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Ordinance No. 1211 11-07-2005ORDINANCE NO. 1211 S OFFICIAL TITLE AND SUMMARY I. Title An ordinance Amending Chapters 11, 602, 603 and 606 of the Fridley City Code Allowing Tournaments of Card Games of Social Skill II. Summarv The City Council of the City of Fridley does hereby ordain as follows: It is in the public interest for the City of Fridley to amend its liquor ordinances in an effort to allow licensed establishments to conduct tournaments of card games of social skill, as permitted by Minnesota Statute, in a controlled, fair and lawful manner. The amendments to Sections 602.08, 603.10, and 606.10 will allow licensed establishments to hold social skill card game tournaments and benefit from the revenues derived from the sale of food and beverages to patrons of such tournaments, while at the same time ensure that the holding of such tournaments will comply with Minnesota Statute 609.761 by requiring a license for a Social Skill Card Game Tournament Service Provider. In addition an amendment to Chapter 11 is necessary to set the license fee for the Social Skill Card Game Tournament Service Provider. III. Notice This Title and Summary has been published to clearly inform the public of the intent and effect of the City Code of the City of Fridley as it relates to card games of social skill. A copy of the ordinance, in its entirety, is available for inspection by any person during regular business hours at the offices of the City Clerk of the City of Fridley, 6431 University Avenue N.E., Fridley, MN 55432. PASSED AND ADOPTED BY THE CITY COUNCIL OF THE CITY OF FRIDLEY THIS 7Tx DAY OF NOVENIBER 2005. ��� SCOTT J. UND, MAYOR ATTEST: �� DEBRA A. SKOGEN, ITY CLERK First Reading: October 24, 2005 Second Reading: November 7, 2005 Published: November 17, 2005 ORDINANCE NO. 1211 AN ORDINANCE AMENDING CHAPTERS 11, 602, 603 AND 606 OF THE FRIDLEY CITY CODE ALLOWING TOURNAMENTS OF CARD GAMES OF SOCIAL SKILL It is in the public interest for the City of Fridley to amend its liquor ordinances in an effort to allow licensed establishments to conduct tournaments of card games of social skill, as permitted by Minnesota Statute, in a controlled, fair and lawful manner. The amendments to Sections 602.08, 603.10, and 606.10 will allow licensed establishments to hold social skill card game tournaments and benefit from the revenues derived from the sale of food and beverages to patrons of such tournaments, while at the same time ensure that the holding of such tournaments will comply with Minnesota Statute 609.761. The City Council of the City of Fridley hereby finds, after review, examination and recommendation of staff, that the Fridley City Code be hereby amended as follows: Section 1: That Chapter 602 of the Fridley City Code be hereby amended as follows: 602.08. Conditions of License 5. Gambling No gambling or any gambling device shall be permitted on any licensed premises. Prohibited gambling shall include private social bets not part of or incidental to organized, commercialized, or systematic gambling. Gambling device shall include slot machines, roulette wheels, punchboards, dice, r'������ ��r�'°, video game of chance and pin-ball machines which return coins or slugs, chips, or tokens of any kind which are redeemable in merchandise, cash or other item of value. Gambling is prohibited whether or not licensed by the State. (Ref. 958) 12. No licensee shall use or permit to be used any playin� cards on the licensed premise except that playin� cards may be used durin� a tournament of a social skill card a'°� me as defined by Minnesota Statute 609.761, subdivision 3, and conducted pursuant to re�ulations contained therein and this Citv Code. A. Social Skill Card Game Tournament (1) A social skill card �ame tournament means one separate and distinct or a.°� nized contest involvin� contestants who compete in a series of elimination card �ames of social skill as defined by Minnesota Statute 609.761, subdivision 3. (2) No licensee shall permit or conduct more than one social skill card �ame tournament at any one time on the licensed premise or any adj oininu�property owned or leased by the licensee and no social skill card �ame tournament shall be permitted or conducted exce�t durin� the normal hours of operation of the licensed premise. (3) No licensee shall char.°�e or permit to be char e.°� d any fee, cover char�e, or buy-in, or require or permit to be required purchase or consideration of any kind to enter the place where a social skill card �ame tournament is occurrin.°� as a participant or spectator. Ordinance No. 1211 Page 2 (4) No licensee shall char.°�e or permit to be charged, to either participants or spectators of a social skill card �ame tournament, a price for consumer �oods which is hi�her than the price that is normally charged. (5) No licensee shall permit wa�ers in a social skill card �ame tournament to be made with currency or any other thin� of value except tournament chips or tokens. Tournament chips or tokens shall represent tournament points only and shall have no cash value or be redeemable for cash or for any other thin� of value, except the point total represented bX the players' accumulation of tournament chips or tokens shall be used to determine winners and/or final blace in a tournament. (6) No licensee shall permit players or spectators to make any side bets or back bets, or en�a�e in any other form of a.°� mbling, at a social skill card �ame tournament. (7) No licensee shall permit the ag�re�ate amount or fair market value of prizes offered or �iven in any sin�le social skill card �ame tournament to exceed $200 and no licensee shall award or permit to be awarded prizes exceedin� a$200 value to any one social skill card �ame tournament participant on any one da� (8) No licensee shall award or permit to be awarded any prize consistin� of intoxicating liquor, beer, or wine, or certificate for future consideration of same, in a social skill card �ame tournament. (9) No person,�artnershi�, corporation, or other or�anization, other than the licensee, shall conduct or be permitted to conduct a social skill card �ame tournament on a licensed premise without first havin� obtained a tournament service provider license pursuant to this Chapter. B. Social Skill Card Game Tournament Service Provider (1) A person,�artnershi�, corporation, or other or�anization, other than the licensee, who conducts, or�anizes su�plies or promotes a social skill card �ame tournament on a premise licensed under this Chapter, is a social skill card �ame tournament service provider. (2) No person,�artnershi�, corporation, or other or�anization shall act as a social skill card �ame tournament service provider without first havin� obtained a license to do so from the City Council. (3) All a�plications for tournament service provider licenses shall be made to the CitX settin� forth all information necessary to show whether or not the person,�artnershi�, corporation, or other or�anization qualifies for such a license under this Chapter, to e.°� ther with such additional information as may be required by the City Council. A completed application form must include the full true names, dates of birth, social security numbers and addresses of all persons financially interested in the business and/or all persons who are either on the Board of Directors of or hold offices in the entity or or�anization. The term "persons financially interested in the business" shall include all persons who share in the profits of the business. Ordinance No. 1211 Page 3 (4) All a�plications for a license shall be referred to the Public Safety Director for verification and investi�ation of the facts set forth in the a�plication. The Public SafetX Director shall cause to be made such investi�ation of the information requested as shall be necessary and shall make a written recommendation and report to the City Council which shall include a list of all violations of Federal or State law or Municipal ordinance. The City Council may order and conduct such additional investi�ation as it shall deem necessary. In makin� a determination of suitability for a tournament service provider license, the City Council shall consider the back�round of each person,�artner, corporate officer or individual a�plicant. (5) No license shall be �ranted or held by any person who has been convicted, within 15 years prior to the a�plication of such license, of any felony violation of any law of the United States, the State of Minnesota, or any other state or territor�, or of any local ordinance involvin� or related to theft or a.°� mbling_ (6) The annual license fee and expiration date shall be as provided in Chapter 11 of this Code. Section 2: That Chapter 603, Intoxicating Liquor, of the Fridley City Code be hereby amended as follows: 603.10 CONDITIONS OF LICENSE 7. No licensee shall keep, possess, operate or permit the keeping, possession, or operation of any dice, r'������ ��r�'°, video game of chance, or gambling device including slot machines, roulette wheels, punchboards, and pin ball machines which return coins or slugs, chips, or tokens or any kind which are redeemable in merchandise, cash or other item of value on the licensed premises. Pull-tabs and other expressly authorized forms of legal gambling may be conducted on licensed premises when such activity is licensed by the State pursuant to Minnesota Statute, Chapter 349, and conducted pursuant to the regulations contained in this City Code. (Ref. 1200) 23. No licensee shall use or permit to be used any playin� cards on the licensed premise except that playin� cards may be used durin� a tournament of a social skill card a'°� me as defined by Minnesota Statute 609.761, subdivision 3, and conducted pursuant to re�ulations contained therein and this City Code. A. Social Skill Card Game Tournament (1) A social skill card �ame tournament means one separate and distinct or a.°� nized contest involvin� contestants who compete in a series of elimination card �ames of social skill as defined bv Minnesota Statute 609.761_ subdivision 3. (2) No licensee shall permit or conduct more than one social skill card �ame tournament at any one time on the licensed premise or any adj oininu�property owned or leased by the licensee and no social skill card �ame tournament shall be permitted or conducted exce�t durin� the normal hours of operation of the licensed premise. Ordinance No. 1211 Page 4 (3) No licensee shall char.°�e or permit to be char e.°� d any fee, cover char�e, or buy-in, or require or permit to be required purchase or consideration of any kind to enter the place where a social skill card �ame tournament is occurrin.°� as a participant or spectator. (4) No licensee shall char.°�e or permit to be charged, to either participants or spectators of a social skill card �ame tournament, a price for consumer �oods which is hi�her than the price that is normally charged. (5) No licensee shall permit wa�ers in a social skill card �ame tournament to be made with currency or any other thin� of value except tournament chips or tokens. Tournament chips or tokens shall represent tournament points only and shall have no cash value or be redeemable for cash or for any other thin� of value, except the point total represented bX the players' accumulation of tournament chips or tokens shall be used to determine winners and/or final place in a tournament. (6) No licensee shall permit players or spectators to make any side bets or back bets, or en�a�e in any other form of a.°� mbling, at a social skill card �ame tournament. (7) No licensee shall permit the ag�re�ate amount or fair market value of prizes offered or �iven in any sin�le social skill card �ame tournament to exceed $200 and no licensee shall award or permit to be awarded prizes exceedin� a$200 value to any one social skill card �ame tournament participant on any one da� (8) No licensee shall award or permit to be awarded any prize consistin� of intoxicating liquor, beer, or wine, or certificate for future consideration of same, in a social skill card �ame tournament. (9) No person,�artnershi�, corporation, or other or�anization, other than the licensee, shall conduct or be permitted to conduct a social skill card �ame tournament on a licensed premise without first havin� obtained a tournament service provider license pursuant to this Chapter. B. Social Skill Card Game Tournament Service Provider (1) A person,�artnershi�, corporation, or other or�anization, other than the licensee, who conducts, or�anizes su�plies or promotes a social skill card �ame tournament on a premise licensed under this Chapter, is a social skill card �ame tournament service provider. (2) No person,�artnershi�, corporation, or other or�anization shall act as a social skill card �ame tournament service provider without first havin� obtained a license to do so from the Citv Council. (3) All a�plications for tournament service provider licenses shall be made to the CitX settin� forth all information necessary to show whether or not the person,�artnershi�, corporation, or other or�anization qualifies for such a license under this Chapter, to e.°� ther with such additional information as may be required by the City Council. A completed application form must include the full true names, dates of birth, social security numbers and addresses of all persons financially interested in the business and/or all persons who are either on the Board of Directors of or hold offices in the entitv or or�anization. The Ordinance No. 1211 Page 5 term "persons financially interested in the business" shall include all persons who share in the profits of the business. (4) All a�plications for a license shall be referred to the Public Safety Director for verification and investi�ation of the facts set forth in the a�plication. The Public SafetX Director shall cause to be made such investi�ation of the information requested as shall be necessary and shall make a written recommendation and report to the City Council which shall include a list of all violations of Federal or State law or Municipal ordinance. The City Council may order and conduct such additional investi�ation as it shall deem necessary. In makin� a determination of suitability for a tournament service provider license, the City Council shall consider the back�round of each person,�artner, corporate officer or individual a�plicant. (5) No license shall be �ranted or held by any person who has been convicted, within 15 years prior to the a�plication of such license, of any felony violation of any law of the United States, the State of Minnesota, or any other state or territor�, or of any local ordinance involvin� or related to theft or a.°� mbling_ (6) The annual license fee and expiration date shall be as provided in Chapter 11 of this Code. Section 3: That Chapter 606, Intoxicating Liquors — On-Sale Clubs, of the Fridley City Code be hereby amended as follows: 606.10. Conditions 11. No licensee shall use or permit to be used any playin� cards on the licensed premise except that playin� cards may be used durin� a tournament of a social skill card a'°� me as defined by Minnesota Statute 609.761, subdivision 3, and conducted pursuant to re�ulations contained therein and this City Code. A. Social Skill Card Game Tournament (1) A social skill card �ame tournament means one separate and distinct or a.°� nized contest involvin� contestants who compete in a series of elimination card �ames of social skill as defined by Minnesota Statute 609.761, subdivision 3. (2) No licensee shall permit or conduct more than one social skill card �ame tournament at any one time on the licensed premise or any adj oininu�property owned or leased by the licensee and no social skill card �ame tournament shall be permitted or conducted exce�t durin� the normal hours of operation of the licensed premise. (3) No licensee shall char.°�e or permit to be char e.°� d any fee, cover char�e, or buy-in, or require or permit to be required purchase or consideration of any kind to enter the place where a social skill card �ame tournament is occurrin.°� as a participant or spectator. (4) No licensee shall char.°�e or permit to be charged, to either participants or spectators of a social skill card �ame tournament, a price for consumer �oods which is hi�her than the price that is normally charged. Ordinance No. 1211 Page 6 (5) No licensee shall permit wa�ers in a social skill card �ame tournament to be made with currency or any other thin� of value except tournament chips or tokens. Tournament chips or tokens shall represent tournament points only and shall have no cash value or be redeemable for cash or for any other thin� of value, except the point total represented bX the players' accumulation of tournament chips or tokens shall be used to determine winners and/or final place in a tournament. (6) No licensee shall permit players or spectators to make any side bets or back bets, or en�a�e in any other form of a.°� mbling, at a social skill card �ame tournament. (7) No licensee shall permit the ag�re�ate amount or fair market value of prizes offered or �iven in any sin�le social skill card �ame tournament to exceed $200 and no licensee shall award or permit to be awarded prizes exceedin� a$200 value to any one social skill card �ame tournament participant on any one da� (8) No licensee shall award or permit to be awarded any prize consistin� of intoxicating liquor, beer, or wine, or certificate for future consideration of same, in a social skill card �ame tournament. (9) No person,�artnershi�, corporation, or other or�anization, other than the licensee, shall conduct or be permitted to conduct a social skill card �ame tournament on a licensed premise without first havin� obtained a tournament service provider license pursuant to this Chapter. B. Social Skill Card Game Tournament Service Provider (1) A person,�artnershi�, corporation, or other or�anization, other than the licensee, who conducts, or�anizes su�plies or promotes a social skill card �ame tournament on a premise licensed under this Chapter, is a social skill card �ame tournament service provider. (2) No person,�artnershi�, corporation, or other or�anization shall act as a social skill card �ame tournament service provider without first havin� obtained a license to do so from the Citv Council. (3) All a�plications for tournament service provider licenses shall be made to the CitX settin� forth all information necessary to show whether or not the person,�artnershi�, corporation, or other or�anization qualifies for such a license under this Chapter, to e.°� ther with such additional information as may be required by the City Council. A completed application form must include the full true names, dates of birth, social security numbers and addresses of all persons financially interested in the business and/or all persons who are either on the Board of Directors of or hold offices in the entity or or�anization. The term "persons financially interested in the business" shall include all persons who share in the profits of the business. (4) All a�plications for a license shall be referred to the Public Safety Director for verification and investi�ation of the facts set forth in the a�plication. The Public SafetX Director shall cause to be made such investi�ation of the information requested as shall be necessary and shall make a written recommendation and report to the City Council which shall include a list of all violations of Federal or State law or Municibal ordinance. Ordinance No. 1211 Page 7 The City Council may order and conduct such additional investi�ation as it shall deem necessary. In makin� a determination of suitability for a tournament service provider license, the City Council shall consider the back�round of each person,�artner, corporate officer or individual a�plicant. (5) No license shall be �ranted or held by any person who has been convicted, within 15 years prior to the a�plication of such license, of any felony violation of any law of the United States, the State of Minnesota, or any other state or territor�, or of any local ordinance involvin� or related to theft or a.°� mbling_ (6) The annual license fee and expiration date shall be as provided in Chapter 11 of this Code. Section 4: That Chapter 11 of the Fridley City Code be hereby amended as follows: COIaE SUBJECT '��FEE '�� 602 Social Skill Game Tournament Service $100 annually 603 Provider 606 PASSED AND ADOPTED BY THE CITY COUNCIL OF THE CITY OF FRIDLEY THIS 7Tx DAY OF NOVENIBER 2005. � � � r . �. . • � � � � •' ATTEST: .�.r �. . � �_ � ,� I� :�. . � r�, • First Reading: October 24, 2005 Second Reading: November 7, 2005 Published: November 17, 2005