Changing of the guard: DuCharme worries about industry downturn

Close observers of Nevada's gaming regulatory agencies shouldn't expect the state Gaming Control Board to change radically under the stewardship of new Chairman Steve DuCharme.

In interviews this week, DuCharme has been quick to emphasize his commitment to staying the course set by departing Chairman Bill Bible.

"I think the industry needs a stable regulatory structure to conduct business," said DuCharme.

DuCharme, who has served with Bible for eight years, said he has largely agreed with the agency's direction under its departing chairman.

"I would hope to continue in that direction," said DuCharme. "We don't differ on any major items."

Any differences are likely to be of character, not substance.

"There may be some small differences in our management philosophies and our personal style," said DuCharme.

DuCharme, 51, has lived in Las Vegas since 1960. A former police officer, DuCharme fills the law enforcement slot on the gaming control board.

DuCharme became a reserve deputy in the Las Vegas Sheriff's department after riding with a police patrol one night while a student at Nevada State University, now UNLV.

"I couldn't believe they'd pay me money to have that much excitement," said DuCharme.

After 20 years at Metro, much of which was spent in vice, DuCharme ended up its public information officer. A life-long friend of Gov. Bob Miller, DuCharme was appointed to the gaming control board in 1991.

DuCharme is well-known to the gaming industry as the "strict" one, the board member who more often plays "bad cop" rather than "good cop."

"Steve is a very principled individual," said gaming attorney and former board member Jeff Silver. "He holds a high standard for applicants who are seeking a gaming license. It's based on his defined concepts of what's right and what's wrong."

It's hard to imagine that the board under DuCharme would be any more strict than the board under Bible, said Barry Lieberman, general counsel at Coast Resorts Inc.

"I think Mr. Bible ran a pretty strict board," said Lieberman.

Indeed, Bible, DuCharme and member C. Brian Harris rarely differed in their handling of applications. Split votes happened, but not often.

Observers note that the chairman of the Gaming Control Board and its non-chair members often play different roles.

"There's a different role you play as a board member than you play as a chairman," said Frank Schreck, a prominent gaming attorney and former chairman of the state Gaming Commission.

A member can be less flexible than the chairman, and has the freedom to focus exclusively on a few narrow issues, Schreck said. The chairman has to consider all sides of an issue.

"As chairman you have to have a broader approach," said Schreck. "Steve is an incredibly bright guy, and I fully expect to see the same type of ... metamorphosis into the chairman's role."

But it's clear that with DuCharme running the board, there will be little leniency for the unqualified.

"Only those that qualify need apply," said Silver.

DuCharme's agreement with Bible on the board's direction goes beyond the high bar Bible set for gaming license applicants to demonstrate their suitability. DuCharme has also been deeply involved in board efforts to limit messenger betting and Internet gambling, and to prompt the industry into taking proactive steps toward dealing with problem gambling.

DuCharme's biggest concerns about the future have to do with the effects a downturn in the gaming industry might have on casino internal controls.

"You would have to assume that if there is a downturn," said DuCharme, "it would hurt the (smaller, older) properties."

If that happens, those properties are likely to focus their attention more on marketing and other ways to make money, and might pay less attention to internal controls designed to combat corrupt influences, he said.

A downturn may be averted, but with all the new rooms coming on line in Las Vegas at the same time visitor growth is stagnant, it will be up to the industry to grow the market, DuCharme said.

"It's going to be up to the industry to create a larger market," he said.

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