Airlines, an arena and a train might be talk of 2011

By Richard N. Velotta

Saturday, Dec. 25, 2010 | 2 a.m.

Usually around this time, we glance back at the year that was.

But since there’s nothing we can do about it now, we might as well look ahead.

Here’s my list of the Top 10 Southern Nevada tourism and gaming stories you’ll be reading about in 2011:

#10 A new gaming regulation look

Some gaming industry observers saw the departure of Gaming Control Board Chairman Dennis Neilander coming. He’s been on the board since 1998 and told Gov.-elect Brian Sandoval’s staff that he wasn’t interested in reappointment.

But what many didn’t see coming was the decision not to reappoint board member Randall Sayre.

Sayre is a no-nonsense regulator who asked the tough questions of licensees and applicants trying to skirt what is regarded as the best gaming regulatory environment in the world.

Sayre raised a few hackles with his handling of the industry’s oversight — or lack of oversight — of nightclubs and pools. With several incidences of drug use, underage drinking and public sexual activity, Sayre led the charge to clean up the clubs to help protect the industry’s reputation.

With Neilander and Sayre gone from the three-member board in 2011, it sets the stage for an inexperienced majority, although most observers are confident that Sandoval, a former gaming commissioner, made good selections in Shawn Reid, chief of investigations for the board, and A.G. Burnett, deputy chief of the securities division.

#9 Las Vegas’ arena bid

The latest proposal to build an arena appears headed to the courts.

In 2011, we’ll see if the arena proposal by Caesars Entertainment moves ahead or gets hogtied in court.

Although many critics say Southern Nevada doesn’t need another arena — especially one financed all or in part with public funds — new sports facilities have been proven economic drivers. They can house major entertainment and sports events, and can boost the struggling construction industry.

A new arena appears to be a must if Las Vegas ever is going to attract a major league sports franchise.

#8 Convention Center revamp

The Great Recession put on hold the overhaul of the Las Vegas Convention Center.

The Las Vegas Convention and Visitors Authority halted the project in 2008 to conserve money and not lay off employees.

But as the economy begins to rebound, there are signs that the authority may revisit the project.

#7 Authority strategy

The recession has produced a new type of consumer, one more conscientious money-wise. “Value” is the key driver.

With a post-recession consumer becoming the future customer, the authority looks to focus its advertising and marketing on customers on the fence about whether they want to vacation in Las Vegas and on steady customers.

The strategy will use new technology and social networks to reach those new-attitude consumers.

#6 Great convention year

January, a big convention month with the International Consumer Electronics Show kicking things off, will be even bigger this year with a new customer, the International Air-Conditioning, Heating and Refrigerating Exposition, arriving Jan. 31 at the Convention Center.

The new show will bring in 40,000 delegates, and the authority is working to get a long-term contract with the group.

CES is scheduled to bring 126,000 people to Las Vegas, and January alone will have the Shooting, Hunting, Outdoor Trade Show (55,000 attendees), World of Concrete (55,000) and the World Market Center winter meeting (50,000).

The biggest show of the year occurs March 22-26 when the ConExpo-Con/Agg 2011 is held. The massive construction industry show is expected to draw 140,000 people.

#5 The legislative session

The tourism industry will keep watch on how the Legislature treats the Nevada Tourism Commission as lawmakers deal with a possible $3 billion budget deficit.

Two years ago, lawmakers contemplated consolidating it with the Nevada Economic Development Commission. They battled to stay separate because their missions are different. But the consolidation card may be played again because of the deficit.

#4 Southwest Airlines

The busiest air carrier at McCarran International Airport is also one of the busiest in the airline industry.

Southwest is acquiring AirTran; will begin service to Newark, N.J., and two cities in South Carolina; has ordered some larger aircraft capable of flying from the West Coast to Hawaii or from the South to the Caribbean; has begun rolling out in-flight Wi-Fi service; and is about to revamp its popular Rapid Rewards loyalty program.

Anything having to do with the company will have an effect on the local tourism economy.

#3 Allegiant Air

Las Vegas-based Allegiant Air is growing and may become one of the five busiest carriers at McCarran in 2011.

Allegiant has been profitable and has quietly become a force in Las Vegas as well as in small cities across the country.

The airline is taking on New York-based discount carrier JetBlue on a route between Las Vegas and Long Beach, Calif. JetBlue retaliated and a fare war emerged, with consumers able to buy round-trip tickets to Long Beach for under $60.

Will Allegiant maintain the pace? What other cities will see Allegiant’s sunburst logo? How will Allegiant offset consumer discontent with add-on costs like baggage fees, which the airline has championed? Would Allegiant join Spirit Airlines in trying to charge passengers for carry-on bags they bring on flights?

#2 Slow recovery

Economists said 2010 would see a s-l-o-w recovery year. And they were right. That pattern probably will continue in 2011 with visitor volume, gaming revenue, average daily room rates and occupancy.

The think tanks and study groups will approach the Legislature with plans for diversifying the economy.

#1 DesertXpress

For everybody who says, “Just build it, already,” for a high-speed rail line between Las Vegas and Southern California, it looks like 2011 is going to be your year.

Developers of the DesertXpress between Las Vegas and Victorville, Calif., say the company is close to getting the last environmental clearances to begin engineering the route.

If all goes as planned, there should be a groundbreaking in 2011. The system is expected to be operating in 2014.