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Regular City Council Meeting Monday,January 30,2017 Page 13 Councilmember Willmus asked City Attorney Gaughan to do additional research on whether or not there was any restriction as part of future discussions. Mayor Roe clarified that the city couldn't restrict profits to an area smaller than the trade area, allowing any such provision to specify activities applicable to the entire ten-city trade area. Therefore, Mayor Roe opined that the city couldn't re- strict profits be used for the Roseville Youth Hockey Association, as an example, if that activity wasn't applicable throughout the entire trade area. City Attorney Gaughan agreed that the city could not contradict state law by re- stricting profits be used for a Roseville-specific activity or organization and ex- clude the ten-city trade area. City Attorney Gaughan advised that state law stated that the city could restrict all or some of the proceeds be expended within the trade area, and at a minimum must include each city and township contiguous with the city border; but from his understanding did not restrict referencing that it's use to youth activities, as an example. Councilmember Etten cautioned, in his opinion that the city should not specifi- cally restrict profits to be used for athletic pursuits, but for a broader use for rec- reational purposes that would include arts, drama and other activities that were al- so worthwhile beyond athletics. However, Councilmember Etten noted the need to take care in how that was worded to avoid supporting the entire Cities of Min- neapolis and St. Paul in those efforts since they were part of the ten-city trade ar- ea, which could prove mind-boggling. At the request of Councilmember McGehee, Finance Director Miller advised that the 3% captured an approximate annual total of$60,000 to $65,000, of which approximately $15,000 would go toward the city's administrative and regulatory costswith the balance going toward bingo operator accounting expenses. Mayor Roe opined that it essentially represented a tax cut for those organizations; while if they paid for their accounting services and city reimbursement it could provide a tax cut for all with removal of the accounting firm cost. Councilmember Laliberte questioned if the trade area cities needed to be listed specifically or could be specified as only as the"trade area." City Attorney Gaughan advised that state law required definition of the trade area by the City; and therefore recommended that the actual cities be defined accord- ingly. Before being stricken from the language, Councilmember Laliberte asked how the requirement for 75% expenditure was monitored.