Casinoboss Answers Your Questions: Part IV

If anything, I want government to mandate that taxes are on separate line items. Government loves to just bury exorbitant taxes.

I would not have a problem if government required that mandatory fees (like resort charges), are forced into the upfront price. Just not taxes.


Quote

Originally posted by: Chilcoot
Quote

Originally posted by: casinoboss
Quote


Unfortunately, the State of Nevada doesn't enjoy the sort of consumer-friendly leadership that the Federal Government does.


FWIW, Nevada's regulation actually makes life very easy for consumers and operators alike compared to many other states.
casinoboss,

You're quoting me, but not addressing any point I made.

The thread and I are discussing add-on fees, like the resort fees almost universally charged by Nevada casino hotels. The State of Nevada hasn't put a stop to the practice, and rightly or wrongly a lot of people are mad.

Compare Nevada's inaction on that front to the action by the Federal Government, which recently prohibited the airlines' practice of promoting one ticket price, then adding on tons of hidden, mandatory surcharges like taxes, fees, and PFCs.

Yes, the State of Nevada has wisely chosen to keep casinos free to innovate by keeping the regs loose.

But in the area of resort fees, Nevada has been too permissive, and has unnecessarily angered a lot of visitors. It'd be better for everyone if casinos and those who market their rooms were forced to combine all such mandatory surcharges into a single, advertised price.

Most casino operators who've spoken on the subject say they'd like to get rid of resort fees but can't for competitive reasons. That's when the government should step in and correct this failure of the market that's hurting Nevada.


I didn't address any of your points because

1.) You didn't ask me to

and

2.) I'm a pragmatist and to be quite frank resort fees are here to stay unless some legislative body mandates that we change. The FTC investigated the practice and issued a "warning" to certain hoteliers but past that, there has been no litigation, legislation, etc. (https://articles.latimes.com/2013/feb/10/travel/la-tr-spot-20130210) .

We are for-profit enterprises with an end goal to maximize profit for our owners so it would be un-wise to voluntarily put ourselves at a competitive disadvantage and not charge a resort fee when 99% of our competitive set does.


Quote

Originally posted by: Chilcoot
Quote

Originally posted by: casinoboss
Quote


Unfortunately, the State of Nevada doesn't enjoy the sort of consumer-friendly leadership that the Federal Government does.


FWIW, Nevada's regulation actually makes life very easy for consumers and operators alike compared to many other states.
casinoboss,

You're quoting me, but not addressing any point I made.

The thread and I are discussing add-on fees, like the resort fees almost universally charged by Nevada casino hotels. The State of Nevada hasn't put a stop to the practice, and rightly or wrongly a lot of people are mad.

Compare Nevada's inaction on that front to the action by the Federal Government, which recently prohibited the airlines' practice of promoting one ticket price, then adding on tons of hidden, mandatory surcharges like taxes, fees, and PFCs.

Yes, the State of Nevada has wisely chosen to keep casinos free to innovate by keeping the regs loose.

But in the area of resort fees, Nevada has been too permissive, and has unnecessarily angered a lot of visitors. It'd be better for everyone if casinos and those who market their rooms were forced to combine all such mandatory surcharges into a single, advertised price.

Most casino operators who've spoken on the subject say they'd like to get rid of resort fees but can't for competitive reasons. That's when the government should step in and correct this failure of the market that's hurting Nevada.


Quote

Originally posted by: casinoboss
We are for-profit enterprises with an end goal to maximize profit for our owners so it would be un-wise to voluntarily put ourselves at a competitive disadvantage and not charge a resort fee when 99% of our competitive set does.
Completely agree.

These market problems cry out for government intervention. Your industry should recognize that its resort fee practices are unnecessarily angering customers, and push the State of Nevada to follow USDOT's lead and outlaw add-on fees.

Receive the same (or very close to the same) amount of revenue, and stop losing so much customer goodwill.
Quote

Originally posted by: Chilcoot
Quote

Originally posted by: casinoboss
We are for-profit enterprises with an end goal to maximize profit for our owners so it would be un-wise to voluntarily put ourselves at a competitive disadvantage and not charge a resort fee when 99% of our competitive set does.
Completely agree.

These market problems cry out for government intervention. Your industry should recognize that its resort fee practices are unnecessarily angering customers, and push the State of Nevada to follow USDOT's lead and outlaw add-on fees.

Receive the same (or very close to the same) amount of revenue, and stop losing so much customer goodwill.


The majority of our customers make their purchasing decisions based on price (within their price bracket - I understand no one compares the Mandarin to the Plaza) so good luck convincing an operator to raise their price for "goodwill" when no one else is doing so.


Quote

Originally posted by: casinoboss
Quote

Originally posted by: Chilcoot
Quote

Originally posted by: casinoboss
We are for-profit enterprises with an end goal to maximize profit for our owners so it would be un-wise to voluntarily put ourselves at a competitive disadvantage and not charge a resort fee when 99% of our competitive set does.
Completely agree.

These market problems cry out for government intervention. Your industry should recognize that its resort fee practices are unnecessarily angering customers, and push the State of Nevada to follow USDOT's lead and outlaw add-on fees.

Receive the same (or very close to the same) amount of revenue, and stop losing so much customer goodwill.


The majority of our customers make their purchasing decisions based on price (within their price bracket - I understand no one compares the Mandarin to the Plaza) so good luck convincing an operator to raise their price for "goodwill" when no one else is doing so.
I said your INDUSTRY should do it, not one particular CASINO or GROUP OF CASINOS.

The industry should do this, before the state gets smarter management and enacts something industry will like less.
Quote

Originally posted by: casinoboss
I didn't address any of your points because

1.) You didn't ask me to

and

2.) I'm a pragmatist and to be quite frank resort fees are here to stay unless some legislative body mandates that we change. The FTC investigated the practice and issued a "warning" to certain hoteliers but past that, there has been no litigation, legislation, etc. (https://articles.latimes.com/2013/feb/10/travel/la-tr-spot-20130210) .

We are for-profit enterprises with an end goal to maximize profit for our owners so it would be un-wise to voluntarily put ourselves at a competitive disadvantage and not charge a resort fee when 99% of our competitive set does.


Quote

Originally posted by: Chilcoot
Quote

Originally posted by: casinoboss
Quote


Unfortunately, the State of Nevada doesn't enjoy the sort of consumer-friendly leadership that the Federal Government does.


FWIW, Nevada's regulation actually makes life very easy for consumers and operators alike compared to many other states.
casinoboss,

You're quoting me, but not addressing any point I made.

The thread and I are discussing add-on fees, like the resort fees almost universally charged by Nevada casino hotels. The State of Nevada hasn't put a stop to the practice, and rightly or wrongly a lot of people are mad.

Compare Nevada's inaction on that front to the action by the Federal Government, which recently prohibited the airlines' practice of promoting one ticket price, then adding on tons of hidden, mandatory surcharges like taxes, fees, and PFCs.

Yes, the State of Nevada has wisely chosen to keep casinos free to innovate by keeping the regs loose.

But in the area of resort fees, Nevada has been too permissive, and has unnecessarily angered a lot of visitors. It'd be better for everyone if casinos and those who market their rooms were forced to combine all such mandatory surcharges into a single, advertised price.

Most casino operators who've spoken on the subject say they'd like to get rid of resort fees but can't for competitive reasons. That's when the government should step in and correct this failure of the market that's hurting Nevada.



OK, he may not have asked you answer points to this argument, but I did. You also said you would find the answers to my questions. I will ask you again in case you forgot what the question(s) were. Is the Resort Fee taxes at a different rate than the Room Tax by either the state of Nevada or Clark County.

Ray
And how do you suggest that happen?


Quote

Originally posted by: Chilcoot
Quote

Originally posted by: casinoboss
Quote

Originally posted by: Chilcoot
Quote

Originally posted by: casinoboss
We are for-profit enterprises with an end goal to maximize profit for our owners so it would be un-wise to voluntarily put ourselves at a competitive disadvantage and not charge a resort fee when 99% of our competitive set does.
Completely agree.

These market problems cry out for government intervention. Your industry should recognize that its resort fee practices are unnecessarily angering customers, and push the State of Nevada to follow USDOT's lead and outlaw add-on fees.

Receive the same (or very close to the same) amount of revenue, and stop losing so much customer goodwill.


The majority of our customers make their purchasing decisions based on price (within their price bracket - I understand no one compares the Mandarin to the Plaza) so good luck convincing an operator to raise their price for "goodwill" when no one else is doing so.
I said your INDUSTRY should do it, not one particular CASINO or GROUP OF CASINOS.

The industry should do this, before the state gets smarter management and enacts something industry will like less.


No, resort fees are taxed at the same rate as room costs.

Quote

Originally posted by: rayxtwo
Quote

Originally posted by: casinoboss
I didn't address any of your points because

1.) You didn't ask me to

and

2.) I'm a pragmatist and to be quite frank resort fees are here to stay unless some legislative body mandates that we change. The FTC investigated the practice and issued a "warning" to certain hoteliers but past that, there has been no litigation, legislation, etc. (https://articles.latimes.com/2013/feb/10/travel/la-tr-spot-20130210) .

We are for-profit enterprises with an end goal to maximize profit for our owners so it would be un-wise to voluntarily put ourselves at a competitive disadvantage and not charge a resort fee when 99% of our competitive set does.


Quote

Originally posted by: Chilcoot
Quote

Originally posted by: casinoboss
Quote


Unfortunately, the State of Nevada doesn't enjoy the sort of consumer-friendly leadership that the Federal Government does.


FWIW, Nevada's regulation actually makes life very easy for consumers and operators alike compared to many other states.
casinoboss,

You're quoting me, but not addressing any point I made.

The thread and I are discussing add-on fees, like the resort fees almost universally charged by Nevada casino hotels. The State of Nevada hasn't put a stop to the practice, and rightly or wrongly a lot of people are mad.

Compare Nevada's inaction on that front to the action by the Federal Government, which recently prohibited the airlines' practice of promoting one ticket price, then adding on tons of hidden, mandatory surcharges like taxes, fees, and PFCs.

Yes, the State of Nevada has wisely chosen to keep casinos free to innovate by keeping the regs loose.

But in the area of resort fees, Nevada has been too permissive, and has unnecessarily angered a lot of visitors. It'd be better for everyone if casinos and those who market their rooms were forced to combine all such mandatory surcharges into a single, advertised price.

Most casino operators who've spoken on the subject say they'd like to get rid of resort fees but can't for competitive reasons. That's when the government should step in and correct this failure of the market that's hurting Nevada.



OK, he may not have asked you answer points to this argument, but I did. You also said you would find the answers to my questions. I will ask you again in case you forgot what the question(s) were. Is the Resort Fee taxes at a different rate than the Room Tax by either the state of Nevada or Clark County.

Ray


Quote

Originally posted by: Boilerman
No, resort fees are taxed at the same rate as room costs.

Quote

Originally posted by: rayxtwo
Quote

Originally posted by: casinoboss
I didn't address any of your points because

1.) You didn't ask me to

and

2.) I'm a pragmatist and to be quite frank resort fees are here to stay unless some legislative body mandates that we change. The FTC investigated the practice and issued a "warning" to certain hoteliers but past that, there has been no litigation, legislation, etc. (https://articles.latimes.com/2013/feb/10/travel/la-tr-spot-20130210) .

We are for-profit enterprises with an end goal to maximize profit for our owners so it would be un-wise to voluntarily put ourselves at a competitive disadvantage and not charge a resort fee when 99% of our competitive set does.


Quote

Originally posted by: Chilcoot
Quote

Originally posted by: casinoboss
Quote


Unfortunately, the State of Nevada doesn't enjoy the sort of consumer-friendly leadership that the Federal Government does.


FWIW, Nevada's regulation actually makes life very easy for consumers and operators alike compared to many other states.
casinoboss,

You're quoting me, but not addressing any point I made.

The thread and I are discussing add-on fees, like the resort fees almost universally charged by Nevada casino hotels. The State of Nevada hasn't put a stop to the practice, and rightly or wrongly a lot of people are mad.

Compare Nevada's inaction on that front to the action by the Federal Government, which recently prohibited the airlines' practice of promoting one ticket price, then adding on tons of hidden, mandatory surcharges like taxes, fees, and PFCs.

Yes, the State of Nevada has wisely chosen to keep casinos free to innovate by keeping the regs loose.

But in the area of resort fees, Nevada has been too permissive, and has unnecessarily angered a lot of visitors. It'd be better for everyone if casinos and those who market their rooms were forced to combine all such mandatory surcharges into a single, advertised price.

Most casino operators who've spoken on the subject say they'd like to get rid of resort fees but can't for competitive reasons. That's when the government should step in and correct this failure of the market that's hurting Nevada.



OK, he may not have asked you answer points to this argument, but I did. You also said you would find the answers to my questions. I will ask you again in case you forgot what the question(s) were. Is the Resort Fee taxes at a different rate than the Room Tax by either the state of Nevada or Clark County.

Ray



Where did you find this information?

Ray
I was waiting to have lunch with my buddy in finance. Yes, they're taxed at the same rate: 12%.

Quote

Originally posted by: rayxtwo
Quote

Originally posted by: casinoboss
I didn't address any of your points because

1.) You didn't ask me to

and

2.) I'm a pragmatist and to be quite frank resort fees are here to stay unless some legislative body mandates that we change. The FTC investigated the practice and issued a "warning" to certain hoteliers but past that, there has been no litigation, legislation, etc. (https://articles.latimes.com/2013/feb/10/travel/la-tr-spot-20130210) .

We are for-profit enterprises with an end goal to maximize profit for our owners so it would be un-wise to voluntarily put ourselves at a competitive disadvantage and not charge a resort fee when 99% of our competitive set does.


Quote

Originally posted by: Chilcoot
Quote

Originally posted by: casinoboss
Quote


Unfortunately, the State of Nevada doesn't enjoy the sort of consumer-friendly leadership that the Federal Government does.


FWIW, Nevada's regulation actually makes life very easy for consumers and operators alike compared to many other states.
casinoboss,

You're quoting me, but not addressing any point I made.

The thread and I are discussing add-on fees, like the resort fees almost universally charged by Nevada casino hotels. The State of Nevada hasn't put a stop to the practice, and rightly or wrongly a lot of people are mad.

Compare Nevada's inaction on that front to the action by the Federal Government, which recently prohibited the airlines' practice of promoting one ticket price, then adding on tons of hidden, mandatory surcharges like taxes, fees, and PFCs.

Yes, the State of Nevada has wisely chosen to keep casinos free to innovate by keeping the regs loose.

But in the area of resort fees, Nevada has been too permissive, and has unnecessarily angered a lot of visitors. It'd be better for everyone if casinos and those who market their rooms were forced to combine all such mandatory surcharges into a single, advertised price.

Most casino operators who've spoken on the subject say they'd like to get rid of resort fees but can't for competitive reasons. That's when the government should step in and correct this failure of the market that's hurting Nevada.



OK, he may not have asked you answer points to this argument, but I did. You also said you would find the answers to my questions. I will ask you again in case you forgot what the question(s) were. Is the Resort Fee taxes at a different rate than the Room Tax by either the state of Nevada or Clark County.

Ray


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