Clark County takes aim at ‘taverns’

Dotty’s might need to find another business model to survive.

Clark County commissioners are considering a proposed ordinance that would affect taverns like Dotty’s that serve food and offer gaming. Among the proposed changes, taverns with slot machines would be required to get at least half of their revenue from the sale of food and beverages.

The measure, championed by commission Chairman Steve Sisolak, is being put forward as necessary to close a loophole in a law that requires gaming revenue to be “incidental” to the primary business of selling food and drinks, without clearly defining it.

The proposal also would require that food be prepared in a kitchen, as opposed to pre-packed food that is reheated.

The proposed ordinance, which was introduced Tuesday, faces a public hearing and vote on Dec. 2.

Craig Estey, owner of Dotty’s, warned county officials that the proposal puts at risk some 340 jobs — 10 employees at each of 34 affected locations in the county.

“Can we please get the county back on track?” he said. “We need more employment, not less.”

Estey said the ordinance would undo the business model of Dotty’s. Chairs and tables are available in each Dotty’s, which has slot machines and caters to women seeking a friendly tavern atmosphere.

Estey said after speaking to commissioners that he’s “going to do everything he can to save those jobs.”

Rich Hall, who owns several taverns, including Mulligan’s and Goldfinger’s, said the ordinance would add more restrictions on the industry.

For example, it includes staffing requirements, and its proposal requiring permitted slot machines to be mounted on bar counters that are at least 42 inches tall doesn’t comply with federal requirements for disabled people, he said.

Those with a tavern license can have up to 15 slot machines. The ordinance requires a tavern owner to advertise the tavern as its primary business, although advertising the presence of slot machines is allowed, too.

Under the change, taverns no longer could serve pre-packaged or reheated prepared items to meet the the ordinance’s existing requirement to serve hot meals.

The proposal also would require at least one worker dedicated only to the tavern restaurant operation each hour the kitchen is in operation.

The kitchens also would need to be in operation at least 16 hours a day, up from 12 hours.

Sisolak said his goal is to target a business model that acts primarily as a slot parlor despite being licensed as a tavern.

When 80 percent to 90 percent of the revenue comes from gaming, Sisolak said, “that’s not a tavern, that’s not a restaurant, that’s a slot parlor.”

“There’s a lot of doom and gloom that people are spreading — propaganda that’s simply not true,” Sisolak said.

Sisolak said those concerns about the height of bar counters can be addressed before the ordinance gets a vote and changed if necessary.

Contact Ben Botkin at bbotkin@reviewjournal.com or 702-405-9781. Find him on Twitter: @BenBotkin1.