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Mayor Oscar Goodman is reviving his idea of selling the use of the city's name and seal to an Internet casino.
The Internet gaming site would help bring millions of dollars to residents facing a slumping economy and high energy costs, Goodman says.
The mayor, who also wants to build a sports stadium downtown and sell the naming rights to the highest bidder, tried to tap into the emerging online gaming industry about a year ago, but the effort failed.
Goodman said he has had discussions in the last two weeks with representatives of a company that operates an online casino in another country. He said the company is interested in using the city's name to attract gamblers to the site.
The mayor did not name the company, saying it wished to remain anonymous until there is a formal proposal.
"This isn't some backwoods telemarketing firm," Goodman said. "I'm talking a first-class, publicly traded corporation that is interested in taking part of the Las Vegas name."
Currently Nevada law specifically prohibits gaming companies from accepting wagers via the Internet. But several companies have set up online casinos, which are based in other countries, that take bets over the Internet.
Brian Sandoval, Nevada Gaming Commission chairman, said the commission does not have the power to change Nevada's ban on Internet gaming, but he acknowledged last year that it's only a matter of time before state lawmakers cave in to efforts by gaming companies to legalize the industry.
The 2001 Legislature acknowledged that online gaming is on the horizon, and in June passed Assembly Bill 466, which allows Nevada regulators to establish rules for casinos in launching interactive gaming. The Gaming Commission estimates Nevada is at least two years from legalizing Internet gaming, in part because of federal wiretap laws.
Sen. John Kyl, R-Ariz., has proposed banning Internet gaming, but lawmakers have yet to introduce a bill.
The city's first attempt to cash in on the Internet gaming industry came in October, when VegasOne.com, an Australian-based Internet site, proposed to pay the city for use of the city's name and official seal to attract gamblers to its site.
Goodman was one of the most outspoken supporters of the project, but he said the proposal lost steam partly because he couldn't vote on it. Goodman abstained after learning of a possible conflict of interest -- his law firm had once represented a likely investor, Bob Stupak.
Goodman said his law partner, David Chesnoff, represented Stupak in an unrelated civil matter.
After Goodman couldn't vote, two council members who supported the proposal also abstained, and other members of the council expressed concern over liability issues, including how the city would restrict the use of the site by teens and residents of countries where gaming is illegal.
"(The project) was shot down because I couldn't lead the charge," Goodman said.
Because the council could not agree at the time, VegasOne.com officials moved on, sans the city's seal.
If the city had sold its name to the proposed Internet casino based in Australia, it would have received 25 percent of the company's profits.
If the city served in a regulatory capacity it would have received 5 percent of the gross gaming revenues and netted an estimated $90 million annually, the company estimated.
Goodman, citing the declining economy and rising costs for electricity, said times have changed. He said the city needs to be creative in looking at new ways to generate money and said the online gambling issue should be reexamined.
"We have to be creative, we have to be fearless, and we have to think outside of the box," he said. "I would never allow the city's name to be harmed in any way. If we can use our status in the world to make money for our citizens, I think it should be explored."
Goodman said revenue generated from an online casino could be used for city programs, or even allow the city to issue refunds on residents' property taxes.
Goodman said he will make sure his law partners don't become involved in the project.
"This time, I have put up a yellow piece of tape around my law office so none of them can talk to anyone about this," he said.
The Internet gaming site would help bring millions of dollars to residents facing a slumping economy and high energy costs, Goodman says.
The mayor, who also wants to build a sports stadium downtown and sell the naming rights to the highest bidder, tried to tap into the emerging online gaming industry about a year ago, but the effort failed.
Goodman said he has had discussions in the last two weeks with representatives of a company that operates an online casino in another country. He said the company is interested in using the city's name to attract gamblers to the site.
The mayor did not name the company, saying it wished to remain anonymous until there is a formal proposal.
"This isn't some backwoods telemarketing firm," Goodman said. "I'm talking a first-class, publicly traded corporation that is interested in taking part of the Las Vegas name."
Currently Nevada law specifically prohibits gaming companies from accepting wagers via the Internet. But several companies have set up online casinos, which are based in other countries, that take bets over the Internet.
Brian Sandoval, Nevada Gaming Commission chairman, said the commission does not have the power to change Nevada's ban on Internet gaming, but he acknowledged last year that it's only a matter of time before state lawmakers cave in to efforts by gaming companies to legalize the industry.
The 2001 Legislature acknowledged that online gaming is on the horizon, and in June passed Assembly Bill 466, which allows Nevada regulators to establish rules for casinos in launching interactive gaming. The Gaming Commission estimates Nevada is at least two years from legalizing Internet gaming, in part because of federal wiretap laws.
Sen. John Kyl, R-Ariz., has proposed banning Internet gaming, but lawmakers have yet to introduce a bill.
The city's first attempt to cash in on the Internet gaming industry came in October, when VegasOne.com, an Australian-based Internet site, proposed to pay the city for use of the city's name and official seal to attract gamblers to its site.
Goodman was one of the most outspoken supporters of the project, but he said the proposal lost steam partly because he couldn't vote on it. Goodman abstained after learning of a possible conflict of interest -- his law firm had once represented a likely investor, Bob Stupak.
Goodman said his law partner, David Chesnoff, represented Stupak in an unrelated civil matter.
After Goodman couldn't vote, two council members who supported the proposal also abstained, and other members of the council expressed concern over liability issues, including how the city would restrict the use of the site by teens and residents of countries where gaming is illegal.
"(The project) was shot down because I couldn't lead the charge," Goodman said.
Because the council could not agree at the time, VegasOne.com officials moved on, sans the city's seal.
If the city had sold its name to the proposed Internet casino based in Australia, it would have received 25 percent of the company's profits.
If the city served in a regulatory capacity it would have received 5 percent of the gross gaming revenues and netted an estimated $90 million annually, the company estimated.
Goodman, citing the declining economy and rising costs for electricity, said times have changed. He said the city needs to be creative in looking at new ways to generate money and said the online gambling issue should be reexamined.
"We have to be creative, we have to be fearless, and we have to think outside of the box," he said. "I would never allow the city's name to be harmed in any way. If we can use our status in the world to make money for our citizens, I think it should be explored."
Goodman said revenue generated from an online casino could be used for city programs, or even allow the city to issue refunds on residents' property taxes.
Goodman said he will make sure his law partners don't become involved in the project.
"This time, I have put up a yellow piece of tape around my law office so none of them can talk to anyone about this," he said.
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