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City Council Ordinance 543ORDINANCE NO. 543 CITY OF MONTICELLO WRIGHT COUNTY, MINNESOTA AN ORDINANCE REGULATING LAWFUL GAMBLING THE CITY COUNCIL OF THE CITY OFMONTICELLO, MINNESOTA HEREBY ORDAINS: SECTION 1. Title 3, Chapter 12 of the City Code of the City of Monticello is amended by deleting all of the current Chapter 12 and adding the following revised sections. 342 -1: Adoption of State Law by Reference 3 -12 -2: City may be More Restrictive than State Law 3 -12 -3: Purpose 3 -12 -4: Definitions 3 -12 -5: Applicability 3 -12 -6: Gambling Prohibited 3 -12 -7: Lawful Gambling Permitted 3 -12 -8: Council Approval 3 -12 -9: Application and Local Approval of Premises Permits 3- 12 -10: Local Permits 342 -11: Revocation and Suspension of Local Permit 3- 12 -12: License and Permit Display 3- 12 -13: Notification of Material Changes to Application 3- 12 -14: Designated Trade Area 3- 12 -15: Records and Reporting 3- 12 -16: Hours of Operation 3- 12 -17: Penalty 3- 12 -18: Severability 3 -12 -1: ADOPTION OF STATE LAW BY REFERENCE The provisions of Minn. Stat. Chapter 349, as they may be amended from time to time, with reference to the definition of terms, conditions of operation, provisions relating to sales, and all other matters pertaining to lawful gambling are hereby adopted by reference and are made a part of this ordinance as if set out in full. It is the intention of the Council that all future amendments of Minn. Stat. Chapter 349 are hereby adopted by reference or referenced as if they had been in existence at the time this ordinance was adopted. 3 -12 -2: CITY MAY BE MORE RESTRICTIVE THAN STATE LAW The Council is authorized by the provisions of Minn. Stat. § 349.213, as it may be amended from time to time, to impose, and has imposed in this ordinance, XW11 EWc.I D.cI)W7993 additional restrictions on gambling within its limits beyond those contained in Minn. Stat. Chapter 349, as it may be amended from time to time. 3 -12 -3: PURPOSE The purpose of this ordinance is to regulate lawful gambling within the City of Monticello, to prevent its commercialization, to insure the integrity of operations, and to provide for the use of net profits only for lawful purposes. 3 -12 -4: DEFINITIONS In addition to the definitions contained in Minn. Stat. § 349.12, as it may be amended from time to time, the following terms are defined for purposes of this ordinance: 1. BOARD, as used in this ordinance, means the State of Minnesota Gambling Control Board. 2. CITY, as used in this ordinance, means the City of Monticello. 3. COUNCIL, as used in this ordinance, means the City Council of the City of Monticello. 4. LICENSED ORGANIZATION, as used in this ordinance, means an organization licensed by the Board. 5. LOCAL PERMIT, as used in this ordinance, means a permit issued by the City. 6. TRADE AREA, as used in this ordinance, means the corporate limits of the City and the boundaries of all townships contiguous to the City. 3 -12 -5: APPLICABILITY This ordinance shall be construed to regulate all forms of lawful gambling within the city except: A. Bingo conducted within a nursing home or a senior citizen housing project or by a senior citizen organization if the prizes for a single bingo game do not exceed $10, total prizes awarded at a single bingo occasion do not exceed $200, no more than two bingo occasions are held by the organization or at the facility each week, only members of the organization or residents of the nursing home or housing project are allowed to play in a bingo game, no compensation is paid for any persons who conduct the bingo, and a manager is appointed to supervise the bingo. ORDINANCE NO. 543 B. Excluded and exempt gambling permits issued on a temporary basis to qualified non - profit organizations and in accordance with State laws and rules. Temporary permit applications requiring City signature shall be presented to City Council for approval within 30 days of receipt of application and prior to returning a signed permit application to the requesting organization. 3 -12 -6: GAMBLING PROHIBITED No person or organization shall conduct gambling within the City of Monticello unless licensed by the State or City or specifically exempted by state law or this ordinance from the license requirement. 3 -12 -7: LAWFUL GAMBLING PERMITTED Lawful gambling is permitted within the city provided it is conducted in accordance with Minn. Stat. §§ 609.75 -.763, inclusive, as they may be amended from time to time; Minn. Stat. §§ 349.11 -.23, inclusive, as they may be amended from time to time; and this ordinance. 3 -12 -8: COUNCIL APPROVAL Lawful gambling authorized by Minn. Stat. §§ 349.11 -.23, inclusive, as they may be amended from time to time, shall not be conducted unless approved by the Council, subject to the provisions of this ordinance and state law. 3 -12 -9: APPLICATION AND LOCAL APPROVAL OF PREMISES PERMITS Subd. 1. Any organization seeking to obtain a premises permit from the Board shall file with the city clerk an executed, complete duplicate application, together with all exhibits and documents accompanying the application as will be filed with the Board. Subd. 2. Upon receipt of an application for issuance of a premises permit, the city clerk shall have the Gambling Manager complete a background check form and submit to the City's designated person for processing. Subd. 3. The designated person shall perform the background check and submit response to the City Clerk as soon as possible following receipt of the notification to the city. Subd. 4. Organizations applying for a state issued premises permit shall pay the city a $100 investigation fee. This fee shall be refunded if the application is withdrawn before the investigation is commenced. Subd. 5. The applicant shall be notified of the date on which the Council will consider the recommendation. ORDINANCE NO. 543 Subd. 6. The Council shall, by resolution, approve or disapprove the application within 60 days of receipt of the application. Subd. 7. The Council may deny an application for issuance of a premises permit for any of the following reasons: (i) Violation by the gambling organization of any state statute, state rule, or city ordinance relating to gambling within the last three (3) years. (ii) Violation by the on -sale establishment or organization leasing its premises for gambling of any state statute, state rule, or city ordinance relating to the operation of the establishment, including, but not limited to, laws relating to alcoholic beverages, gambling, controlled substances, suppression of vice and protection of public safety within the last three (3) years. (iii) Lawful gambling would be conducted at premises other than those for which an on -sale liquor license has been issued. (iv) Operation of gambling at the site would be detrimental to health, safety, and welfare of the community. 3- 12 -10: LOCAL PERMITS Subd. 1. No organization shall conduct lawful gambling excluded or exempted from state licensure requirements by Minn. Stat. § 349.166, as it may be amended from time to time, without a valid local permit. This section shall not apply to lawful gambling exempted from local regulation by Section 5 of this ordinance. Subd. 2. Applications for issuance of a local permit shall be on a form prescribed by the city. Subd. 3. The fee for a local permit shall be $25 or as otherwise set by the City Council in its annual fee ordinance. The fee shall be submitted with the application for a local permit. This fee shall be refunded if the application is withdrawn before the investigation is commenced. Subd. 4. Upon receipt of an application for issuance of a local permit, the city cleric shall review the application and may direct the conduct of a background investigation. Subd. 5. The Council may deny an application for issuance of a local permit for any of the following reasons specified in 3 -12 -9, Subd. 7. 3- 12 -11: REVOCATION AND SUSPENSION OF LOCAL PERMIT Subd. 1. A local permit may be revoked, or temporarily suspended for a violation by the gambling organization of any state statute, state rule, or city ordinance relating to gambling. Subd. 2. A license shall not be revoked or suspended until written notice and an opportunity for a hearing have first been given to the permitted person. '1 9 13 lom"[9i DIRCEM-YR] 3- 12 -12: LICENSE AND PERMIT DISPLAY All permits issued under state law or this ordinance shall be prominently displayed at the premises where gambling is conducted. 3- 12 -13: NOTIFICATION OF MATERIAL CHANGES TO APPLICATION An organization holding a state issued premises permit shall notify the city within ten (10) days in writing whenever any material change is made in the information submitted on the application. 3- 12 -14: DESIGNATED TRADE AREA Subd. 1. Each organization licensed to conduct gambling within the city shall expend 75 percent or more of its lawful purpose expenditures on lawful purposes conducted within the city's trade area. Subd. 2. This section applies only to lawful purpose expenditures of gross profits derived from gambling conducted at a premise within the city's jurisdiction. 3- 12 -15: RECORDS AND REPORTING Subd. 1. Organizations conducting lawful gambling shall file with the Office of the City Clerk one copy of all records and reports required to be filed with the Board, pursuant to Minn. Stat. Ch. 349, as it may be amended from time to time, and rules adopted pursuant thereto, as they may be amended from time to time. The records and reports shall be filed on or before the day they are required to be filed with the Board. Subd. 2. Organizations licensed by the Board shall file a report with the city proving compliance with the trade area spending requirements imposed by Section 14. Such report shall be provided in a manner prescribed by the city and shall be submitted annually. 3- 12 -16: HOURS OF OPERATION Lawful gambling shall not be conducted between 2 a.m. and 8 a.m. on any day of the week and shall be consistent with hours of operation at the business where gambling is being conducted. 3- 12 -17: PENALTY Any person who violates: any provision of this ordinance; Minn. Stat. §§ 609.75- 609.763, inclusive, as they may be amended from time to time; or Minn. Stat. §§ 349.11- 349.21, as they may be amended from time to time or any rules promulgated under those sections, as they may be amended from time to time, shall be guilty of a misdemeanor and subject to a fine of not more than $1,000 or imprisonment for a term not to exceed 90 days, or both, plus in either case the costs of prosecution. In addition, violations shall be reported to the Board and ORDINANCE NO. 543 recommendation shall be made for suspension, revocation, or cancellation of an organization's license. If any provision of this ordinance is found to be invalid for any reason by a court of competent jurisdiction, the validity of the remaining provisions shall not be affected. SECTION 2. This ordinance becomes effective on the date of its publication, or upon the publication of a summary of the ordinance as provided by Minn. Stat. § 412.191, subd. 4, as it may be amended from time to time, which meets the requirements of Minn. Stat. § 331A.01, subd. 10, as it may be amended from time to time. The ordinance in its entirety shall be posted on the City website after publication. Copies of the complete Ordinance are available online and at Monticello City Hall for examination upon request. ADOPTED BY the Monticello City Council this 23rd day of January, 2012. CITY OF MONTICELLO e�Z &/Z- Clint Herbst, Mayor ATTEST: t,�p Jef ' ' , City Administrator VOTING IN FAVOR: Council Members Herbst, Hilgart, Perrault VOTING IN OPPOSITION: Council Members Posusta, Stumpf