Poll

8 votes (34.78%)
13 votes (56.52%)
2 votes (8.69%)

23 members have voted

Mission146
Mission146
Joined: May 15, 2012
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December 4th, 2014 at 5:16:46 PM permalink
Greetings!

For those of you unfamiliar with the concept of a, "Dotty's," it is essentially a Video Poker/Slot parlor with a small convenience store (cheap smokes, apparently!) limited food selection, and fifteen slot/video poker/video slot machines.

In any event, Dotty's' (grammar ???) had long been in operation in the State of Oregon by the time they came to Las Vegas, Nevada in 1996. The locations quickly expanded and currently number 102.

Essentially, these are the same as parlors in the State of West Virginia with a few notable exceptions being that the effective tax rate is much higher in WV, WV limits payouts to a statutory maximum of 95% for its parlors, WV has a maximum of five machines in parlors (special exception for private/public clubs which can have ten because they are both private and public) and Dotty's are (generally) nicer and cleaner than parlors. In fact, I've only seen one parlor in WV nicer than the one Dotty's I peeked inside and that was at an Elks' Club.

Similarities include the fact that both locations are required to have some food items, (WV parlors can have whatever they want, but satisfy the requirement merely by having mini candy bars or Little Debbie type things), both types of locations are required to have beer (WV parlors are required to have a minimum of two kinds of beer for sale---second-hand information---and I don't know what it is for Dotty's) and both locations are required to have coffee/pop. (The coffee & pop must be free to players in WV, I don't know if Dotty's is required to give it away.)

Dotty's can be best described as your Grandma's dining room with slot machines and office chairs.

Anyway, for many years, Dotty's ambled along operating almost strictly as gambling establishments until the big casinos (primarily Stations and Golden Gaming, who rely heavily on the Locals market) got royally p***ed off because they have to do a variety of things to run a full-on casino and pay machine taxes up to 6.75% where as Dotty's, with a restricted license and pay $574 per year, per machine.

Okay, so the Clark County Commission is miffed because Dotty's revenue from machines is supposed to be incidental to other revenues, which, of course, is a law that they themselves put into effect. In 2011, in order to comply, Dotty's installed bars with a minimum of 8/15 machines being bartops, installed kitchens (very limited menu) and have at least 2,500 square feet of public space.

HISTORY:

http://www.lasvegassun.com/news/2014/may/04/dotty-vs-goliath-can-little-slot-tavern-win-fight-/

http://dmckee.lvablog.com/?p=15126

In any case, Dotty's has lost the fight and is now required to have gambling revenue be incidental, which previously had no definition, but is now defined as being less than 50% of all revenues and they must have full kitchens open at least sixteen hours a day...IMMEDIATELY.

In the event they are non-compliant, non-compliant locations will be reduced from fifteen to seven machines.

http://dmckee.lvablog.com/?p=15155

POLL QUESTION

How should Dotty's locations be handled?

I think that they should be taxed as casinos, personally, because it allows their business model to compete with the business model of the larger casinos, but apparently, that was never an option as far as the Clark County Commission was concerned.

I imagine there are people on here who know much more than I do, so what do you guys think and am I missing anything?
https://wizardofvegas.com/forum/off-topic/gripes/11182-pet-peeves/120/#post815219
teddys
teddys
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December 4th, 2014 at 5:20:52 PM permalink
Dotty's "casinos" are a hell of a lot nicer than the slot parlors in West Virginia, that's all I have to say.
"Dice, verily, are armed with goads and driving-hooks, deceiving and tormenting, causing grievous woe." -Rig Veda 10.34.4
Mission146
Mission146
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December 4th, 2014 at 5:24:38 PM permalink
Quote: teddys

Dotty's "casinos" are a hell of a lot nicer than the slot parlors in West Virginia, that's all I have to say.



That's true, next time you're in town I'll have to show you the exception. Multi-level establishment, wide variety of snacks, expensive chairs, oak/brick adorned parlor room, fireplace...the whole nine!
https://wizardofvegas.com/forum/off-topic/gripes/11182-pet-peeves/120/#post815219
DRich
DRich
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December 4th, 2014 at 5:39:12 PM permalink
I know quite a bit about this topic and have attended some of the commission meetings about it.

My only real problem with what they decided and the new rules is that they are being applied retroactively to sites hat the commission had already approved. I think it should only be enforced for new locations.

In Nevada all sites except casinos the slot machines are supposed to be incidental to the business. Having worked for a company that placed slot machines in over 700 locations in Nevada, the gaming revenue is the primary income to almost every tavern. There is no way they would have over 50% of their revenue from non gaming. I would guess at most taverns it is closer to 90% from gaming as opposed to 50%.
Order from chaos
jochman
jochman
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December 4th, 2014 at 6:07:51 PM permalink
Quote: Mission146

That's true, next time you're in town I'll have to show you the exception. <snip>"



@Mission146: the exception to the "the slot parlors in West Virginia" here (sounds like there are plenty according to the OP), or the exception to Dotty's places (familiar with the one single level by a Walmart). It'd be nice to find a nice multilevel with decent paytables and good chairs.
Mission146
Mission146
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December 4th, 2014 at 6:18:26 PM permalink
Quote: jochman

@Mission146: the exception to the "the slot parlors in West Virginia" here (sounds like there are plenty according to the OP), or the exception to Dotty's places (familiar with the one single level by a Walmart). It'd be nice to find a nice multilevel with decent paytables and good chairs.



I meant the exception as in a WV parlor nicer than a Dotty's. You also won't find good paytables in WV with a 95% statutory maximium.
https://wizardofvegas.com/forum/off-topic/gripes/11182-pet-peeves/120/#post815219
onenickelmiracle
onenickelmiracle
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December 4th, 2014 at 6:26:37 PM permalink
They should just expand nongambling revenue setting it up with a hub for ecommerce at each location. Dotty's Ebay for example, whatever like a corporate inversion. Maybe just buy the plaza's they're in, there are so many ideas, I don't know what stops them unless it's something like a vendetta against them no matter their action.
I am a robot.
mickeycrimm
mickeycrimm
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December 4th, 2014 at 8:45:55 PM permalink
There are Dotty's Casinos in Billings, Bozeman, Belgrade, Butte and Helena, Montana. They don't get a tax break here
They pay 15% like everyone else.
"Quit trying your luck and start trying your skill." Mickey Crimm
FleaStiff
FleaStiff
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December 4th, 2014 at 9:17:11 PM permalink
Dottie's has been a secretive company operating in four or five states.

Its a very profitable company. It knows its niche and while some people view it as a smokers paradise I think its more that they have comfortable chairs, lots of games on each machine and no frills. I know someone who got out of jail from a drug bust and it was a Dotti's operator who gave her a twenty dollar bill to put into the machines. They have a USE your points or LOSE your points policy each month, but if you were in the hospital or something the manager gives them all back to you.

Stations hates them because Stations provides music and real restaurants and nightclubs.

There were two agencies... liquor board and Gaming board.

Lets face it though.... we all knew the money came from the slots, not the peanut butter crackers or ice cream soda.

I think its a great idea for slot players to have a place where they take their pension check and load up a card and just play their favorite slots at their comfortable chair with no distractions.

Even the non smoking Dotties make money.

Stations recently moved in on the customers of those Burger and Beer and Slots bars. Stations recognized the players cards from all the Burger and Beer joints and holds large functions for them at Stations and gives them points good at Stations.

So Stations was never opposed to the Dottie concept.... just to the fact that Dottie was making the money.

Stations invested in the expanded grocery store slots company and in the Burger and Beer slots market. Stations wanted the Dottie customers and revenue but didn't want Dottie.
tringlomane
tringlomane
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December 4th, 2014 at 10:05:57 PM permalink
Quote: mickeycrimm

There are Dotty's Casinos in Billings, Bozeman, Belgrade, Butte and Helena, Montana. They don't get a tax break here
They pay 15% like everyone else.



They have them in Illinois too. Haven't been in one there, but they have to fork over 30% to the state and they only get 5 machines per location and non-smoking of course just like the riverboats.

Also I voted to tax them like casinos because Nevada Gaming Tax rates are a gigantic joke anyway.

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