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CR 2003-135 Charitable Gambling Premises Permit Applications By The Hopkins Area Haycees T . August 28, 2003 Council Report 2003-135 CHARITABLE GAMBLING PREMISES PERMIT APPLICATIONS BY THE HOPKINS AREA JAYCEES Staff recommends approval of the following motion: Move that the Hopkins City Council adopt Resolutions 2003-79, 80, and 81, approving the charitable gambling premises permits for the Hopkins Jaycees. ' Adoption of these resolutions will allow the Hopkins Area Jaycees continue to run the existing charitable gambling activities at the existing locations in the City of Hopkins. Overview The Jaycees have requested a renewal of their gambling license and premises permits at the following locations: . Mainstreet Bar and Grill, 814 Mainstreet . Lindees, 919 Cambridge Street . Hopkins Tavern on Main, 817-819 Mainstreet Primary Issues to Consider . Does this organization meet the criteria of the City's gambling policy? Yes . Has the organization conducted its past gambling operations in accordance with state and local laws? Yes Supporting Documents . Resolutions 2003- 79, 80, and 81 . Legislative Policy 4-A, Lawful Gambling . Statement of Revenues, Expenses and Changes in Profit Carry-over for the years ended December 31, 2002 and 2001 . Complete financial Statement and Independent Auditor'~ Report, Years ending December 31, 2001 and 2002 is available in the City Clerk's office . List of donations made by the Jaycees . Gambling License Application available in the City Clerk's office . Copies of Premises Lease Agreement T~.Clk erry ermaler, Ity er Council Report 2003-135 Page 2 . Alternatives 1. Approve Resolutions 2003-79, 2003-80 and 2003-81 allowing the Jaycees to continue the present gambling activities at the present locations. 2. Do not approve the resolutions with the result that the Jaycees will no longer have gambling in the City of Hopkins. 3. Approve some of the resolutions with the result that only those approved locations will be able to continue gambling operations. Staff recommends alternative one. . . CITY OF HOPKINS HENNEPIN COUNTY , MINNESOTA RESOLUTION 2003-79 RESOLUTION APPROVING A GAMBLING LICENSE FOR THE HOPKINS AREA JAYCEES WHEREAS, the Hopkins Area Jaycees have been an integral part of the Hopkins Community, and WHEREAS, the Hopkins Area Jaycees have applied for a gambling license to conduct lawful gambling in 2004 and 2005, and WHEREAS, the Hopkins Area Jaycees have conducted gambling activities in accordance with state law and Hopkins City Policy, NOW, THEREFORE, be it hereby resolved that the City Council of the City of Hopkins, Minnesota, approves the Hopkins Area Jaycees Premises Permit Renewal application for Lindees, 9'19 Cambridge Street, Hopkins. Adopted by the City Council of the City of Hopkins, Minnesota, this 2nd day of September, 2003. Eugene J. Maxwell, Mayor ATTEST: Terry Obermaier, City Clerk . CITY OF HOPKINS HENNEPIN COUNTY , MINNESOTA RESOLUTION 2003-80 RESOLUTION APPROVING A GAMBLING LICENSE FOR THE HOPKINS AREA JAYCEES WHEREAS, the Hopkins Area Jaycees have been an integral part of the Hopkins Community, and WHEREAS, the Hopkins Area Jaycees have applied for a g'ambling license to conduct lawful gambling in 2004 and 2005, and WHEREAS, the Hopkins Area Jaycees have conducted gambling activities in accordance with state law and Hopkins City Policy, . NOW, THEREFORE, be it hereby resolved that the City Council of the City of Hopkins, Minnesota, approves the Hopkins Area Jaycees Premises Permit Renewal application for Mainstreet Bar & Grill, 814 Mainstreet, Hopkins. Adopted by the City Council of the City of Hopkins, Minnesota, this 2nd day of September, 2003. Eugene J. Maxwell, Mayor ATTEST: Terry Obermaier, City Clerk . CITY OF HOPKINS HENNEPIN COUNTY , MINNESOTA RESOLUTION 2003-81 RESOLUTION APPROVING A GAMBLING LICENSE FOR THE HOPKINS AREA JAYCEES WHEREAS, the Hopkins Area Jaycees have been an integral part of the Hopkins Community, and WHEREAS, the Hopkins Area Jaycees have applied for a gambling license to conduct lawful gambling in 2004 and 2005, and WHEREAS, the Hopkins Area Jaycees have conducted gambling activities in accordance with state law and Hopkins City Policy, . NOW, THEREFORE, be it hereby resolved that the City Council of the City of Hopkins, Minnesota, approves the Hopkins Area Jaycees ,Premises Permit Renewal application for Hopkins Tavern on Main, 817/819 Mainstreet, Hopkins. Adopted by the City Council of the City of Hopkins, Minnesota, this 2nd day of September, 2003. . Eugene J. Maxwell, Mayor ATTEST: Terry Obermaier, City Clerk . POLICy'4-A LAWFUL GAMBLING 1. 1.01 PURPOSE 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 regi.stered Minnesota nonprofit corporation or an organization which is designated as exempt from the payment of income taxes by the Internal Revenue Code and whose principal location or office is within the City of Hopkins. 2.03 The organization defined in Section 2.02 must be engaged in its 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 voting members. 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. 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 fr9m the requirement for a gambling license according to M.S. 349.166. 2.06 A Class A license will only be approved for an organization that is licensed pursuant to Minnesota Statute, section 349.16, and that conducts gambling on premises that it owns and operates. 2.07 More than one organization, as defined in Section 2.02, may conduct gambling within a single owned, occupied or leased premise. More than one organization may jointly conduct a lawful gambling game at one location. However, two or more organizations shall not separately conduct the same game at the .same time at one location. . 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, 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 3.2 beer is served. Where intoxicating beverages are not s~rved 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. q 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 A fee of $100.00 shall be charged to all organizations submitting a Premises Permit Application or Applications for approval by the City. . ~..I \.I'" """................... . ""......, "'. HOPKINS JAYCEES, INC. (LICENSE # 02298) (MN 10# 7063456) STATEMENT.oF REVENUES, EXPENSES AND CHANGES IN PROFIT CARRY-OVER REGULATORY BASIS . FOR THE YEARS ENDED DECEMBER 31, 2002 AND 2001 .2002 2001 '1 AMOUNT PERCENTAGE AMOUNT PERCENTAGE I REVENUES Pull.Tab Receipts $ 5,926,189 80.7% $ 5,593,801 82.1% Raffle Receipts 542 0.0% 29,298 0.4% P~ddle Wheel Receipts 1.414.583 19.3% 1.189,142 17.5% Interest Income 0 0.0% 0 0.0% Revenues Collected $ 7.341.314 100.0% $ 6.812.241 100.0% COST OF REVENUES Pull-Tab Prizes $ 4.931.483 67.2% $ 4,640,785 68.1% I Raffle Prizes 641 0.0% 15,793 0.2% , Paddle Wheel Prizes 1.269.981 ~ 1.058.955 15.6% Cost of Revenues $ 6.202.107 84.5% 5.715.533 83.9% I :, GROSS PROFIT $ 1,139,207 15.5% $ 1.096,708 16.1% il .ALLOWABLE EXPENSES $ 668,611 9.1% $ 662.194 9.7% t J REVENUES IN EXCESS OF f ALLOWABLE EXPENSES $ 470.596 6.4% $ 434.514 6.4% ! l ".. LAWFUL PURPOSE EXPENDITURES J. Gambling Taxes: State 10% and Co~bined Receipts Tax $ 278,818 3.8% $ 261,797 3.8% IT ' State Ideal Gambling Taxes 133,647 1.8% 116.566 1.7% '~ Ideal Tax Refund (25,468) -0.3% (26.043) -0.3% if: 1 Total Gambling Taxes $ 386,977 5.3% $ 352,320 5.2% , , Board Approved Expenditures $ 0 0.0% $ 3,500 0.1% Program Expenditures 58,934 0.7% 94,378 1.3% 1 Prior Year Audit 4.000 0.1% 3.000 0.1% Total Lawful Purpose Expenditures $ 449.911 6.1% $ 453.196 6.7% 'it I REVENUES IN EXCESS OF EXPENSES f / BEFORE INCOME TAXES $ 20,685 0.3% $ (18,684) -0.3% ". i I INCOME TAXES 0 0.0% 0 0.0% \ :t ! REVENUES IN EXOESS OF EXPENSES $ 20,665 03% $ (18,684) -03% , i ) PROFIT CARRY-OVER BEGINNING (9.792) 8.892 PROFIT CARRY.OVER - ENDING $ 10893 $ 19 792\ If . See accompanying Notes to Financial Statements. (3) ,1.1 :::I: o "'0 ^ 5' C/) c.... Ol 'r5 (l) (l) C/) . ...... o' ::l C/) ...... -- (0 01 I 0> (0 ..... :::I: o "'0 ^ 5' C/) c.... Ol 'r5 (l) (l) C/) o o :J Ol _ o' ::l C/) ()) -- o ...... 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Minnesota Lawful Gambling , , LG215 Lease for Lawful Gambling Activity Name of legal owner ~f '?iemises Street address , City . l./"he Ikltfl/{) J..L..<:.- /:).9/8 ~<!J;$"t-I" ;11T/(~ Name of lessor Street address City (If same as legal owner, write In "SAME") . ;;oa~e~ 4.),~'" .,..d~/' ~<:.... Name of leased premises Street address J-IWOf;.(: 5 - I t1 CAM&R-\D&f::- Name of lessee (organizatiolJJeaslng e pre"11ses) Daytjme phone ('I \/'IS ~" cic;:,S q5J,-~1-0) Rent Information (for activity invoMng pull-tabs, t1pboards, paddlewheels, and pull-tab dispensing devices) Booth oper~tion - sales of gambling' equipment by an emplOyee (or Bar operation. sales of gambling equipment within a leased volunteer) of a licensed organization within a separate enclosure that is premises by an employee of the lessor from a common area where distinct from areas where food and beverages are sold. food and beverages are also sold. . 6/03 Page 1 of 2 . State tfJ1 " State Zip Daytime phone 9":9YS7lf} ~,j . Zip Daytime phone , 1;1!f . r-------DO~YO~~aniZati~~any~her~anlza~~nductgamblln9-------' . from a booth operation at this location? Yes _ No - L_______________~____________________~ If you answered yes to the question above, rent limits are based on the following combinations of operation: - Booth operation Booth op'eration and pull-tab dispensing device Booth operation and bar operation - Booth operation, bar operation, and pull-tab dispensIng device The maximum rent allowed may not exceed $1,750 In .total per month for all organizations at this premises, Complete one option: Option A: 0 to 10% oftqe}';oss profits per month. Percentage to be paid --fJ-L-% Option B: When gross profits are $4,000 or less per month, $0 to $400 per month may be paid. Amount to be paid $ Option C: $0 to $400 per month may be paid on the first $4,000 of gross profit. Amount to be paid $ . Plus 0% to 10% of the gross profits may be paid per month on gross profits over $4,000. Percentage to be paid % If you answered no to the question above, rent limits are based on the following combinations of operation: - Bar operation Bar operation with pull-tab dispensIng device Pull-tab dispensing device only The maximuni rent allowed may not ex<;eed $2,000 In' total per month for all organizations at this premises. Complete one option: Option A: 0 to 20% of the gross profits per month. Percentage to be paid % Option Bt When gross profits are $1,000 or less per month, $0 to $200 per month may be paid. Amount to be paid $ Option C: $0 to $200 per month may be paid on the first $1,000 . of gross profits. Am~unt to be paid.$ . Plus 0% to 20% of the gross profits may be paid per month on gross profits over $1,000. Percentage to be paid % NOTE: If there are any other terms or conditions for rent-related expenses, they must be Identified on page 2 under Acknowledgment of Lease Terms. Bingo and/or Bar Bingo OcCasions Rent Informatiom Bingo Rent for bingo and all other gambling activities Noon Hour Bingo Occasions conduct~(rduring a bingo occasion. may not exceed: Rent may not exceed $25 per day for noon hour · $200 per oCcasion for up to 6,000 square feet . $300 per occasion for up to 12,000 square feet .bingo conducted ,between 11 a.m. and 2 p.m. at a . $400 per occasion for more than 12,000 square feet premises with a license' for the sale of Intoxicating . $25 per occasion for bar bingo ronducted at any time In a beverages on the premises. bar (regardless of square footage). Your organization must conduct another form of lawful g'ambling, and the premises must serve Intoxica.ting liquor or 3.2 percent ,Rent to be paid per bingo occasion $ malt beverages. , Rent to be paid per bingo occasion $ Amended Lease Only If this Is an amended lease showing changes occurring during the term of the oJn'8nt premises pennit, both parties that signed the lease must Initial and date all changes. Changes must be submItted to the Gambling Control Board at least 10 days prlor to the change. Write in the date that the changes wlll be effective -.-1-.-1_' Lessor Date OrganIzation Date_ -~-----~_. . . . .- - .'; -----.----- LG215 Lease for Lawful Gambling Activity Lease Term - The term of this lease agreement will be cono.llTent with the premises pennit issued by the Gambling Control Board (Board). Management of Gambling Prohibited - The owner of the premises or the lessor will not manage the conduct of gambling at the premIses. Participation as Players' Prohibited - The lessor, the lessor's Immediate family, and any agents or gambling employees of the lessOr will not partldpate as players in the conduct of lawful gambling on the premises. Illegal Gambling · The lessor Is aware of the prohibition against illegal gambling In Minnesota Statutes 609.75, and the penalties for illegal gambling violations in Minnesota Rules 7861.0050, Subpart 3. · To the best of the lessor's knowledge, the lessor affirms that any and all games or devices located on the premises are not being used, and are not capable of being used, In a manner that violates the prohibitions against Illegal gambling in Minnesota Statutes 609.75, and the penalties for illegal gambling violations In Minnesota Rules 7861.0050, Subpart 3. · Notwithstanding Minnesota Rules 7861.0050, Subpart 3, an organization must continue making rent payments, pursuant to the terms of the lease, If the organization or Its agents are found to be solely responsible for any Illegal gambling conducted at that site that Is prohibited by Minnesota Rules 7861.0050, Subpart 1, or Minnesota Statutes 609.75, unless the organization's agents responSible for the illegal gambling activity are also agents or employees of the lessor.. · The lessor shall not modify or terminate the lease In whole or In part because the organizatIon reported to a state or local . law enforcement authority or the Board the occurrence at the site of Illegal gambling activity inwhlch the organization did not participate. Other Prohibitions · The lessor will not Impose restrictions on the organization with respect to providers (distributors) of gambling-related equipment and services or In the use of net profits for lawful purposes. 6/03 Page 2 of 2 · The lessor, the lessor's immediate family, and any agents or employees of the lessor will not require the organization to perfonn any action that would violate statute or rule. . If there is a dispute as to whether any of these' lease 'provisions have been violated, the lease will remain in effect pending a final " detennination by the Compliance Review Group (CRG) of the Gambling Control'Board. .. The lessor shall not modify or tennlnate this lease in whole or in part due to the lessor's violation of the provisions listed In this lease. Arbitration Process - The lessor agrees to arbitration when a violation of these lease prOVisions is alleged. The arbitrator shall be the CRG~ Access to permitted premises - The Board and its agentc;, the commissioners of revenue and publiC safety and their agents, and law enforcement personnel have access to the permitted premises at any reasonable time during the business hours of the lessor. The organization has access to the pennitted premiSes during any time reasonable and when necessary for the CDnduct of lawful gambling on the premises. Lessor records - The lessor shall maintain a record of all money received from the organization, and make the record available to the Board and its agents, and the commissioners of revenue and public safety and their agents upon demand. The record shall be maintained for a period of 3-1/2 years. . Rent all-inclusive - Amounts paid as rent by the organIzation to the lessor are all-lndusive (except bingo rent). No other services provided or contracted by the lessor may be paid by the organization, induding but not limited to trash'removal, janitorial and cleaning services, snow removal, lawn services, electricity, heat, securitY, security monitoring, storage, other utilities or services, and in the case of bar operations, compensation for cash shortages. Any other eXpenditures made by an organization that Is related to a leased premises must be app.roved by the director of the Gambling Control Board. Rent payments may not be made to an .lndMdual. fli; Questions on this fonn should be directed to the Licensing Section of the Gambling ntrol Board ThIs publication will be made available in alternative format (I.e: large print, Braille) upon request If you use a TrY, you can call the Board by using the Minnesota Relay Service and ask to place a call to 651-639-4000. The information requested on this form will become public information when received by the Board, and will be used to determine your compliance with Minnesota statutes and rules governing lawful gambling activities. . .. . - ..........-.-------.---- ~ -. ---- ---~~-- - Minnesota Lawful Gambling , LG215 Lease for Lawful Gambling Activity Street address . City f/?'tV sr: / City Name of legal ow ('"1, '7L:sJ. I ~ ' 2::> 'C:...VC- P. ~c.JJ.t""~ Name of lessor street address (If same ~gal o~te in "SAME") N o.flea~misgsl street ad~ ass ( ) , cMN .L If(V Na e oflessee (organization leasing the premises) I-fO N~ 5A vt{:,~ -- ~OL. Rent Information (for activity involving pull-tabs, tipbOards, paddlewheels, and pull-tab dispensing devices) Booth operation. sales of gambling' equipment by an employee (or Bar operation - sales of gambling equipment within a leased. volunteer) of a licensed organization within a separate enclOsure that Is premises by an employee of the lessor from a common area where distinct from areas where food and beverages are sold. food and beverages are also sold. 6/03 Page 1 of2 State . 111\1 State Zip J>~'I3 Zip /Gtus r---~~~-Do~~~~anlzaU;ORa~Cfuer~gan!%~n~nductgambling-----~-I from a booth operation at thIs locatIon? Yes _ No L____________________________________J If you ansWered yes to the question above, rent limits are based on the follOWing combinations of operation: - Booth operation Booth operation and pUll-tab dispensing device . Booth operation and bar operation . Booth operation, bar operation, and pUll-tab dispensing device , The maxlmum rent allowed may not exceed $1,750 In . total per month for all organizations aHilis premises. Complete one option: Option A: 0 to 10% OfjcrOSS profits per month. Percentage to be paid % Option B: When gross profits are $4,000 or less per month, $0 to $400 per month may be paid. Amount to be paid $ Option C: $0 to $400 per month may be paId on the first $4,000 of gross profit. Amount to be paid $ . Plus 0% to 10% of the gross profits may be paid per month on gross profits over $4,000. Percentage to be paid _% If you answered no to the question above, rent limits are based on the following combinations of operation: . Bar operation Bar operation with pUll-tab dispensing device - Pull-tab dispensing device only The maximuni rent allowed may not exceed $2,000 In total'per month for all organizations, at this premises. Complete one option: Option A: 0 to 20% of the gross profits per.month. Percentage to be paid % Option B;. When gross profits are $1,000 or less per month, $0 to $200 per month may be paid. . Amount to be paid $ Option C: $0 to $200 per month may be paid on the first $1,000 of gross profits. Amount to be paid.$ . Plus 0% to 20% of the gross profits may be paid per month on gross profits over $1,000. Pergentage to be paid % . NOTE: If there are any other terms or conditions for rent-related expenses, they must be Identified on page 2 under Acknowledgment of Lease Terms. Bingo and/or Bar Blng~'Occasions . Rent Information:. Bingo Rent for bingo and all other gambling activities Noon Hour Bingo Occasions conduct~cr during a bingo occasion may not exceed: Rent may not exceed $25 per day for noon hour' . . $200 per occasion for up to 6,000 square feet . $300 per occasion for up to 12,000 square feet bingo conducted between 11 a.m. and.2 'p.m. at a . $400 per occasion for more than 12,000 square feet premises with a license for the sale of Intoxicating . $25 per occasion for bar bingo conducted at any time In a beverages on the premises. bar (regardless of square footage). Your organization must conduct another form of lawful gambling, and the premises must serve Intoxica,t1ng liquor or 3.2 percent m.alt beverages. . Rent to be paid per bingo occasion $ If this is an amended lease showing changes occurring during the tenn of the current premises pennit, both parties that signed th~ lease must Initial and date all changes. Changes must be submitted to the Gambling Control Board at least 10 days prior to the change. Write in the date that the changes will be effective -1----1_. Lessor Date Organization Date_ Amended Lease Only Rent to be paid per bingo occasion $ ,:..:;:::..:;=="-=--..------ -- . 6/03 Page 2 of 2 · The lessor, the lessor's Immediate family, and any agents or employees of the lessor will not require the organization to perform any action that would violate statute or rule. . If there is a dispute as to whether any of these lease provish;ms have been violated, the lease will remain in effect pending a final determination by the Compliance Review Group (CRG) of the Gambling Control'Board. . The lessor shall not modify or termlnamthis lease in whole or In part due to the lessor's violation of the provisions listed In this lease. ' LG215 Lease for Lawful Gambling Activity Lease Term - The term of this lease agreement will be concurrent with the premises permit Issued by the Gambling Control Board (Board). Management of Gambling Prohibited. The owner of the premises or the lessor will not manage the conduct of gambling at the premiseS. . Participation as Players.Prohibited - The lessor, the lessor's Immediate family, and any agents or gambling employees of the lessor will not partldpate as players In the conduct of lawful gambling on the premises. . Illegal Gambling . The lessor is aware of the prohibition against illegal gambling in Minnesota Statutes 609.75, and the penalties for illegal gambling violations in Minnesota Rules 7861.0050, Subpart 3. · To the best of the lessor's knowledge, the. lessor affinns that any and all games or devices located qn the premises are not being used, and are not capable of being used, in a manner that violates the prohibitions against Illegal gambling In Minnesota Statutes 609.75, and the penalties for Illegal gambling violations In Minnesota Rules 7861.0050, Subpart 3. . Notwithstanding Minnesota Rules 7861.0050, Subpart 3, an organization must continue making rent payments, pursuant to the terms of the lease, If the organization or Its agents are found to be solely responsible for any Illegal gambling conducted at that site that Is prohibited by Minnesota Rules 7861.0050, Subpart 1, or MinneSota Statutes 609.75, unless the organization's agents responsible for the illegal gambling actlvity are l:llso agents or employees of the lessor.. ~ The lessor shall not modify or terminate the lease In Whole or In part because the organization reported to a state or local law enforcement authority or the Board the occurrence at the site of illegal gambling activity in which the organization did not partidpate. Other Prohibitions . The lessor will not Impose restrlctlons on the organization with respect to providers (distributors) of gambling-related equipment and services or in the use of net profits for lawful purposes. Arbitration Process - The lessor agrees to arbitration when a violation of these lease provisions Is alleged. The arbitrator shall be the CRG. '. Access to permitted premises - The Board and its agents, the commissioners of revenue and public safety and their agents, and law enforcement personnel have access to the pennitted premises at any reasonable time during the business hours of the I~or. The organization has access to the permitted premises duting any time reasonable and when necessary for the conduct of lawful gambling on the premises. Lessor records - The lessor shall maintain a record of all money received from the organization, and make the record available to the Board and its agents, and the commissioners of revenue and public safetY and their agents upon demand. The record. shall be maintained for a period of 3-1/2 years. Rent all-inclusive - Amounts paid as rent by the organization to the lessor are all-lndusive (except bingo rent). No other services provided or contracted by the lessor may be paid by the organization, Including but not limited to trash'removal, janitorial and cleaning services, snow removal, lawn services, electrldty, heat, security, security monitoring, storage, other utilities or services, and In the case of bar operations, compensation for cash shortages. Any oth'er expenditures made by an organization that Is related to a leased premises must be app.roved by the director of the Gambling Control Board. Rent payments may not be made to an Individual. Acknowledgment of Lease Terms. All 'obllgations and agreements are contained in or attached to this lease. I affirm that the lease information is the total and only agreement between the lessor and the organization. There Is no other agreement and no other consideration required between tI1e parties as to the lawful gambling and other matters related to the lease. "Any changes In this lease will be submitted to the Gambling' Control Board at least 10 days prior to the effective date of the change. Other Terms or conditions: ~fgn~ture .~f orgaf'zation official (Lessee) ~ (.0... W'-' ~~ ,. fTec)~, ,enroc..U " r c:. Print.- and f!!!.e 0 ~s. Questions on this fonn should be directed to the Ucenslng Section of the Gambling Control Boar (Board) at 651-639-4000. This publication will be made available In alternative format (i.e: large print, Braille) upon request. If you use a IT(, you can call the Board by using the Minnesota Relay Service and ask to place a call to 651-639-4000. The Information requested on this form will become public Information when received by the Board, and will be used to detennine your compliance with Minnesota statutes and rules governing lawful gambling activities. . t'., (,.~ Il1~ )---- . Minnesota Lawful Gambling . LG215. Lease for Lawful Gambling Activity Ci):y ,/ . Name of legal owner of premises V Street address 6/03 Page 1 of 2 r ,- - - - - - - Do;;; you~;;nizatlo;- OR any -;;ther -;ganlza'tlon -;onduct gambling -=-.- - - ,- - - ., from a booth operation at this location? _ Yes _ No L___~____~___________________________~ .' If you answered yes to the question above, rent limits are based on the following combinations of operation: - Booth operation . - Booth operation and pull-tab dispensing device Booth operation and bar operation - Booth operation, bar operation, and pUll-tab dispensing device . The maximum rent allowed may not exceed $1,750 In total per month for all organizations at this premises. Complete one option: . Option A: 0 to 10% of thr ~oss profits per mqnth. Percentage to be paid ' % Option B: When gross profits are $4,000 'or less per month, $0 to $4()0 per. month may be paid. Amount to be paid $ . . Option C: $0 to $400 per month may be paid on the first $4,000 of gross profit. Amount to be, paid $ . Plus 0% to 10% of the gross profits may be paid per month on gross profits over $4,000. Percentage to be paid % If you answered no to tile question above, rent limits are based on the following combinations of operation: - Bar operation' , . , - Bar operation with pull-tab dispensing device Pull-tab dispensing device only The maximum rent allowed may not exceed $2,000 in total per month for all organization~. at this premises. , Complete one option: Option A: 0 to 20% of the gross profits per month. Percentage to be paid % Option Bt When gross profits are $1,000 or less per month, $0 to $200 per month may be paid. Amount to be paid $ Option c: $0 to $200 per month may be paid on the first $1,000 of gross profits. Am9unt to be paid.$ . Plus 0% to . 20% of the gross profits may be paid per month on gross profits . over $1,000. Percentage to be paid % NOTE: If there are any other terms or conditions for rent-related expenses, they must be identified on page 2 under Acknowledgment of Lease Terms. Bingo and/or Bar Bingo 'Occasions Rent Information: Bingo Rent for bingo and all other gambling activities Noon Hour Bingo Occasions conduct~(r during a bingo occasion may not exceed: Rent may not exceed $25 per day for noon hour . $200 per occasion for up to 6,000 square feet . $300 per occasion for up to 12,000 square feet bingo conducted between 11 a.m. and 2 p.m. at a . $400 per occasion for more than 12,000 square feet premises with a license for the sale of Intoxicating . $25 per occasion for bar bingo conducted at any time in a beverages on the premises. bar (regardless of square footage). Your organization must conduct .another form of lawful gambling, and the premises must serve intoxica.ting liquor or 3.2 percent ~alt beverages. Rent to be paid per bingo occasion $ If this Is an amended lease showing changes occurring during the term of the a.rrrent premises permit, both parties Amended that signed the lease must initial and date all changes. Changes must be submitted to the Gambling Control Board Lease . at least 10 days prior to the change. Write in the date that the changes will be effective --1----1_. Only Lessor Date Organization Date_ Rent to be paid per bingo occasion $ o ' \7 It u i7~qPrJL U~ , .---..-.-------------iJ~ - ~-----J;6'- n ~~-~ ~-- (/~.----d.~-~f;-- cl~ ~ p... ~ to cf') n~"", -t>-_~ - ---,..--- - -- -~._._--- - .- . LG215 Lease for Lawful Gambling Activity 6/03 Page 2 of 2 Lease Term. The term of this lease agreement will be concurrent with the premises pennit issued by the Gambling Control Board (Board). Management of Gambling Prohibited - The owner of the premises Or the lessor will not manage the conduct of gambling at the premises. . Participation as Players-Prohibited - The lessor, the lessor's Immediate family, and any agents or gambling employees of the lessor will not partldpate as players in the conduct of lawful gambling on l:I1e premises. Illegal Gambling . The lessor is aWare of the prohibition against illegal gambling in Minnesota Statutes 609.75, and the penalties for illegal gambling violations In Minnesota Rules 7861.0050, Subpart 3. . To the best of the lessor's knowledge, the lessor affinns that any and all games or devices located on the premises are not being used, and are not capable of being used, in a manner that violates the prohibitions .against illegal gambling in Minnesota Statutes 609.75, and the penalties for illegal gambling violations in Minnesota Rules 7861.0050, Subpart 3. . Notwithstanding Minnesota Rules 7861.0050, Subpart 3, an organization must continue making rent payments, pursuant to the tenns of the lease, if the organization or its agents are found to be solely responSible for any illegal gambling conducted at that site that Is prohibited by Minnesota Rules 7861.0050, Subpart 1, or Minnesota Statutes 609.75, unless the organization's agents responSible for the illegal gambling activity are also agents or employees of the lessor.. . The lessor shall not modify or terminate the lease In whole or in part because the organization reported to a state or local .. law enforcement authority or the Board the occurrence at the site of Illegal gambling activity In which the organization did not partldpate. . Other Prohibitions . The lessor will not Impose restrictions on the organization with respect to prOViders (distributors) of gambling-related equipment . and services or in the use of net profits for lawful purposes. · The lessor, the lessor's immediate family, and any agents or employees of the lessor will not require the organization to perform any action that would violate statute or rule. · If there is a dispute as to whether any of these lease provisions have been violated, the lease will remain In effect pending a flnai determination by the Compliance Review Group (CRG) of the Gambling Control'Board. . · The lessor shall not modify or terminate-this lease In whole or In part due to the lessor's vioiatlon of the provisions listed in this. lease. Arbitration Process - The lessor agrees to arbitration when a violation of these lease provisions is alleged. The arbItrator shall be the CRG. Access to permitted premises - The Board and Its agents, the commissIoners of revenue and pUblic safety and theIr agents, and law enforcement personnel have access to the permitted premises at any reasonable time durtng the business hours of the lessor. . . The organization has access to the permitted premises during any . time reasonable and when necessary for the conduct of la~1 . gambling on the premises. Lessor records - The lessor shall maintain a record of all money . received from the organization, and make the record available to the Board and Its agents, and the commissioners of revenue and. pUblic safety and their agents upon demand. The record shall be maintained for a period of 3-1/2 years. Rent all-inclusive - Amounts paid as rent by the organization to the lessor are all-lndusive (except bingo rent). No other selVices provided or contracted by the lessor may be paid by the , organization, Including but not limited to trash'removal, janitorial and deaning services, snow removal, lawn services, electrldty, heat, seaJrity, security monitortng, storage, other utilities or services, and In the case of bar operations, compensation for cqsh shortages. Any other eXpenditures made by an organization that Is related to a leased premises must be apRroved by the director of the Gambling Control Board. Rent payments may not be made to an Individual. Acknowledgment of Lease Terms . All obligations and agreements are contained in or attached ID this lease. I llffirm that the lease information is the total and only . agreement between the lessor and the organization. There Is no other agreement and no other consideration required between the parties as to the lawful gambling and other matters related to the lease. Any changes In this lease will be submitted to the Gambling Control Board at least 1~ days prtor % ~ eff~J<~ate..of the change. . Other Terms or condItions: S ~ rf:::: - III J t ~fVtb (: ,1 A1tJ1 r Questions on this form should be directed to the licensing Section of the Gambling Control Board (Board) at 651-639-408 . This publication will be made available in alternative format (I.e: large print, Braille) upon request. If you use a l1Y, you can call the Board by using the Minnesota Relay Service and ask to place a call to 651-639-4000. The information requested on this form will become public Information when received by the Board, and will be used to determine your compliance with Minnesota statutes and rules governing lawful gambling activities. 7 ADMINISTRATIVE SERVICES DEPARTMENT MEMORANDUM To: FROM: DATE: SUBJECT: Honorable Mayor and Members of the City Council Steve Stahmer, Assistant to the City Manager ~ August 21, 2003 Completion of Hennepin County SW Corridor Rail Transit Study The Southwest Corridor Rail Transit Study, which was conducted by Hennepin County, officially concluded in July of 2003 with the final Policy Advisory Committee (PAC) meeting. The final study document is currently being assembled and formatted by County staff. The following memorandum summarizes the final recommendations made by the PAC, as well as other study findings directly relevant to the City of Hopkins. 1. Routes recommended by the PAC to be retained for future study include: 1A - From TH312 in Eden Prairie to downtown Minneapolis via the HCRRA property and the Kenilworth Corridor (Note: The PAC voted to include language labeling 1A as the "least preferred" alternative). 2A - From the Southwest Metro Transit Station in Eden Prairie to downtown Minneapolis via 1- 494, the HCRRA property, and the Kenilworth Corridor. . 3A - From Southwest Metro Transit Station in Eden Prairie to downtown Minneapolis via the Eden Prairie Center Mall, the Golden Triangle, Opus, downtown Hopkins, the HCRRA property and the Kenilworth Corridor (this is a modified version of the original 3A). 4A - From downtown Hopkins to downtown Minneapolis via the HCRRA property and the Kenilworth Corridor. 2. Hopkins parking requirements for retained alignments: Under the current parking assumptions for the routes recommended to be retained for future study, anywhere from 36% to 70% of the total parking demand associated with the rail line has been allocated to Hopkins, as detailed in the table below. . Parking Spaces in HODkins Total Parking All Route Route TH169 Blake Road Cities 1a From TH 312 to downtown Minneapolis via HCRRA ROWand the Kenilworth corridor. 1,360 300 4,560 2a From Southwest Metro Transit Station to downtown Minneapolis via 1-494, the HCRRA ROWand the Kenilworth corridor. 1 ,495 300 4,795 3a From Southwest Metro Transit Station to (original 3A) downtown Minneapolis via TH 169 and the Kenilworth corridor. 1 ,860* 300 4,560 4a From Hopkins to downtown Minneapolis via the HCRRA ROWand the Kenilworth corridor. 2,235 300 3,635 *Includes 200 spaces at end of the Hopkins spur. of' Next Steps At the August 26, 2003 Hopkins City Council meeting, County staff will be on hand to present the key study findings to the Council. In October 2003, County staff will present their final recommendations to the HCRRA board with regard to the next study phase. The HCRRA will make final decisions with regard to which routes, if any, are retained for future study. Hennepin County is currently discussing the possibility of a future study to delineate potential alignment alternatives from downtown Hopkins to Eden Prairie which would incorporate the major elements of the modified 3A route as described above. The County has been in contact with staff from the relevant cities and with a consultant who would potentially conduct the study. In preliminary discussions, potential general routes from Hopkins to Eden Prairie - which would serve downtown Hopkins, Opus in Minnetonka, and the Golden Triangle area in Eden Prairie (triangle formed by Highways 169,212 and 1-494) - have been discussed. Further meetings concerning this study are planned, and I will keep the Council apprised of this effort. The Hopkins Station Area Study, which Hennepin County has offered to fund, would begin sometime after the Hopkins-Eden Prairie route study is complete. Please let me know if you have any questions or comments regarding this matter. Thank you. . ...;~ -I Southwest Corridor Rail Transit Study STUDY PARTNERS Hennepin County Regional Railroad Authority E~en Prairie Minnetonka Hopkins St. Louis Park Minneapolis Metro Transit Southwest Metro Transit Metropolitan Council Three Rivers Park District Local Chambers of Commerce ~ SOUTHWEST NEWS Volume 5 August 2003 The Southwest Rail Transit Study was a joint effort of the Hennepin County Regional Railroad Authority (HCRRA) and the cities of Eden Prairie, Minnetonka, Hopkins, St. Louis Park, and Minneapolis. The purpose of the Study was to determine if rail transit is a feasible part of the overall transportation solution for the Southwest Metro Area. In July 2003, the Study concluded with a recommendation to continue further study of light rail transit (LRT) alignments. THE PROBLEM fACING THE REGION The Region Has Strong Residential and Emp/oyment GrowUJ = Increased Congestion GROWTH According to the US Census, this region added 430,000 new residents and 290,000 new jobs between 1990 and 2000, which equates to a 17% increase in population and a 23% increase in jobs. During this same period, cities in the Southwest Metro Area added 34,000 new residents and 37,000 new jobs. By 2030, this region will add 635,000 more people, 320,000 more households and 312,000 more jobs. Cities in the Southwest Metro Area are expected to add another 63,000 residents and 79,000 jobs. In 2030, these cities will account for 25% of all regional employment and 17% of residents. CONGESTION At the same time that the region is growing, congestion is projected to worsen at a faster rate than in the past due to increases in the amount of travel per person. Daily Vehicle Miles Traveled (VM1) is expected to increase faster (+38%) than population growth (+28%) over the next 25 years. The Texas Transportation Institute found that the Twin Cities' area is tied for second with Atlanta in the growth of congestion. Currently, 65% of freeway travel in the Twin Cities occurs under congested conditions. THE CHALLENGE This region must accommodate the projected growth while maintaining a competitive business environment and improving the region's quality of life. According to Mn/DOT, due to financial, physical, environmental and social constraints, roadway expansion to solve congestion is severely limited. Plans developed by Mn/DOT and the Metropolitan Council to manage the region's transportation system include both roadway and transit Improvements. A Southwest transitway was included along with improvements to area roadways such as Interstate 494 and Highways 100, 169, 62, and 212 in those regional transportation plans. SOUTHWEST TRANSITWAY GOALS . Improve mobility. . Provide a reliable/competitive travel choice. . Serve population and employment concentrations. . Provide for a seamless, integrated transit system. . Reasonable cost. . Enhance the environment. . Enhance the Study area & region's quality of life. . Promote economic development and redevelopment. r",';:':'~" ;>r, -;~~; ':>':"-':'''F':'P:~'''''''~~~~~'-;~-,-~~-k p~-,t._ W:~,;"'~~~:.~--r~~ ~-1'~~~'~~ ,~~> -:"~<"tt' 1,:'Yy,:,- " ,'" ". r..,.,. ';,~,. ~..., n;,f. ~~</\i':f~, <.~y~,1, y..t;;:;k'fJi{ }t';'.~~';~"')". f;t~'/<,,<:, "f'~'~')$. . \.,' '.;(" ': :..', ,<. ~,~~' < ,~,,~~W( .,~~." '~'<.f' I ,"'l:W,;" ',,' It < ~~'::tfN~,' ,,{ .:;~ ",,_$:~~::'''', ..."';'~".?,, '~<...:"',.~".~__"_".: ~~:~.)". ~~.:}"t r:,~jN'X"'jA"... .; .", ~".~::t' , ',,:~.<<'.....~ < 'NI(( ':k"" '< '... " '''<N~ ", ,,,,,,,,.:z.~,:............',. .... . :;.J . STUDY PROCESS The Study process included: . Soliciting input from the public, elected officials and agencies. . Evaluating rail transit technologies. . Evaluating rail transit routes. . Identifying potential social, economic and environmental impacts. . Estimating ridership and costs. . A Policy Advisory Committee (PAC) and a Technical Advisory Committee (TAC) guided the Study. The TAC provided technical input and prepared a technical recommendation based on Study findings. This TAC recommendation was submitted to the Southwest PAC, which provided policy oversight for the Study. The Southwest PAC was composed of elected officials or their representatives from Hennepin County, partner cities, agencies, and area businesses. The PAC concluded their work in July 2003 with a set of recommendations (see page 3) that were forwarded to the HCRRA. PUBLIC INVOlVEi\tlENT A key component of the Southwest Rail Transit Study was to engage and involve the public. . Thirteen community meetings were held to inform the public about the Study and to dialogue with them regarding rail transit. .. ~, ~'~._'- -~,' 1l!I--- ,'-'. .. ~ . Over 25 special meetings with neighborhood, community, and business groups were held. . 8 news releases were produced, resulting in more than 50 articles in local newspapers. . Rve newsletters were mailed to interested persons. . A web site was maintained with Study reports and meeting information. A statistically valid survey conducted in October 2002 showed that about 70% of area residents support building LRT to serve the Southwest Metro Area. Percent of Residents who Support or Oppose light Rat! In Th,s Area Nf:lJlrat No fWlrgs 7% ,% KEY STUDY FINDINGS IMPROVE MOBILITY A Southwest rail transitway is estimated to carry between 16,500 and 19,500 trips per day, and to reduce travel hours by 90,000 to 330,000 hours per year. COMPETITlVE TRAVEL CHOICE · A Southwest rail transitway would provide afternoon rush hour travel times that are competitive with the private automobile. Travelers would also benefit from a travel choice not subject to delays caused by weather, congestion and accidents. REASONABLE COST · The cost to construct a Southwest rail transitway is estimated to range from $431 to $926 million in 2010 dollars. . The annual cost to operate a Southwest rail transitway is estimated to range from $7 to $26 million. . In terms of capital and operating costs, a Southwest rail transitway is in the mid-range when compared to operational LRT lines across the country. TRAILS & RAILS CO-EXISTENCE . Trails and rails co-exist in many places around the country, including the Southwest metro area. . Existing right-of-way is wide enough for both trails (10 to 14 feet) and rails (30 to 35 feet). PERFORMANCE · When compared to operating LRT systems across the country, a Southwest rail transitway ranks in the middle in terms of cost-effectiveness, service efficiency and service effectiveness. SERVICE TO POPULATION & EMPLOYMENT . A Southwest rail transitway would serve over 31,000 households and over 200,000 jobs, which are currently located within a 1!2-mile radius of proposed stations. THE ENVIRONMENT . A Southwest rail transitway is projected to reduce carbon monoxide emissions by 72,000 to 180,000 tons annually. ECONOMIC DEVELOPMENT! REDEVELOPMENT . Opportunities exist at the proposed stations for development and redevelopment that is compatible with rail transit service. Examples include the Elmwood area of St. Louis Park, downtown Hopkins, the Golden Triangle in Eden Prairie and the Opus area of Minnetonka. POLICY ADVISORY COMMmEE RECOMMENDATIONS The Southwest PAC, a group composed of representatives from the County, the cities, transit agencies, trail agencies and businesses, met six times during the course of the Study and developed a recommendation for consideration by the HCRRA. The Southwest PAC recommended that study continue for LRT for the following four alternatives: lA: from TH 312 in Eden Prairie to dow~town Minneapolis via the HCRRA property and the Kenilworth Corridor. 2A: from the Southwest Metro Transit Station in Eden Prairie to downtown Minneapolis via 1-494, the HCRRA property, and the Kenilworth Corridor. 3A: from the Southwest Metro Transit station in Eden Prairie to downtown Minneapolis via the Eden Prairie Center Mall, the Golden Triangle, Opus, downtown Hopkins, the HCRRA property, and the Kenilworth Corridor. 4A: from downtown Hopkins to downtown Minneapolis via the HCRRA property and the Kenilworth Corridor. In addition, the next study phase will address a rail transit connection along the Midtown Greenway Corridor, environmental impacts and mitigation measures, public involvement, and retention of the trails. Plymouth '''-----~ I --F1 !den Jalleyl . I I I "'---t-- --c--.~--~ ~l;;~'-~~- 1.HCRRA(SWLRTT~n _,--- - ~ -=.: ~."\~' 1~ Dd/':,';;'/'i" 2-1494 ~ --~=-rt--~~" '-,' { 3-TH212ffHl69 'I' /". r--1' $ ~ _' J~ 4- Downtown Hopkins 'I . " I' ~ r . II A-Kenilworth I' + I ii .' / I )1' '\._ ,.~, I 169 -Mimel!lIt.Jl~ r I -:----,-.,.l,~-."., -:&-IJOh'__'_'" (i-OJ ~-p - ~!-- ~ "--~.\ - ~O'Wn. "I ~r I .~ -- 'n > Sl Louis Park j ,.--: I' ) I. . ~ -- - , ' I I IMinneapolis Deephaven ~ I Downtown ~._ " , - ' I ~ Hopkms t;.; . I _ .' ~~/ I i r) I ?vfin:~.~\r_/ /~ 4' ".: ,Lll--~~1ll -f- ~.I -, )" /'--'--'" ,\ -7~C>' L---t-,-L---_r_-l I l ' ! ___~)""-/ I .;#.,~ ,I 'I 'ill_ -- -, ~ 'L- 1--- .,--. Ij ~, \/ L.____; I . " I~ ~. ,3 'Edi ! ' / 1 j ~--~=r- -:--t\~_~ [j__ __/~ '-. , r~ ' ~' \, '. l.----l "" I, , !I 2 r : ~. ( I j ,j ~('.~-----" ::-i -,). ---T'Y\ """'-- I '~'" ! / '",:V I . , I I Bloomingtoo i I Richfield I j I \ i , \ ..."" I 01' , ~ i- -", \, '1,,_r'-!:.::l -- i '~ \ '. /. ,----~ ~, h, .' ",,- "^"j l.-l '., / ' p" >,MSP '" ~',,- ,il : F r ~ ( r ~/ \ \ \ , / / ! / ( The,Southwest PAC also recommended that the Diesel Multiple Unit (DMU) technology and LRT on Lyndale Avenue no longer be included in future studies. . ,1 -. .. -'" NEXT STEPS 1. The Southwest PAC recommendations and the Study findings were presented to the HCRRA on July 22, 2003. 2. During August/September 2003, the Study findings and recommendations will be presented to the five city councils. 3. In October of 2003, a staff recommendation on the next Study phase will be presented to the HCRRA for action. For more information, visit the Southwest Study web site at www.co.henneoin.mn.us/tcw/swhome.html. or call 612-348-9260. . 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