1995 ADJ MIN SEP 11 - Laserfiche WebLink

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At 6:12 P. M., Mayor Fulp directed that the record reflect the fact that Councilmember Hutton arrived and assumed his place on the dais. City Attorney Biggs said she gathered information from a number of cities that currently have card clubs: Inglewood, Commerce, Bell Gardens, South San Francisco and Compton. She found the City of Inglewood's document to be the most comprehensive and it was the model she used to develop this City's ordinance, which she termed generic. She said the proposed document does not identify site; operator; disposition of land or any deal. She assured that it only set forth procedure. She noted that the ordinance contained the permit schedule. The City has full authority to increase/decrease fees/taxes by resolution. She stated the industry had expressed concern about the affect on its margins and preferred no flexibility. City Attorney Biggs indicated that the document sets a permit/license limitation of five years as opposed to the recommended seven years. Under the ordinance, she stated that City Council has the option to allow one card -gaming operation and upon the determination of the best interest of the City and upon two-thirds vote of the City Council, it has the option of expanding from one to three card -gaming operations. She spoke about the tax structure, citing the City Manager's proposal to impose 10% to 12% from $5 million and thereafter move to 15%. City Attorney Biggs said that the industry had expressed concern about the start-up; however, there is no objection, when it realizes $5 million. She said the ordinance allows the City to employ an independent auditor. She explained that the City would do a request for proposal with license fees paying the costs; the City will be able to obtain an expert consultant with costs derived from the application fees. She stressed that an annual audit would give the City control. After lengthy discussion, motion by Councilmember Sandoval to accept version 3 to compromise possible percentages between 11-12% and then 15%. Motion failed for lack of a second. Motion by Mayor Fulp, seconded by Councilmember Cook, to select version No. 1. Mr. Mike Valles, P. 0. Box 392, San Bernardino, submitted that internal personnel, auditor and counsel be included in the licensing agreement and not in the ordinance which may require the question to return to the electorate. Also, Mr. Valles suggested that "card games" be specifically listed as people could interpret "card games" to include the game of blackjack. He said people need to understand that a card club is not open gaming. After discussion, it was concluded that the legal analysis as prepared by the City Attorney would be the perfect place to enumerate games. As maker of the original motion, to include that the process of three be upon a two-thirds vote Mayor Fulp agreed to modify Version 1, expansion from one card game room to of the City Council. Councilmember 2 SEP 11 igg5