Navigating Nevada politics is tricky. The eddies, shoals and tides that can wreck a boat are hidden by waters murky with connections and favors that transcend party lines. And the outstanding captain is Billy Walters. 

A golf course operator, land deal wizard and legendary gambler, Walters has consistently maneuvered one step ahead of competing interests by being nimble and small. 

Being big can actually be a drawback when it comes to getting what you want in this state. For example, during this year's legislative session, legislators were working with a record $606-million surplus thanks to an economy that lead the nation in job growth. Big industries like banking were hoping to roll back taxes enacted during the previous sitting. Walters was hoping for something else.


Walters is the owner of Walters Group, which owns and operates six golf courses in the Las Vegas Valley. More than that, however, Walters is one of the masters of the political game. A millionaire, he pours an undisclosed amount of money and in-kind contributions into political campaigns and puts his private golf clubs, clubhouses and grounds at the disposal of politicos. From Sen. Harry Reid to Las Vegas Mayor Oscar Goodman, many of the state and area's top decision makers have been honored at his Cili restaurant at the luxurious Bali Hai Golf Club on the Strip.

David Damore, doctor of political science at UNLV, argues that Walters' attention to detail on the personal side boosts his arguments, even if one-sided, to garner support for his proposals on the public side. Knowing how politicians like their delivery makes the actual article more palatable.

"He's probably throwing a lot of money around and that goes a long way. He knows how to play the game," Damore said. "You have to be familiar. You remember their wife's birthday; you order their favorite appetizer. Billy Walters is useful (for study) to learn how to make friends."

Former Gov. Bob Miller co-chairs the Nevada Tourism Alliance of gaming companies and suppliers, vendors and service providers. He said tactics used by Walters and others are invaluable in a state like Nevada. Because access to legislators, governors and commissioners is generally available to anyone, successful relationships are based on being remembered.

"Nevada is unique from other states because of its size," Miller said. "It's much more personal. We're just small enough that all have access to legislators. But because we're a small state, there's only a certain amount of legislators who need to be reached."

Bill Uffelman, president and CEO of the Nevada Bank Association, agrees, noting that the small size of the state is reflected in the fact that it meets biennially instead of being a full-time, overblown organization.

"There is a 120-day session every other year," Uffelman said. "You have to move quickly. You don't have the luxury of thinking about it. You have to be ready to move to Carson City when it is in session. Lobbyists don't get to vote. But some get more access and get more votes. Is it the character of Nevada? Well, there are characters."

The 45-member Nevada Bankers Association learned that lesson the hard way. After being figuratively bypassed in the 2003 session, the 45-member group took a new direction and brought in Uffelman. Taking the helm in January 2004, Uffelman opened up the spigot, knowing that banks, more than anyone, are expected to have cash. The bankers association contributed $80,000 to state office seekers for the 2004 election, more than three times what the group did in 2002.


At the 2003 legislative session, the Legislature enacted a payroll tax of 2 percent on banks and financial institutions to help cover an expected $833-million shortfall in budget. In addition, banks were tweaked further with a $7,000-annual fee for every branch they opened after their first one. The tax added $3 million to state coffers.

"We've had our ups and downs. Although I wasn't here, the banks got clobbered in '03," said Uffelman. "[The law] penalized banks for opening a branch. The amount of tax as a percentage of net income is quite small. It is the only industry that, before opening its doors, is committed to paying $7,000 in tax. We're the only non-privileged business to have such taxes."

With the state awash in cash this year and a reorganized and revitalized Nevada Bank Association led by Uffelman lobbying on the behalf of the industry, the revised law exempts one new branch per county from the tax in order to promote development of financial institutions in rural areas. The new rule becomes effective Oct. 1. 

Because most banks seek to expand in the highly lucrative Las Vegas area, the amended law is projected to reduce the state's income by a mere $500,000. The strength of the new bank lobbying effort under Uffelman was evident in this year's Legislature. The Nevada Bankers Association was able to reduce the burden of the branch tax passed in 2003, under which banks paid $7,000.

Near the end of the same session, an amendment was tacked to Assembly Bill 394 that dropped property valuations on Southern Nevada golf courses from as high as $25,000 per acre to $2,860 per acre, a whopping 89 percent reduction on the top end. In addition, the amendment contained language that designated golf courses as conservation of open spaces.

The amendment was a classic special interest move. It tacked on to a little known bill cleaning up laws on county-level assessment. It was introduced late in the game with little warning, less time for research and no public inspection. The Legislature was nearing its end and clearing its docket almost wholesale when it was approved on June 5, a Sunday night.

Walters' clever moves aren't new, but they are moves others are picking up on.

"After 2003, we took a different approach," Uffelman said. "We needed to right all those things that happened in 2002 to 2003. I'm a different person than my predecessor. I spent the entire session in Carson City and met with legislators every day. I talked to everyone and anybody. That isn't what my predecessor ever did. 

"We saw a revitalization of the Bankers Association. We are pitching. It is a relationship issue on both sides of the aisle, but money counts. Money is mother's milk in politics. No votes are for sale but if you use money, it's easier to get their ear. Banks caught up to that (this session)."

But the amendment to AB 394 was the type of move that triggers alarms for Pat Mulroy, general manager for the Southern Nevada Water District, which has an office that scrutinizes bills for their impact on water resources and provides legislators with detailed briefings on water issues.

"The closing session is when legislators are trying to get out and can't monitor every situation directly," she said. "There's the danger that one person will misrepresent what the proposals are. If no one is there to say this will have a negative impact, it will pass through likety-split." 


One of the problems with folks like Uffelman is that although they are experienced, they usually bring insight obtained from outside of Nevada. Although a corporate lobbyist since 1980, Uffelman worked in Indiana, Massachusetts and Oregon at the state level, followed by a five-year stint working with the feds as general counsel and government affairs officer for the Society of Nuclear Medicine.

According to Damore, such people don't have the established track record of working with legislators and thereby don't have their trust, at least not in the beginning.

"Walters is very appealing as one of those (guys) who has been around for a long time and helped these folks for a long time," Damore added. "You have to know who is interested in you, or at least on the same page."

One of the major reasons for Walters' success is his ability to paint the picture of his personal agenda directly on the larger canvas of the local economy, according to the UNLV professor. Although no figures are available for Walters' six courses, the 64 public and private golf courses provided 4,481 jobs and had an economic impact of $891 million in 2003.

For a politician to vote against Walters' plans is to go on record against development and new jobs, while to vote against banking concerns is to vote against big New York and other corporations sucking Nevada money out of the state.

"Ultimately, a legislator wonders what he is going to get caught doing. Banks are national but golf is local. Banks are not everyone's favorite people. A politician can stand up to them and not lose favor (with constituents). With golf, it's a whole lot easier to spin it as helping tourism and providing jobs."

The number of players in the banking industry also encumbers its ability to act in unison. For instance, Bank of America and Wells Fargo are not as hurt by the $7,000 annual fee as smaller local banks. Meanwhile bigger national banks worry about global movement that has little to do with Nevada, thus finding a common position becomes most of the work for any lobbying effort.

"Small banks are afraid of big banks," Damore said. "They both worry about credit unions. Bankers are not lobbying as well as they could be. They do well nationally. But the fact is they're still more profitable here. They get hit with less fees than some other jurisdictions. I don't think anyone thinks that Bank of America will go out of business because they're paying $7,000 a branch."

Although Walters is a small fish compared to the big banks, that very fact allows for agility, focus and the ability to work surreptitiously. Moreover, Walters is one of the few local golf operators, making it easier to find a compromise position acceptable to all when that is required.

In addition, the very size of banks and the nature of their work puts them in the spotlight. With so many companies, politicians avoid involving themselves in any imbroglio that could get easily leaked with the amount of players.

"Billy Walters is a sort of one-man operation," Damore noted. "It's a whole lot easier when you're the only one. He has a reputation. He keeps quiet and accepts the way (things work)."

It also doesn't hurt Walters that he is well-known for his philanthropy. He has given millions to the Opportunity Village Foundation and United Way of Southern Nevada. He's also a supporter of Shade Tree, Variety Day Home and YMCA of Southern Nevada, among other organizations. 


Although the roll call of powerful Nevada figures who have been feted by Walters points to his dexterity, it is his selection of teammates that shows his skill at the game. Lobbying pro Bob Ostrovsky has regularly worked for Walters in Carson City. Walters' political consultants have been the best in the field, such as Dan Hart. His legal representatives include luminaries such as former U.S. Sen. Richard Bryan and partners from Lionel, Sawyer & Collins.

"Billy Walters is very bright, wealthy and he has surrounded himself with well-heeled and well-connected lawyers and consultants with the capabilities to keep him on the inside track," said Lisa Mayo-DeRiso, president of Mayo & Associates, a business development, market research and strategic planning firm.

Mayo-DeRiso tangled with Walters when he proposed development of 70 acres of federally owned land managed by McCarran Airport located at Warm Springs and Durango roads into commercial space in 2002. She fought the deal because the land was slated for park space on the community master plan. However, the land was never zoned as such and Clark County commissioners approved the zoning to Walters favor.

The community activist does not believe public officials overtly favor Walters at all times, but his insider status allows him to prepare his arguments so they are airtight once they hit the public arena.

"If a person knows about a deal before they have shopped around, that's a great advantage," she noted. "He has an ability to learn about them before anyone else."

The chance to go against the giant is at hand. Walters is in the midst of another controversy concerning his Royal Links Golf Club off Nellis Boulevard along Vegas Valley Drive. Walters paid $894,000 to the city to purchase the 160 acres with a restriction that it can only be used as a golf course. Walters wants the limitation lifted to build housing and is offering to pay $7.2 million, which he figures would have been the value of the land if there was no restraint.

Although Walters has owned the land since 1998, Mayo-DeRiso ridiculously believes Walters should pay the government the value of the land today.

Mayo-DeRiso expects Walters to use the same tactics as all his other ventures. Among his most potent weapons, she points out, is the ability to work both the system and individuals and disarm them with his charm.

"Billy Walters is a pretty intimidating guy," she said. "But he's always a complete gentleman. He'll say to me, 'We can agree to disagree.' He's not an easy person to be up against." LW