment.
A casino would be able to open up a private room for gambling if the individuals had deposited $1 million in up-front money or had a line of credit of $1 million or a combination of both.
A minimum bet on a table game or in a slot machine would be $500.
The board rejected a request by the Nevada Resort Association to water down the regulations further by requiring a deposit or line of credit of $500,000. Attorney Jack Godfrey, representing the association, said $500,000 was a substantial figure.
But board member Bobby Siller, who was mainly responsible for drafting the regulation, said a survey was conducted among several clubs in Las Vegas on the habits of high-end players. He said the study found the average bet of these players was $60,000 to $140,000 and they had a line of credit ranging from $1.6 million to $5 million.
Those statistics, Siller told Godfrey, do not justify the lowering of the up-front credit line to $500,000.
Siller said the board started out originally requiring a minimum bet of $10,000 to $20,000 with no credit line standards. During the hearings, he said that was changed to require either the up-front deposit or a line of credit or a combination of both. And the minimum bet was reduced to $500.
The proposed regulation allows the high-end player to bring six other gamblers with him or her. These others would not have to meet the credit requirement but would still be required to place the $500 minimum bet. And the casino can allow him or her to bring non-betting friends along. The primary customer must be physically present in the international gaming salon at all times that his or her friends are playing except for a brief period not to exceed one hour.
While the Nevada Resort Association wanted change, MGM MIRAGE felt comfortable with the regulation. Robert Faiss, attorney for the company, said he concurred with the $1 million credit and the $500 bet. He said that goes along with the intent of the Legislature.
The purpose of the regulation and law, he said, is to tap into millions of dollars of gaming revenue that is going to other places.
While the board recommended approval, the commission is free to change the regulation before taking its final vote.
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