CITY OF COON RAPIDS, MINNESOTA
CHAPTER 5-2000
LAWFUL GAMBLING

5-2001 Application of Chapter 5-100. The provisions of Chapter 5-100 will apply to this Chapter to the extent applicable and authorized by law.

5-2002 Purpose. The purpose of this Chapter is to regulate and control the location of lawful gambling activities and to ensure that profits derived from gambling activities in the City of Coon Rapids provide, to the extent authorized by law, direct benefits to the citizens of Coon Rapids.

5-2003 Definitions. For the purposes of this Chapter, the following words and terms will have the meanings given them:

(1) “Board” means the state Gambling Control Board.
(2) “Lawful Gambling” means the operation of gambling activities by an organization eligible for a license from the Board to conduct such activities.
(3) “Net Profits,” “Lawful Purpose,” and “Allowable Expense” will have the meanings provided in Minnesota Statutes Section 349.12 as may be amended from time to time.
(4) “Premises Permit” means a resolution adopted by the City Council authorizing the named organization to operate lawful gambling activities at a specified location in the City.
(5) “Trade Area” includes the cities of Coon Rapids, Andover, Anoka, Blaine, Brooklyn Park, Champlin, and Fridley.

5-2004 License Required. Except as specifically exempted by this Chapter, no organization may operate lawful gambling activities in the City of Coon Rapids without a license issued by the Board.

5-2005 Premises Permit. No organization may obtain a new or renewal premises permit, or maintain a premises permit, unless the organization and the location of the lawful gambling activities remain in full compliance with the provisions of this Chapter and all state laws relating to lawful gambling as those laws may be amended from time to time. Only one premises permit may be issued to any particular location in the City. No organization may maintain more than three (3) lawful gambling locations in the City at one time, except that an organization operating lawful gambling activities at more than three (3) locations as of May 1, 2003, may continue to operate at those same locations pursuant to the following conditions:

(1) The organization complies with all other state and local lawful gambling laws and ordinances.
(2) Each location continues to qualify as a lawful gambling premises.
(3) No lawful gambling activity is moved to a new location unless the organization is in conformance with the three (3) location limitation.
(4) When a premises permit has lapsed or been revoked at a location for any reason, the organization may not commence operations at that location unless the organization is in conformance with the three location limitation. [Revised 5/6/03, Ordinance 1802]

5-2006 Approved Organizations. In order to be eligible for a premises permit, an organization must meet each of the following requirements:

(1) Meet all the qualifications for a lawful gambling license issued by the Board.
(2) Have had a principal business or operations location in the City of Coon Rapids for a continuous period of at least two years immediately preceding the permit request and maintain such a location as long as the organization operates lawful gambling activities in the City.
(3) One third of its members reside in the City of Coon Rapids. Member residency must be provided to the City with each new or renewal application for a premises permit.

5-2007 Application. Application for a new or renewal premises permit must be made to the City Clerk on forms provided by the Board and on such additional forms as may be required by the City.

5-2008 Investigation Fee. Organizations applying for a new or renewal premises permit must pay an investigation fee of $250 which must accompany the application. The investigation fee will reimburse the City for its costs incidental to a background check of the organization.

5-2009 Net Profits. Net profits of a lawful gambling activity located in the City must be expended as follows:

(1) At least 10% per year of an organization’s net profits must be expended for lawful purposes within the City of Coon Rapids.
(2) No less than 60% per year of the organization’s net profits must be expended for lawful purposes within the City’s Trade Area. This expenditure may include the requirements of paragraph (1) above.
(3) Failure to agree to or comply with the provisions of this section will constitute grounds for the revocation of a premises permit or the disapproval of an application for a new or renewal permit.
(4) Prior to making a proposed expenditure, an organization may request a City Council determination that the expenditure complies with the provisions of this section.

5-2010 Reporting Requirements. Each organization operating a lawful gambling activity in the City must provide the City with copies of all reporting documents submitted to the Board. In addition, an organization that operates lawful gambling activities in other communities must provide separate documentation showing the gross receipts, expenses, profits, and expenditures of profits from its Coon Rapids operation alone. All such documents must be submitted to the City Clerk in such form and at such times as they are submitted to the Board. The City may from time to time require additional reporting as may be necessary to carry out the intent of this Chapter.

5-2011 Revocation. The City Council may by resolution revoke the premises permit of any organization that does not comply with the requirements of this Chapter or state lawful gambling laws as those laws may be amended and revised from time to time. Prior to adopting a revocation resolution, the organization will be given at least ten (10) days notice of the time, date, and place of the revocation hearing. At the hearing the organization may appear with or without counsel and submit evidence on its behalf. A resolution revoking a premises permit must include the basis for that action. A certified copy of the resolution will be forwarded to the Board.

5-2012 Exceptions. This Chapter does not apply to any lawful gambling activities that do not require a license from the Board.