Subd. 1. Gambling Sites. One or more organizations may be issued a premises permit at any premises at which there is a gambling site. The city will give preference to local organizations. If more than one organization is granted a premises permit, each organization must have separate designated lease spaces and must meet Minnesota Statutes requirements. All gambling operations conducted by a licensed organization shall be managed by an active member or said organization. All leases pertaining to lawful gambling shall state the hours of the day during which a licensee may conduct lawful gambling on said premises.
Subd. 2. Local Organizations. A local organization shall be defined to mean:
1. A fraternal, religious, or veterans affiliate of a national organization with a Big Lake Chapter that has operated in the city for the most recent three years and which conducts regular meetings or activities in the city at least six times a year;
2. A fraternal, religious, or veterans organization at least 40% of whose active members are residents of the city, that has operated in the city for the most recent three years, and which conducts regular meetings or activities in the city at least six times a year;
3. An organization that for the most recent three years has had a bona fide office open in the city at least ten hours a week; or
4. A youth focused organization, if at least 10% of the youth are city residents.
Subd. 3. Trade Area. Each organization conducting lawful gambling within the city must expend 75% of its lawful purpose expenditures on lawful purposes conducted or located within the trade area of the city, which shall include the corporate limits of the city and Big Lake Township. This section applies only to lawful purpose expenditures of gross profits derived from lawful gambling conducted at premises within the city. Annually, each organization must file with the city a report prepared by an independent certified public accountant documenting compliance with this section. In addition, each organization shall submit a report to the city each January listing all lawful purpose expenditures from January 1 through December 31 of the preceding year. The report shall identify the name of the entity to which the check was written, the city location of the recipient, and the amount of the donation.