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OPINION
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Jun. 12, 2005
Copyright © Las Vegas Review-Journal


EDITORIAL: Outlawing cabbie 'kickbacks'

The governor should veto the bill that includes this stealth amendment

The funny business that sent the Legislature into yet another special session wasn't limited to partisan bickering and stalling.

By pushing too much work to the home stretch of the constitutionally mandated 120-day regular session, a handful of lawmakers were able to sneak an amendment into larger legislation and get it passed without the slightest scrutiny.

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And of all the special interests that pull strings in Carson City, this stealth operation was carried out for the benefit of ... strip club owners?

The amendment at issue bans "bounties" for cabdrivers. For years, strip clubs have awarded commissions of between $10 and $30 for cabbies who deliver guests. These gratuities have led to the practice of "diversion," when cabdrivers dissuade passengers from going to clubs that pay low or no bounties in favor of ones that do. Such trickery is appropriately illegal.

However, street-wise cabdrivers often recommend destinations to passengers uncertain of their options. If the visitors agree with the suggestion and the driver collects what amounts to a referral fee, how is this situation any different from an Internet service provider offering a free month of Web access to any existing customer who gets a friend to switch to the company? Playing the role of mobile concierge typically nets more than $1,000 per year for meagerly paid cabbies.

But even this form of gratuity would be illegal under the legislation.

"Kickbacks don't seem like a good thing to do," said Assemblyman John Oceguera, D-Las Vegas, who chaired the conference committee that attached the amendment to a bill abolishing the Transportation Services Authority. "It gives the wrong impression to our guests."

As opposed to the impression three boozed-up college buddies might get climbing out of a cab covered with fleshy advertising, paying $10 to a burly bouncer for the privilege of buying overpriced cocktails and stuffing $20 bills into G-strings all night?

The legislation covers any establishment with a privileged license, such as a liquor license, meaning it applies to restaurants, hotels and nightclubs as well. But make no mistake, this is about the handful of strip clubs that don't want to pay the bounties.

Should the bill become law, does Mr. Oceguera honestly believe that every club will halt the practice, and that Las Vegas police will spend part of every Friday and Saturday night ignoring drunken drivers and brawlers to bust cabbies for taking $10 from a doorman? This add-on is silly and unenforceable.

Worse, however, was the manner in which it crept through the legislative process without so much as a single public hearing.

Gov. Guinn should veto the bill and send a message to lawmakers that the 2005 session had more than enough nonsense without this travesty.


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