LAS VEGAS (KTNV) — Nevada U.S. Sen. Catherine Cortez Masto Monday, blamed President Donald Trump's policies on tariffs and tourism visas for the decline in Las Vegas visitation.
Speaking at a news conference at the headquarters of Las Vegas's largest union, the Culinary Local 226, Cortez Masto said she would keep fighting to reverse Trump policies, even though Republicans control the House and Senate.
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But a representative of the Trump administration countered that the economy is growing faster than it did under former President Joe Biden, and predicted that things would be better in 2026.
Said Cortez Masto: "Right now, what we're seeing is the hospitality industry, tourism, and travel nationally is struggling because this administration has implemented erratic blanket tariffs. They've gutted our tourism promotion programs, and they have increased the cost of visas for the exact visitors we're hoping to welcome here to the United States."
Cortez Masto said the number of visitors from Canada, in particular, had fallen by 18%. "That's thousands of your visitors who are not attending shows on the Strip, not dining at our restaurants and not gaming in our casinos," she said. "Our local tax revenue is shrinking."
She added: "The chaos this administration is making life harder for our members and for our families. The uncertainty is ripping people apart, including our businesses. We have to stand up to make it clear to this administration, what they are doing is harming the backbone of our communities, which are hard-working families."
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But the Trump administration pushed back on the charges, saying the president's policies — including the One Big Beautiful Bill — are improving an economy they say lagged under Biden, according to Joseph Lavorgna, counselor to Treasury Secretary Scott Bessent.
"Unfortunately, the people in your state and in Las Vegas who were in the Culinary [Union] and the entertainment industries are suffering in part because the labor market had been rapidly deteriorating under President Biden, and President Trump has now inherited an economy that was nowhere near as good as people thought," Lavorgna said.
Lavorgna said blue-collar wages are up 1.2%, and that wages in general are outpacing inflation and rising prices. He cited the no tax on tips policy as a particular help to working people in Nevada.
"This No Tax on Tips will help Culinary workers, bartenders, waitresses, nurse practitioners, I mean, essentially the people [who] are the backbone of the labor market that aren't part of the professional managerial class," he said. "They're going to benefit from this and at the same time, the life's necessities, things that they need, groceries, heating their home or cooling their home, putting gasoline in their automobile, those costs have come down dramatically since President Trump has been in office compared to the prior administration."
Culinary Union members have complained about a "marriage penalty" in the no tax on tips program; people who claim the credit must file jointly if they are married, and the benefit is limited to $25,000 per year, even if both people earn tips in their jobs.
Lavorgna said the benefit was targeted at blue-collar workers and hinted it may change in the future. "So this was a great program, a great start," he said. "And you know, well, could it possibly change over time? I don't know, but don't let super good or really, really good be the enemy of perfect."
Cortez Masto said she would keep fighting Trump policies, both in the Senate, in the courts and in public fora.
"We have to shine a light on what's happening," she said. "I think Donald Trump would like nothing more than to do what he's doing, restricting our freedoms, taking away law and order, political retribution, destroying our economy, he would like to do that in the dark. ... I think it's important that part of our role in Congress is shine a light on it. Have hearings, have oversight hearings, talk about what they're doing, make them come to the table and share it with the American public."
As far as Lavorgna is concerned, the administration is only too happy to do just that, especially going into next year, when he says economic gains will become more apparent as tax breaks for capital projects spur more jobs, more hiring and more disposable income.
"I've got to believe that 2026 would be a great year for the U.S. economy, a great year for Vegas, a great year for tourism, people going out, spending money, enjoying themselves, living their best life," he said. "I mean, it's all there. The president is moving us in that direction. I'm an optimist, and I think it's going to happen."
Meanwhile, people such as Las Vegas local Aaron Mahan, a 15-year Culinary member who was just laid off from his job as a food server, say they just want a solution.
"Fix it. Fix it," he said. "I mean, tourism is down. Why? Prices are up. Why? They should have the answers. Fix it."
