In addition to the requirements of M.S. §§ 349.11 through 349.22 and rules adopted pursuant to the authority contained in the Statutes, as they may be amended from time to time, lawful gambling shall be subject to the regulations set forth in the following subdivisions:
(A) It is unlawful to make side bets or other wagers in connection with the conduct of lawful gambling.
(B) A bingo or raffle game duly licensed or otherwise allowed pursuant to this chapter may only be conducted or operated by members of the licensed organization who are 18 years of age or older. No member shall receive any compensation whatsoever for his or her services in conducting, assisting in conducting, or operating any such game, and no person shall so assist in operating the same unless he or she shall have been and shall then be a member or a spouse of a member in good standing in the organization for at least one year. This subdivision shall not apply to pull-tab distributions.
(C) No bingo or raffle license will be approved for an organization that also operates another bingo or raffle game in the city. No person who is under the age of 21 years shall operate or assist in operating a pull-tab distribution in the city.
(D) No license or premises permit, nor any renewal of either, will be approved for:
(1) Any organization to conduct a pull-tab distribution on any premises other than a church, the premises of a fraternal, veterans, or other non-profit organization, or the premises for which an on- sale liquor license is currently issued.
(2) Any organization or local subdivision thereof unless all the following requirements are met:
(a) The organization or the local subdivision has been in continuous existence holding meetings and conforming with the requirements of this division (D)(2) for more than one year prior to the approval of the license;
(b) The organization contributes 10% of its net profits derived from lawful gambling to a fund administered and regulated by the city, without cost to the fund, for disbursement by the city for lawful purposes. The contribution must be made annually prior to October 1. The city's use of such funds shall be determined at the time of adoption of the city's budget or any amendments thereto. For purposes of this division (b), the term NET PROFITS shall mean all monies received from lawful gambling minus amounts spent for necessary and statutorily allowed expenses related to the lawful gambling;
(c) Eighty percent of the licensee’s expenditures for lawful purposes must be on lawful purposes conducted or located within the city’s trade area. For purposes of this division (c), the term TRADE AREA means and includes the area within the boundaries of the City of St. Michael and each city and township contiguous to the City of St. Michael; and
(d) The organization must file with the city a copy of all expenditure reports required to be filed with the state, and the filing with the city must be made according to the same schedule as that required by the state. The city may, from time to time, also require such additional reporting as the city deems necessary.
(3) The conduct of a pull-tab distribution by more than one organization on premises where such activities are authorized.
(4) Any one organization to conduct pull-tab distributions at more locations than the Council deems reasonable and appropriate based on the following factors:
(a) The number of locations of the type referred to in division (D)(1) above;
(b) The number of applications for pull-tab distributions by other organizations;
(c) The extent of the applicant's present distribution system; and
(d) The city's desire to prevent monopolies and promote equitable application of this chapter.
(E) It is unlawful to sell, give, or otherwise transfer in the city any raffle ticket, paddle ticket, or any other opportunity to participate in any gambling event not approved by the city pursuant to the provisions of the Statutes and Rules adopted by reference in § 113.01. This prohibition extends to any gambling event which would otherwise be allowed pursuant to the exemptions set forth in M.S. § 349.166 as it may be amended from time to time if the organization to which the exemption applies is located outside the city.
(Ord. 80, passed 5-12-92; Am. Ord. 0802, passed 3-11-08) Penalty, see § 10.99