Anti-smoking law clouds economics: Economic Forum can’t say whether restrictions good or bad for Nevada
Experts who predict Nevada’s economic future have mixed views about the potential impact on state tax revenue as a result of new, voter-approved prohibitions on smoking in restaurants and other places.
The state Economic Forum, a group of five people who predict the state’s tax collections, must assess how the smoking restrictions approved by statewide voters Nov. 7 might affect sales and taxes.
During the 2007 Legislature, lawmakers will depend on the forum’s predictions in determining the final amount of a two-year state general fund spending plan that should approach $7 billion.
“I don’t see how it cannot have a negative impact,” forum member Michael Small said in discussing the Nevada Clean Indoor Air Act, Question 5 on the Nov. 7 ballot.
The act bans smoking in restaurants and bars that serve food. Smoking remains legal in stand-alone bars and casinos.
Bill Anderson, who developed future tax predictions on behalf of the state Budget Division, said he doesn’t expect any major impact on tax revenues because “folks will find other places to smoke.”
