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. ORDINANCE 91 - 1 AN ORDINANCE AMENDING SECTION 716 OF THE CITY CODE OF ORDINANCES RELATED TO REGULATIONS FOR PULL TAB LICENSES AND REQUIRING PERCENTAGE OF NET PROFITS TO BE SPENT WITHIN THE TRADE AREA The City Council of the City of Elk River does ordain as follows: Section 716.06 of the City Code of Ordinances is amended to read as follows: 716.06 Pull-Tab Regulations - 1. Statement of Purpose. It is the stated policy of the City Council of the City of Elk River that, to the extent lawful, regulated gambling is permitted within the City, the net profits and proceeds of gambling shall directly benefit the citizens of the City of Elk River. 2. No pull-tab license or renewal will be approved for: (a) Any organization to conduct a pull-tab distribution on any premises other than a church, the premises of a fraternal, veterans, or other nonprofit organization, or the premises of an on-sale liquor license of the City of Elk River. (b) Any organization or local subdivision thereof, unless all of the following requirements are met: . (1) The organization of the local subdivision has been in continuous existence holding meetings and conforming with the requirements of this paragraph (b) for more than three (3) years prior to the approval of the license, and (2) Pursuant to Minnesota Statutes Section 349.213, seventy-five (75%) of the yearly net profits of any Elk River pull-tab distribution will be spent in the trade area of the City of Elk River or on items or activities that will directly benefit citizens of the City of Elk River. For purposes of this sUbparagraph (2), the term "net profits" shall mean all monies received from the pull-tab purchasers minus amounts spent for necessary statutorily allowed expenses related to the pull-tab distribution.