1c American Legion Gambling Permit Renewal
CITY OF
CHANHASSEN
7700 Market Boulevard
PO Box 147
Chanhassen, MN 55317
Administration
Phone: 952.227.1100
Fax: 952.227.1110
Building Inspections
Phone: 952,227.1180
Fax: 952.227.1190
Engineering
Phone: 952.227.1160
Fax: 952.227.1170
Finance
Phone: 952.227.1140
Fax: 952.227.1110
Park & Recreation
Phone: 952,227.1120
Fax: 952.227.1110
Recreation Center
2310 Coulter Boulevard
Phone: 952.227.1400
Fax: 952.227.1404
Planning &
Natural Resources
Phone: 952.227.1130
Fax: 952.227.1110
Public Works
1591 Park Road
Phone: 952.227.1300
Fax: 952.227.1310
Senior Center
Phone: 952.227.1125
Fax: 952.227.1110
Web Site
www.ci.chanhassen.mn.us
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MEMORANDUM
TO:
Todd Gerhardt, City Manager
Karen J. Engelhardt, Office Manager 'it-:
June 11, 2007 ()~W'
FROM:
DATE:
SUBJ:
Approval of Renewal of the Chanhassen American Legion Club's
Gambling Permit, 290 Lake Drive East
The Chanhassen American Legion Club has applied for renewal of their permit
to conduct gambling. Organizations are eligible to conduct lawful gambling if
they meet the criteria established in Minnesota Statute 349.16 as follows:
. Must have been in existence for the most recent 3 years preceding the
license application as a registered non-profit corporation;
. Must have at least 15 active members;
. Must not be in existence solely for the purpose of conducting gambling;
. Has identified the lawful purposes on which it proposes to expend net
profits from gambling and has identified an annual goal for charitable
contributions, expressed as a percentage of gross profits;
. Has identified a gambling manager and certifies that the manager is
qualified under this chapter;
. Must not be seeking licensing primarily for the purpose of evading or
reducing taxes;
. Has not exceeded the expenditure restrictions under state statute, or if the
organization has exceeded expenditure restrictions, they must reimburse
any excess expenses from a source of non-gambling funds.
The State of Minnesota Gambling Control Board monitors these criteria.
This is a two-year license renewal. The gambling activities conducted on the
site include: the sale of pull-tabs 7 days a week from 11 :00 a.m. to 12:30 a.m.;
and Bar Bingo on Wednesday nights from 7:00-9:30 p.m. They are also
applying for a raffle license even though they have not held a raffle for two
years; however, the Legion wants to keep this option open.
State statute requires that the Gambling Manager be licensed and receive
continuing education to maintain the license. Paul Differding has been the
Gambling Manager since approximately 1992 and is in the process of renewing
his license with the Minnesota Gambling Control Board. The most recent
training he attended was held on August 16,2006, and he is scheduled for
another session on June 12,2007.
The City of Chanhassen · A growing community with clean lakes, quality schools, a chamning downtown, thriving businesses, winding trails, and beautiful parks. A great place to live, work, and play.
Mr. Todd Gerhardt
June 11, 2007
Page 2
Law Enforcement has completed background investigations on the applicants
including:
Gary Boyle, Commander
Bernard Hamilton, First Vice Commander
Eugene Borg, Financial Officer
Paul Differding, Gambling Manager
No negative comments were found on any of the applicants.
Chanhassen City Code requires organizations that hold a gambling license in the
city to contribute 10% of their net proceeds to the city. In 2005, the Legion
contributed a total of $29,130.30 and in 2006 they contributed $17,795.08,
which was used to fund training for the Fire Department. The Legion stated that
they believe that gambling proceeds are down due to the smoking ban being
lifted in certain areas of Hennepin County and the price of gasoline. City Code
also requires that the Legion spend at least 50% of their proceeds in Chanhassen
or a city contiguous to Chanhassen. The Legion has supplied staff with a
donation list and they meet this requirement.
RECOMMENDA TION
Staff recommends adoption of the attached resolution approving the application
as submitted. Approval requires a simple majority vote of those Council
members present.
ATTACHMENTS
1. Resolution
CITY OF CHANHASSEN
CARVER AND HENNEPIN COUNTIES, MINNESOTA
DATE:
RESOLUTION NO:
MOTION BY:
SECONDED BY:
A RESOLUTION APPROVING RENEWAL OF AN APPLICATION TO
CONDUCT LAWFUL GAMBLING, CHANHASSEN
AMERICAN LEGION CLUB POST 580, 290 LAKE DRIVE EAST
WHEREAS, Chanhassen American Legion Club Post 580 has submitted an Application for
Renewal of their Gambling Permit to conduct lawful gambling at 290 Lake Drive East.
BE IT RESOLVED by the Chanhassen City Council that
1. The Application for Renewal of the Gambling Permit to conduct lawful gambling
received from the Chanhassen American Legion Club Post 580 for 290 Lake
Drive East is hereby approved.
2. Said approval is hereby conditioned upon the Chanhassen American Legion Club
Post 580 meeting the requirements of City Code Section 10-152 which include:
a. Receipt of at least 10% of the American Legion Club's net profits derived
from lawful gambling.
Passed and adopted by the Chanhassen City Council this 11th day of June, 2007.
ATTEST:
Todd Gerhardt, City Manager
Thomas A. Furlong, Mayor
YES
NO
ABSENT