03-995Council File # � 3 �` � � �
Ordinance #
Green Sheet # °� �aa
ORDINANCE
CITY OF SAINT PAUL, MINNESOTA
Presented By
Refened To
Committee Date :
�7
An ordinance amending Chapter 409 to comply with changes to the state
law regarding charitable gambling
THE COUNCIL OF THE CITY OF SAINT PAUL DOES ORDAIN:
SecUon 1
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Secuon 409.21 of the Saint Paul Legislative Code is hereby amended to read as follows:
Sec. 409.21. Pull-tabs and Upboards in bars by qualified charitable nonprofit organizations.
(a) Permission of czty council; endorsement; ternzination:
(1) On-sale licensees may request pernussion of the city council to pemut qualified
chazitable organizations to conduct lawful gambling in the form of paddlewheels, pull-
tabs, raffles and tipboards only on the licensed premises. Application for pernussion
shall be made to the license inspector and payment of the specified fee. If the application
is granted, the license shall contain an endorsement specifying this approval and the
gambling endorsement may be considered for renewal at the same time as the council
may consider renewal of the on-sale license.
(2) In the event the pernussion of any charitable nonprofit organization to conduct lawful
gambling on the licensed premises is ternunated by the licensed establishment on whose
premises the organization was conducting said gambiing, or in the event such
organization terminates its lawful gambiing as a result of coercion, pressure or
unreasonabie or unlawful conduct by the licensee or its employees, the on-sale licensee
shall not be able to make application for a gambling endorsement for a new charitable
nonprofit organization to take the place of the former organization until one (1) year afrer
discontinuance of all gambling activity on the licensed premises by the former
organization.
(b) Gambling endorsement regulations. Gambling endorsements in on-sale licenses shall be subject
to the following regulations which shall be deemed as a part of the license, and failure of
compliance may constitute grounds for adverse action as prescribed in the Legislative Code:
(1) Only charitable nonprofit organizations licensed by the State of Minnesota to operate
paddlewheels, tipboards and pull-tabs may be allowed to sell paddlewheel tickets, puil-
tabs, raffle tickets and upboards on the licensed premises. ����
(2) Use of the licensed premises shall be by means of a written lease agreement between the �p� 1 � p �
licensee and the charitable organization. All leases shall comnlv with the provisions of �'�'
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Minn. Stat. Chapter 349 and the rules promuleated pursuant thereto. The lease shall
expire with the premises pernut; a copy shall be filed with the LiEP director, and also a
copy must be kept on the premises and available for public inspection upon request.
I.eases shall be governed by the following:
a. .
�exse: In the case of pull-tab dispensing devices, the lease agreement shall
address cash shortages, game banks, machine repair, and prize reimbursement.
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c. The licensee may not be reunbursed by the charitable organization for any
license or pernut fees, and the only compensation which the licensee may obtain
from the charitable organizaUOn aze the amounts fixed in the lease agreement.
d. - Il lawful gambling shall be conducted
from a booth or�ulltab disnensine device within a leased or whollv owned area
with the followine excention:-exeePtthat raffle tickets, paddlewheel tickets
consistina of thirtv numbers or less with no table and tipboards consistine of
thirty numbers or less may be sold within all of the nublic area of the nernutted
premise with the exceution of the baz service area.
are� Raffle drawines, winnine ticket redemotion, naddlewheel location and
tipboard seal openine must be within the leased or whollv owned area with the
excention that nulltab nrize redemntion from disnensine devices mav be made as
set forth in subdivision (6) below. Paddlewheel tickets, pull-tabs, raffle tickets
and tipboards shall neither be sold by employees of the licensee nor sold from
the bar service area.
e. The construction and maintenance of the booth used by the charitable
organization shall be ttie sole responsibility of the charitable organization.
£ The lease shall contain a provision pernutting the licensee to ternunate the lease
if the charitable organization is found guilty of any violation of state or local
gambling statutes, ordinances or rules and regulations.
(3) Oniy one (1) charitable organization shall be pemutted to conduct lawful gambling on a
pernutted premises except on such premises where two (2) organizations aze conducting
lawful gambling at the time this secUOn is passed, provided that this requirement will
apply if one (1) of said organizations ceases operations.
(4) A pull-tab dispensing device must be protected by an alarm system that is centrally
monitored and has a battery backup. Such alarm may protect just the machine or the
entire premises.
(5) If readily perishable or potentially hazardous food, as defined in section 331.07 of the
L.egislative Code, is awarded as a prize in any charitable gambling, the storage and
handling of such food shall be in compliance with all applicable requirements of Chapter
331 of the Legislative Code. The licensee shall be responsible for notifying the Office of
License, Inspections and Environmental Protection that food, whether readily perishable
or potentially hazazdous or not, is being awazded as a prize in any charitable gambling
taking place on the licensed premises, using such form or forms as may be prescribed by
such office.
(6) Winning pull-tab tickets dispensed from dispensing devices may be redeemed by bar
personnel from the bar service area, provided that a separate accounting of pull-tab
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proceeds and other funds of the licensed establishment is performed and made available
to enforcement personnel.
�x�
Section 2
This ordinance sha11 take effect and be in force thirty (30) days following its passage, approval
and publication.
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� Green Sheet Green Sheet
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Green Sheet Green Sheet Green Sheet Green Sheet
Departmentl�ce/wuncil: Date Initiated: .
�p — i�ce�enasPecso�en��ronr�ox 29-0CT-03 Green Sheet NO: 3007222
CoMact Person 8 Phone• Deoarhne�rt Sent To Person InitiaVDate
V �ginia Paime� ' � 0 icense/Ins tion/Emimn Pro
266-8770 Auign 1 icense/Ins ction/EnvironPro
M st Be on Council Agenda by (Date): Number Z � A rne
For �
Routing 3 or's Office
Ordef 4 ouncil
5 i Clerk
Total # of Signature Pages _(Clip All Locations for Signature)
Action Requested:
Approval of an ordinance amending Saint Paul Legislative Code, Chapter 409.21 to comply with changes to the state law regazding
charitable gambling.
I
Recommendations: Approve (A) or Reject (R): Personal Service Contracts Must Answer the Following Questions: ,
Planning Commission t. Has this persoNfirtn ever worked under a contrad for this department?
CIB Committee Yes� No
Civil Service Commission 2. Has this personffirm ever been a city employee? �
Yes No
3. Does this personffirtn possess a skill not normally possessed by any
� , curzent city empioyee?
Yes No
� , Explain ali yes answers on separete sheet and attaeh to green sheet
Initiating Problem, Issues, Opportunity (Who, What, When, Where, Why):
State law was aznend�d in the 2003 Muuaesota Legislauve Session. These changes are merely housekeeping to make the Saint Paul
Legislarive Code continue to conform with state law.
Advanta57es If Approved:
Saint Paul Legisiarive Code will continue to conform with state law.
Disadvar�tages If Approved:
None.
� DisadvaMages If Not Approved:
None. State law will continue to supersede Saint Paul Legislative Code.
� ���r;�,� ���ec.r�h i�F�ter
Total Amount of CostlRevenue Budgeted: � � . �
Trensaction:
Fundinp Source: ActiviN Number. '
Financiallnformation: , �
(FJCplain) 's,