My WebLink
|
Help
|
About
|
Sign Out
Home
Browse
Search
CCP 06-29-1992
ArdenHills
>
Administration
>
City Council
>
City Council Packets
>
1990-1999
>
1992
>
CCP 06-29-1992
Metadata
Thumbnails
Annotations
Entry Properties
Last modified
5/8/2007 1:09:03 PM
Creation date
11/6/2006 2:39:40 PM
Metadata
Fields
Template:
General (2)
There are no annotations on this page.
Document management portal powered by Laserfiche WebLink 9 © 1998-2015
Laserfiche.
All rights reserved.
/
116
PDF
Print
Pages to print
Enter page numbers and/or page ranges separated by commas. For example, 1,3,5-12.
After downloading, print the document using a PDF reader (e.g. Adobe Reader).
View images
View plain text
<br />~ <br />- <br />. CITY OF ARDEN HILIB <br /> MEHlR1lNDllM <br /> DATE: J\me 26, 1992 <br /> TO: @J Mayor and City Co1mcil <br /> Terry Post, TEIIIporary city Acco1mtant <br /> FRCH: I <br /> SUllJEC'l': Charitable Gambling Regulations Review/Regulations <br /> At th,,, June 15 Council Worksession, I was directed by COlmcil to review <br /> the following subjects related to charitable gambling: <br /> , Analyze the inpact of reducing the current 50 percent trade <br /> area spending requirement such that an organization would be <br /> "revenue neutral" by complying with the current 10 percent <br /> net profit contr:iJ::ution requirement. <br /> . Discuss the above matter and the issue of inqx>sing a <br /> gambling tax with the city Attorney. <br />. TRADE AREA SPENDING REOUIREMENT <br /> A review of the supporting doctnnel1tation supplied by the organizations <br /> thus far this year indicates that, as a group, complying with both the <br /> 10 percent net profit contr:iJ::ution and the 50 percent trade area <br /> spending requirement of the present ordinance would be difficult for <br /> most mn impossible for some. <br /> Specifically, organizations currently have approximately 15.6 percent of <br /> gross profit available for dis=etionary spending purposes. Assuming <br /> that all the organizations comply with the 10 percent net profit <br /> contritution calculation and calculate the 50 percent (effectively 40 <br /> percent) trade area spending requirement in a similar manner, then only <br /> $30,000 (3.5 percent of gross profit) would be available for <br /> discretionary spending purposes. It appears that this level of <br /> discretionary spending would serve as a disincentive to the <br /> organizations - especially in relation to gambling receipts of <br /> $3,436,000 and gross profit (receipts less prizes) of $851,000. <br /> 'The :iJnpact of taxes paid to the state of Minnesota by the organizations <br /> for gross receipts, combined receipts, and pull tabs cannot be <br /> min:iJnized. 'The review indicates that some $169,000 (19.8 percent of <br /> gross profit) of such taxes were paid during this time period. Simply <br /> put, the organizations generally would not have the cash to satisfy the <br /> 50 percent trade area requirement if the majority of it were already <br /> spent on tax payments. <br />. <br />
The URL can be used to link to this page
Your browser does not support the video tag.