September 14, 2008
Impact of smoking ban on bars' lottery revenues not all that dire
Advertiser

CHARLESTON, W.Va. -- A closer look at the August figures for limited video lottery in Kanawha County shows that the impact of the countywide smoking ban has not been as dire as some bar and mini-casino operators would have us think.

The dollar-in (actual amount of money put in the machines) for August was $11,356,688, which was down about 8 percent from the June figure of $12,352,629, but was up nearly $7,000 from July.

That seems to suggest that Kanawha County will follow the pattern of other localities across the country that have enacted smoking bans - after an initial drop-off, business rebounds, and frequently goes on to exceed pre-smoking ban levels as the businesses attract more customers from the non-smoking majority.

While the August dollar-in was down about 5 percent from August 2007 ($11,910,686) that month was something of a sales anomaly.

In fact, August 2008 dollar-in was only 1 percent down from June 2007 ($11,449,389) and also July 2007 ($11,491,420).

(I bet there are a lot of retailers in town who'd be overjoyed if their business were down only 1 percent from last summer.)

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  • Meanwhile, the Lottery Commission has been tracking Kanawha County's weekly LVL revenue going back to May, and its tracking reveals an interesting fact: The downward trend in weekly revenue started not in July, but in early June.

    Weekly revenues peaked the week ending June 7 at $889,659, then dropped sharply the next two weeks, before making a brief upswing the week ending June 21, then generally showing a decline until the final week on the chart, ending Aug. 30, when revenues jumped 12 percent to $687,515.

    And what happened in early June? That's right: Gas went above $4 a gallon.

    Lottery Director John Musgrave said those figures - including the fact the downturn in revenue preceded the smoking ban by nearly a month - makes it impossible to say how much of the drop is attributable to the smoking ban, and how much is the result of a lack of disposal income, given the current state of the economy.

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  • Also, the August figures brought good news for Jean Angle, operator of the Pour House Sports Bar and one of the most vocal opponents of the smoking ban.

    Her August LVL revenue was $11,894, up $6,228 from July - and also better than the bar's revenues for June 2008 ($11,091) and for August 2007 ($9,015).

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  • If there was any question the Obama/Biden campaign is writing off West Virginia as a battleground state, the announcement Friday of the keynoter for Saturday's Jefferson-Jackson Day dinner should put it to rest.

    Going into the week, state Democratic Party chairman Nick Casey was still optimistic that either Barack Obama or Joe Biden would visit Charleston after a scheduled joint appearance in nearby Ohio that afternoon.

    Plan B, according to Gov. Joe Manchin, was to try for either Michelle Obama or Sen. Hillary Clinton.

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    Posted By: Anonymous (4:32pm 09-21-2008)
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    Why does the Government get involved in everything? Government is way to big.
    Cigarettes are legal and sold everywhere. But the Government says you cannot smoke them anywhere. Government and State both tax cigarettes. Still it is not enough to pay off the national debt.
    Government and State both tax legal alcohol. Still it is not enough to pay off the national debt and we all know alcohol leads to violence.
    Pot on the other hand is illigal and takes government funding to try to stop people from selling and smoking it. Pot leads to calming a person down. Of course since it is illigal they get no Government and State taxes to help pay off the National debt. Get Pot legalized and stop the drug trafficing from other countries and pay off the National debt in just a couple of years.

    Posted By: Earned_My_Degree (9:14am 09-14-2008)
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    So, based on this excellent financial analysis, can the bar owners include Mr. Kabler in their suit when their businesses fail?

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