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t ITEM 2— .V. <br />ity of MEMORANDUM <br />kPF1 TO: Mayor and City Council <br />iver <br />FROM: Sandra Thackeray, City Clerk <br />DATE: December 18, 1995 <br />SUBJECT: Ordinance Amendment to <br />Section 716 (Raffles and Gambling <br />Devices) of the City Code <br />INTRODUCTION <br />The City's existing gambling ordinance is outdated and must be revised to <br />reflect current state law. On June 5, 1995, the City Council took no action on <br />a request for an amendment to the City's gambling ordinance. The main <br />issue of concern was outside organizations operating in the City and not <br />meeting the requirement of spending 75% of lawful expenditures in the trade <br />• area. <br />• <br />BACKGROUND <br />The City's ordinance currently requires that 75 percent of the lawful <br />expenditures be spent within the City's trade area. The trade area consists <br />of cities that are contiguous with Elk River (Rogers, Ramsey, Zimmerman, <br />Otsego, and Elk River). Currently, all charitable gambling organizations in <br />the City have met this requirement. There was one outside organization that <br />did not meet this requirement, however, this organization is no longer <br />operating in Elk River. <br />percentage requirement <br />Under the present ordinance, an organization that does not meet the 75% <br />requirement takes the chance of not having its premises permit renewed by <br />the City Council. A premises permit is a two year permit. Discussion took <br />place at the June 5th Council meeting about the possibility of raising the <br />75% requirement to 80 %. Some members of the Council felt that this would <br />discourage outside organizations from operating in the City. I had received <br />some comments from existing organizations who were opposed to this <br />13065 Orono Parkway • P.O. Box 490 • Elk River, MN 55330 • (612) 441 -7420 • Fax: (612) 441 -7425 <br />