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4.4. SR 12-20-1999 rei ---\) ( )j ~l}{ Item #4.4. MEMORANDUM TO: Mayor & City Council FROM: Sandra Peine, City Clerk DATE: December 20, 1999 SUBJECT: Premise Permit Renewal Request by American Legion Post 112 The American Legion Post 112 has requested to renew its premise permit to conduct charitable gambling. The permit will run for two years - 3/1/2000 to 2/28/2002. . The city's ordinance requires that 75 percent of the lawful purpose expenditures be spent within the city's trade area. The trade area for Elk River consists of the following cities: Elk River, Ramsey, Otsego, Rogers, and Zimmerman. The attached chart shows that the amount of expenditures spent in the trade area in 1998 and the first half of 1999 were over 75 percent. The city is recommending approval of the premise permit based on the conditions of the city's ordinance being met by the American Legion organiza tion. Action Requested Council motion adopting the attached resolution approving a premise permit for the American Legion to conduct lawful charitable gambling at the American Legion Post 112. s: \ council \amleg.doc . 13065 Orono Parkway · P.O. Box 490. Elk River, MN 55330. TDD & Phone: (612) 441-7420. Fax: (612) 441-7425 . . . EXPENDITURE OF FUNDS - AMERICAN LEGION LEGION - AT LEGION - 1998 TOTAL ELK RIVER ELK RIVER OTHER OTHER MONTH EXPENDITURES MONEY PERCENT MONEY PERCENT JANUARY $2,546 $1,896 75% $650 25% FEBRUARY $9,624 $5,622 58% $4,002 42% MARCH $0 $0 0% $0 0% APRIL $841 $841 100% $0 0% MAY $9,404 $7,404 79% $2,000 21% JUNE $356 $161 45% $195 55% JULY $0 $0 0% $0 0% AUGUST $2,645 $2,437 92% $208 8% SEPTEMBER $4,263 $4,263 100% $0 0% OCTOBER $1,551 $1,551 100% $0 0% NOVEMBER $1,308 $957 73% $350 27% DECEMBER $11,504 $10,168 88% $1,336 12% TOTALS $44,042 $35,300 80% $8,741 20% LEGION - AT LEGION - 1999 TOTAL ELK RIVER ELK RIVER OTHER OTHER MONTH EXPENDITURES MONEY PERCENT MONEY PERCENT JAN UARY $2,877 $2,397 83% $480 17% FEBRUARY $4,135 $2,705 65% $1,430 35% MARCH $9,747 $9,397 96% $350 4% APRIL $3,513 $3,013 86% $500 14% MAY $2,612 $1,734 66% $878 34% JUNE $268 $175 65% $93 35% JULY $3,822 $3,429 90% $393 10% AUGUST $1,779 $1,369 77% $410 23% SEPTEMBER $1 ,425 $1,048 74% $377 26% OCTOBER $795 $500 63% $295 37% NOVEMBER #DIV/O! #DIV/O! DECEMBER #DIV 10! #DIV/O! TOTALS $30,973 $25,767 83% $5,206 17% . 716.06 - LICENSE RESTRICTIONS 1. City may Disapprove Premises per.mit based on the following Requirements: A. The City reserves the right to disapprove a Premises Permit application for individual bingo occasions, raffle games, and pull-tab operations for any of the following reasons: i. Violation by the applicant of any statute, rule, regulation or ordinance relating to gambling. ll. Failure to make reports required by any applicable ordinance, rule, regulation or statute. iii. Any reason which would justify the Minnesota Gambling Control Board in denying an application for a license. 2. No Premises Permit or renewal will be approved unless: A. The organization is conducting the lawful gambling on the premises of a church, a fraternal, veterans, or other nonprofit organization, or on the premises of an on-sale liquor license of the City of Elk River. . B. Unless the following requirements are met: i. The physical site for the organization's headquarters or the registered business office of the organization is located within the City of Elk River or a city contiguous to the City of Elk River. ii. This requirement may be waived for an existing organization which does not comply with this requirement if approved by the City Council at the time of the Premises Permit renewal. 3. Number of Premises Per.mits Allowed: A. Only one (1) premises permit shall be allowed per premises for lawful gambling operations. 'B. Only one (1) premises permit shall be allowed per organization for lawful gambling operations. . . . . 716.08 - EXPENDITURES FOR LAWFUL PURPOSES WITHIN TRADE AREA 1. Trade Area: The term "trade area" shall mean all of that area described below: The City of Elk River, the City of Ramsey, the City of Otsego, the City of Rogers, and the City of Zimmerman. 2. Expenditures for Lawful Purposes: Any organization holding a Premises Permit to conduct lawful gambling within the City of Elk River shall be required to expend seventy-five percent (75%) of its lawful purpose expenditures conducted or located within the City's trade area. A. An organization that conducts gambling on fewer than five (5) days in a calendar year is exempt from the requirements of this Section. 716.10 - REPORTING REQUIREMENTS 1. Every organization licensed to conduct gambling in the City of Elk River shall file with the City Clerk copies of the monthly State gambling report and Schedule C required to be filed with the Minnesota Lawful Gambling Control Board pursuant to Minnesota Statutes, Chapter 349. The records and reports shall be due at the same time they are due to the Gambling Control Board. 2. Every organization licensed to conduct gambling in the City of Elk River shall file with the City Clerk an annual summary report of the expenditures for lawful purposes within the trade area. 3. Organizations conducting gambling activities in other communities as well as Elk River shall segregate the gross receipts, expenses, profits and expenditure of profits from the Elk River Operation. . . . RESOLUTION 99-_ A RESOLUTION OF THE CITY OF ELK RIVER A RESOLUTION APPROVING PREMISE PERMIT RENEWAL FOR THE AMERICAN LEGION POST 112 WHEREAS, the American Legion Post 112 has made application to the State Control Board for a Premise Permit Renewal; and, WHEREAS, the Premise Permit will allow charitable gambling on the premises of the American Legion Post 112 located at 525 Railroad Drive in the City of Elk River; and, WHEREAS, the American Legion Post 112 has met the city's requirement of spending 75 percent of its lawful expenditures within the city's trade area during the past two years. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Elk River, Minnesota that a Premise Permit for the American Legion Post 112 be granted to allow charitable gambling operations on their site located at 525 Railroad Drive, Elk River, Minnesota. Passed and adopted this 20th day of December 1999. Stephanie A. Klinzing, Mayor ATTEST: Sandra A. Peine, City Clerk s: \ document \resoluti \ premperm.doc