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No person shall display for purposes of use any computerized sweepstakes device in the City without first having obtained a computerized sweepstakes license as provided in this chapter. A separate license is required for each computerized sweepstakes device.
(Ord. 4-11. Passed 1-3-11.)
Authority is hereby established and vested in the Safety Director to consider any application for a license under this chapter, conduct investigations therefore and thereon and issue or deny issuance of any such license based upon the criteria set forth in this chapter.
(Ord. 4-11. Passed 1-3-11.)
(a) Licenses. Any license issued under this chapter shall have the following characteristics:
(1) Each license shall be valid for a period of one year from and after the date of issuance unless suspended or revoked as provided in this chapter.
(2) Each license shall vest a personal privilege but not any property rights in the license.
(3) Each license shall be required to be displayed permanently in a conspicuous place upon the premises for which it is issued.
(4) Each license shall be in the name of the applicant.
(5) No license shall be assignable or transferable, either as to person or location.
(6) Each license, if lost, destroyed or mutilated, upon application within thirty days may be replaced by a duplicate license issued by the Safety Director bearing the word "Duplicate' across its face and bearing the same license number as the license which it replaces.
(b) Computerized Sweepstakes Device Licenses. All computerized sweepstakes device licenses issued under this chapter shall have the following characteristics:
(1) Each license shall be issued for only one (1) computerized sweepstakes device.
(2) Each license shall specify the name and address of each licensee, and the manufacturer, model number and serial number of the computerized sweepstakes device for which it was issued.
(3) Each license if changed, mutilated, erased or in any manner defaced, shall be void, and any amusement device for which such license has been issued shall be deemed an unlicensed amusement device.
(c) Sweepstakes Terminal Cafe Licenses. All Sweepstakes Terminal Café licenses issued under this chapter shall have the following characteristics:
(1) Each license shall be issued for only one (1) business at only one (1) premise.
(2) Each license shall specify the name and address of each licensee, and the manufacturer, model number and serial number of each computerized sweepstakes device located upon the premises for which it was issued.
(Ord. 4-11. Passed 1-3-11.)
(a) Applications for Licenses. All applications for licenses under this chapter shall be in writing on a form approved by and filed with the Service Safety Director. The application shall be signed by the owner or owners and shall contain information required by this section supplied in detail as to each such person, including general and limited partners, or partnerships, shareholders of corporations and principals or members of any other type of business entity or organization. All applications shall contain a statement that the information contained therein is complete, accurate and truthful. Every owner and operator of the Sweepstakes Terminal Cafe shall be fingerprinted by an agency approved by the Safety Director and such person shall pay for the costs associated with obtaining said fingerprints.
(b) Contents of Applications. The application shall contain the following information as to all owners:
(1) True name and all names used in the past five years;
(2) Date of birth;
(3) Permanent home address and all home addresses used in the past five years;
(4) Business and home telephone numbers;
(5) Employment history for the past five years;
(6) A statement as to whether or not the owner has been charged with or convicted of any crime other than traffic offenses and, if so, the date and place of conviction, the nature of the offense and the penalty imposed;
(7) A statement as to whether or not the owner has ever conducted a sweepstakes terminal cafe and, if so, when, where and for how long.
(8) A description of the nature and operation of the main type of business activity to be conducted upon the premises;
(9) Description of the nature and operation of any business to be conducted in conjunction with the sweepstakes terminal cafe, and the anticipated percentage of gross revenue to be derived from each respective business;
(10) The address and telephone number of the premises and of the business, if different from that of the premises;
(11) The name under which the business and premises will be operated;
(12) A statement as to whether or not the owner will directly operate the Sweepstakes Terminal Cafe, or whether or not an operator who is not an owner will operate it, and if the latter, the application shall contain information required by this section supplied in detail as to each such operator.
(13) A floor plan of the premises and the immediate vicinity drawn to scale, showing the square footage and placement of the computerized sweepstakes devices, exits, windows, storage spaces, bicycle storage racks and off-street parking.
(14) The name, and address and telephone number of the agent of the business upon whom service of process can effectively and validly be made;
(15) The number, type, name, model and manufacturer's serial number of each computerized sweepstakes device requested to be licensed;
(16) The name and address of the owner, distributor and manufacturer of each computerized sweepstakes device requested to be licensed;
(17) A statement as to whether the applicant has been denied a license to conduct public gaming, operate a computerized sweepstakes device or sell/distribute alcoholic beverages by any governmental authority;
(18) Specification of terms of agreement governing the acquisition and installation of each amusement device requested to be licensed;
(19) A description as to the nature and type of property or services which will be sold or supplied upon the premises;
(20) A copy of the title or lease to the premises;
(21) A copy of the Articles of Incorporation, if the owner is a corporation;
(22) A copy of the Operating Agreement, if the owner is a limited liability corporation;
(23) A copy of the Partnership Agreement, if the owner is a partnership;
(24) Specification of the days of the week and the hours of the day during which the licensed activity will be conducted; and
(25) Supporting documentation from a Certified Independent Regulatory Compliance Test Laboratory that the software performs in similar fashion as other permitted sweepstakes commercially offered to the public and that the entries are drawn from a pre-created finite static pool of entries with assigned values. To be certified the Independent Regulatory Compliance Testing Laboratory must be authorized to test regulated gaming equipment by at least one state government gaming regulatory agency.
(26) A plan detailing the measures which will be taken to "block" viewing of adult oriented or pornographic material.
(27) Any other information which the Safety Director may deem reasonably necessary for the full interest of the public in the application.
(c) Reports of City Officials. Upon receipt of an application for a license under this chapter, the Safety Director shall request the following reports, which shall be rendered to him within thirty days of the date of filing of the application.
(1) A written report from the Fire Chief shall be submitted to the Safety Director as to whether the premises and computerized sweepstakes devices thereon will create a fire hazard; and
(2) A written report from the Police Chief shall be submitted to the Safety Director specifying, with regard to all owners and operators, any convictions for any felony or for any misdemeanor involving the operation of an amusement device business or involving physical violence, gambling activity, controlled substances, alcoholic beverages, minors or any crime involving moral turpitude.
(3) A written report from the Chief Building Official shall be submitted to the Safety Director as to whether all building and zoning laws have been satisfied.
(d) Determination Process.
(1) Safety Director. All applications for licenses under this chapter shall be considered by the Safety Director, who shall, within ten days after receiving the written reports, either issue such licenses or deny issuance of such licenses.
(2) Appeal to Board. In the event of the denial of issuance of such a license, the applicant shall be notified of such denial and the specific reasons therefore in writing. Such notice shall be mailed or delivered to the applicant at the address specified in the application by certified U.S. mail, return receipt requested. The applicant shall have ten days after receipt of such notice within which to appeal such denial, by filing a written notice of appeal with the Board of Zoning Appeals. Thereupon, the Board of Zoning Appeals shall set a date and time for a hearing upon the appeal. Notice of hearing shall be sent to the applicant not later than ten (10) days prior to the date of hearing, by certified U.S. mail, return receipt requested. The appeal shall be heard by the Board of Zoning Appeals, which Board shall have the power after such hearing to confirm the denial, order the license to be issued or, at its discretion, to issue a conditional or probationary license.
(3) Appeal to Court. The decision of the Board may, within thirty days thereof, be appealed to a court of competent jurisdiction under Ohio R.C. Chapter 2506.
(e) License Renewal. Each computerized sweepstakes device license and Sweepstakes Terminal Cafe license must be renewed annually. At the time of renewal, a statement shall be filed with the Safety Director that the information listed on the original application for the license is still complete, accurate and truthful to the best knowledge of all applicants, or a statement shall be filed with the Safety Director listing each and every item of information which has changed since the original application. Such statement shall be signed by the same persons who signed the original
application. The Safety Director may determine to accept such statement and issue the license requested, or he may determine to enforce the procedure required for an original license.
(Ord. 4-11. Passed 1-3-11.)
No license shall be issued or renewed for any business or premises:
(a) Where any of the owners or the operators has been convicted within the last five years of any felony or of any misdemeanor involving the operation of a Sweepstakes Terminal Cafe business, or involving physical violence, gambling activities, controlled substances, alcoholic beverages, minors or any crime involving moral turpitude;
(b) Where the premises do not provide parking spaces in compliance with City of Lorain Zoning Code;
(c) Where it is determined that the premises or operation thereof would be in violation of any provision of the Building Code, the Zoning Code or the Fire Code of the City or any other pertinent provisions of local, state or federal law;
(d) Where the applicant made a false statement as to a material matter upon the application or in a hearing concerning the license;
(e) Where the application failed to provide all of the required information; or
(f) Where there is not compliance with all terms and conditions under this chapter and all other applicable ordinances and statutes.
(Ord. 4-11. Passed 1-3-11.)
(a) In addition to any other condition or regulation contained in this chapter or in state statutes, the following conditions and regulations shall be applicable to and shall govern and control all licenses of Sweepstakes Terminal Cafes.
(1) Each licensee shall at all times open each and every portion of the premises for inspection by the Police Department and other City departments for the purposes of enforcing any provisions of this chapter.
(2) Each licensee shall have present on the premises at all times when the premises are open to the public at least one adult operator who has not been convicted of any felony or of any misdemeanor involving the operation of a sweepstakes terminal cafe or involving physical violence, gambling activities, controlled substances, alcoholic beverages, minors or any crime involving moral turpitude.
(3) No licensee shall allow living quarters to exist with direct entry to the premises.
(4) No licensee shall allow any person, other than an owner or operator over the age of eighteen years, who shall be readily identifiable, to be in control of the premises, nor allow such operator to be regularly situated in a place upon the premises other than a place from which he has an unobstructed view of the entire portion of the premises devoted to the operation of computerized sweepstakes devices.
(5) No person under the age of 18 years shall be permitted to operate a computerized sweepstakes device;
(6) Any and all sweepstakes rules and odds of winning shall be posted in a conspicuous place at the premises and displayed on the computerized sweepstakes device at the start of each game and/or activity.
(7) Each licensee shall operate the Sweepstakes Terminal Cafe business in compliance with any and all pertinent Federal Trade Commission rules and regulations.
(8) Licensees may be required to hire an off-duty police officer or other security personnel to provide for the safety of the patrons as determined by the City. (Ord. 4-11. Passed 1-3-11.)
(9) Each licensee shall maintain the name, address and prize amount of all sweepstakes prize winners. Each licensee shall report sweepstakes prize winnings for each person who receives $600.00 or more in sweepstakes prize winnings. Each licensee shall provide the City Treasurer with a complete list of sweepstakes winners on a quarterly basis on or before the tenth day of each preceding month.
(Ord. 156-11. Passed 10-17-11.)
(10) Licensees may be required to hire an off-duty police officer or other security personnel to provide for the safety of the patrons as determined by the City.
(11) All computerized sweepstakes devices upon the premises of a Sweepstakes Terminal Cafe shall be located thereon in conformity with the floor plan filed with the application for the license and in such a manner:
(Ord. 4-11. Passed 1-3-11; Ord. 156-11. Passed 10-17-11.)
A. So as not to impair ingress or egress to the premises;
B. So as not to interfere with free and unfettered passage through the premise;
C. So as to permit a clear and complete view of the interior of the premises immediately upon entry; and
(12) All licensees shall permit the Certified Independent Regulatory Compliance Test Laboratory selected by the City of Lorain Safety Director or his designee, to inspect and verify all operating systems, including but not limited to software programs and computer chip components, for their compliance with the provisions of this chapter.
(Ord. 4-11. Passed 1-3-11.)
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