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5.1. SR 09-27-1993 rll ~\) ( )j !II< ITEM 5.1. TO: MAYOR AND CITY COUNCIL FROM: SANDRA THACKERAY, CITY CLERK~ SEPTEMBER 23, 1993 '// DATE: SUBJECT: PREMISES PERMIT RENEWAL FOR CHARITABLE GAMBLING AT BROADWAY BAR AND PIZZA BY CONFIDENCE LEARNING CENTER Confidence Learning Center has requested renewal of its Premises Permit. Renewal of the Permit will allow Confidence Learning Center to continue operating charitable gambling (pull-tabs) at Broadway Bar and Pizza. The Premises Permit will be in effect for two years. Attached is a summary of the percentage of expenditures spent in the Elk River trade area by Confidence Learning Center since 1991. The City Ordinance requires charitable gambling organizations to spend at least 75% of the yearly net profits in the Elk River trade area. The Elk River trade area includes the communities of Elk River, Rogers, Zimmerman, Otsego and Ramsey. e When Confidence Learning Center first started operating pull-tabs at Broadway Bar, there were some problems with the organization not meeting the 75% trade area requirement. Staff has worked closely with Confidence Learning Center staff and with Mr. Hennig during the past two years. Confidence Learning Center's method of contribution differs from the other gambling organizations, in that they contribute large amounts of money at the end of the year to meet the 75% requirement. The intent of the 75% trade area is to keep the money in the community, and I feel that Confidence Learning Center is meeting this objective. Although the 75% contribution was a little short in 1992, the average amount contributed in the trade area for 1991, 1992, and 1993 was 78%. RECOMMENDATION: Because Confidence Learning Center has met the requirement of spending 75% of the net charitable gambling profits from Broadway Bar and Pizza, Staff recommends that the attached resolution be adopted approving the Premises Permit. e P.O. Box 490 · 13065 Orono Parkway · Elk River, MN 55330 · (612) 441-7420 · Fax: (612) 441-7425 CONFIDENCE LEARNING CENTER CHARITABLE GAMBLING REPORT 1991 e NET INCOME TRADE AREA PERCENT SPENT MONTH BROADWAY EXPENDITURES IN TRADE AREA CONFIDENCE LEARNING CENTER - AT BROADWAY BAR February $ 1,987.04 -0- March 3,277,23 -0- Apr il 3,329.64 -0- May 4,941. 70 -0- June 3,325.75 7,289.00 July 8,449.05 900.00 August 2,945.13 900.00 September 1,313.35 900.00 October 424.13 2,000.00 November 539.87 12,900.00 December 119.65 -0- Total $ 30,625.56 $24,889.00 81% 1992 NET INCOME TRADE AREA PERCENT SPENT MONTH BROADWAY EXPENDITURE IN TRADE AREA e CONFIDENCE LEARNING CENTER - AT BROADWAY BAR January $ (405.00) $ 900.00 February (387.00) -0- March 1,163.00 -0- Apr il 2,727.00 -0- May 1,121. 00 -0- June 708.00 -0- July 2,980.00 -0- August 1,835.00 -0- september 1,014.00 -0- October 582.00 -0- November 1,835.00 -0- December 2,126.00 9,000.00 Total $15,299.69 $9,900.00 65% e e e e Charitable Gambling Report Cont. 1993 MONTH NET INCOME BROADWAY TRADE AREA EXPENDITURES PERCENT SPENT IN TRADE AREA CONFIDENCE LEARNING CENTER - AT BROADWAY BAR January February March April May June July August September October November December $ 3,618.00 $ -0- $ 1,822.00 1,500.00 1,221. 00 -0- 2,898.00 1,000.00 644.00 -0- 1,402.66 -0- 782.00 8,500.00 Total $12,387.00 $11,000.00 Page 2 89% . . e RESOLUTION RESOLUTION FOR THE CITY OF ELK RIVER A RESOLUTION APPROVING A TWO YEAR PREMISE PERMIT APPLICATION FOR CONFIDENCE LEARNING CENTER AT BROADWAY BAR AND PIZZA WHEREAS, Confidence Learning Center has made application for a renewal of an existing Premises Permit; and, WHEREAS, said Premises Permit will allow the activity of charitable gambling to take place at Broadway Bar and Pizza; 16754 Highway 10 and, WHEREAS, Confidence Learning Center has met the City's requirement of spending 75% of the net charitable gambling profits within the City's Trade Area. NOW, THEREFORE, BE IT RESOLVED, that the City Council of the City of Elk River authorizes the renewal of the Premises Permit to Confidence Learning Center, allowing charitable gambling to take place at Broadway Bar and Pizza. Passed and adopted by the City Council of the City of ELk River this 27th day of September, 1993. John Dietz, Vice Mayor ATTEST: Sandra A. Thackeray, City Clerk