By Dale J. Venturini
President and CEO, Rhode Island Hospitality & Tourism Association
At 4:26 a.m. on June 24, after a marathon session within the walls of the State House, the General Assembly wrapped up their 2006 legislative session. Up until the final chaotic minutes of this year’s session, the Rhode Island Hospitality and Tourism Association has exercised its due diligence to monitor legislation that has the potential to impact the hospitality industry. And, true to form, several bills were passed by the General Assembly that, if signed by the Governor, will directly affect the way hospitality companies do business.
One issue that has been examined and debated for several years will be decided upon by voters this November; the issue of course being the proposed Harrah’s casino in West Warwick. A recent survey administered by Brown University pollster Darrell West found that 52 percent of likely voters oppose changing the state’s Constitution to allow a privately-owned company to operate a casino in West Warwick, which shows that the Association’s efforts, along with fellow casino opposition groups, are working to inform voters on what is inherently a bad deal for the state of Rhode Island. While this poll is encouraging, Harrah’s Entertainment has only begun to spend its millions of dollars to sway voters into thinking that altering our Constitution to suit their out-of-state interests would be of benefit to our state.
For years, we’ve seen and heard the advertisements, and we all know the promise of jobs, revenue and tax relief that Harrah’s proposes every year, although there is no guarantee that these promises are nothing more than just that – promises. What’s worse, the current ballot question heading to the November ballot provides no details on the size and scope of the project, the tax rate Harrah’s will pay to the state, and the partnership between Harrah’s and the Narragansett Indians.
In its steadfast effort to contest any casino in Rhode Island, RIHTA retained prominent Providence attorney Joseph Larisa to assist in its casino-opposition testimony, and also lent its support to Save Our State, Inc. (SOS), a non-partisan coalition of venerated Rhode Islanders, professional business groups and corporations created to oppose the November ballot question to give Harrah’s Entertainment the exclusive license to operate a casino in West Warwick.
In addition to the casino issue, the Association has been keeping a close watch on other legislative matters, and also doing its part to testify on the house and senate floors. Early in the legislative session, the Association submitted legislation that would allow patrons to bring home a securely resealed bottle of wine from restaurants. The bill, which has been referred to as both the “Merlot to Go” and the “Wine to Go” bill, passed in June, and at press time was ready to go into effect, pending the Governor’s signature. The passing of this bill was a win-win for the hospitality industry and consumers alike, and will encourage restaurant patrons to order their favorite bottle without the worry of wasting money on wine left behind on a restaurant table. This common-sense law not only offers more choice for restaurant diners, but it can result in higher check averages for restaurateurs and higher tips for servers, all adding up to a stronger bottom line for hospitality businesses.
When drafting the “Wine to Go” legislation, RIHTA paid special attention to create a safe, effective solution that promotes the responsible, enjoyable consumption of wine. The Association is a proponent of responsible alcohol consumption and service, and commends legislators who have worked diligently to prevent drunk-driving and the other negative effects of irresponsible drinking. On July 5 – one day after the Fourth of July, one of the deadliest days for alcohol-related traffic accidents in the country – Governor Carcieri signed legislation that eliminated a major loophole in the state’s drunk-driving laws. Before the new law took effect, the penalty for refusing a Breathalyzer test was significantly less than the penalties for driving under the influence. Now, people who refuse to take breath tests will receive tougher punishments, and those who repeatedly refuse Breathalyzers will be threatened with jail time. The consequences of reckless drinking are felt by everyone, but as an industry that strives to serve alcohol responsibly, the Association will continue to support legislation that endorses the safe consumption of alcohol.
The 2006 legislative session wasn’t without the normal threat of increased wages and taxation. RIHTA was again successful in staving off an attack to increase the state’s hotel tax, which is an already high 6 percent, on top of the 7 percent sales tax and the 1 percent meals tax. Earlier this year, after the Governor vetoed a similar bill in 2005, the General Assembly passed legislation that raised the minimum wage to $7.10 an hour, which took effect on March 1 of this year, to be followed with another $.30 raise to take effect on January 1, 2007. Although the Association is opposed to all minimum wage hikes, the legislature made no qualms about its desire to raise the minimum wage, and had made up its mind long ago to implement the increase. Nonetheless, RIHTA was able to negotiate a lower rate - from $7.25 to $7.10 for the first increase, and from $7.50 to $7.40 for the second increase.
Although the legislature has gone home for the summer, many issues of a critical nature continue to play out in the political arena, from the November casino referenda to acts awaiting the pen of Governor Carcieri. As always, RIHTA will keep its members abreast of these ever-important developments, and looks to its members to join in the fight of protecting the hospitality industry, the state’s second largest.
President and CEO, Rhode Island Hospitality & Tourism Association
At 4:26 a.m. on June 24, after a marathon session within the walls of the State House, the General Assembly wrapped up their 2006 legislative session. Up until the final chaotic minutes of this year’s session, the Rhode Island Hospitality and Tourism Association has exercised its due diligence to monitor legislation that has the potential to impact the hospitality industry. And, true to form, several bills were passed by the General Assembly that, if signed by the Governor, will directly affect the way hospitality companies do business.
One issue that has been examined and debated for several years will be decided upon by voters this November; the issue of course being the proposed Harrah’s casino in West Warwick. A recent survey administered by Brown University pollster Darrell West found that 52 percent of likely voters oppose changing the state’s Constitution to allow a privately-owned company to operate a casino in West Warwick, which shows that the Association’s efforts, along with fellow casino opposition groups, are working to inform voters on what is inherently a bad deal for the state of Rhode Island. While this poll is encouraging, Harrah’s Entertainment has only begun to spend its millions of dollars to sway voters into thinking that altering our Constitution to suit their out-of-state interests would be of benefit to our state.
For years, we’ve seen and heard the advertisements, and we all know the promise of jobs, revenue and tax relief that Harrah’s proposes every year, although there is no guarantee that these promises are nothing more than just that – promises. What’s worse, the current ballot question heading to the November ballot provides no details on the size and scope of the project, the tax rate Harrah’s will pay to the state, and the partnership between Harrah’s and the Narragansett Indians.
In its steadfast effort to contest any casino in Rhode Island, RIHTA retained prominent Providence attorney Joseph Larisa to assist in its casino-opposition testimony, and also lent its support to Save Our State, Inc. (SOS), a non-partisan coalition of venerated Rhode Islanders, professional business groups and corporations created to oppose the November ballot question to give Harrah’s Entertainment the exclusive license to operate a casino in West Warwick.
In addition to the casino issue, the Association has been keeping a close watch on other legislative matters, and also doing its part to testify on the house and senate floors. Early in the legislative session, the Association submitted legislation that would allow patrons to bring home a securely resealed bottle of wine from restaurants. The bill, which has been referred to as both the “Merlot to Go” and the “Wine to Go” bill, passed in June, and at press time was ready to go into effect, pending the Governor’s signature. The passing of this bill was a win-win for the hospitality industry and consumers alike, and will encourage restaurant patrons to order their favorite bottle without the worry of wasting money on wine left behind on a restaurant table. This common-sense law not only offers more choice for restaurant diners, but it can result in higher check averages for restaurateurs and higher tips for servers, all adding up to a stronger bottom line for hospitality businesses.
When drafting the “Wine to Go” legislation, RIHTA paid special attention to create a safe, effective solution that promotes the responsible, enjoyable consumption of wine. The Association is a proponent of responsible alcohol consumption and service, and commends legislators who have worked diligently to prevent drunk-driving and the other negative effects of irresponsible drinking. On July 5 – one day after the Fourth of July, one of the deadliest days for alcohol-related traffic accidents in the country – Governor Carcieri signed legislation that eliminated a major loophole in the state’s drunk-driving laws. Before the new law took effect, the penalty for refusing a Breathalyzer test was significantly less than the penalties for driving under the influence. Now, people who refuse to take breath tests will receive tougher punishments, and those who repeatedly refuse Breathalyzers will be threatened with jail time. The consequences of reckless drinking are felt by everyone, but as an industry that strives to serve alcohol responsibly, the Association will continue to support legislation that endorses the safe consumption of alcohol.
The 2006 legislative session wasn’t without the normal threat of increased wages and taxation. RIHTA was again successful in staving off an attack to increase the state’s hotel tax, which is an already high 6 percent, on top of the 7 percent sales tax and the 1 percent meals tax. Earlier this year, after the Governor vetoed a similar bill in 2005, the General Assembly passed legislation that raised the minimum wage to $7.10 an hour, which took effect on March 1 of this year, to be followed with another $.30 raise to take effect on January 1, 2007. Although the Association is opposed to all minimum wage hikes, the legislature made no qualms about its desire to raise the minimum wage, and had made up its mind long ago to implement the increase. Nonetheless, RIHTA was able to negotiate a lower rate - from $7.25 to $7.10 for the first increase, and from $7.50 to $7.40 for the second increase.
Although the legislature has gone home for the summer, many issues of a critical nature continue to play out in the political arena, from the November casino referenda to acts awaiting the pen of Governor Carcieri. As always, RIHTA will keep its members abreast of these ever-important developments, and looks to its members to join in the fight of protecting the hospitality industry, the state’s second largest.
