Agenda - Council - 04/12/1988 - Laserfiche WebLink

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RAMSEY LIONS CLUB TO CITY OF RAMSEY, COMMENTS ON PROPOSED CHARITABLE GAMBLING ORDINANCE (Continued). COMMENT: The maximum rental fee of six hundred dollars ($600.00) per month will agree with the proposed state rules changes. Lease agreements should be in agreement with the state rules in paragraph 7860.0090. Many 1 icensed non profi t organizations util ize employees of the lessor in the day-to-day operation of the lawful charitable gambl ing. The lessor is then re i mburse d for th e c omp en ':.a t i on e xpen ses i ncurre d from th i soper a t i on . Minnesota rules do not prohibit this arrangement so long as the 1 icensed organization has strong and total internal control of the entire licensed gc..mb 1 in g op era t i orl . Th i 'E. f 0 1 lOlA.I':. the ,:.p i r' i t of. the ,:. tat est a t ute. Th e reason for organizations use of lessor employees is that Lt is normally easi er for the 1 e':.':-or to lA.latch the 1 i cen,:.ed gamb1 i ng c.per.at i cln duri ng all open hours. It is impossible for the gambling manager of the 1 icensed organization to be present during all hours of operation. Therefore, other compensation in the form of reimbursement for the lessor incurred expen':.e for' compen':-at i cln pa i d to char'i tab1 e gamb1 i ng emp 1 Clyee':- is a commcln prc..ctice for many 1alA'ful gamb1 ing oper'c.tions. We lAlc.u1d also 1 iKe to be able to continue in this manner. (h) No ~mp10yees or agents of the on-sale estab1 ishment shall handle gamb 1 in 9 de,) ice ':., gamb 1 in g money, pr i ze,:., Clr- gamb 1 i rig rE' c c.r'ds, nor sh a.ll the y r. e cor- d win n e r' s, r Eo p 1 a y ,:., CI r- f r' e e g am e s, nor' ,:. h all the y CI thE' r'lA' i ,:. e conduct or assist the 1 icensed gambl ing organizations in conducting the gambl ing oper-ation. COt1MEt-..JT: The- ,:-tate e.f Minne,:-ota dCle':. nClt pr'ohibit the above. The-re i,:. a proposed rule change- that would "rather than prohibit the conduct of gambl ing by lessors and their agents, the Board provided that stronger- internal controls would be expected from each organization and identified those specific areas where inte-rnal controls would be strengthened". This paragraph in the proposed Ramsey ordinance would ,:.ever.e 1 y impede the ma.nrler- in lAlh i ch thE' Rams.e>' L i on':- Cl ub conduc t,:. the i r. lawful chc..rita_ble gc..mblirlg opera_ticlrls. (i) No person shall be Jointly employed by both the non-profit organization and the on-sale estab1 ishment. COty1ry1Et-..JT: The ':.ame- cClmment made fc.r' ,:.ubpar-agr'c.ph 130.127 (h) c.f the p r' CIP O:.e d Ram,:.e)' or'd i n Ci.n c e wou 1 d ap p 1 >' t c. t his :.u bp ar. agr' ~,p h . Th e Ramse y Liens Club had and curr-ently has.an employee- that is Jointly employed by the Ramsey Lions Club and also by the on-sale establ ishment. ( j ) The 9 .:<om b 1 ! r: 9 b c. c' t h ~. r; ~. 1 1 b e ~. e- ::' c.. r. ~, t t? of r. elm the 1 i q u c. r- ,:. e r- ,) ice :' ;:., r. . t.,.!::. gCi.mbl i ng =.h~.ll be conduc tea fr-c'iTJ tr,€' 1 i euer. ':.erv j ce bar. 31