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As can be seen from the attached schedules, while the various methods produce varying results, <br />they all create a monthly in-flow to the City and are more evenly spread throughout the year. <br />While I have indicated different levels of imposing a percentage of "net profits", it would be <br />recommended that the Committee recommend to Council the method that brings in revenues to the <br />City at a level comparable to past levels without being so steep as to drive the organizations out of <br />our City or business. <br /> <br />The attached information has been forwarded to Bill Goodrich, City Attorney, for his review. <br />Based on conversations with him the last few days he indicated the "proposed" ordinance change <br />is also being reviewed by the Attorney General that represents the Gambling Control Boards <br />interests. At the time this case was prepared, a determination had not been received on the legality <br />of the issue at hand. <br /> <br />Mr, Goodrich is also reviewing the legality of changing the code to limit the number of game types <br />that can take place at any one site. For example only one pull-mb booth, one paddlewheel and one <br />tip board would be allowed in operation at any one site in the City. They can all be operated by <br />one gambling organization or each one by a different organization so long as there is only one of <br />each type being operated. <br /> <br />Staff Recommendation: <br /> <br />In the event that it is determined that our method is acceptable and legal, it is recommended that the <br />Finance Committee recommend that Staff initiate the process of amending or repealing/replacing <br />the section in the City Code that deals with gambling and that the percentage to be used would be <br />3.5% since it most closely simulates the overall income generated under the existing code. It is <br />also recommended, ff found to be acceptable and legal, amending the code to include the limiting of <br />game types at each site. The amendments could be inn'oduced for f'n'st reading at the first regular <br />Council meeting in November with the second reading and adoption at the second regular Council <br />meeting in November. This would allow for an effective date of January 1, 1994. <br /> <br />Committee Action: <br /> <br />Based on response from City Attorney and discussion. <br /> <br />Reviewed By: <br /> <br />Finance Officer <br />City Administrator <br /> <br />FC: 10/26/93 <br /> <br /> <br />