Louisiana officials announced that there is a high probability for Harrah’s Casino revenueto be a subject to a considerable decrease within the next two years.
The potential “leakage” was estimated to be approximately $104 million provided that New Orleans authorities impose a smoking ban in bars and casinos in the region.
At the beginning of 2015 the City Council is going to review the proposal, concerning the restriction on smoking in public areas.
Apparently, Harrah’s casino, located a few steps from the French Quarter and Convention Center, will be among the most affected places.
Yesterday, the Louisiana State Police revealed detailed information about the losses the state is going to experience in case the smoking ban comes into force.
New Orleans has never been famous for having strict vice laws and expectedly, the idea for prohibiting smoking in public was not supported by the local communities. There were residents who found the proposal great but the number of those who opposed it was also significant.
Jeff Traylor, the audit director of Louisiana Gaming Enforcement Division, said that the estimates, related to the eventual decrease in the revenue, were based on a study, which was conducted by PriceWaterhouseCoopers. Its aim was providing New Jersey and Delaware authorities with precise information concerning the effects the imposed smoking ban has on the residents and the economy in general.
Relying on the numbers the study revealed, Traylor said that the gambling revenues generated are expected to drop by more than $86 million. The revenue from the other fees collected is also to be decreased by $17 million. The pessimistic forecast is believed to become a reality in two years time unless Louisiana officials give up on their intention to ban smoking in casinos and bars.
Although the bill already has lots of opponents and proponents, it seems like owners of bars and restaurants in New Orleans are those who are totally against the proposed bill.
According to them, the number of tourists who visit New Orleans is going to decrease as soon as the smoking ban is imposed. Such a prohibition has been valid in Louisiana-based restaurants for seven years now but smoking is still allowed in casinos and bars.
The chairman of Louisiana Gaming Control Board said that the City Council needs to review all advantages and disadvantages the smoking ban would bring. That is why they required the state police to provide them with revenue projections.
The main reason why authorities want the smoking ban implemented is that they want to protect visitors from the bad impact of the secondhand smoke. They consider it to have an adverse effect on population’s health and increase the medical expenses of the state.
