Blackout, strike possibilities create problem for local public relations

Chris Jones and Richard N. Velotta

Thursday, May 16, 2002 | 9:21 a.m.

The possibility of electricity blackouts and a strike by the Culinary Union are combining to create a potential public relations nightmare for Las Vegas.

Recruiters of new businesses, tourists and conventions to Southern Nevada responded Wednesday to news, reported nationwide, that the Las Vegas area faces the possibility of electricity shortages -- and to today's union strike vote.

Jeanie Ashe, spokeswoman for the Nevada Commission on Economic Development, said energy shortages would likely hurt Nevada's economy as well as her agency's efforts to bring new businesses to the state.

"When power is abundant we can offer very competitive rates to companies seeking to do business in Nevada, (but) a reduction in available power reduces the state's competitiveness for further economic development," Ashe said. "Any interruption in power would influence the economic well-being in Nevada because businesses are extremely sensitive to any outside influences that may affect their bottom line."

Tourism marketers said they view public relations problems because of potential blackouts differently than problems caused by a possible strike by the Culinary Union.

"I haven't heard anything credible that there is a potential for blackouts," said Billy Vassiliadis, chief executive officer of R&R Partners, the contracted advertising agency for the Las Vegas Convention and Visitors Authority.

"The governor's office is indicating that the power company is solvent and based on that, we're confident there won't be any blackouts in Southern Nevada," added Rob Powers, a spokesman for the LVCVA.

But preparing for a potential strike is different and Vassiliadis and Powers are taking a different approach.

"Basically, the Convention and Visitors Authority's function is to get out accurate information if there's a strike," said Vassiliadis, who was in Las Vegas in 1984 during the last Culinary strike.

"You don't prepare a strike marketing campaign," he said. "Instead, you set up a communications structure to make sure there is daily contact among people who need to be in on discussions. Obviously, we're hoping there is no strike."