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HomeMy WebLinkAbout1521 - ORDINANCES - 11/15/1995 ORDINANCE NO. 1521 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF PALM SPRINGS, CALIFORNIA, EXTENDING THE INTERIM ZONING REGULATIONS OF ORDINANCE 1488 FOR THE CONVERSION OF EXISTING HOTEL PROPERTIES TO CONDOMINIUM-HOTELS AS HEREIN DEFINED AND DECLARING THE URGENCY THEREOF. ' WHEREAS, the City Council has approved three conversions of existing hotel properties to condominium ownership, which will continue functioning primarily as hotel properties (i .e . condominium-hotels) ; and WHEREAS, the City of Palm Springs General Plan and Zoning Ordinance set forth maximum density allocations for hotels and for residential condominiums; and WHEREAS, the Zoning Ordinance sets forth property development standards and parking standards for hotels and for condominiums ; and WHEREAS, neither the Genera]. Plan nor Zoning Ordinance specifically define a condominium-hotel and the Zoning Ordinance does not set forth density criteria nor development standards for condominium- hotels; and WHEREAS, the City of Palm Springs (City) currently entails a number of existing hotels which are over the allowable density and are not in conformance with required development standards and are potential candidates for conversion to condominium ownership; and WHEREAS, condominium ownership of a hotel may involve different ' land use impacts in terms of parking needs, kitchen and living unit aspects, recreational and other amenities and other considerations which must be studied to determine what permanent regulations are appropriate; and WHEREAS, transient occupancy tax revenue constitutes a major portion of the City' s budget and the City wishes to study how conversion may be permitted while retaining the transient character of the occupancy to assure the City' s continued revenue base; and WHEREAS, changing market conditions have had the effect of rendering formerly productive hotel proper_•ties economically marginal and new ideas are needed to maintain these properties in a viable condition; and WHEREAS, existing hotel properties may have architectural or historic value to the community if properly restored and maintained; and WHEREAS, it is in the best interest of the community to evolve processes and regulations to ensure that existing hotel properties which are nonconforming to current standards have the ability to contribute economically while minimizing impacts to their neighborhoods and the community as a whole; anal ' WHEREAS, the City Council finds that a definition of condominium- hotels and the specific regulation of condominium-hotels must be established; and WHEREAS, on an interim basis until permanent regulations can be adopted the City wishes to allow conversions to proceed so long as they meet certain standards and are subject to Planning Commission and City Council review on a case by case basis through a conditional use permit; and �� 01521 Page 2 WHEREAS, the three hotel properties approved for conversions to condominium-hotels have not yet commenced to operate; and WHEREAS, the City will require additional time to assess the operation of the condominium-hotels in order to propose the appropriate and necessary regulations and standards ; and ' WHEREAS, the planning study being undertaken by the City is not complete, and other information is being sought; and WHEREAS, the City Council, on December 14, 1994, adopted Urgency Ordinance 1488 establishing interim zoning regulations for condominium-hotels and a definition of condominium-hotels, and on January 18, 1995 extended the provisions of said Urgency Ordinance for ten months and 15 days ; and WHEREAS, the City Council now wishes to extend the subject urgency ordinance for one, final additional year pursuant to Government Code Section 65858 . NOW, THEREFORE, BE IT RESOLVED, THE CITY COUNCIL OF THE CITY OF PALM SPRINGS, CALIFORNIA, DOES ORDAIN AS FOLLOWS : SECTION 1 . DECLARATION OF FACTS CONSTITUTING URGENCY. The City of Palm Springs hereby finds that this Ordinance is required to prevent a current and immediate threat to the public health, safety and welfare, in that the approval of conversion of existing hotel properties to condominium-hotel uses may result in that threat to public health, safety or welfare . The approval of requests for conversion of existing hotels to condominium-hotels could impact the integrity of the community and negatively impact the resort character of the City. Many existing hotel properties which could ' potentially be converted to hotel-condominiums are not in compliance with, including, but not limited to, property development standards, parking standards and density standards . The City does not set forth specific standards for condominium- hotels . Therefore the City needs to study the proper regulation of condominium-hotels . SECTION 2 . CONVERSION PROHIBITED EXCEPT IN ACCORDANCE WITH INTERIM STANDARDS . It is expressly declared that pursuant to the Zoning Ordinance, uses which are not expressly permitted or conditionally permitted are denied and since condominium-hotels are not a listed use, they are prohibited except in accordance with the provisions of this Ordinance . Therefore, during the period of the moratorium enacted hereunder, as stated in Section 9, throughout the City of Palm Springs, no hotel shall be permitted to convert to condominium ownership, no application shall be accepted or processed and no approval or permit shall be granted for such purpose, except in accordance with the interim standards contained herein. SECTION 3 . DEFINITIONS . USE OR OCCUPANCY OF LAND ON A CONDOMINIUM-HOTEL BASIS . A condominium-hotel shall constitute a common interest subdivision under the California Civil Code consistent with the Subdivision Map Act and the City of Palm Springs Subdivision Ordinance. Condominium-hotels shall be properly developed to hotel standards where units or blocks of units, including both occupiable hotel units (rooms/suites) and commercial areas, are owned by individual entities and where the property is operated as a hotel for short term transient occupancy by the equity owner of the commercial area or where the hotel property is operated by the owner association which could retain a management company for the on-going operation and management of the property. Unit owners are limited to a maximum of 180 total days of occupancy in any calendar year and all units shall be available for use by the hotel operator when not occupied by the owner. Additionally, governing documents (i .e . covenants, conditions and 01521 Page 3 restrictions) shall establish operational guidelines, responsibilities and enforcement mechanisms . The hotel operation shall be in the form and manner of a hotel including typical services ancillary thereto, such as front desk, check-in and check- out, bellhop service, maid service, room service, restaurant or food and beverage services and such other similar services which may be usual and customary for hotel operation. SECTION 4 . ZONES IN WHICH PERMITTED BY CONDITIONAL USE PERMIT. A ' condominium-hotel shall be permissible only in such zones and at the locations therein where a hotel use would be permitted as herein after provided. Zones in which such projects are permissible are the R-2 and R-3 zones . No condominium-hotel use shall be permitted in a. Planned Development:: District unless expressly shown or described on the approved development plan for such district . Condominium-hotels shall be prohibited in any case where a conditional use permit has not been applied for and approved or in any case where condominium by-laws or covenants, restrictions and/or conditions, expressly prohibit such use . Additionally, condominium-hotels shall be permissible only on properties which have been operated as hotels and shall not be permitted on properties operated as apartments or properties entailing existing residential condominiums . SECTION 5 . APPLICATION FOR A CONDOMINIUM-HOTEL, PROJECT .APPROVAL. An applicant for approval of a proposed condominium-hotel shall submit a complete conditional use permit application on a form as prescribed by the Director of Planning and Building, in addition to any other application, information or forms that may be necessary to complete a review of the subject application. SECTION 6 . TRANSIENT OCCUPANCY TAX APPLICABLE . All condominium- hotel projects shall be subject to the provisions of Chapters 3 . 24 , and. 3 . 28 of the Palm Springs Municipal Code . Individual owners of condominium-hotel units are not subject to this provision when occupying actual units owned. SECTION 7 . CONDOMINIUM-HOTEL, CONDITIONAL USE PERMIT. The City Council hereby finds that durin!3 the period of this moratorium, any request for the conversion of an existing hotel property to a condominium-hotel use shall require a Type II Conditional Use Permit (as well as compliance with the Section 9 . 62 of the Municipal Code regarding condominium conversions) . In addition to other considerations of a conditional use permit outlined in Section 9402 . 00 of the Zoning Ordinance, the Planning Commission and City Council may approve or deny an application for a conditional use permit in accordance with the general provisions regarding findings and conditions in Section 9402 . 00 . The Planning Commission and City Council may impose such conditions as it determines are necessary to protect the public safety, health, peace and welfare . Each use permit shall be issued with a condition attached that no condominium-hotel rights or entitlement shall be sold unless, at such time, there then exists a valid final subdivision public report nor offered for sale without a valid preliminary subdivision public report, for the sale of such condominium-hotel rights or entitlement, issued by the Department of Real Estate of the State of California. In determining whether, and under what conditions to issue any such conditional use permit, the Planning Commission and City Council, among other things, may consider: a. The impact of the condominium-hotel project on transient or permanent rental stock; b. The impact of condominium-hotel on present and future City services; 01521 Page� 4 c . Nonconformity with current zoning regulations including, but not limited to, density and property development standards as well as the General Plan, and reasonable conditions to eliminate same; d. Allowing time extensions for existing nonconforming zoning and parking regulations as related to ' Sections 9405 .00 and 9306 . 00 B. 3 , respectively; e . Nonconformity with existing uniform building and fire codes and reasonable conditions to eliminate same; f . The sign program proposed for the project; g. The landscaping proposed for the project; h. Traffic circulation and parking; i . The applicant' s description of the methods proposed to be employed to guarantee the future adequacy, stability and continuity of a satisfactory level of management and maintenance of the condominium- hotel; j . The desirability of requiring an office of the managing agent or agency be located locally or on- site, as appropriate; k. Int-erim hotel use prior to approval of final tract map for conversion to condominium ownership; and ' 1 . Any other factors deemed relevant and any other information which the Commission or the applicant considers necessary or desirable to an appropriate and proper consideration of the application. SECTION 8 . APPEALS FOR CONDITIONAL USE PERMIT APPLICATIONS . The provisions of Chapter 2 . 05 of the Palm Springs Municipal Code shall apply. SECTION 9 . EXTENSION OF INTERIM REGULATIONS . This Ordinance is intended to extend the interim regulations concerning the conversion of existing hotel properties to condominium-hotels as established in Ordinance 1488 . This Ordinance shall take effect immediately upon its adoption by at least a four-fifths vote of the City Council and shall remain in effect for one final year from the date of its adoption. SECTION 10 . URGENCY. The City Council hereby declares this Ordinance to be an urgency measure in accordance with Government Code Section 65858 . SECTION 11 . SEVERABILITY. It is the intention of the City Council that the sections, subsections, clauses and phrases of this Ordinance are severable, and if any portion of this Ordinance is for any reason held to be invalid or unconstitutional by a court of ' competent jurisdiction, such decision shall not affect the validity of the remainder of the Ordinance, and the City Council would have enacted such remainder without the portion found to be invalid or unconstitutional . Page 5 01521 SECTION 12 . PUBLICATION. The City Clerk of the City of Palm Springs shall certify to the passage and adoption of this Ordinance and shall cause the same to be posted and published in the manner required by law. ADOPTED this 15th day of November , 1995 . AYES : Members Kleindienst, Lyons, Reller-Spurgin and Mayor Maryanov , NOES : None ABSENT: Member Hodges ATTEST: CITY OF PALM SPRINGS, CALI:FORNIA � t Cit)ylClerk Mayor REVIEWED AND APPROVED,/ I HEREBY CERTIFY that the foregoing Ordinance 1521 was duly adopted by the City Council of the City of Palm Springs, California, in a meeting held on the 15th day of November, 1995 and that same was duly published in the DESERT SUN, a newspaper of general/circulation on --' � l� �=- \ UDITH SUMICH City Clerk ' Q1l 1 AN ORDINANCE OF THE PEOPLE OF THE CITY OF PALM SPRINGS, CALIFORNIA, ADOPTING AN AMENDMENT TO RECEIVED THE GENERAL PLAN FOR THE CITY OF PALM SPRINGS TO ALLOW LEGAL GAMING IN THE CITY OF PALM MAY 2 3 1SS35 SPRINGS, ADOPTING AN AMENDMENT TO PALM SPRINGS ' ZONING ORDINANCE TO ESTABLISH A GAMING CITY CLERK OVERLAY ZONE, AND AUTHORIZING THE ESTABLISHMENT OF GAMING CLUBS WITHIN THE CITY AND SPECIFYING CRITERIA THEREFOR WIIERF_.AS, the City established a Gaming Task Force by adoption of Resolution 18189 on October 6, 1993, to study whether the City should permit gaming as permitted by state law to complement the gaming activities promoted by the Tribe; and WHEREAS, the City's Gaming Task Force has spent many months studying the issue of permitting gaming clubs within the City, and has collected extensive data and published a preliminary report thereon; and WHEREAS, the report by the Gaming Task Force projected that licensed gaming operations within the City could generate up to $100 million in gross revenues, which would Provide the City with millions of dollars annually in taxes and license fees, as well as significantly increase hotel occupancy rates and directly and indirectly create vp to 2,000 jobs in the local economy; and ' WHEREAS, any gaming clubs authorized hereunder would be subject to strict regulations, conditions of approval, security measures, public review, and revocation proceedings in order to alleviate any negative impact on patron and community health, safety and welfare, as well as on the City's established tourist industry; and WHEREAS, the City of Palm Springs is in need of additional sources of revenue to fund essential public services, including police and fire protection services; and WHEREAS, gaming, if properly developed and regulated, can make a valuable contribution to the miz of activities available in the City to the tourist and thereby promote the City's tourism-based economy and all aspects of the hospitality industry; and VIBERF.AS, the people believe that games authorized by law are conducive to public morals when they are played and conducted according to all laws, rules, regulations, and provisions as set forth in this ordinance, and that a gaming club is not a public or private nuisance; and B/107 93.7/O BD INAN I.D LR/rM3/052795/12:05m FOOTNOTE: Section 9227.00 approved by Voters 11-7-95, effective December 15, 1995. Amendments as to location of gaming clubs requires Voter approval ; other amendments may be made by the City Council , upon a 4/5 vote. rt- A) Wy� L�l V Wf EREAS, the people believe that any gaming clubs developed in the City must be compatible with and complement the garnirig facility now being developed by the 'Tribe; and WHEREAS, the people believe. that it is in the best interests of the City of Palm Springs to amend the General Plan to allow for the development of gaming clubs in a gaming overlay zone; and ' WHEREAS, the people believe that it is in the best interests of the City of Palm Springs to amend Palm Springs Zoning Ordinance 1294 to provide for a gaming overlay zone; and WHEREAS, by enacting this initiative measure the voters intend to approve and allow gaming clubs within gaming overlay zones va Palm Springs in which any games permitted by law, such as draw poker, low-ball poker and panguingue (pan) are played. NOW, THEREFORE, THE PEOPLE OF THE CITY 01:1 PALM SPRINGS DO ORDAIN AS FOLLOWS: SECTION 1. The General Plan of the City of Palm Springs is hereby amended with the addition of a new paragraph 5 in the Chino Cone Area Plan section of the Community Developm,cn.t Element to read as follows: 5. The development of gaming facilities, as allowed by the laws of the State of California, may be permitted in conjunction with large-scale resorts or large-scale entertainment complexes. SECTION 2. The General Plan of the City of Palm Springs is hereby amended with the addition ' of the following in the High-Density Residential Land Use section of the Community Development Element: 3.8.4. The development of gaming facilities, as allowed by the laws of the State of California, may be permitted in conjunction with resort hotels which are located on a major thoroughfare and on a site which exceeds 16 ai=. SECT[ON 3. The General Plan of the City of Palm Springs is hereby amended with the addition of the following in the Large Scale Resorts Land Use section of the Community Development Element: 3.9.9. The development of gaming facilities, as allowed by the laws of the State of California, may be permitted in conjunction with ',large-scale resorts or large-scale entertainment complexes. B/10363.7/oaDINAN1.ar_wn cwosnvvaz:asp� _ 2 SECTION 4. The General Plan of the City of Palm Springs is hereby amended by adding a new policy numbered 3.11.4 in the Commercial Land Uses section of the Community Development Element, which policy shall provide as follows: 3.11.4 Allow for the development of gaming facilities as allowed by the ' laws of the State of California, which shall be located within gaming overlay zones established pursuant to the Palm Springs Zoning Ordinance. The gaming overlay zones would be appropriate in areas developed as resort hotels or large- scale mixed-use entertainment complexes, or in proximity to the downtown commercial core. SECTION 5. The General Plan of the City of Palm Springs is hereby amended with the addition of the following in the Downtown/Central Business District Land Use section of the Community Development Element: 3.15.19. Allow the development of gaming facilities, as allowed by the laws of the State of California, as a part of the entertainment component; such facilities shall be established only in conjunction with resort hotels, entertainment complexes or shopping centers. SECTION 6. Palm Springs Zoning Ordinance 1294 is hereby amended to add a new Section 9227.00, as follows: SECTION 9227.00 - "G" GAMING OVERLAY ZONE ' A. The economic growth and development of the City of Palm Springs will be fostered by the development of gaming establishments within the City of Palm Springs. The "G" Gaming Overlay Zone is intended primarily to provide for the development of such establishments while guarding against an unwanted proliferation of gaming establishments in locations which would not be compatible with the tourism goals of the General Plan and the needs of the residents of the City of Palm Springs. B. The "G" Zone may be established only in conjunction (as an overlay symbol) with other zones. C. Uses permitted shall be as provided in the underlying zone with which the "G" Zone is combined, provided that the underlying zone must be within one of the following areas, subject to consistency with the General Plan: (1) The Central H&10393.710 R➢INANI.➢MA(SA15 23 9 5112 05pm 3 Business District, (2) an Urban Reserve Zone or (3) .a Planned Development District. D. The locations of the "G" Gaming Overlay Zones are depicted on Exhibit "A" attached hereto and incorporated herein by , this reference. E. Use of the locations for gaming shall be permitted subject to compliance with state: and local laws. F. A Type II Conditional Use Permit, subject to review of both the Planning Commission and the City Council, must be obtained to allow gaming, on a specific site within the "G" Gaming Overlay Zone. Such Permit is subject to the findings that the proposed gaming facility is compatible with its surroundings and that the tourism goals of the General Plan are advanced by its approval. SECTION 7. That Chapter 11.12 of the:Palm Springs Municipal Code, entitled "Gambling" and consisting of Sections 11.12.010, 11.12.020, 11.12.030, 11.12.040, and 11.12.050, is hereby deleted in its entirety and is replaced by a new Chapter 11.12, entitled "Gaming Clubs," said Chapter to read as follows: .Cja rt r 1 12 JCA!MjG CLUBS ' Sections: 11.12.010 Gaming Prohibited Except in Regulated Clubs 11.12.020 Definitions 11.12.030 Games Permitted 11.12.040 Conditions for the Establishment of a Gaming Club 11.12.050 Number of Gaming Tables Permitted 11.12.060 Hours of Operation 11.12.070 Applications for Licenses 11.12.080 Licenses - Investigations and Reports 11.12.090 Licenses - Granting, Denial, Amendment and Transfer 11.12.100 Licenses - Grounds for Denial 11.12.110 Judicial Review of Decisions 11.12.120 Licenses - Issuance 11.12.130 Licenses - Expiration B/1 m 93.7/O RD INAN I.D LR/IM.4/W 2395112:45pm 4 11.12.140 Fees, Taxes and Assessments 11.12.150 Employment of Persons to Stimulate Play Prohibited 11.12.160 Modification or Revocation of Licenses 11.12.170 Employee Regulations 11.12.180 Patron and Community Security and Safety ' 11.12.190 Wagering Limits 11.12.200 Conflicts of Interest 11.12.210 Authority to Regulate Patrons and Employees 11.12.220 Amendment of Chapter 11.12.230 Not Applicable to Tribe 11�2 91��r.�nLnE Prohibited .x Pot in Re;�ated Clubs. (1) Except as otherwise provided by Section 11.12.230 herein, it shall be unlawful for any person (i) to play or bet at, (ii) to deal, carry on or conduct, whether as owner or employee, (iii) or to knowingly permit in any house, room or place owned by him or under his charge, any game played, conducted, dealt or carried on with cards, dice or other device, for money, checks, clips, credit, merchandise or other representations of value. This ordinance shall not apply to any game or mechanical device defined in Part 1, Tide 9, Chapter 10 of the California Penal Code (Section 330, g,f (2) Except as otherwise provided by Section 11.12.230 herein, it shall be unlawful for any person, for himself or herself, or for any other person, corporation, or other business entity to engage in or carry on, or to maintain or conduct, or cause to be engaged in, carried on, maintained or conducted, or share in the profits of, any gaming club in the City of Palm Springs without first having secured a license from the City to do so and without compliance with all of the provisions of this Chapter and state law pertaining to gaming clubs. No gaming operations shall be conducted in any location within the City unless so authorized under the provisions of this Chapter. (3) Games described below, when conducted in a licensed gaming club, are allowed. 11,12,020 Definitions. For the purpose of this Chapter, the words and phrases hereinafter set forth shall have the following meanings ascribed to them unless the context clearly requires to the contrary: (1) "Casino gaming" is defiled as banking or percentage table games, and mechanical or electronic games of chance and of mixed chance and skill. (2) "City" means the City of Palm Springs. H/l Q3IV.71O RD RUN I.D LRfIMNQ5 27 95nz34pm 5 1 (3) "Gaming club" means a business establishment licensed under the provisions of this Chapter for the playing of those games authorized under this Chapter, and shall include any business activities accessory thereto that are conducted on the premises, including, but not limited to, food, beverage, and valet services. (4) "Gaming club employer" means any natural person employed in the ' operation of a gaming club authorized under this Chapter, including, without limitation, dealers, floormen, security employees, count room personnel, cage personnel, collection personnel, surveillance personnel, data processing personnel, appropriate maintenance personnel, or any other natural person whose employment duties relate to gaming. (5) "Game" means any game as described in Section 11.12.030. (6) "Gaming" means the act of conducting or participating in games at a gaming club. (7) "Gross receipts" means and includes the total amount of revenue received by a Licensee directly derived from gaming conducted by the Licensee, including, but not limited to, seat or space rentals charged and received by a Licensee for the privilege of allowing a patron to participate in a game; provided, however, gross receipts shall not include fees charged to players when returned to players as tournament prizes or jackpots. No deduction from gross receipts shall be allowed for any purpose, including, but not limited.w, any charge, cost or expenses incurred by the Licensee in the conduct of a gaming club; provided, however, if casino gaming is allowed in California by any statutory or case law, ' then for that purpose a deduction from gross receipts shall be allowed for all payments made to patrons for their winning a wager. (8) "License" means a license issued by the City Council pursuant to this Chapter permitting the operation of a gaming club. (9) "Licensee" means the holder of a license. (10) "Table" means a table at which a game is played, having space for a dealer and players. (11) he Gaming Registration Act" refers to California Business and Professions Code Section 19800, g1�a�., which Act regulates laming clubs in the State of California. (12) "Tribe" means the Agua Caliente Band of Cahuilla Indians. rV1Q393.710RDINAN1.DLPJ ASIC57395112:U5pm - 6 1L12 030 Games Permitted. All legal gambling and games allowed under California law, as such laws may be amended from time to time, are permitted to be played in gaming clubs located in and licensed by the City, including but not limited to draw poker, lowball poker, pan, (pan), seven- , card stud, pai gow poker, and super pan 9. 11. 12.040 Conditions for the EstabLshment of a Gamino C huh, Gaming clubs may only be established if they qualify under subsection (1), below, and if they meet the conditions of subsections (2), (3), (4), (5) and (6) , below: (1) A Gaming club may be developed if located in an area with a Gaming Overlay 'Zoning designation as established pursuant to the Zoning Ordinance and General Plan Amendments established by this chapter. (2) The gaming club must be at least 20,000 square feet in area, not including any related hotel or other facilities except eating or other accessory uses directly serving the gaming club. (3) The operator of the gaming club must have a valid gaming license as provided iii Section 11.12.090. (4) The operator of the gaming club and owner of the property must have a valid conditional use permit for the use. ' (5) The Licensee shall comply with Section 19805 of the California Business and Professions Code. (6) No gaming club shall operate under any name which includes the term "card" or "cards." 11,12,050 Number of Gaming Table, grmitted. (1) No gaming club shall have less than thirty (30) nor more than tutu hundred (200) tables approved or in regular operation. (2) There shall be no more than 5W tables in the City. (3) Tables that operate irregularly shall not be counted for the purposes of the limitations imposed by this section. Irregular operation of tables means the limited operation of tables for temporary tournaments and other special events, as may be permitted by this Chapter and state law. H/1 Q193.710 RD¢urn.D uvnasro5 n v5 n z 65pm 7 11,12,060 Hours of Operation. Gaming clubs may operate up to twenty-four(24) hours per day. If the proposed gaming club site is located adjacent to residential zoned property, such hours may be restricted by the City Council as a condition of license or conditional use permit approval with respect to tbosc gaming clubs authorized pursuant to Section 11.12.040. ' 11,12,070 Applications for 1 iccn=. Subject to the provisions of this Chapter, any person who qualifies under Section 11.12.040, including a proposed transferee of an existing license, desiring to conduct a gaming club shall file with the City Manager a written application therefor. Each such application shall contain the following: (1) The date of the application. (2) The legal name of the applicant and any other name by which the applicant is or was known. (3) The status of the applicant, i.e., an individual, corporation, partnership, or joint venture. (4) Any person who shares in the profits of the gaming club, directly or indirectly, including a lessor if percentage rents are involved, shall be included in the application. (5) The name, residence, the business address and personal histories ' of each of the shareholders, officers, directors, partners, principals or joint venturers of such applicant. (6) The proposed site for the gaming club. (7) The type and nature of the games proposed to be played. (8) The number of tables to be placed in the gaming club. (9) The hours of operation. (10) A description of any accessory uses, including but not limited to food, beverage, and valet services, proposed to be conducted at the site. (11) A site plan depicting the building or buildings proposed for such usage. &1f383.7/ORDINAN1.D LR/3M8/05Z393/12:QSpm 8 (12) An acknowledgement by the applicant that: i) At all times during which the license is in existence, all buildings and structures located or to be located on the site shall conform to all applicable laws related to the occupancies proposed. ' ii) The applicant understands that the application will be considered by the City Council only after a full investigation and report have been made. iii) The applicant understands and agrees that any authorized accessory use conducted at the site by a Licensee shall be operated in full conformity with all applicable laws and that any violation of any applicable laws shall be grounds for revocation of the license. iv) The applicant is aware that all information submitted as a part of the application, or otherwise required hereunder to monitor operations of the gaming club, is public information and may be disclosed by the City. v) The applicant has read, understands and will abide by, as conditions of issuance upon a license, all of the provisions of this Chapter. (13) A full and complete audited financial statement relating to the applicant. Notwithstanding 12(iv) above, the financial statement shall be confidential and only released to City employees who have a need to know. (14) A detailed plan regarding proposed security measures to protect the safety of gaming club patrons and community residents. ' (15) Any other information reasonably required by the City Manager. er. (16) Payment of a deposit of$25,000, to defray the cost of processing the application, including the costs of conducting required investigations. Any unused portion of the deposit shall be refunded to the applicant. (17) A copy of the registration form filed by the applicant with the Attorney General pursuant to Section 19805 of the Gaming Registration Act. I I.12,080 Licence - TnvcsdgatiQn5 and Reno s. (1) Investigations Req iu red. Whenever an application for a license, or for the transfer of a license, has been filed with the City Manager, and accepted as complete, the City Manager shall immediately refer such application to the B/10393.7/O RDRIANI.D 13t/rMS/0573952•41pm __ 9 Chief of Police and other appropriate City officials, or City employed consultants, who shall cause an investigation to be conducted covering the following: i) An investigation of the site where the proposed gaming club will be conducted; ii) An investigation of the applicant, including the proposed ' officers, directory, partners, principals; and iii) An investigation as to the type of gaming to be conducted to insure compliance with state law. (2) Reports PNuired. The Chief of Police shall conduct the required investigations and shall file written reports with the City Council within sixty 1(60) days. (3) Updated Investigations. The Chief of Police shall have the right to require any applicant, Licensee or employee holding a work.permit to supply additional or updated information to that previously required of such person for use in any investigation being conducted by the Chief. Additionally, each such person shall cooperate in any such investigation undertaken by the Chief, or any other law enforcement official, and shall allow any and all relevant books, records, and accounts to be inspected and copied by the City. 11,12,090 Licenses - Granting. Denial. Amendment and Transfer. (1) Decision of the CLty uQ ncil. The City Council, subject to the , provisions of this Chapter, shall by resolution approve, conditionally approve or deny an application for the issuance, amendment of the conditions on issuance of a license, or transfer of a license. Such action shall take place after noticed public hearing, which notice shall be given as stated below. In all cases, the burden of proof is on the applicant to demonstrate entitlement to the issuance, amendment, or transfer of a license, except that where the City denies a license, the burden of proof by a preponderance of the evidence shall be on the.City to establish the standards set forth in Section 11.12.100. (2) Notice of Public Hearing. Notice of a public hearing to consider a gaming club application or amendment of an existing license shall contain the time and place of the hearing and the location of the proposed gaming club,.and shall, at least ten (10) days prior to the hearing, be posted on the official City Hall bulletin board, published in a newspaper of general circulation, and mailed to owners of record of property located within a radius of five hundred (500) feet of the exterior boundaries of the subject property. &7 QIE3.7P0 RDINAHI.DCR/rM.4/D52795/1ZI15pm 10 (3) Conditions. Any license which is ordered issued, amended, or transferred by the City Council shall be deemed issued or transferred subject to compliance with all applicable laws. The City Council may impose specific additional conditions of approval upon the issuance, amendment, or transfer of a license which in the exercise of its discretion it deems reasonably necessary to ensure compliance with applicable laws and public health, safety, and welfare. (4) Decision of the Citv Council penal. Subject to the provisions of Section 11.12.110, the decision of the City Council pertaining to the issuance or refusal to issue a license, or to permit or deny the amendment or transfer of an existing license, shall be final and conclusive. 11.12,100 Licenses - Grounds for Denial. The City Council, after hearing, shall deny an application for a license, or amendment or transfer of a license, if any of the following facts are found to exist_ (1) If the proposed gaming club or any accessory use is or will be operated in violation of any applicable state law. (2) If any applicant, including a corporate officer, director, shareholder, partner,joint venturer, or principal has been convicted of any crime involving moral turpitude, including, but not limited to, the crimes of bookmaking, loan sharking, illegal gambling, fraud, larceny, or any other felony involving bookmaking. ' (3) If any applicant has made any false statement on the application or as to any other information presented as part of the application process. (4) If the applicant does not have the financial capability to operate a high quality gaming club. (5) If the applicant does not have the business experience necessary to operate a high quality gaming club. (6) If the gaming club site, and all buildings or structures located or to be located thereon, do not meet the requirements of applicable laws relating to such usage. (7) If the proposed security and safety measures are inadequate to ensure excellent protection for patrons and the community. (8) If the proposed gaming club site does not meet the locational or other conditions of Section 11.12.040. Btl a383.7/o RDINMn.D LR/rM91252995r12.05pm . 11 1 (9) If the gaming club on the proposed site will be detrimental to the public health, safety, or general welfare. (10) If any person of the class of persons referred to in 11.12.070(5) is under 21 years of age. 11,12, 110 Judicial_ Review of Decisions. Judicial review of any decision of the City Council may be had pursuant to Section 1094.5 of the California Code of Civil Procedure only if the Petition for Writ of Mandate pursuant to said section is filed within the dyne limit specified in Section 1094.6 of trie California Code of Civil Procedure. Thereafter, all persons are barred from commencing or prosecuting any such action or proceeding or asserting any defense of invalidity or unreasonableness of such decision, proceeding, determinations or actions taken. 11,12,120 Licenses - Issua.ncs. (1) If the action of the City Council on any such application is to direct the issuance of the license, or to approve the transfer of an eyisting license, the City Manager shall in writing issue or transfer the license and any other permits so authorized, in a form as approved by the City Attorney, upon the payment of all fees, taxes, and deposits, required to be paid pursuant to this Chapter. (2) After a license is issued or transferred, the Licensee shall give written notice to the City Manager, within ten days, of any changes in ownership, officers, directors, partners, shareholders, principals or joint venturers. 11,12.130 Licenses - Expiration. ' Licenses lawfully issued under the provisions of this Chapter shall remains valid until surrendered or revoked pursuant to the provisions of this Chapter. Provided however, if a Licensee has not commenced doing business operating a Gaming club within three (3) years from the date the License was issued it shall expire and be of no further force and effect witiiout the necessity of the City taking any action to revoke it. 11,12,140 Fees. Taxes and Assessm n . The City Council may by ordinance or resolution prescribe such fees, charges, assessments or taxes, including but not limited to a gross receipts tax, on the establishment and. operation of Gaming clubs as the City Council shall determine appropriate, except to the extent limited by the City charter. 11,12,150 Employment of Persons to Stimulate Play Prohibited (1) It shall be unlawful for any Licensee, owner or employee to engage or persuade any person to participate in a game for the purpose of stimulating arm&3.7iorena4,vn.nwn.+s O5z3v5rz:32M 12 play where such person is to receive any reward, whether financial or otherwise, present or promised; or where such reward or revenue is to be diverted to the Licensee or an employee except as allowed under subsection (2). (2) The Licensee may utilize proposition players. A proposition player must wear a badge at all times identifying the player as an employee of the Licensee. Other than compensation for the time spent in acting in such activities as an employee of the Licensee, no gifts, rewards or any other thing of value shall be given to the proposition player by the Licensee or any employee. 11,12, 160 Modification or Revocation of Licenses. (1) General. All licenses and conditions of approval issued pursuant to the provisions of this Chapter shall be subject to modification and/or revocation in'the time and manner set forth in this Section. (2) Procedure. If the City Manager determines that good cause exists for the revocation of a license pursuant to the provisions of this Chapter, the City Manager, after conducting an investigation, shall issue an Order of Revocation. Such order shall state the reasons for its issuance and that the Licensee has thirty (30) days from receipt of the order to file an appeal with the City Council. The Order shall become final on the end of the thirtieth (30th) day following its issuance unless a written appeal is filed with the City Clerk appealing said Order. A final Order shall be deemed an order revoking the license to which it relates. No appeal with reference to an Order of Revocation shall be accepted for filing or processed if it is not timely filed, or if the appealing party fails to pay to the City Clerk the filing and processing fees, as set by City Council resolution, prior to or contemporaneously with the timely filing of the appeal. (3) Hearings. Any appeal relating to an order of revocation shall be heard by the City Council at a public hearing, notice of which shall be given in the same manner as stated in Section 11.12.090 (2). At the time set for hearing, the City Council shall hear the evidence presented by the City Manager purporting to show that grounds exist for revocation. The City Council shall permit the Licensee, and any other interested person, to present such competent evidence as may be relevant to establish or dispute the existence of any contested fact. The burden of proof, by a preponderance of the evidence, shall be upon the City to show the existence of the facts required to justify the revocation. (4) Grounds for Revocation. A license may be revoked if on appeal the City Council finds: sn m as.7ro rto Q+Arn.n uvr M.V C5zn s sr rm osp 13 i) That a licensee violated, or permitted, allowed, or caused the violation of, any provision of applicable law or any condition of approval imposed upon the issuance of the license; or ii) That a Licensee has made any fraudulent statement as to a , material fact on the Licensee's application or as to any other information presented as part of the application process; or iii) That a licensee has committed any act: which would have constituted grounds for the denial of an application for a license pursuant to the provisions of this Chapter; or iv) That a licensee has failed to timely pay any applicable annual or gross receipts tax levied, or any filing and pr=c sling fee imposed pursuant to the provisions of this Chapter. v) That a Licensee has failed to monitor or control its establishment or site, or persons either directly involved with or associated with the business, such that criminal activity is occurring in or around the site, and threatens the health, safety, or general welfare of the patrons, neighborhood, or community. (5) Decision of City Council. If, based upon the evidence presented, the City Council finds that facts are present which constitute grounds for revocation, the City Council may revoke the license. If the City Council finds that such facts are not present, it shall dismiss the proceeding. In the alternative, if the Council finds that certain facts exist which may constitute technical grounds ' for revocation, but are not so egregious as to justify revocation, the City Council may impose a fine not to exceed $2,500 per incident or amend the conditions of license approval in any manner as to reasonably promote the public health, safety or general welfare and compliance with applicable law. 11,12,170 Employes Regulation,. (1) No person shall be employed as a gaming club employee unless he or she is the holder of a work permit issued by the City. Applicable regulations for work permit application, issuance, denial, and revocation and a reasonable fee to cover City expenses shall be adopted by resolution of the City Council. AM work permits issued by the City shall be subject to the objections of the State Division of Gambling Control pursuant to state law. (2) A person shall be disqualified from working as a gaming club employee for any of the following reasons: Wla3E3.7/ORDINAtn.O r3UIM&052395I12.05pm _ 14 1 i) Conviction for any crime punishable as a felony, or a misdemeanor involving gambling, under the laws of California or of the United States. ii) Conviction for any crime involving dishonesty or moral turpitude within the ten year period immediately preceding the submission of the application, unless he or she has been granted relief pursuant to Penal Code Section 1203.4a or 1203.45. iii) Association with criminal profiteering activity or organized crime, as defined by Penal Code Section 186.2. iv) Contumacious defiance by the employee of any legislative investigatory body, or other official investigatory body of any state or of the United States, when that body is engaged in the investigation of crime relating to gambling; official corruption related to gambling activities; or criminal profiteering activity or organized crime, as defined by Section 186.2 of the Penal Code. v) The person is under twenty-one years of age. (3) Employment by a Licensee of a disqualified person as a gambling club employee shall be grounds for license revocation if the Licensee had knowledge of the basis for disqualification or failed to exercise reasonable care in ascertaining such disqualification. ' (4) It is unlawful for any Licensee or employee thereof to engage in the Iending of money, chips, tokens or anything of value, either real or promised, to any person for the purpose of allowing that person to eat, drink or participate in a game. 11,12,180 Patron and Community Securi andSafm- Patron and community security and safety is of the utmost importance in the estalilis haw lit, and operation of gaming clubs. The following safety and security rules have the force of law, and any violation thereof shall be considered a ground for license revocation, as well as criminal penalties as provided for in this Municipal Code. (1) No person under the age of twenty-one (21) years shall be permitted to enter a gaming club as a patron. Gaming club entrances shall be designed so as to easily facilitate the review of patrons' proof of age, and an employee shall be designated to perform this task during business hours. B/1Q3E3.7/ORD QPANI.DIJl/IM5/a52395/12:05pm 15 (2) No person who is visibly intoxicated or under the influence of drugs shall be allowed to participate in any game. (3) All gaming clubs shall be open for inspection to the City Manager, or his or her designee, at any time, without the necessity for a search warrant. (4) Rules of play for all games played in a gaming club shall first be ' filed with the City Manager. No games shall be played until its rules are so filed and are conspicuously posted in the gaming club and made available to the patrons in written form. (5) Doors, screens, or other obstructions of any kind shall not be placed so as to conceal tables at. which games are played, or so as to conceal the players in a game. (6) Gaming clubs shall employ licensed, bonded security guards in a number and manner so as to ensure excellent security and safety for patrons and the community at large. (7) Parking areas shall be well-lit and in such a configuration as to be easily viewed and patrolled by security' personnel. (8) Any security system shall incorporate extensive use of video cameras, both inside and outside of the facility. (9) Security measures appropriate for any individual gaming club shall be incorporated as conditions of license approval. Notwithstanding said , conditions, it shall be the responsibility of the gaming club to provide adequate security and the operation of the club shall not deplete law enforcement resources of the community. (10) If the City Manager finds that safety and security measures at any gaming club are inadequate to properly protect the health and safety of patrons and the community, and if a Licensee fails or refuses to comply with reasonable efforts by City personnel to improve such measures, the City Manager shall issue an Order of Revocation pursuant to the provisions of this Chapter. (11) It shall be unlawful for any person to attempt to gain any unfair advantage for any player in a game through a fraudulent technique or mechanical or electrical device. Prohibited cheating techniques include, but are not limited to, the following examples. It shall be unlawful for any person as a player- or dealer to attempt to deal, draw, distribute or burn any playing cards other than the top card of a deck. It shall be unlawful for any person to attempt: to prearrange or to shuffle any playing cards, other than in a random manner. It eitmu.7ionn a+ANn.n uvnisrusz+vsnzospm 16 _... . shall be unlawful for any person to attempt to alter in any way the shape, appearance, texture or number of cards in play, or to switch any card. It shall be unlawful for any person to attempt to use any apparatus to gain information not available to other players. The Licensee shall have the power to formulate reasonable policies and procedures to control potential cheating. These policies ' and procedures shall be published in the players' house rules. (12) Licensees, managers and gaming club employees may play in their own club. However, they may not play in any game during their work shift at a time when they are subject to making management decisions which might affect the outcome of that game. 11,12,190 WaaerinQ Limits. The gaming club shall set the limits, if any, on the amount any player may wager in any game played in a gaming club. Any limits shall be prominently displayed. Table limits may be changed with a one-half hour notice to the patrons. 11,12,200 Conflicts of Interest. No City Council Member, the City Manager or the Chief of Police, or members of their immediate families, may, during his or her term of service with the City or within twelve (12) months thereafter, acquire any ownership interest or employment in any gaming club facility, site, or operation. 11,12,210 Authority to Regulate Patrons and Employ . ' The Licensee may eject or exclude from any portion of the gaming club any individual who the Licensee or its agents, employees or managers, has reason to believe has engaged in or been convicted of boolanaking, sale of controlled substances, illegal gambling activities, solicitation for prostitution, cheating, nonpayment of written gaming credit instruments, or who is drunk, disorderly, or underage, or whose presence in or about gaming clubs would be inimical to the interests of legitimate gaming. No such ejection or exclusion shall be on the grounds of race, color, creed or sex. 11,12,220 Amendment of Chgpter. Due to the uncertain and changing nature of gambling regulations within the State,, including but not limited to developing statutory and case law and Indian gaming operations, there is a need for the City to possess the flexibility to quickly add to or amend provisions of this Chapter to meet changing circumstances. Therefore, the provisions of this Chapter may be amended or modified by ordinance adopted by a four-fifths majority of the entire membership of the City Council without submitting said ordinance to a vote of the electorate, except for the provisions of Sections 1, 2, and any other provisions governing the location of where gaming &103 53.7/O RD RIAN I.D LR/DAS/052395/1205pm 17 clubs can be established, which may only be amended by an ordinance adopted by the electorate. The provisions of this Section shall not prohibit the voters from enacting any amendment to this Chapter. 11,12,230 Not Applicable to Tribe. This Ordinance does not apply to gaming operations conducted by or gaming facilities , owned by the Agua Caliente Band of Cahuilla Indians when conducted or owned pursuant to the Indian Gaming Regulatory Act (25 U.S.C. 2701, rA SECTION 8. Should any section, subsection, clause, or provision of this Ordinance for any reason be held to be invalid or unconstitutional, such invalidity or unconstitutionality shall not affect the validity or constitutionality of the remaining portions of this Ordinance; it being hereby expressly declared that this Ordinance, and each section, subsection, sentence, clause and phrase hereof would have been prepared, proposed, and adopted by the people, irrespective of the fact that any one or more sections, subsections, sentences, clauses or phrases be declared invalid or unconstitutional. SECTION 9. Pursuant to Elections Code Section 9217, if the majority of the voters voting on this Ordinance vote in its favor, it shall become a valid and binding Ordinance ten (10) days after the vote is declared by the City Council. BIIM 3.7/DRDINANI.Dr DAWQ57391l1245pm . . 18 1