Request to Modify Legislative Policy 4-A Lawful Gambling Policy; Domeier
CITY OF HOPKINS
Memorandum
To: Honorable Mayor and Council Members
Mike Mornson, City Manager
From: Amy Domeier, City Clerk
Date: April 10, 2018
Subject: Request to Modify Legislative Policy 4-A Lawful Gambling Policy
_____________________________________________________________________
PURPOSE
Bob Byer, Owner of Mainstreet Bar & Grill on behalf of the Hopkins Youth Hockey
Association (HYHA) has submitted a request to amend the current City policy regulating
bar bingo. Mr. Byers and members of the HYHA will be present at the work session.
INFORMATION
Legislative Policy 4-A states that a permit or license to conduct bingo will only be
approved for an organization that is licensed pursuant to Minnesota Statute, Section
359.15, and that conducts lawful gambling on premises that it owns and operates. This
section shall not apply to the use of electronic bingo devices as defined in Minnesota
Statues, Section 349.12.
HYHA would like the policy amended so that organizations may conduct (paper) bingo
at premises they do not own and operate. The request outlines the association’s
concerns with the current restrictions and includes information on the donations to
programs from their charitable gambling proceeds.
Policy 4-A was last amended in 2013 when the Hopkins Hockey Youth Association
requested to be allowed to use electronic bingo devices.
FUTURE ACTION
If the Council is supportive of moving forward with an amendment, staff will review the
entire policy to ensure all language is up-to-date. It is anticipated this review would take
place in April and the amendment(s) would be considered in May.
CITY CLERK
To Whom it mat concern from the City of Hopkins:
Hopkins Youth Hockey Association would like to petition to change the Hopkins Ordinance prohibiting
the sale of Bingo cards and running Bar Bingo by organizations that do not own their building. This
ordinance is outdated and does not allow the bars in the City of Hopkins to compete with surrounding
communities. We are losing business in downtown Hopkins to neighboring cities that offer Bar Bingo.
We understand that the ordinance was put into effect to help the Legion and VFW and to not take
business away from those organizations. After many years of running pull tabs in the City of Hopkins,
HYHA knows that although there are some people that go between the VFW, Legion, Mainstreet Bar,
and Tuttles, the majority of the clientele do not. We do not think we will hinder business at the VFW or
Legion.
Hopkins Youth Hockey Charitable Gaming raises a lot of money for the youth of Hopkins as well as
donating to many other programs listed below:
• Hopkins High School boys and girls hockey
• Minneapolis Heart Institute Foundation
• ICA Food Shelf
• HYHA Hip-Check Hunger campaign
• Empty Bowls
• Stick it to Cancer
• Hopkins Fire Department
• Hopkins Police Department
• Hopkins Rotary Club
• Hopkins Area Little League
• Glen Lake Mighty Mites Optimist Field Improvement Project
• Burnes Park Improvement Project
• Family Resource Center
• Muscular Dystrophy Association
• Friends of the Hopkins Library
• Hopkins Education Foundation
• Hopkins Raspberry Festival
• Fraser House - Hopkins Court
• Sojourner Project
• West Suburban Alano Society
• Move Forward, formerly Teens Alone
• Omegon Inc.
• Ronald McDonald House
• Children's Cancer Research Fund
• Rein in Sarcoma
• Suicide Awareness Voices for Education
• Play Laugh Love!
• HYHA urges the City of Hopkins to consider that changing this ordinance would bring business into the
City. This, in turn, will increase the bottom line for the bars, for Hopkins Youth Hockey, the many other
charities we donate to, and the tax revenue collected by the city and the state,
Angela Quale, Gambling Manager, Hopkins Hockey Association
I would just like to add to this request by Angie and say I would like our establishment to have the same
opportunity other communities have in presenting a Bingo game run by their sponsoring charity. I am
sure these other communities have their American Legions and VFW’s. I’d also like to add we do our
share in donating to these local charities. Therefore, I would encourage this outdated ordinance be
removed from the City of Hopkins,
Best Regards,
Bob Byer, owner
Mainstreet Bar & Grill
POLICY 4-A
LAWFUL GAMBLING
1. PURPOSE
1.01 The purpose of this policy is to establish rules and procedures for lawful gambling in the
City of Hopkins.
2. REGULATIONS
2.01 Except as otherwise enumerated herein, the provisions of Minnesota Statute Chapter 349
relating to the definition of terms, licensing and restrictions of gambling are adopted and
made a part of the statement of policy promulgated by the City of Hopkins as if set out in
full
2.02 An applicant for a license shall be a registered Minnesota nonprofit corporation or an
organization which is designated as exempt from the payment of income taxes by the
Internal Revenue Code and has its principal or registered office, street address and zip code
within the City of Hopkins.
2.03 The organization defined in Section 2.02 must be engaged in its primary activities for the
benefit of the community within the City of Hopkins for at least five years on a perpetual,
continuous, uninterrupted basis and have at least 30 active members as defined in Minnesota
Statute Chapter 349.
2.04 Gambling allowed by the city shall be carried on only within premises owned, occupied or
leased by the organization except such activities permissible under M.S. 349.166.
2.05 No application for a premises permit will be approved for any organization to conduct
gambling on any premises other than the premises of an on-sale liquor licensee or the
premises of a fraternal, veterans or other non-profit organization. Notwithstanding any
other ordinance, statute or policy provision, no form of lawful gambling will be permitted at
any location which holds an on-sale brewer taproom license pursuant to the Hopkins Code
of Ordinances. In order for a fraternal, Veterans, or other non-profit organization to
conduct gambling on their premises, such premises must have been continuously owned and
occupied for a period of at least five years. No application for premises permit shall be
approved for any organization for a site established for the primary purpose of conducting
gambling. This section shall not apply to any organization which is exempt from the
requirement for a gambling license according to M.S. 349.166.
2.06 A permit or license to conduct bingo will only be approved for an organization that is
licensed pursuant to Minnesota Statute, section 349.16, and that conducts lawful gambling
on premises that it owns and operates. This section shall not apply to the use of electronic
bingo devices as defined in Minnesota Statute, section 349.12
2.07 Only one organization, as defined in Section 2.02, may conduct gambling within a single
owned, occupied or leased premise.
Legislative Policy Manual -- Chapter 4-C1
2.08 The operation of gambling devices and the conduct of bingo and raffles licensed or
approved pursuant to the authority granted to the City of Hopkins shall be carried on under
the supervision of a gambling manager designated by the organization. The gambling
manager shall be responsible for the operation of the gambling activity and the receipts and
profits generated from the operation.
2.09 The gambling manager shall be an active member of the organization issued the license and
shall qualify under state law.
2.10 Organizations seeking approval for a premises permit, that are not currently conducting
gambling in the City, must provide the City, in addition to the application forms, acopy of
the notice sent to the general membership announcing the meeting to authorize gambling
activities, and a copy of the minutes of a general membership meeting, where a quorum was
present, wherein the organization approved a motion authorizing the gambling activities.
2.11 Participants in raffles, paddlewheels, pull tabs and tip boards shall be restricted to
individuals who have attained the legal drinking age. This restriction only applies to
premises where liquor, wine, beer or liquor or 3.2 beer is served. Where intoxicating
beverages are not served the age shall be eighteen.
2.12 Organizations wishing to renew a gambling license must provide the City with a financial
audit of its lawful gambling activities and funds for the previous two years. The audit(s)
must be performed by an independent accountant licensed by the state of Minnesota.
2.13 In addition, such organizations must provide the City with information on all expenditures
of lawful gambling funds during the previous two years. Such information must include at a
minimum the name of the recipient, the amount of the expenditure or contribution, and a
brief description of how the expenditure or contribution meets the definition of "lawful
purposes" as defined in M.S. 349.12. The City reserves the right to require additional
documentation from licensed organizations, or organizations seeking licenses, as it deems
necessary.
2.14 An investigation fee of $100.00 shall be charged to all organizations submitting a Premises
Permit Application or Applications for approval by the City.
2.15 The City shall receive 10% of net profits from organizations conducting gambling in leased
premises. (The City never adopted an ordinance enacting this provision as required by MN
Statute 349.213, Sub.1 (f) (2).)
Established 11/19/85 by Resolution 85-3218
Revised 10/5/1993
Revised 4/19/94
Revised 12/16/97
Revised 8/19/2003
Revised 3/5/2013
Revised 8/20/2013
City of Hopkins
Legislative Policy Manual -- Chapter 4-C2