Douglas County commissioners turned down a request from the owner of Hamdog's Restaurant to allow unrestricted gaming in an effort to lure back customers who left when the state's smoking ban went into effect.
Despite support from the planning commission and Gardnerville Town Board, county commissioners Thursday rejected owner Greg Sayabalian's request for a special use permit and two zoning map amendments.
The board said the request was incompatible with the other uses in the Meadowdale Shopping Center and inconsistent with the purpose of the requested zone change.
Sayabalian planned to convert 6,630 square feet of general commercial space into a tourist commercial zone with a gaming district overlay.
He wanted to change a 2,190-square-foot suite - formerly a movie theater and church - into a separate bar and gaming area for smoking customers.
Sayabalian said his business had dropped 30 percent since the 2006 Nevada Clean Indoor Air Act banned smoking in food areas.
"We did not close up or run away," Sayabalian said. "We're trying to expand to accommodate smokers and give our past smoking customers a reason to come back in."
He said there were six empty units in the Meadowdale center south of Gardnerville and a seventh was ready to close.
Sayabalian currently has 15 slot machines and requested 50 which he planned to divide between three units to separate smokers from diners.
He assured commissioners that operating a casino "is the farthest thing from my mind."
Commissioners said they sympathized with Sayabalian, but were concerned about businesses that might follow in the center and take advantage of an unrestricted gaming license.
"I kind of feel like you're being very creative in addressing a real issue, but using a mallet instead of a framing hammer," said Commissioner Dave Brady.
"Unrestricted gaming is serious, tourist commercial with gaming overlay is serious business," said Commissioner Doug Johnson. "You said you don't want to be a casino. Your honesty is your demise."
Johnson said tourist commercial indicates tourists come to the site.
"I don't think this fits the area," Johnson said. "Unfortunately, it puts us on the spot. Trying to save you could have dire consequences for us in the future."
Sayabalian said he was trying to protect his business and 17 employees. He told commissioners he hadn't paid himself for six months.
Approving the request, Sayabalian said, would add four employees to the payroll.
"I want to be helpful, but I have to concur this really is a stretch," said Commissioner Nancy McDermid.