Calexico Municipal Code Ch. 5.41 Licensing and Regulation of Card Clubs

For the purposes of this chapter, unless otherwise apparent from the context, certain words and phrases used in this chapter are defined as follows:

A. "City" means the city of Calexico.

B. "Commence" means and includes commence, begin, initiate, start, open, and establish.

C. "Conduct" means and includes conduct, transact, maintain, prosecute, practice, manage, operate, and carry on.

D. "Employee" means every person, either as agent, employee, or otherwise, of the owner, as owner, or under the direction of the owner of any card club.

E. "Owner" means every person, firm, association, partnership, corporation, or other entity having any interest, legal or equitable, in any card club or card club license.

F. "Person" means and includes a natural person or any other legal entity which owns, operates, or proposes to operate a card club in the city.

G. "Pointholder" means any person having any interest whatsoever, or at all, in the ownership of a card club, whether legal, equitable or of whatsoever kind of character.

H. "City manager" means the city manager of the city.

I. "Purport to commence" and "purport to conduct" means and includes any showing, representation, indication, or action which:

1. By means of sign, advertisement, or advertising matter, whether in, upon or about any premises or otherwise; or

2. By the appearance or arrangement of any premises; or

3. By the acts or statements of any person, or by the agents, servants, or employees of any person, indicates, suggests, holds out, or represents that any person is, would be, or appears to be conducting or in a position to conduct any business referred to in this chapter within the city.

J. "Playing cards" or "card game" means the playing of draw poker, panguingue, low ball draw poker, hold'em, mah jong, pai gow, and tein gow, and any other game not prohibited by state law if the playing of any such other game is first specifically approved by a resolution adopted by the council, provided such games are not played as banking or percentage games.

K. "Game" or "games" means draw poker, panguinque, low ball draw poker, hold'em, mah jong, pai gow and tein gow, and any other game not prohibited by state law if the playing of any such other game is first specifically approved by a resolution adopted by the council, provided such games are not played as banking or percentage games.

L. "License" means a license or permit for the playing of draw poker, panguinque, low ball poker, hold'em, mah jong, pai gow, and tein gow, and any other game not prohibited by state law if the playing of any such other game is first specifically approved by a resolution adopted by the council, provided such games are not played as banking or percentage games.

M. "Card club" means a business or enterprise licensed under the provisions of this chapter for the playing of draw poker, panguinque, low ball draw poker, hold'em, mah jong, pai gow, and tein gow, and any other game not prohibited by state law if the playing of any such other game is first specifically approved by a resolution adopted by the council, provided such games are not played as banking or percentage games.

"Card club" specifically means a business or enterprise licensed under the provisions of this chapter with six or more tables which are used in the conducting or operating of the business or enterprise licensed under this chapter.

Any business or enterprise with five or less tables shall be licensed under the provisions of Chapter 5.40 of the Calexico Municipal Code.

(Ord. 873 § 1 (part), 1986)

It shall be unlawful for any person to commence or conduct, or purport to commence or purport to conduct, within the city any business, activity, enterprise, undertaking, or place where tables or other items or units of furniture are used directly or indirectly for playing cards or card games and for the use of which a fee, commission, or compensation is directly or indirectly charged, accepted, or received from players or participants in any such playing of games until such person shall have first obtained a license to do so under and in compliance with the provisions of this chapter.

(Ord. 873 § 1 (part), 1986)

Subject to the provisions of Section 5.41.020 and subject to the provisions of this chapter, any person desiring or proposing to commence or conduct any business, activity, enterprise, undertaking, or place named, designated, specified, or referred to in this chapter for the playing of draw poker, panguinque, low ball draw poker, hold'em, mah jong, pai gow, and tein gow, and any other game not prohibited by state law if the playing of any such other game is first specifically approved by a resolution adopted by the council, shall file with the city manager a written application for a license to do so as required by the provisions of this chapter. Concurrently with the filing of the application, each person identified therein shall be fingerprinted by the city manager or his designee, and no application shall be deemed filed until the fingerprinting has been completed. Each such application shall contain, and clearly and truthfully, under penalty of perjury, set forth and show, in addition to such other information as the city manager shall require, the following information:

A. The date of the application;

B. The true name of the applicant and any other name by which the applicant has been known;

C. The status of the applicant as being an individual, firm, association, partnership, joint venture, or corporation;

D. If the applicant is an individual, the residence and business address of the applicant;

E. If the applicant is other than an individual, the true name, residence, and business address of each pointholder, partner, and officer of the applicant and any other names by which such pointholders, partners, and officers have been known;

F. A full and complete financial statement of the applicant, whether an individual, corporation, partnership, or other entity, and a full and complete financial statement of each pointholder, partner, and officer of the applicant. The financial statements required by this subsection shall be deemed confidential in character and shall not be open to public inspection but shall be available to those city officials having jurisdiction over the provisions of this chapter and to any court of competent jurisdiction where any matter relating thereto may be actively pending;

G. That the type and nature of the games proposed to be played shall be draw poker, panquinque, and low ball only and that no other games are proposed;

H. The number of tables or other units to be placed, employed, or used;

I. The proposed location of the business for which the license is sought and evidence of the ownership or control of such proposed location;

J. A description of any other business conducted or proposed to be conducted at the same location;

K. A description of the building proposed for such usage;

L. A statement that such building will conform to all the laws of the state and the city for occupancies of the nature proposed;

M. A statement that no intoxicating liquors or beverages are to be sold, given away, dispensed, consumed, or otherwise permitted in the card room. For the purposes of this section, "card room" shall be defined as the card playing area. The specific locations for the dispensing of alcoholic beverages shall be confined to the bar and cocktail lounge areas and restaurant and coffee shop areas;

N. A statement that the applicant understands that the application shall be considered by the council only after a full investigation and report have been made by the city manager;

O. A statement that the applicant understands and agrees that any business or activity conducted or operated under any licensed issued under such application shall be operated in full conformity with all the laws of the state and the laws and regulations of the city applicable thereto and that any violation of any such laws or regulations in such place of business, or in connection therewith, shall render any license therefor subject to immediate suspension or revocation;

P. A statement that the applicant has read the provisions of this chapter and particularly the provisions of this section and understands such provisions.

(Ord. 873 § 1 (part), 1986)

For the purposes of clarification, the license fees set forth in this chapter are for both regulation and revenue purposes and are levied pursuant to the authority of applicable laws. Each such application for any license shall be accompanied by fees and deposits payable to the city as follows:

A. An application fee of five hundred and no/100ths dollars per person identified in the application in accordance with Section 5.41.030, which fee shall be retained by the city for the payment of the costs of the investigation; and

B. A license fee deposit of five thousand and no/100ths dollars which shall be the property of, and retained by, the city. In the event the license applied for is issued, the license fee deposit described in this subsection shall be applied as a credit toward the gross revenue license fee described in Section 5.41.060. This deposit must be maintained by the licensee at five thousand and no/100ths dollars, monthly. In the event the license applied for is not issued, the license fee deposit described in this subsection shall be returned to the applicant.

(Ord. 873 § 1 (part), 1986)

A. In case of a new application, an initial license fee of five thousand and no/100ths dollars shall be paid in advance to the city when the license is issued. An additional one hundred fifty and no/100ths dollars license fee per table shall be paid by the licensee for any tables over twelve tables.

B. Subsequent to commencing or conducting business pursuant to the license, a quarterly license fee of five thousand and no/100ths dollars plus any additional table fee shall be payable in advance each quarter of each calendar year on January 1, April 1, July 1, and October 1. The city may increase the quarterly license fee after review to a maximum of seven thousand and no/100ths dollars per quarter.

C. The initial and quarterly license fees referred to in this section shall become the absolute property of the city and shall not be refunded to any licensee, nor shall any such fee be prorated in any manner whatsoever, and, in the event of the cessation of such business, whether voluntary or involuntary, no refund of the initial or quarterly fee shall be made.

(Ord. 873 § 1 (part), 1986)

A. Amount. In addition to the basic license fees prescribed by Section 5.41.050, each licensee licensed pursuant to the provisions of this chapter shall pay to the city a quarterly fee equal to six percent of monthly gross revenues up to eighty thousand and no/100ths dollars from the card club operation, and a quarterly fee equal to eight percent of monthly gross revenues over eighty thousand and no/100ths dollars from the card club operation. Such payment shall be made to the city not later than thirty days after the end of each calendar quarter during which such gross revenues on which it was computed were received by the licensee.

B. The maximum gross revenue license fees to be charged by the city shall be eleven percent of the gross revenue received by the licensee from the card club operation authorized by this chapter.

C. Statement of Revenue. Each licensee shall file with the city manager before the thirtieth day following the end of the calendar quarter a statement, under oath, showing the true and correct amount of gross revenue derived from the card game business licensed by the license issued to or held by such licensee for the preceding calendar quarter. Such statement shall be prepared by a certified public accountant and shall be accompanied by the payment of the correct amount of license fee due and owing in accordance with the provisions of subsection (A) of this section, and such sums correctly reflecting the quarterly fees payable for the preceding quarter shall be accepted by the city, subject, however, to the right of the city to audit the matters referred to in the statement and to determine the correctness of the figures set forth in such statement and the amount payable to the city pursuant to the provisions of subsection (A) of this section.

In addition, a certification shall be attached to the statement, or included therein, which certification or declaration shall be substantially in the following form:

"I hereby declare under penalty or perjury that the foregoing is true and correct.

_____ Licensee, managing partner, or owner."

C. Audits of Reports. The books, records, and accounts of any card club may be audited by the city, and an audit to be performed by a qualified accountant or city official who shall be selected by the council and/or city manager. Any information obtained pursuant to the provisions of this section or any statement filed by the licensee shall be deemed confidential in character and shall not be subject to public inspection, but shall be available to those city officials having jurisdiction over the provisions of this chapter and to any court of competent jurisdiction where any matter relating thereto may be actively pending. In the event the licensee's statement rendered to the city is understated by one percent or more, the licensee shall bear the cost of the city's audit; otherwise the city shall bear such cost.

D. Refusal to Display Records. Any failure or refusal of any such licensee to make and file any statement as required within the time required, or to pay such sums by way of license fees when the fees are due and payable in accordance with the provisions of this chapter, or to permit an inspection of such books, records, and accounts of such licensee shall be and constitute full and sufficient grounds for the suspension and revocation of the license of any such licensee.

(Ord. 873 § 1 (part), 1986)

A. Investigations Required. Whenever an application has been filed with the city manager for a license pursuant to the provisions of this chapter, the city manager shall make, or cause to be made, an investigation as follows:

1. A full and complete investigation of the applicant (including its pointholders, partners, and officers);

2. A full and complete investigation of the building and location where the applicant proposes to conduct such business or activity; and

3. A full and complete review as to the type of tables or units to be used at, or in connection with, the proposed business and the rules for and type of games proposed to be played, which review shall also include the proposed locations of the tables or other units in, within, or about the proposed place of business.

B. Reports Required. The city manager shall make such investigation with reasonable promptness, and shall report to the council with reference thereto in due time, and shall make investigations with reasonable promptness as to all matters within his jurisdiction concerning the public health, welfare, and safety as may be concerned with such application.

C. Reports Prerequisite to Council Consideration. The council shall not consider any application for a license until such time as the city manager has filed his reports with the council.

D. Time of Filing Reports. All such reports shall be filed with the council within a period of sixty days after the applications have been filed with the city manager.

E. Action in Absence of Reports. In the event any of such reports is not filed within such sixty day period, the council shall have the right to proceed further without such reports and either grant, with or without conditions, or deny the application in the sole discretion of the council.

(Ord. 873 § 1 (part), 1986)

A. Consideration by the Council. Whenever an application for a license is presented to the council, and the deposits required by this chapter in connection therewith have been made with the city manager, the council shall cause to be given at least ten days published notice of its intent to consider whether such license should be issued. The council shall also give at least five days mailed notice to the applicant of the time and place of such hearing.

B. Decisions of the Council. The council, in its discretion, may either approve the application and grant the license applied for or deny the application and refuse to grant the license applied for.

C. License Conditions. Any such license granted by the council shall be deemed conditioned so as to require compliance with all of the terms, conditions, and provisions of this chapter, shall further be conditioned upon the applicant agreement to hold the city harmless, including the payment of all court costs and legal fees, with respect to any and all claims and actions prosecuted against the city concerning the validating or legality of the license or any other provisions of this chapter and may additionally contain any other conditions the council may impose as expressed conditions of approval.

D. Decisions of the Council Final. The decision of the council to approve any such application and grant the license applied for therein, or to deny any such application and refuse to grant the license applied for therein, shall be final and conclusive.

E. Applicant's Acceptance of the Council's Decision. The applicant shall agree that the sole and exclusive discretion as to the granting or denial of any such license shall be vested in the council.

(Ord. 873 § 1 (part), 1986)

The council shall not authorize the issuance of any license under the provisions of this chapter in any of the following cases:

A. If the proposed business or activity to be operated is in violation of any state or city law or regulation;

B. If the game for which a license is applied for is unlawful; or

C. If the building and premises will not conform to the building and zoning regulations of the city.

(Ord. 873 § 1 (part), 1986)

If the action of the council on any such application is to grant the application, the city manager shall thereupon issue the necessary licenses and renewals of licenses, upon the payment of the required fees, therefor, until such time as the license is either surrendered, suspended, or revoked.

(Ord. 873 § 1 (part), 1986)

A. Expiration. Every license issued pursuant to the provisions of this chapter shall be dated as of the day upon which the license is issued and, unless sooner revoked, shall stay in effect until the license is either surrendered, suspended, or revoked. A license, and all rights of the licensee thereunder, shall expire and be revoked by operation of law if the licensee fails to commence the operation of a card club within one year after the date of the issuance of such license.

B. Refunds. In the event of the surrender, suspension, revocation, or expiration of any license issued pursuant to the provisions of this chapter, no license deposit or fee, or any portion thereof, shall be refunded.

(Ord. 873 § 1 (part), 1986)

Any transfer or assignment of any license shall be considered for all purposes in the same manner as a new application for a card club license in the city, and all the provisions of this chapter applicable to new and original applications shall apply.

(Ord. 873 § 1 (part), 1986)

A. General. All licenses issued pursuant to the provisions of this chapter shall be subject to suspension or revocation in the time and manner set forth in this chapter.

B. Grounds. Any license issued pursuant to the provisions of this chapter shall be suspended or revoked if it is found, in the time and manner described in this section:

1. That a licensee, or any agent or employee thereof, has violated, or permitted, or allowed, or caused the violation of, any provision of this chapter;

2. That a licensee has failed to pay, when due and payable, any of the license fees or other provided for in this chapter;

3. That a licensee, or any agent or employee thereof, has permitted, allowed, or caused any violation of any condition of approval imposed upon the issuance of such license; or

4. That a licensee has made any fraudulent statement as to a material fact on an application form or as to any other information presented as part of the application process.

C. Action of the City Manager. Whenever the city manager has information that a violation constituting grounds for suspension or revocation has occurred, he shall forthwith investigate the information. If he determines that such a violation has occurred, he shall forthwith set the matter for consideration by the council at its next most convenient meeting. He shall give notice to the licensee of the time and place of the hearing before the council not less than five days in advance of the date set by him for such hearing.

D. Hearings. At the time set for such hearing, the council shall hear the evidence presented by the city manager purporting to show that grounds exist for the suspension or revocation; thereafter, the council shall permit the licensee, and any other interested person, to present such evidence as may be relevant to dispute the existence of such facts. The council may continue the hearing from time to time and, if the council is satisfied that probable cause for revocation exists, may suspend the license pending the conclusion of the hearing.

E. Decisions of the Council. If, based upon the evidence presented, the council finds facts are presented which constitute grounds for suspension or revocation, the council shall suspend or revoke the license. If the council finds that such facts are not present, it shall dismiss the proceedings. The decision of the council shall be final and conclusive.

(Ord. 873 § 1 (part), 1986)

Rules and regulations may be adopted and established by the city council by resolution with reference to card games for which licenses are issued under the provisions of this chapter. Licensees holding or obtaining licenses under the provisions of this chapter shall agree, in writing, to be bound by and observe each and all of the rules and regulations relating to such licenses.

(Ord. 873 § 1 (part), 1986)

A. It shall be unlawful for any licensed card club in the city to employ any personnel without such persons having been first fingerprinted and photographed by the police department and an employment identification card, bearing the employee's photograph, being issued by the city manager.

B. As set forth in subsection (A) of this section, any person employed by a licensed card club in the city, prior to commencing employment, shall submit to fingerprinting and photographing. A processing fee in an amount set by the council shall be paid to the city for such fingerprinting and photographing and the issuance of the identification card.

C. Each licensee shall keep on file with the city manager, for each employee of the card club, in addition to such other information as the city manager shall require, the following current information under penalty of perjury:

1. Residence address during the past five years;

2. Current occupation or employment;

3. Employment during the past five years;

4. Physical characteristics, including age, date of birth, height, weight, and color of hair and eyes;

5. Driver's license and social security numbers;

6. A history of all convictions for any felony or misdemeanor offense, other than traffic violations, and of violations of any municipal codes or ordinances within the past ten years; and

7. A current full face photo.

D. Each employee, at all times while acting within the scope of his employment, in the card room area, as defined in subsection (B) of Section 5.41.030, shall wear in a prominently visible place upon his person the identification card issued by the city.

E. Except as hereinafter provided in this subsection, the licensee shall refuse to employ any person, or shall discharge any employee, who has been convicted of a misdemeanor or felony relating to theft, assault, fraud, gambling, rape, manslaughter or murder. A person convicted of any of such offenses more than ten years prior to seeking employment in a licensed card club may file a written petition with the administrative hearing board (referred to as "board" in this subsection) which shall be composed of the city manager, who shall be the chairman, the police chief, and the city attorney. Any such petition shall request that a conviction of any of such offenses shall not prohibit the petitioner's employment in a licensed card club because of mitigating circumstances and/or rehabilitation, and the petition shall include such facts as the applicant deems relevant, but such petition shall include the following:

1. The nature, time, and seriousness of the offense;

2. The court, case number, and date of conviction;

3. The circumstances surrounding the conviction;

4. The age of the person at the time of the conviction;

5. The presence or absence of rehabilitation or efforts at rehabilitation; and

6. Contributing social and environmental conditions.

The petition, the hearing thereon, and the determination by the board shall be confidential, and the decision of the board shall be final.

The hearing before the board shall be informal and closed to the public, unless the petitioner requests a public hearing, and the petitioner shall be entitled to be represented by counsel if he or she so desires. A record of the proceeding, consisting of tape recording or reporter's transcript, shall be kept for a period of four months after the decision is rendered by the board. At the conclusion of the hearing, the board may take the matter under submission, but a decision granting or denying the petition shall be rendered within twenty days after the hearing is closed, and the petitioner shall be given a copy of the board's determination. If the board grants the petition, the prohibitions against employment, or the termination of employment, of a person convicted of the offenses described in this subsection shall not be effective as to such petitioner. The board may make such other rules as it determines necessary for the conduct of its hearings.

F. The information received by the city pursuant to the provisions of this section shall be treated as confidential and shall be accessible only to those city officials having jurisdiction over the provisions of this chapter and to the management personnel of the licensee.

(Ord. 873 § 1 (part), 1986)

A. Consent Required. It shall be unlawful for any licensee or any person having any interest whatsoever or at all in the ownership of a card club, whether legal or equitable, or as trustor or trustee, or of whatsoever kind or character, or as trustor or trustee, or of whatsoever kind or character, to sell or transfer such points and/or interest without the consent and permission of the council first had and obtained.

B. Application—Filing—Form. Any person desiring to sell, transfer, assign or otherwise hypothecate any point or interest in a card club duly licensed pursuant to the provisions of this chapter shall file with the city manager a written application for permission to transfer such interest, as is hereinafter described. Each such application shall contain and clearly and truthfully set forth, under oath and/or affirmation, and show, in addition to such other information as the city manager and/or the council may require, the following information:

1. The date of the application;

2. The true name of the applicant, the proposed purchaser or transferee, and any other name by which the proposed purchaser or transferee has been known;

3. The status of the proposed purchaser or transferee as being an individual, corporation, association, partnership, joint venture, trustor, or trustee;

4. The residence and business address of the proposed purchaser or transferee, if an individual;

5. If the transferee is other than an individual, the true name, residence, and business address of each of the proposed purchaser or transferee pointholders, partners, and officers;

6. A full and complete financial statement of the proposed purchaser or transferee, whether it is an individual, corporation, partnership, or other entity, and a full and complete financial statement of each proposed purchaser or transferee pointholder, partner, or officer. The financial statements required by this subsection shall be deemed confidential in character and shall not be open to public inspection but shall be available to those city officials having jurisdiction over the provisions of this chapter and to any court of competent jurisdiction where any matter relating thereto may be actively pending;

7. The name of the licensed card club for which a transfer of interest or point is sought;

8. The number of points and/or the nature of interest sought to be sold, transferred, assigned, or otherwise hypothecated;

9. A statement that the application will be considered by the council only after a full investigation and report has been made by the city manager and the report of the investigation forwarded to the council; and

10. A history of all convictions for any felony or misdemeanor offense, other than traffic violations, and of violations of any municipal codes or ordinances within the past ten years.

C. Applications—Investigations. Whenever an application pursuant to the provisions of this section has been filed with the city for sale or transfer pursuant to the provisions of this section, the city manager shall promptly and diligently make an investigation and shall report to the council with reference thereto within sixty days after the filing of the application as follows:

1. A full and complete investigation of the proposed purchaser or transferee (including the proposed pointholders, partners, or officers); and

2. Concurrently with the filing of the application, each person named in the application as a proposed purchaser, transferee, or pointholder, or partner or officer thereof, shall be fingerprinted by the city manager or his designee, and no application shall be deemed filed until the fingerprinting is completed.

D. Applications—Processing Fees. Each such sale or transfer application shall be accompanied by a processing fee in the amount of five hundred and no/100ths dollars per person named in the application as a proposed purchaser, transferee, or pointholder, or partner or officer thereof, to cover the cost of the investigation. The fee set forth in this subsection shall be the property of and be retained by the city, whether the application for sale or transfer is granted or denied.

E. Applications—Granting or Denial.

1. Consideration by the Council. Whenever an application for such a sale or transfer is presented to the council, the council shall consider such application on the same basis as is applicable to a new license application.

2. Decision of the Council. The council, in its discretion, may either approve, conditionally approve, or deny the application. A plea or verdict of guilty, or a conviction following a plea of nolo contendere to a misdemeanor involving moral turpitude or a felony, shall disqualify such applicant from the purchase of the interest of a pointholder. The decision of the council shall be final and conclusive.

3. Applicant's Acceptance of the Council's Decision. The applicant shall agree as part of his application that the sole and exclusive discretion as to the granting or denial of any such application shall be vested in the council.

F. Investigations—Updating. All pointholders holding points in any card club, as well as the partners or officers of such card clubs, whether or not they hold any points in such clubs, shall be subject to having their background investigations updated annually and regularly thereafter pursuant to a schedule established by the city manager. Such updating shall consist of a check by teletype to Criminal Investigation and Identification in Sacramento, California. A fee in the amount of ten and no/100ths dollars for each pointholder so investigated shall be paid to the city by the respective card clubs or licensees on a semiannual basis to cover the costs of such investigations.

G. Application of Provisions to Continuing Pointholders. Any person having any interest whatsoever or at all in the ownership of a card club, whether legal or equitable, or a trustor or trustee, or of whatsoever kind or character, who has not previously submitted to the procedures required by subsections (B) and (E) of this section shall file, as a prerequisite to the continued holding of an ownership interest, an application to be investigated, pay the fee, and be reviewed by the city manager and council as provided in this section for persons applying for new ownership interest. If the council denies any such application, within one hundred twenty days after the receipt of a notice of such denial such person shall divest himself of such ownership interest.

H. Divestment. Any person having any interest whatsoever or at all in the ownership of a card club, whether legal or equitable, or as trustor or trustee, or of whatsoever kind or character, shall divest himself of such ownership interest within one hundred twenty days after the service of a notice of divestiture served on such person by the city pursuant to such person's final conviction of a misdemeanor involving moral turpitude on a felony. A plea or verdict of guilty or a conviction following a plea of nolo contendere to a misdemeanor involving moral turpitude or a felony shall be deemed to be a final conviction within the meaning of this section, unless the conviction is appealed to a higher court, in which case the judgment and verdict of such court shall constitute the final action pursuant to which notice of divestiture shall be served if the conviction is affirmed. Within thirty days after the service of a notice of divestiture, the person subject to such notice (appellant), upon the payment of a fee in the amount of one hundred and no/100ths dollars, may request in writing a hearing before the council to appeal the notice and request a waiver of the divestiture requirement. A hearing shall be scheduled before the council to appeal the notice and request a waiver of the divestiture requirement. A hearing shall be scheduled before the council within thirty days after the receipt of the appellant's appeal fee and written request. Upon the conclusion of the hearing, the council may disregard the appellant's conviction or take other modifying steps if it is found and determined by the council that mitigating circumstances exist and that the public welfare will be adequately protected. In making such determination, the council shall consider the following factors:

1. The type, nature, and extent of the pointholder's interest, including the involvement, if any, in the operation of the card club;

2. The nature, time, and seriousness of the offense;

3. The circumstances surrounding the conviction;

4. The age of the person at the time of the conviction;

5. The presence or absence of rehabilitation or efforts at rehabilitation;

6. The contributing social and environmental conditions;

7. The record of the proceedings leading to the conviction;

8. The financial stability of the pointholder, including his personal history, reputation for habits, and traits of character and moral background; and

9. Such other factors deemed relevant by the council in determining the status of the pointholder.

The decision of the council shall be final and conclusive.

No person so required to divest his card club related interest may transfer the interest to his spouse, children, siblings, or parents or to his spouses's children, siblings, or parents.

Failure to comply with the provisions of this subsection, which shall include the notice of divestiture and/or the final order of the council, shall constitute a misdemeanor punishable by a fine or imprisonment. Each day of noncompliance shall constitute a separate and complete offense. In addition, the city may invoke appropriate civil remedies available to enforce compliance.

(Ord. 873 § 1 (part), 1986)

A. Unlawful Locations. It shall be unlawful for any person to play, or permit the playing, of any game regulated or referred to by the provisions of this chapter at any place within the city, except a place operated under a permit and licensed under licenses held or issued pursuant to the provisions of this chapter.

B. Unlawful Games. It shall be unlawful for any person to play in any game at any place licensed pursuant to this chapter which game is not permitted by the provisions of this chapter or to play in any game played in violation of this chapter.

C. Unlawful Attractions. It shall be unlawful for any licensee, without the written approval of the city manager first had and obtained, to directly or indirectly offer, furnish, provide, afford, show, exhibit, or distribute, or permit the offering, furnishing, providing, affording, showing, exhibiting, or distributing, to any person in, upon, or about such licensed card room any money or merchandise, or any combination thereof, or any representative thereof, or of value, or the use of any object as a free gift, premium, attraction enticement, or reward to enter or remain in or attend or participate in any game or activity conducted therein, whether the same is distributed by lot, or is offered, furnished, provided, or distributed free of any fee or charge as a gift, except in a duly authorized tournament; provided, however, the playing of standard radio broadcast programs, or the showing and playing of regular standard televised broadcasts, or the playing of standard recorded music or programs or wired musical programs shall not be deemed a violation of this section.

D. Operations of Card Rooms. It shall be unlawful for any person, other than the operator of a card club, to lend money or extend credit to any person for the purpose of enabling such person to participate in games in the card room or to replenish all or any portion of any funds lost by any person in such games.

(Ord. 873 § 1 (part), 1986)

Nothing contained in this chapter shall in any manner whatsoever operate to authorize, permit, or license, or be construed to authorize, permit, or license, in any manner whatsoever within the city any game of keno, bridgo, lotto, relaxo, skill ball, or any other game which is similar thereto, or to any game prohibited by the laws of the state or the laws of the city, and no city license shall be issued therefor.

(Ord. 873 § 1 (part), 1986)

The city manager shall formulate in writing all the necessary rules and regulations to implement and administer the provisions of this chapter and shall do all things necessary and proper to carry out the spirit and intent of this chapter, including, but not limited to:

A. Preserving and keeping all documents identified in this chapter as confidential documents so that the contents thereof shall not become known except to persons required by law to effect the administration or enforcement of this chapter; and

B. Delegating the duties and powers vested in the city manager by this chapter to appropriate city employees or officers.

(Ord. 873 § 1 (part), 1986)

It shall be unlawful for any person to violate any of the provisions of this chapter, and any person convicted of a violation shall be guilty of a misdemeanor.

(Ord. 873 § 1 (part), 1986)

The provisions of this chapter providing for the payment of license fees, and the provisions allowing the licensing of draw poker, panguinque, and low ball within the city, shall not be severable one from the other. Should the requirements of this chapter relating to the payment of license fees, as set forth or as subsequently amended, be held to be invalid or enforceable for any reason by the final judgment of a court of competent jurisdiction, then this chapter in its entirety shall thereupon become null and void, and any license issued pursuant to this chapter shall likewise become null and void, and the playing of draw poker, panguinque, or low ball within the city shall thereupon become unlawful to the same extent as such playing was unlawful prior to the adoption of this chapter.

(Ord. 873 § 1 (part), 1986)

The license, deposit, and application fees provided for in Sections 5.41.040 through 5.41.060 and the application, investigation, and appeal fees set forth in Section 5.41.060 may be modified by a duly adopted resolution of the council.

(Ord. 873 § 1 (part), 1986)