Town works to keep airline

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Friday, Sept. 13, 2002 | 11:09 a.m.

ELKO -- Elko City Council has voted to raise its room tax 0.6 percent to keep Casino Express from pulling out of the Northern Nevada city.

The increase from 10 percent to 10.6 percent will pay an $80,000 annual rebate to the airline, which ferries gamblers in and out of the airport.

Casino Express owner Tod McClaskey threatened last month to take his business elsewhere unless the city gave the airline a break on airport fees. He said McClaskey Properties is losing $4 million a year on the airline.

The rebate is the estimated amount that Casino Express passengers pay in room taxes at McClaskey motels such as the Red Lion Inn & Casino and Gold Country Inn.