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CCP 06-29-1992
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CCP 06-29-1992
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<br /> . CITY OF ARDEN HILLS <br /> MEH:1mNDUM <br /> Ill\TE : June 22, 1992 <br /> TO: Jerry Filla, City Attorney <br /> :F:lD!:@ Terrance R. Post, TEIIIpO.rary city Acoountant <br /> SUBJEX:T: Charitable Gambling Ordinance Modifications <br /> At the Council's June 15, 1992, worksession, I presented a short report <br /> on the rationale of in1posing a one percent gambling tax. While I <br /> believe the majority of Council would be supportive of such a tax, two <br /> other issues were raised. that warrant research and discussion. <br /> L 10% net profit contrihItion COIIlPliance: <br /> '!he .issue here is when to begin aggressively pursuing underpayment <br /> of past contrihItion payments. I recommend that our collection <br /> efforts extend back to January 1, 1992. <br /> 2. Interplav between the trade area soendina requirement and the <br /> . co=ect calculation of contrihItion oavrnents. <br /> There was a feeling by some eouncil1nembers that by having the <br /> organizations calculate co=ect contribution payments and pay a <br /> one percent gambling tax, the licensees cash flCM would be <br /> negatively iInpacte::l. It was suggested that the organizations <br /> =.lId be made revenue neutral, if the trade area spending <br /> requirement were reduced to some appropriate percentage from the <br /> current 50 percent requirement. <br /> While not raised at the worksession, I believe another ordinance <br /> modification that would be beneficial would be changing the payment and <br /> supporting documentation requirements from a quarterly to a monthly <br /> basis. This change would be consistent with state reporting <br /> requirements, irrprove the city's cashflCM, and be an early warning <br /> indicator for non--cortq:)liance cases. <br /> ACrION REOUIRED: <br /> Could we get tcgether prior to the 6/29/92 Council meeting to discuss <br /> these topics? <br /> TRP Its <br /> M92-199 <br /> . <br /> -- <br />
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