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HomeMy WebLinkAboutApprove for Introduction Ordinance No. 3704 Amending Chapter Council/Agency Meeting Held:_ 0Sf Deferred/Continued to. Approved ❑ Conditionally Approved ❑ Denied s City ler 's ignatu Council Meeting Date: 4/4/2005 Department ID Number: ICA 05-13 CITY OF HUNTINGTON BEACH REQUEST FOR CITY COUNCIL ACTION SUBMITTED TO: HONORABLE MAYOR CITY COUNCIL MEMBERS r-; SUBMITTED BY: JENNIFER MCGRAT lty Attorney PREPARED BY: JENNIFER MCGRATHty Attorney SUBJECT: Amend Chapter 5.64 of the Huntington Beach Municipal Code relating to Bingo Games. Fs:t,­met Issue, Funding Source,Recommended Action,Alternative Action(s),Analysis, Environmental Status,Attachment(s) Statement of Issue: Adoption of Ordinance No. �_ j O� to Amend Chapter 5.64 of the Huntington Beach Municipal Code to increase allowable administrative expenses. Funding Source: NIA `1 Recommended Action: Adopt Ordinance No.'--�9 An Ordinance of the City of Huntington Beach Amending Chapter 5.64 of the Huntington Beach Municipal Code Relating to Administrative Expenses for Bingo Games. Alternative Action(s): Do not adopt Ordinance No. Analysis: At the City Council meeting of March 7, 2005, Councilmember Debbie Cook submitted an H-Item requesting modifications to HBMC Chapter 5.64. The Huntington Beach Elks Lodge has approached the City asking that HBMC Section 5.64.110(b) be amended to bring it in alignment with the Revenue and Taxation Code. The California Revenue and Taxation Code allows $2,000 for administrative expenses incurred by organizations who sponsor Bingo Games. HBMC Section 5.64.110(b) permits only $1,000. This section was last updated 1993. City Council directed the City Attorney to prepare an amendment to Section 5.64.110(b) to increase the allowable expenses to $2,000, and this ordinance is submitted pursuant to that direction. fk-- REQUEST FOR ACTION MEETING DATE: 414/2005 DEPARTMENT ID NUMBER:CA 05-13 Environmental Status: NIA Attachmentfsl: NumberCity Clerk's Page . Description 1. An Ordinance of the City of Huntington Beach Amending Chapter 5.64 of the Huntington Beach Municipal Code Relating to Administrative Expenses for Bingo Games. Ors . Ale, 37,0, 2. Legislative Draft of Chapter 5.64 GARCM20051bingo 05.doc -2- 3/9/2005 2:40 PM ATTACHMENT # 1 ORDINANCE NO. 3704 AN ORDINANCE OF THE CITY OF HUNTINGTON BEACH AMENDING CHAPTER 5.64 OF THE HUNTINGTON BEACH MUNICIPAL CODE RELATING TO ADMINISTRATIVE EXPENSES FOR BINGO GAMES The City Council of the City of Huntington Beach does hereby ordain as follows: SECTION 1. Section 5.64.110(b)of the Huntington Beach Municipal Code is hereby amended to read as follows: 5.64.1 l0 Profits to be kel2t in separate fund or account. With respect to organizations exempt from payment of the bank and corporation tax by section 23701(d) of the Revenue and Taxation Code, all profits derived from a bingo game shall be kept in a special fund or account and shall not be commingled with any other fund or account. Such profits shall be used only for charitable purposes. With respect to other organizations authorized to conduct bingo games pursuant to this section,all proceeds derived from a bingo game shall be kept in a special fund or account and shall not be commingled with any other fund or account. Such proceeds shall be used only for charitable purposes,except as follows: (a) Such proceeds may be used for prizes. (b) A portion of such proceeds,not to exceed twenty(20%)percent of the proceeds before the deduction for prizes, or two thousand dollars($2,000)per month, whichever is less, may be used for rental of property, overhead, including the purchase of bingo equipment, administrative expenses, security equipment, and security personnel. (3190-5/93) The City of Huntington Beach, by and through its authorized officers, shall have the right to examine and audit all books and records of any permittee hereunder at any reasonable time and permittee shall fully cooperate with the City of Huntington Beach by making such books and records available. (2102-9/76,2220-10177) SECTION 1. This ordinance shall become effective 30 days after its adoption. PASSED AND ADOPTED by the City Council of the City of Huntington Beach at a regular meeting thereof held on the 18 th day of April , 2005. ATTEST: City le -a IVA REVIEWED AND APPROVED: APPROVED AS TO FORM: % City Adininistrator City ttorney INITIATED AND APPROVED: C14 Attorney b 05ordlchap 5.64 Ord. No. 3704 STATE OF CALIFORNIA ) COUNTY OF ORANGE } ss: CITY OF HUNTINGTON BEACH } I,JOAN L. FLYNN, the duly elected, qualified City Clerk of the City of Huntington Beach, and ex-officio Clerk of the City Council of said City, do hereby certify that the whole number of members of the City Council of the City of Huntington Beach is seven; that the foregoing ordinance was read to said City Council at a regular meeting thereof held on the 4th day of April, 2005,and was again read to said City Council at a regular meeting thereof held on the 18th day of April,_2005, and was passed and adopted by the affirmative vote of at least a majority of all the members of said City Council. AYES: Hansen, Coerper, Hardy, Green, Bohr, Cook NOES: Sullivan ABSENT: None ABSTAIN: None I,Joan L.Flynn,CITY CLERK of the City of Huntington Beach and ex-officio Clerk of the City Council,do hereby certify that a synopsis of this ordinance has been published in the Huntington Beach Fountain Valley Independent on April 29,2W5. In accordance with the City Charter of said City Joan L. Flynn,City Clerk (VClerk and ex-offici lerk _ Deputy City Clerk of the City Council of the City of Huntington Beach, California ATTAC H M E NT #2 ORDINANCE NO. 3 7 PIX LEGISLATIVE DRAFT Chapter 5.64 BINGO GAMES (2102-9/76,2220-10177,2446-9/80,2694-7184, Urg. Ord.2728-9184, 3137-6/92, 3190-5193) Sections: 5,64.010 Definitions 5.64.015 Permit--Required 5.64.020 Organizations eligible for city permit to conduct bingo games 5.64.030 Application for permit 5.64.040 Applicant must be qualified 5.64.050 Contents of application 5.64.060 Investigation of applicant 5.64.070 Contents of permit 5,64.080 Suspension of permit 5.64.090 Suspension of permit--Appeal procedure 5.64.100 Maximum amount of prize 5.64.110 Profits to be kept in separate fund or account 5.64.115 Disbursements from fund or account 5.64.120 Financial interest in permittee only 5.64,130 Exclusive operation by permittee 5.64.140 Bingo games open to public 5.64.150 Attendance limited to occupancy capacity 5.64.160 Bingo games conducted only on permittee's property 5.64.170 Minors not to participate 5.64.180 Intoxicated persons not to participate 5.64.190 Hours and days of operation 5.64.200 Participant must be present 5.64.010 Definitions. "Bingo game," as used in this chapter, means a game of chance in which prizes are awarded on the basis of designated numbers or symbols on a card which conform to numbers or symbols selected at random and which game is either: (a) Conducted among persons any or all of whom have paid or promised to pay, any valuable consideration for the right to participate in such game; or (b) Conducted among persons none of whom has paid, or promised to pay, any valuable consideration for the right to participate where the total value of the prizes awarded in such game exceeds twenty-five dollars ($25). (2102-9f76, 2220-10f77,2446-9/80) 5.64.015 Permit--Required. No person shall conduct any bingo game within the City of Huntington Beach without first obtaining a permit to do so from the City pursuant to this chapter. Any person conducting a bingo game without a permit to do so as required by this chapter shall be guilty of a MISDEMEANOR. (2220-10/77) 5.64.020 Organizations eligible for city permit to conduct bingo games. No person shall be eligible for a bingo permit unless such person is a mobilehome park association or a senior citizens organization or is an organization exempt from the payment of the bank and corporation tax by anyone of the following: sections 23701(a), 23701(b), 23701(d), 23701(e), 23701(f), 23701(g) or 23701(1) of the California Revenue and Taxation Code; and provided that the proceeds of such games are used only for charitable purposes. (2102-9/76, 2220-10/77) 5.64.030 Applications for permit. Eligible organizations desiring to obtain such permit to conduct bingo games in the City of Huntington Beach shall file an application in writing therefor legisdrft/MC0564 1 in the Office of the License Supervisor on a form to be provided by the License Supervisor. The issuing authority shall be the City Administrator. (2102-9176,2220-10177) 5.64.040 Applicant must be qualified. No permit shall be issued to any organization unless such applicant is an eligible organization under section 326.5 of the California Penal Code and section 5.64.020 of this chapter and its application conforms to the requirements, terms and conditions of this chapter. (2102-9176,2220-10177) 5.64.050 Contents of application. Said application for a permit shall contain the following: (a) The name of the applicant organization and a statement that applicant is an eligible organization under section 5.64.020. (b) The name and signature of at least two (2) officers, including the presiding officer, of the organization. (c) The particular property within the City of Huntington Beach, including the street number, owned or leased by the applicant, used by such applicant for an office or for performance of the purposes for which the applicant is organized, on which property bingo games will be conducted, together with the occupancy load as noted on the certificate of occupancy issued for such property. Nothing in this chapter shall be construed to require that the property owned or leased by the organization be used or leased exclusively by such organization. (d) Proposed days of week and hours of day for conduct of bingo games. (e) That the applicant agrees to conduct bingo games in strict accordance with the provisions of section 326.5 of the Penal Code and this chapter as they may be amended from time to time, and agrees that the permit to conduct bingo games may be revoked by the City Administrator upon violation of any of such provisions. (f) Said application shall be signed by the applicant under penalty of perjury. (g) An annual permit fee fixed by the City Council by resolution shall accompany the application. The annual fee, whether for the initial permit or renewal shall not exceed fifty dollars ($50). If an application for a license is denied, one-half of any license fee paid shall be refunded to the organization. (h) The applicant shall also submit, with its application, written proof that it is a mobilehome park association or a senior citizens organization or written proof from the state franchise board that it is an organization exempt from the payment of the bank and corporation tax by anyone of the following: sections 23701(a), 23701(b), 23701(d), 23701(e), 23701(f), 23701(g) or 23701(1) of the Revenue and Taxation Code of the state of California. Such written proof must be in a form acceptable to the City of Huntington Beach. (2102-9/76, 2220-10177) 5.64.060 Investigation of applicant. Upon receipt of the completed application and the fee, the finance director shall refer the same to interested departments of the City, including but not limited to the City Administrator, Police Department, and the Fire Department for investigation as to whether or not all the statements in the application are true and whether or not the property of the applicant qualifies, and the extent to which it qualifies, as property on which bingo games may lawfully be conducted as to fire, occupancy and other applicable restrictions. (2102-9176, 2220-10177) 5.64.070 Contents of permit. Upon being satisfied that the applicant is fully qualified under law to conduct bingo games in the City of Huntington Beach, the City Administrator shall issue a permit to said applicant, which shall contain the following information: (a) The name and nature of the organization to whom the permit is issued. legisdrR/MC0564 2 (b) The address where bingo games are authorized to be conducted. (c) The occupancy load is noted on the certificate of occupancy issued for the property in which bingo games are to be conducted. (d) The date of the expiration of such permit. (e) Such other information as may be necessary or desirable for the enforcement of the provisions of this chapter. (2102-9f76,2220-10f77) 5.64.080 Suspension of permit. (a) Whenever it appears to the City Administrator that the permittee is conducting a bingo game in violation of any of the provisions of this chapter, the City Administrator shall have the authority to suspend the permit and order the permittee to cease and desist immediately any fin-ther operation of any bingo game. (b) Any person who continues to conduct a bingo game after suspension thereof under subsection (a) above shall be guilty of a MISDEMEANOR. (2102-9176,2220-10177) 5.64.090 Suspension of Wrmit--Appeal procedure. The procedure for appeal following suspension of permit is as follows: (a) Within seven(7) days after the receipt of the notice of suspension, the applicant shall file a notice of appeal with the City Clerk, addressed to the City Council, and stating the basis of the appeal. (b) The City Clerk shall schedule a hearing to be held within fifteen(15) days of the filing of the notice of appeal. The City Clerk shall cause the applicant to be given notice of the hearing by certified mail at least five (5) days in advance of the date of the hearing. The applicant, or his designated representative,may appear before the City Council, and make an oral presentation of the appeal,or he may make the appeal through a written statement, or he may do both. The City Council shall rule on the appeal within fifteen(15) days after it is heard and such ruling shall be final. (2102-9f76,2220-10/77) 5,64.100 Maximum amount of prize. The total value of prizes awarded during the conduct of any bingo game shall not exceed two hundred fifty dollars ($250) in cash or kind,or both, for each separate game which is held. (2102-9176,2220-10/77) 5.64.110 Profits to be kept in separate fund or account. With respect to organizations exempt from payment of the bank and corporation tax by section 23701(d) of the Revenue and Taxation Code, all profits derived from a bingo game shall be kept in a special fund or account and shall not be commingled with any other fund or account. Such profits shall be used only for charitable purposes. With respect to other organizations authorized to conduct bingo games pursuant to this section,all proceeds derived from a bingo game shall be kept in a special fund or account and shall not be commingled with any other fund or account. Such proceeds shall be used only for charitable purposes, except as follows: (a) Such proceeds may be used for prizes. (b) A portion of such proceeds, not to exceed twenty(20%) percent of the proceeds before the deduction for prizes, or ene two thousand dollars ($1,099)($2,000)per month, whichever is less, may be used for rental of property, overhead, including the purchase of bingo equipment, administrative expenses, security equipment, and security personnel. (3190-5193) The City of Huntington Beach, by and through its authorized officers, shall have the night to examine and audit all books and records of any permittee hereunder at any reasonable time and Iegisdrft/MC4564 3 permittee shall fully cooperate with the City of Huntington Beach by making such books and records available. (2102-9/76, 2220-1 77) 5-64.115 Disbursements from fund or account. All disbursements from the special bingo fund or account shall be by consecutively-numbered checks, signed by two authorized officers of the permittee organization and shall be payable to a specific individual or organization. There shall be written on each check the nature of the expenditure for which the check is drawn. No checks shall be payable to "cash" except those written to establish and maintain a petty cash fund which shall contain no more than twenty-five dollars ($25)at any time. The check shall be marked "For deposit to petty cash fund." Any disbursement from the petty cash fund shall be evidenced by a receipt showing the amount, reason for disbursement, and the name of the individual or organization receiving the money. (2694-7/84) 5.64.120 Financial interest in permittee only. No individual, corporation,partnership, or other legal entity except the permittee, shall hold a financial interest in the conduct of such bingo game. (2102-9f76,2220-10/77) 5.64.130 Exclusive operation by permittee. (a) A bingo game shall be operated and staffed only by members of the permittee organization. Such members shall not receive a profit, wage or salary from any bingo game. Only the permittee shall operate such game, or participate in the promotion, supervision, or any other phase of such game. (b) One member of the permittee organization shall be designated as the "bingo manager," and shall be responsible for the conduct and operation of bingo games, and for compliance with all applicable laws, rules and regulations promulgated thereunder. (c) All staff members of permittee organization shall wear on the outside of their clothing an identification tag or badge, not less than 2 1/2" x 3 1/2" in dimension, bearing the name of the staff member and the permittee organization. (2102-9/76,2220-10177,2694-7/84) 5.64.140 Bingo games open to public. All bingo games shall be open to the public,not just to the members of the permittee organization. (2102-9/76,2220-10/77) 5.64.150 Attendance limited to occu anc ca acit . Notwithstanding that bingo games are open to the public, attendance at any bingo game shall be limited to the occupancy capacity of the room in which such game is conducted as determined by the Fire Department and Community Development Department of the City of Huntington Beach in accordance with applicable laws and regulations. Permittee shall not reserve seats or space for any person. (2102-9r76,2220-10/77) 5.64.160 Bingo games conducted only on permittee's property. A permittee shall conduct a bingo game only on property owned or leased by it, and which property is used by such organization for an office or for performance of the purposes for which the organization is organized. The permit issued under this chapter shall authorize the holder thereof to conduct bingo games only on such property, the address of which is stated in the application. In the event the described property ceases to be used as an office and as a place for performance of the purposes for which the permittee is organized, the permit shall have no further force or effect. A new permit may be obtained by an eligible organization, upon application under this chapter, when it again owns or leases property used by it for an office or for performance of the purposes for which the organization is organized. Nothing in this chapter shall be construed to require that the property owned or leased by the organization be used or leased exclusively by such organization. (2102-9I76,2220-10/77) 5.64.170 Minors not to participate. No person under the age of eighteen(1 S) years of age shall be allowed to participate in any bingo game- (2102-9/76,2220-10/77) 5/93 IegisdrftfMC0564 4 Huntington Beach Municipal Code 5.64.180--5.64.200 5.64.180 Intoxicated persons not to participate. No person who is obviously intoxicated shall be allowed to participate in a bingo game. (2102-9f76,2220-10177) 5.64.190 Hours and days of operation. No permittee shall conduct bingo games on more than one (1) day during any seven (7)day period, or more than six (6)hours out of any twenty-four (24)hours during such seven (7) day period. Provided, however, that one week each year, a permittee, upon written application to the City License Division, filed thirty (30) days prior to the first bingo game, after approval thereof,may conduct games either three (3)days during one seven(7)day period, or one game for no more than twelve(12)hours. Operation shall otherwise be in compliance with this chapter. No bingo games shall be conducted between 2 a.m. and 10 a.m. of any day. (2102-9176,2220-tom, 2446-9/80, Urg_ Ord. 2728-9/84, 3137-6/92) 5.64.200 Participant must be present. No person shall be allowed to participate in a bingo game unless the person is physically present at the time and place at which the bingo game is being conducted. (2102-9/76, 2220-10177) Eegisd&IMCO564 5 RCA ROUTING SHEET INITIATING DEPARTMENT: City Attorney SUBJECT: Amending Chapter 5.64 Relating to Bingo Games COUNCIL MEETING DATE: Aril 4, 2005 RCA ATTACHMENTS STATUS Ordinance (wlexhibits & legislative draft if applicable) Attached Not Appiicable ❑ Resolution (wlexhibits & legislative draft if applicable) Attached ❑ Not Applicable Tract Map, Location Map and/or other Exhibits Attached ❑ Not Applicable ❑ Contract/Agreement (wlexhibits if applicable) AttachedNot Applicable (Signed in full by the City Attorney) Attached ❑ Subleases, Third Party Agreements, etc. Not Applicable (Approved as to form by City Attome Certificates of Insurance (Approved b the City Attome Attached ❑ ( AP Y tY Y� Not Applicable Attached ❑ Fiscal Impact Statement (Unbudget, over $5,000) Not Applicable Attached ❑ Bonds (If applicable) Not Applicable Attached ❑ Staff Report (If applicable) Not Applicable Commission, Board or Committee Re ort If applicable Attached ❑ P ( PP ) Not Applicable Findings/Conditions for Approval and/or Denial Attached ElFindin g pp Not Applicable EXPLANATION FOR MISSING ATTACHMENTS REVIEWED RETURNED FOR A E. Administrative Staff Assistant City Administrator Initial City Administrator (initial) ) [City Clerk . EXPLANATION:FOR RFFWA til OF ITEM'. (Below • . For Only) RCA Author: McGrath H. B_ INDEPENDENT PUBLISH DATE: 4128/05 CITY OF HUNTINGTON BEACH LEGAL NOTICE ORDINANCE NO. 3704 Adopted by the City Council on APRIL 18, 2005 "AN ORDINANCE OF THE CITY OF HUNTINGTON BEACH AMENDING CHAPTER 5.64 OF THE HUNTINGTON BEACH MUNICIPAL CODE RELATING TO ADMINISTRATIVE EXPENSES FOR BINGO GAMES" SYNOPSIS: THIS ORDINANCE AMENDS THE HUNTINGTON BEACH MUNICIPAL CODE TO BRING IT IN ALIGNMENT WITH THE REVENUE AND TAXATION CODE. THE CALIFORNIA REVENUE AND TAXATION CODE ALLOWS$2000 FOR ADMINISTRATIVE EXPENSES INCURRED BY ORGANIZATIONS WHO SPONSOR BINGO GAMES. COPIES OF THIS ORDINANCE ARE AVAILABLE IN THE CITY CLERK'S OFFICE, PASSED AND ADOPTED by the City Council of the City of Huntington Beach at a regular meeting held April 18, 2005 by the following roll call vote: AYES: Hansen, Coerper, Hardy, Green, Bohr, Cook NOES: Sullivan, ABSENT: None This ordinance is effective 30 days after its adoption. CITY OF HUNTINGTON BEACH 2000 MAIN STREET HUNTINGTON BEACH, CA 92648 714-536-5227 JOAN L. FLYNN, CITY CLERK PROOF OF PUBLICATION STATE OF CALIFORNIA) ) ss. COUNTY OF ORANGE ) I am a Citizen of the United States and aut� cri��uH resident of the Countyaforesaid; I amca�NQt�c over the age of eighteen years, and not a a�otea�ytci�yr � = party to or interested in the below entitled AN ORDINANCE OF THE> - CiTY: DF HU.fVTINGTON,' - -_ matter. I am a principal clerk of the BfA'GH A'Nit N"DfNG CHAPTER 5.54 OF THE HUNTINGTON BEACH INDEPENDENT, HUNTINGTDN BEACH ; hPIl1.N.iCIf AL 'BODE RE-=: a newspaper of general circulation LATIIVG TU ADMINI$- _ s TRAT,IVE EXPENSES FDR:: printed and published in the City of SYiE..... Es'' TI�iS ORp{NANCE: Huntington Beach, County of Orange, AMENDS xrt;E HuN TiNGTON BEACN MU••.: State of California, and that attached NECFPA! COflE TO' BREHG IT IN: AlfGN-' ,_- ' -- Notice is a true and PY as complete co MENT vilfTH TIIE REv p ENUE ANp Al(ATfON was printed and published in the CODE THE C/ILiFORNiA REVENUE AND TEON.'. CObE -AEEOfNS '; � Huntington Beach issue of said s209� FOR ADMtNFS- TRA 'IVE EXt�ENSES! newspaper to wit the Issue(s) of: iNC1iRREfl •� osGA NTZATiONS� ytf•HQ;' SPQNSOR ':':BINGO.:`` COPSES OF:PHIS'ORpi=: NANCE•ARE AVAILAB.L.E;': OFFICE. APRIL 28,2005 PASSED AND 4DDPTED` by'iFe City Council of the CetY of Ifuntingtdn Beach et a`regular:i: meeting held Aprll 18,i 2(305:hy the ;fofiowing roll Dell vote ' AYESi Hansen,Caerper,. Hardy, Grven sohr,. f Cvvfc' I declare, under penalty of perjury, that NOES:Sullivan; ABSENT t¢ane . This ordinance is' the foregoing is true and correct. effective $0 days after l Its adoption. „ , CITY OF HUNTINGTONfiEACH j Executed on APRIL 28,2005 2bbOMA1NSTREEx 'HUNTlNCaTON BEACH, CA 92648 '714 53fi-5227 ' at Costa Mesa, California. ,OANl.FEXNN,CiTY ' Published Hu'ntmgton;,� t3each Independent Apr�1:€ Signature