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Knowing Nevada: Taking a Chance on Legalized Gambling
by Miles Buergin
Wed, September 23, 2020 at 4:58 PMUpdated Wed, September 23, 2020 at 7:04 PM
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Bank Club RenoComment on this story0CommentShare storyShare- Abraham Lincoln
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- Las Vegas,Nevada,United States
- Miles Buergin
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- Phil Tobin
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Nevada is (clearly) a tourist destination. We're home to Lake Tahoe, Great Basin National park, our strong historical heritages in mining, and the 'entertainment capital of the world'.
Paired with the aforementioned 'entertainment mecca' is something Nevada took a chance on to stimulate our economy in the 20th century.
It's a little thing called...gambling.
Divorcees surround the roulette table at the Bank Club during the 1930's, before legalized gambling. Courtesy: Nevada Historical Society
A Time Before Legalized Gambling
Throughout our nation's beginning, simple games of cards, dice, and chance were played among general populations for 'friendly wagers'. It's still common today in our own homes and social circles. The Nevada territory's mining boom brought prospectors out to find their own form of a lottery by living on the Comstock Lode in Virginia City.
Miners would get together at saloons to gamble away their days wages. However, lawmen would reprimand anyone partaking in gambling since Governor James Nye, of the territory, held strong grievances against gambling. It wasn't illegal by any means but it gambling had some enforcement.
The legislature would bounce back-and-forth on legalizing controlled gaming for roughly four years before Nevada was ratified as a state by Abraham Lincoln. There were penalties set, but in 1869 the state's first legislature decriminalized certain forms of gaming.
A timeless photo of the inside of the Bank Club in Reno, NV. Exact date unknown. Courtesy: Nevada Historical Society
Gambling into the 20th Century
Gaming laws weren't tampered with by the legislature until 1909 when gambling became illegal in Nevada. This was during the 'Progressive Movement' that came with election of President Theodore Roosevelt in the 1901.
This put a limit on cards games, dice, and roulette. Some slot machines and games that would reward the player with a pack of cigarettes or drinks were excluded from the legislation. Again, not much regulation that benefited the state or business owners.
In the 1920's, Reno was known as an underground gambling capital. It was home to the Bank Club, one of Reno's first casinos that had both card rooms and was a functioning club offering gambling in their basement.
People were either heading to Reno to get divorced or to gamble. Both gaming and divorce were huge cash-cows for the 'Biggest Little City'. The state legislature eventually caught notice. However, the Great Depression of the 1920's hit Nevada - and the economy suffered. Mining slowly began to fade and jobs were lost.
Nevada lawmakers came to grips on the notion of legalizing gambling. Lobbyists would convince political pundits this as a way to stimulate our state's economy. Assemblyman Phil Tobin took a chance on a piece of legislation that allowed gambling to become legal.
On March 19, 1931, Assembly Bill 98 was written into law.
Casinos and clubs opened up across the state in most towns. It even existed within the Nevada State Prison system for a number of years. Eventually, the legalization of gambling is what fueled Las Vegas to the city we know it as today. To reiterate, it's still 'entertainment capital of the world' even without gambling.
Gambling can be found in our airports, gas stations, supermarkets, and even your local bar. The simple act of taking a chance or betting against the odds is something Nevada is known for on a global scale.
It's all thanks to elected officials that decided to take their own chance on a piece of legislation that helped us hit the jackpot out of an economic depression.
Knowing Nevada is a historical heritage series that highlights some of the interesting, unknown, and known, tales about the state of Nevada. This series is researched and put together by our own native Nevadan, Miles Buergin. If you have any suggestions for our next Knowing Nevada, please e-mail him at: [email protected]
For more Knowing Nevada stories, click here.
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