Sen. Neal starts campaign for casino tax hike

Following the news conferences, Neal, D-North Las Vegas, plans to file his petition for higher taxes on Nevada's largest casinos with the secretary of state's office.

Neal failed last year in trying to get the Legislature to raise taxes on big casinos from 6.25 percent to 8.25 percent of the gross gambling win.

Now he's proposing a tax rate of 11.25 percent for casinos that earn $1 million or more a month in gross revenues. The plan would affect more than 100 casinos.

Neal estimates his proposal would raise $388 million a year. He wants 45 percent of the new tax money to go to public education, 38 percent to cut vehicle privilege taxes, 8 percent to raise Nevada Highway Patrol salaries, 7 percent to help diversify the economy and 2 percent to fight gambling addiction.

In arguing for his proposal, Neal says Nevada casino operators pay "the lowest taxes in the world," and adds that the tax rate hasn't been increased since 1987.

He also says Nevada resorts are investing profits from a low-tax environment in states that compete with Nevada.

Neal must get 44,009 signatures of registered voters to submit the petition to the 2001 session of the Nevada Legislature.

If the Legislature fails to act, the plan will be on the 2002 general election ballot. University of Nevada polls for the past several years have consistently shown support for a gambling tax increase.

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