SEC. 1036.2. PERMIT REQUIREMENTS AND EXCEPTIONS.

   (a)   Nothing in Sections 1036 to 1036.24, inclusive, shall be construed to authorize or permit either the use or operation of any gambling device whatsoever, including games of chance prohibited under Article 3, or of any mechanism that has been judicially determined to be a gambling device in any way contrary to law, or to authorize or permit any other conduct otherwise unlawful. Nothing in this Section 1036.2 shall preclude an award of a free game or games upon a mechanical amusement device.

   (b)   Permit Required.

      (1)   It shall be unlawful for any person to install, operate or maintain to be operated in the City:

         (A)   an Arcade without first having obtained a permit in writing to do so from the Entertainment Commission ("Arcade Permit"); or

         (B)   two to ten mechanical amusement devices as an Ancillary Use in a Bar without first having obtained a permit in writing to do so from the Director or his or her designee ("Ancillary Bar Use Permit").

         Accordingly, an Ancillary Use consisting of either one mechanical amusement device in a Bar or up to ten mechanical amusement devices operated on a premises that is not a Bar does not require a permit.

      (2)   It shall be unlawful tor any person to install, operate or maintain to be operated an Arcade or Ancillary Use for which a permit has been granted (A) after the permit has been revoked or is otherwise invalid or (B) for any period of time during which the permit has been suspended.

      (3)   Any premises where a mechanical amusement device permit is sought must conform to all City ordinances, including but not limited to health, safety, zoning, fire and building ordinances.

   (c)   The provisions of Sections 1036 to 1036.24, inclusive, shall not be construed to apply to mechanical amusement devices installed, operated or maintained in private residences or businesses intended for free use solely by the residents or employees at those locations.

   (d)   The provisions of Sections 1036 to 1036.24, inclusive, shall not apply to (1) any machine or mechanical amusement device which, in return for the coin deposited in said mechanical amusement device, will deliver the equivalent value of said coin in merchandise; provided, that no prize, reward, bonus or other thing of value is delivered with said merchandise, or (2) coin-operated billiard, pool or combination tables, which are subject to the licensing provisions of this Code in accordance with Sections 1037 to 1037.3, inclusive, and Sections 510 and 510.1.

   (e)   The provisions of Sections 1036 to 1036.24, inclusive, shall not apply to the Recreation and Park Commission, which shall have exclusive jurisdiction to determine whether and under what conditions mechanical amusement devices may be placed on property under its jurisdiction.

(Amended by Ord. 401-82, App. 8/13/82; Ord. 164-02, File No. 020783, App. 7/26/2002; Ord. 195-14 , File No. 140776, App. 9/19/2014, Eff. 10/19/2014)