Vegas bets tax slash draws Tar Heel racers.

• Author: Murray, Arthur O.
• Position: Tar Heel Tattler

Maybe North Carolina should legalize casinos. It only seems fair, the way Las Vegas is targeting some Tar Heel institutions.

First in Sin City's sights was High Point's furniture market, with two developers winning $40 million in city and state tax breaks to build a $150 million showroom complex. Construction started in January. It could compete for exhibitors with the twice-yearly International Home Furnishings Market, which generates an estimated $312 million annually in North Carolina.

Now Las Vegas wants to diversify its gaming-based economy with racing. The Charlotte region has long considered itself the hub of stock-car racing. Mooresville, home to about 70 NASCAR teams, calls itself Race City USA ("Economic Engine," March 2001). In January, Nevada slashed its sales tax from 7.5% to 2.5% on items bought by racing-related organizations that move there.

Somer Hollingsworth, CEO of the Nevada Development Authority, says the state decided to pursue life in the fast lane after Las Vegas Motor Speedway opened in 1996. "They pay great, and there's a lot of technical work involved. A lot of things in those race cars end up in your cars. That's cutting-edge, and we'd like to be involved."

A NASCAR team that spends $10 million a year -- most...