Nevada seeks major disaster declaration as governor says casinos will remain closed through April

Thursday, April 2, 2020 11:18 AM

With Nevada’s casino industry officially out of business for all of April, the governor wants President Donald Trump to declare a major disaster for the state due to the COVID-19 coronavirus pandemic.

Governor Steve Sisolak on Wednesday extended his emergency directive until April 30, which ordered all non-essential businesses, schools and the state’s multi-billion-dollar casino business – including the Las Vegas Strip – to remain closed.

The move is effectively a stay-at-home order for Nevada’s 3 million residents. Nevada joined 33 other states in enacting a coronavirus quarantine.

If approved by Trump, the major disaster declaration will provide additional federal assistance and emergency protective measures available under the nationwide emergency proclamation.

Nevada is considered to be one of the states hardest hit by the nationwide casino industry closures. Gaming and tourism are the state’s largest industries, employing one out of every three Nevada residents.

Roughly 40% of the general fund budget comes from taxes on gaming and tourism. The Nevada Resort Association said recovery from the pandemic’s shutdown could take up to a year and a half and have an economic impact reaching almost $39 billion.

CMTC email web

Strip casinos produced nearly $6.59 billion in gaming revenue in 2019, more than half of Nevada’s $12 billion gaming revenue total. The casino shutdown, which began March 18, has sidelined more than 200,000 casino and resort employees.

Sisolak said it was unclear if Trump will act on the major disaster request.

“I am asking the President and the federal government to help Nevada respond and recover effectively and efficiently by providing federal assistance,” Sisolak said. “The COVID-19 public health crisis in Nevada is of such severity and scale that the effective response is beyond the capabilities of state, local and tribal governments. Supplementary federal assistance is needed to save lives, protect public health, and help Nevada recover from the incomprehensible economic impacts that have resulted from this global pandemic.”

On Tuesday, the Las Vegas Review-Journal reported that several Las Vegas Strip casinos were accepting room reservations beginning on April 17 in anticipation of the closures being lifted. Those efforts became moot with the governor’s executive order.

Also on Tuesday, Sisolak instituted a travel advisory that urged travelers to Las Vegas to self-quarantine for 14 days.

Although the new guidance does not call for halting all travel, the governor’s office is asking all visitors to postpone their trips if possible and all Nevadans to avoid nonessential travel, including to areas where the Centers for Disease Control has issued travel advisories.

As of Wednesday morning, Nevada had recorded 1,279 reported cases and 32 deaths from the virus.

Sisolak also activated the Nevada National Guard, a move that enables the state to seek federal assistance to support the guard’s activities. He said the Guard is working with the U.S. Army Corps of Engineers to identify potential field hospitals in case the state’s private and public hospitals become overrun with patients.

Major General Ondra Berry of the Nevada National Guard said four sites in Northern Nevada have been identified for additional medical facilities. The same effort was being considered in Southern Nevada. Berry said he didn’t want to identify the locations.

“We certainly hope we don’t need those sites,” Sisolak said. “We’re hopeful we’ll avoid those situations.”

Sisolak said the extension of the directive mirrors the latest guidance from the federal government in an effort to halt the spread of the COVID-19 coronavirus pandemic.

Several gaming companies said they would cover wages and benefits for at least two weeks, or through the end of March. Shutdown orders from governors and state gaming regulators began March 13.

Wynn Resorts said late Wednesday it would extend paying 15,000 salaried, hourly and part-time employees through May 15, for a total of 60 days of payroll continuance. For tipped employees, the pay includes the average tip compliance rate, or distributed tips and tokes, since the beginning of the year.

“It is our shared responsibility to follow the direction of health and safety professionals to stay home and limit social contact,” said Wynn Resorts CEO Matt Maddox.  “We owe it to each other, our families, and our community.”

Sisolak officially asked Nevadans to “Stay Home for Nevada” on March 17 and has taken multiple steps since declaring a state of emergency on March 12. The goal is to protect Nevadans and encourage them to stay home and help flatten the curve.

Sisolak said essential employees should continue their work activities while making sure to take proper precautions, like frequent handwashing, staying home if they are sick, and abiding by aggressive social distancing protocols.

Howard Stutz is the executive editor of CDC Gaming. He can be reached at hstutz@cdcgaming.com. Follow @howardstutz on Twitter.