STOREY COUNTY, Nev.—Even as Nevada’s legal brothels remain locked down due to health restrictions in the coronavirus pandemic, one well-known brothel—the Mustang Ranch, about 15 miles east of Reno—has qualified to receive federal cash as part of a COVID-19 economic relief program, according to a report by The Associated Press.
Nevada’s legal brothel industry, which consists of about 20 establishments, has struggled during the pandemic. But with the state still enduring an alarmingly high 11.1 percent coronavirus test positivity rate, and 390 new COVID-19 cases per day—or almost 13 new cases fro every 100,000 residents—Nevada still has not entered its third phase of economic reopening. That means the brothels remain closed.
Sex-industry businesses have been shut out from receiving federal aid, as AVN.com has reported, but now thanks to a program administered by Nevada’s Storey County, one of the most widely-known brothels in the state will receive at least some cash relief. But the brothel’s owner says it won’t nearly be enough.
The Mustang Ranch is the only state-licensed brothel in Storey County, and is owned by Lance Gilman—who sits on the board of county commissioners. According to the AP report, the brothel could receive up to $3,000 in grant money. The cash comes out of a $150 billion fund that was allocated to local governments by the federal government.
But according to the report, Gilman says that his establishment has already lost $11 million in combined income and expenses, as a result of shutting down in March.
“If there’s help, it’s going to be a drop in the bucket," Gilman said, as quoted by the AP. "We’re going to put it toward surviving. We’re in the same plight as anybody else. We have to be a standing business when, finally, the administration decides they can open the state.”
Storey County’s share of the $150 billion in federal cash came to about $200,000. Despite the federal regulations shutting out adult industry businesses, individual counties may determine which businesses qualify for the funds. Storey is the only Nevada County that decided to make brothels—or in this case, its only brothel—eligible for the payments.
While Mustang Ranch, as a sexually-oriented business, was unable to qualify for a federal Paycheck Protection Loan, a restaurant attached to the brothel—the Wild Horse Saloon—did get approval for a PPP loan that was reportedly as high as $350,000.
PPP loans were designed to cover employee payrolls for about 10 weeks, thus avoiding layoffs at least in theory. The county grants, however, can be used for other expenditures such as product inventory and personal protective equipment.
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