Coronavirus bailout rules preclude small casinos
A clause that precludes small casinos and their employees from receiving support under the Small Business Administration’s Paycheck Protection Program is being challenged by the American Gaming Association.
Under interim guidelines issued by the administration, businesses whose sole income is derived from gambling, are not eligible for funding.
Those small businesses that obtain more than a third of their gross revenues from legal gambling are also not eligible.
“In SBA’s efforts to quickly issue guidance on the PPP, they relied on antiquated, discriminatory regulations that ignore today’s economic reality and the congressional intent behind the CARES Act, which states that any business concern shall be eligible to receive an SBA loan if they meet specific qualifications regarding their number of employees,” Miller said in a statement on Friday. “Unless amended, these initial guidelines will irreparably harm one-third of the U.S. casino industry and the hundreds of thousands of Americans that rely on gaming businesses for their livelihood.”
Casinos like the COD in Minden and Dotty’s at Stateline wouldn’t be eligible for the program, under the rules, Miller said.
“This decision will affect hard-working Americans from Pennsylvania to Nevada, Ohio to Colorado, and everywhere in between who need and deserve the same level of support as anyone across the country during these unprecedented times,” he said.
All Nevada’s casinos were closed on March 17 by Gov. Steve Sisolak in order to slow the spread of the coronavirus.
Support Local Journalism
Support Local Journalism
Readers around the Lake Tahoe Basin and beyond make the Tahoe Tribune's work possible. Your financial contribution supports our efforts to deliver quality, locally relevant journalism.
Now more than ever, your support is critical to help us keep our community informed about the evolving coronavirus pandemic and the impact it is having locally. Every contribution, however large or small, will make a difference.
Your donation will help us continue to cover COVID-19 and our other vital local news.
Start a dialogue, stay on topic and be civil.
If you don't follow the rules, your comment may be deleted.
User Legend: Moderator Trusted User
In our Drink of the Week segment, we’ll showcase one unique type of beer, wine, cocktail — you name it — to try at one of the countless breweries, bars and restaurants from around the…