Chapter 5.25 CARD CLUB LICENSE REGULATIONS*

B. “Application” shall mean any typewritten or pre-printed document or form required to be completed and submitted for consideration for obtaining a license (or renewal of a license) or similar written request, to conduct any business, activity, enterprise, or undertaking on a card club site, including but not limited to direct employment by a licensed card club or employment on the card club site through a third party. “Application” shall also mean any typewritten or pre-printed document required to be completed and submitted for consideration for obtaining registration (or renewal of registration) to work or conduct business at a card club site. An “application” shall also be known as a written request for a license or a registration or renewal thereof.

C. “Background investigation” shall mean and include the city of Bell Gardens’ review and use of any and all information obtained through background checks or searches, including but not limited to those related to personal, educational, employment, financial and criminal history background conducted by the California Gambling Control Commission and the California Bureau of Gambling Control for the purpose of evaluating the qualifications of an individual for the approval and issuance of any license, permit, or certificate by the California Gambling Control Commission and the California Bureau of Gambling Control, or for the denial, limitation, conditioning of a permit, certificate or approval by the California Gambling Control Commission and the California Bureau of Gambling Control. “Background investigation” shall also mean and include any and all background checks or searches, including but not limited to personal history, educational, employment, financial and criminal history conducted by the city of Bell Gardens, carried out for the purpose of evaluating the qualifications of an applicant for the approval and issuance of any license under this chapter or for the denial, limitation, conditioning, or restriction of any license under this chapter.

D. “Bureau” shall mean the Bureau of Gambling Control in the State of California Department of Justice.

E. “Card club” shall mean a business, activity or enterprise conducting card games, as defined by this section, and licensed under the provisions of this chapter and shall include any business activities incidental thereto that are conducted on the card club site or appurtenant or ancillary structures such as, but not limited to, food, beverage, hotel accommodations, and valet services. Any appurtenant structure where card games may be played shall not be located more than 1,000 feet from the primary card club site. The primary card club site shall be the largest structure for legal card playing authorized under this chapter.

F. “Card club operations approval letter” shall mean authorization for a person, licensed to operate a card club, whose pointholders and key management employees have been issued licenses to commence operation of card games at a designated location within a specific building, such operation having been reviewed and approved as being in compliance with parking, zoning, security, fire and various other local regulations.

G. “Card club site” shall mean the building now known as the Bicycle Casino located at Florence and Eastern and any other premises described as such in a card club operations certificate issued pursuant to this chapter.

H. “Card games” shall mean those card games not prohibited by Penal Code Section 330 and which are permitted by resolution of the city council and the terms of the card club operations approval letter. “Card games” expressly includes those games which are played with tiles or other devices (including video terminals), as permitted by state law, as well as games played with cards.

I. “Card playing area” shall mean the physical location within the card club premises where the playing of card games is permitted.

J. “City” shall mean the city of Bell Gardens.

K. “City council” shall mean, unless expressly indicated to the contrary, a majority of the city council of the city.

L. “City manager” shall mean any person providing services to the city in that capacity or such other individual employed by the city as the city council may designate by a majority vote.

M. “Commence” shall mean and include commence, begin, initiate, start, open and establish.

N. “Commission” shall mean the California Gambling Control Commission as detailed in Business and Professions Code Section 19811.

O. “Conditional license” shall mean a temporary license provided to an applicant who has applied for a license under this chapter which authorizes the applicant to conduct business at the card club site during the review and processing of said application.

P. “Conduct” shall mean and include conduct, transact, maintain, prosecute, practice, manage, operate and carry on.

Q. “Controlled game” shall mean any controlled game, as defined by subdivision (e) of Section 337j of the California Penal Code.

R. “Conviction” shall mean a finding or plea of “guilty” as well as a plea of “no contest.”

S. “Employee” shall mean every individual, whether or not directly employed by a licensed card club, and including independent contractors, who provides services to a licensed card club and/or to its patrons, who acts under the direction of a licensed card club, or who is authorized to operate in the licensed card club by the licensed card club, or who receives compensation from a licensed card club, whether as salary or as participation in the revenues of the card club.

T. “Funded player” shall mean any proposition player who plays controlled games at a licensed card club with financing provided by a funding source. Funded players shall also be known as “bankers.”

U. “Funded player group” shall mean an entity comprised of funded players or “bankers,” and all individuals holding a supervisory, management or ownership interest of any type in the group.

V. “Funding source” shall mean the person(s) who provide(s) the financing, including but not limited to loans, credit, currency, negotiable instrument, chips or any other representation or thing of value to a funded player for use in the playing of a controlled game at a permitted card club.

W. “Funding source key management” shall mean every person with the actual or ostensible authority to manage, supervise, instruct, direct or control the funding source in the provision of financing, including but not limited to loans, credit, currency, negotiable instruments, chips or any other representation or thing of value to a funded player for use in the playing of a controlled game at a permitted card club.

X. “Gaming” means to deal, operate, carry on, conduct, maintain, or expose for play a controlled game.

Y. “Gaming operations” means exposing for play one or more controlled games that are dealt, operated, carried on, conducted, or maintained for commercial gain.

Z. “Gross revenues” shall mean the total of all compensation received for conducting any controlled game, and include seat rental fees, tournament fees, interest received in payment of credit extended by an owner licensee to a patron for purposes of gaming, and any other revenues directly derived from gaming operations, except as provided by regulation and, unless expressly set forth to the contrary, no amounts shall offset or reduce gross revenues. Gross revenues shall not include funds that are returned to the players as tournament or jackpot bonuses. Gross revenues shall not include proceeds from the sale of lottery tickets as permitted by state law.

AA. “Incentives” shall mean gaming incentives and promotions that provide for players or participants to earn any chips, tokens, reward points, credit or any other thing of value for use in gaming or playing card games at the card club site.

BB. “Key management employee” shall mean every person, whether or not such person is an employee or independent contractor and whether or not such person is a named officer or director of the licensee, with the actual or ostensible authority (1) to direct gaming operations, or (2) to direct supervisory and general employees of a card club engaged in its gaming operations, and (3) to direct the counting of, or accounting for, revenue generated by the club. The term “key management employee” includes, without limitation, those persons who fill such positions as shall be designated by the city manager as key employees.

CC. “Lease” means any formal or informal, written or oral contract or understanding or arrangement whereby any person operating a card club obtains the use or possession of any property, real or personal, to be used, occupied, or possessed in connection with the conduct of games at any card club. The term “lease” includes, without limitation, payments to an affiliated person under a real property lease, a personal property lease, an unsecured note, a deed of trust, a mortgage, or a trust indenture.

DD. “Lessor” means any person who leases any property, real or personal, to a person operating a card club for use in connection with the conduct of card games or related activities, who does not receive monetary compensation directly from the card club from services rendered.

EE. “License” shall mean a grant of permission from the city council authorizing a “person” as described by this chapter (1) to operate a card club within the city; (2) to become a pointholder in a card club; (3) to become a key management employee in a card club; (4) to become a funded player in a card club; (5) to become a funding source in a card club; or (6) to become a funding source key management in a card club. A license issued under the provisions of this chapter shall be deemed valid and current unless otherwise revoked during renewal or during the application process or during an investigation brought upon by the provisions of this chapter.

FF. “Licensee” shall mean the “person,” as described by this chapter, to whom a license has been issued pursuant to this chapter.

GG. “Non-card club employee” shall mean any person who regularly provides services at a card club who is not directly hired by a card club as a card club employee or a person who does not receive monetary compensation directly from the card club, but rather from a third-party entity with whom it contracts to provide services at a card club. Non-card club employees include independent contractors, contract employees, consultants and employees of non-card club employment groups.

HH. “Non-card club employment group” shall mean any business established or operated under a card club’s authorization to provide a specific service at the card club or on the premises of a card club. A non-card club employment group includes non-card club employees, their supervisor(s), management, directors and owner(s). It also includes the entity as a whole. A “non-card club employment group” shall also be referred to as a “non-card club employer.”

II. “Nonmunicipal regulator” shall mean any federal, state, or county administrative body or law enforcement agency having authority to regulate the operations of card clubs in the city.

JJ. “Person” shall mean and include any individual, or any other entity having juridical existence such as a partnership, trust, corporation, or combination thereof.

KK. “Player” means a patron of a gaming establishment who participates in a controlled game.

LL. “Point” shall mean any interest whatever, or at all, in the ownership, division of profits, or revenue of a card club, whether legal, equitable, or of whatever kind or character.

MM. “Pointholder” shall mean any person having an interest in the ownership, division of profits or revenue of a card club, whether directly, or indirectly through a partnership, joint venture, or corporation. Pointholder shall include any person having an interest either legal or beneficial and shall expressly include both trustee and beneficiary, in the case of trust, optionor and optionee in the case of option agreements, landlords who receive any rent other than a fixed monthly rent and lenders of any funds which are applied by an individual to purchase points. Pointholder expressly includes any future or contingent interests under any applicable agreement.

NN. “Pointholder group” shall mean an entity comprised of pointholders and all individuals holding a supervisory, management, directorship or ownership interest of any type in the group.

OO. “Registration” shall mean a grant of permission from the Bell Gardens police department authorizing an individual, including an employee directly employed by a card club and a non-card club employee, to conduct business or to perform services at a card club site.

PP. “Registration badge” shall mean the identification card, also referred to as the “badge,” required to be worn at all times by all employees, including employees directly employed by a card club and non-card club employees conducting business or providing services at a card club site.

QQ. “Temporary employee” shall mean one who is hired for a specific project, not to exceed 40 days. Upon the conclusion of the specific period of time or project, a temporary employee shall resign his or her employment with the card club. In the event the duration of a specific project exceeds 40 days, the temporary employee’s authorization to work shall be re-evaluated by the police department and if it is determined that more time is necessary to complete the project, authorization shall be renewed for a specific period of time. Tournament dealers shall be considered temporary employees.

RR. “Tournament dealer” shall mean any temporary employee hired specifically to conduct business as a dealer for a card club tournament. (Ord. 939 § 2, 2024; Ord. 877 § 2, 2016; Ord. 808 § 1, 2007; Ord. 722 § 1, 1999; Ord. 721-U § 1, 1999; Ord. 708 § 1, 1998; Ord. 707-U § 1, 1998; Ord. 651 § 1, 1996; Ord. 653 § 3, 1995).

5.25.011 Nondisclosure of confidential information.

Except as required by applicable federal and state laws, no individual shall disclose to any individual, news organization or any other entity any data or information required under the provisions of this chapter to be kept and maintained confidential. (Ord. 808 § 1, 2007; Ord. 651 § 1, 1996).

5.25.020 Licenses required.

A. No Vested Right. It is the declared policy of the city council that pointholders, key management employees, funded players, funded sources and funded sources key management apply for and be issued licenses by the city after a personal background investigation is completed, and that such persons be supervised so as to better protect the public health, safety, morals, good order and public welfare. Except as provided hereinbelow with respect to a card club license, no applicant, person or licensee shall acquire a vested right in any license issued, registration issued, finding of suitability, or approval granted by the city council and/or Bell Gardens police department at any stage in the proceedings.

B. Activities Prohibited without License. It shall be unlawful for any person or other entity to commence or conduct, or purport to commence or conduct, within the city any business, activity, enterprise, undertaking, or place where tables or other items or units of furniture or other types of devices are used directly or indirectly for playing card games 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 card games until such person or other entity shall have first obtained a card club license for the operation of such card games at a specific location, within a specific building under and in compliance with the provisions of this chapter.

C. License Granted on Conditions. Any applicant hereunder is seeking the granting of a privilege. Therefore, the burden of proving qualifications to receive such a license or to be registered is at all times on the applicant. By making an application for such a license applicant accepts all risks of adverse public notice, publicity, embarrassment, criticism, financial loss, or all other actions and consequences which may result from activities with respect to reviewing, processing, approving or disapproving any application. An applicant is expressly permitting the city to make such investigation and inquiry that the city determines appropriate and is further expressly authorizing the city to conduct such verification of criminal history and financial condition as the city elects to pursue. An application shall include an express written waiver of any claims for damages against the city or its agent resulting therefrom and such waiver expressly constitutes a material consideration for the city agreeing to consider and process such application.

D. Refusal to Provide Information under Oath. Any applicant hereunder may claim any privilege afforded by the Constitution of the United States in refusing to answer questions by the city council and/or by the chief of police. However, a claim of privilege with respect to any testimony, evidence, or requested information pertaining to an application may constitute, in the discretion of the city council and/or the chief of police, sufficient grounds for denial/revocation of any license or registration.

E. Fees as Permitted by State Constitution. For purposes of clarification, the license application, license renewal, registration and registration renewal fees set forth in this chapter are for regulation, revenue purposes and reimbursement to the city for the costs of investigating and processing the applications, as provided for in this chapter, pursuant to the authority set forth in Chapter XI, Section 5 of the Constitution of the state. (Ord. 808 § 1, 2007; Ord. 651 § 1, 1996).

5.25.021 License application – Procedure.

Any person desiring or proposing to commence or conduct any business, activity, enterprise or undertaking pertaining to or involving a card club shall file a license application, consisting of a typewritten request on regular eight-inch by 11.5-inch paper, with the city manager or his or her designee in accordance with this chapter. Each written request shall contain a statement as follows:

The undersigned Applicant(s) declares under penalty of perjury that the foregoing is true and correct under the laws of the state of California and the United States.

As provided herein, the filing of an application shall be required for (A) a card club license; (B) a pointholder license; (C) a key management employee license; (D) a funded player license; (E) a funding source license; and (F) a funding source key management license. (Ord. 808 § 1, 2007; Ord. 651 § 1, 1996).

5.25.022 Issuance of licenses.

If the action of the city council on any license application is to grant the same, the city manager or his or her designee shall thereupon issue the necessary license upon payment of fees as required by this chapter, until such time as such license is either surrendered, suspended, revoked, or expires. A card club license, pointholder license, key management employee license, funded player license, funding source license, and funding source key management license shall be issued by the city manager or his or her designee. The license shall include, in addition to such additional terms and conditions as may be required by the city council: (A) an undertaking to comply with all requirements of federal, state and local law; (B) an acknowledgement that the gaming operations, specifically including security and cash management, are subject to regulation and supervision by the city; and (C) an undertaking to inform the city within 10 days of any claim made or judgment, lien or other legal process taken against the licensee in an amount exceeding $100,000.

If the action of the city council on any license application is to deny the license application, the city manager or his or her designee shall serve the applicant with a notice of intent to deny. The notice shall state the reasons why the city council has decided to deny the application. The applicant shall have 10 days within which to (A) withdraw the application, or (B) to provide the city council with additional information the applicant believes is relevant. If the applicant withdraws the application it shall be as though the application was not filed (although the city shall retain all fees collected to process the application). If the city receives additional information, it shall review the application in light of the additional information and either grant the application, grant the application subject to conditions, or deny the application. If the city council receives no response, the application shall be deemed denied on the eleventh day following service of the notice.

The city may issue a conditional license pending the completion of its background investigation. Such license is probationary and is subject to summary revocation without notice as provided in BGMC 5.25.110 upon the discovery of information inconsistent with that provided in the application. Upon the disclosure of such information, the applicant shall have the option to withdraw the application and shall renounce the conditional license within 24 hours of receipt of notice that the conditional license shall be revoked. (Ord. 808 § 1, 2007; Ord. 651 § 1, 1996).

5.25.023 Compliance with Gambling Control Act.

A. Hours of Operation. A licensee may set hours of operation up to and including 24 hours a day. No licensee shall operate for more or less hours on a daily basis than as stated on its license under the provisions of this chapter. The hours of operation must be clearly posted by the licensee to give patrons adequate notice of hours during which the licensee will remain open for business.

B. Patron Security and Safety. Each licensee shall present on an annual basis a plan for security and safety of patrons of the licensee in and around the gaming establishment. The plan shall set forth such provisions as necessary to ensure the safety and security of patrons, including measures taken or instituted on the card club site to avoid follow-home robberies. The plan shall include measures taken designed to prevent crime and related activities occurring on the card club site or originating at the card club site during the 12-month period immediately preceding the date of the plan. The plan shall be available for review by the chief of police or his or her designee on or by March 31st of each year.

Licensees shall be liable for the safety and security of patrons to the fullest extent under the law. Any effort on the part of the licensee to limit such liability shall be clearly posted in the gaming establishment in such a manner as to give patrons adequate notice.

C. Location of Gaming Establishment. The location of a gaming establishment shall be as set forth in BGMC 5.25.031. The card club license shall further specify any limitation on the approved location in relationship to existing schools, playgrounds, hospitals, churches or similar areas.

D. Wagering Limits. The city of Bell Gardens sets the following wagering limits for the Bicycle Casino: minimum: $0.00 and maximum: no limit. The licensee shall clearly post any local, house or table wagering limits to give the patrons adequate notice of the rules relating to wagering, wagering limits, and other requirements as established by the state of California.

E. Number of Tables. The number of tables permitted for each licensee shall be as set forth in BGMC 5.25.140(M). The total number of gaming tables authorized for the city shall be 1,000 tables over such a number of establishments as may be duly licensed under this chapter.

F. Bureau Approval Required. The city shall not issue a license or registration under this chapter to any applicant if the State of California Bureau of Gambling Control in the Department of Justice or Commission objects to the issuance of said license or registration.

G. References to Ordinance No. 651. All references to “this chapter” shall be to Ordinance No. 651 as the same may be amended from time to time.

H. Gambling Control Act of 1997. The city finds that the adoption of the Gambling Control Act (the “Act”) in 1997 by the California State Legislature has established a variety of new requirements for the licensing and operation of gaming establishments. Unless otherwise specifically addressed by this chapter, all compulsory, as contrasted with authorized but not mandated, requirements for local licensing and operation of gaming establishments shall be in accordance with the provisions of the Act. (Ord. 877 § 3, 2016; Ord. 808 § 1, 2007; Ord. 708 § 1, 1998; Ord. 707-U § 1, 1998).

5.25.030 Card club license application – Procedure.

A. License Applicant – Eligibility of City Employee. A card club license, if granted, shall be issued only in the name of an individual, a sole proprietorship, a partnership, a limited liability company, or a corporation. A card club license may be issued in the name of a publicly traded corporation only to the extent permitted by state law, subject to the provisions of this chapter. City officials, city employees, and members of their immediate families shall not be eligible to apply for card club licenses hereunder or otherwise apply for registrations as employees during their tenure as a city official or city employee or for a period of two years following such tenure.

B. Information Required. The city council or city manager may, in its/his/her discretion, consider, review and rely upon any and all written materials submitted by the applicant to the California Gambling Control Commission and/or the California Bureau of Gambling Control and background information obtained from an investigation conducted by the California Gambling Control Commission and/or the California Bureau of Gambling Control for the purpose of evaluating the qualifications of the applicant for the approval and issuance of any license, permit, or certificate by the Commission. As part of the application procedure for a card club license issued by the city, the applicant may be required to complete and submit the applicable application forms as are published and updated by the California Gambling Control Commission and/or the Bureau of Gambling Control.

In addition to other information as may be required by the application process for a card club license, the applicant for a license shall complete and provide the following information in as much detail as is available or as the city council or city manager may require:

1. The date of the application;

2. The true name of the applicant and any and all aliases;

3. The status of the applicant as being an individual, a sole proprietorship, a partnership or a corporation;

4. If the applicant is an individual, the residence and business address and personal history record of such applicant, specifically including any criminal record, business and employment history from age 18;

5. If the applicant is other than an individual, the name, residence, and business address of each of the copartners or stockholders who qualify as pointholders and the name, residence, and business address of each of the officers and directors of the entity and a copy of all applicable governing documents, specifically including articles of incorporation, bylaws and partnership agreements;

6. An application, as described in BGMC 5.25.040(A) for a pointholder’s license, including a personal history record, for every pointholder who has, or is proposed to have, a financial interest, direct or remote, in the proposed card club;

7. An application, as described in BGMC 5.25.040(A) for a key management employee license, including a personal history record, for each individual who is or is proposed to be a key management employee of the proposed card club;

8. A description of the premises to be used in relation to card club activity including but not limited to card playing area, restaurants and parking;

9. A development concept including floor plans, site plan, schematics and renderings or as detailed information as is available;

10. A statement of the type and nature of the games proposed to be played;

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

12. A description of any other business conducted or proposed to be conducted on the premises;

13. A financial plan and source of funding for the development including projected development cost;

14. A statement of the applicant’s experience in the operation and management of card clubs or other lawful gambling or other relevant activities, specifically including all prior applications for gaming licenses, the current status and/or disposition thereof;

15. A one-year cash flow projection, which shall be a confidential document and not open to public inspection;

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

17. A complete description and layout of all security measures proposed in as great a detail as available, which shall be a confidential document and not open to public inspection;

18. Detailed floor plans of the interior of the proposed card club facility specifying at a minimum:

a. The location of all card playing areas;

b. The manner in which the card playing area(s) shall be separated from other areas;

c. The location of any and all other proposed businesses and facilities within the premises;

19. Detailed plans of the parking facilities including a lighting and security plan;

20. A detailed statement of all proposed security measures (both physical and operational);

21. A detailed statement of all plans, both physical and operational, for the handling of money, including but not limited to provisions, if applicable, for:

a. Players’ banks (limited to cash only);

b. Purchase of chips and protection against counterfeit chips;

c. Check-cashing or credit procedures;

d. Procedures for bringing money to or removing money from the premises;

e. Procedures for determining and depositing daily gross receipts;

22. An independent evaluation of the internal accounting and administrative control system proposed to be used by applicant;

23. Each application for a license shall include the following:

a. A statement that the applicant understands that the application shall be considered only after a full background investigation and report has been made by such members of the city staff as are designated by the city manager;

b. A statement that the applicant understands and agrees that any business or activity conducted or operated under any license or license issued under such application shall be operated in full conformity with all the applicable laws of the United States and of the state of California 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, may render any license therefor subject to immediate suspension or revocation;

c. A statement that the applicant has read the provisions of this chapter and particularly the provisions of this section and understands the same and agrees to abide by all rules and regulations contained in this chapter;

d. A current balance sheet and income statement prepared in accordance with generally accepted accounting principles and a copy of all state and federal tax returns filed for the preceding three years. The financial statements required by this subsection shall be confidential documents and shall not be open to public inspection. Documents shall be available only to the city council and those officials having direct jurisdiction involving the provisions of this chapter and to any court of competent jurisdiction where any matter relating thereto may be actually pending.

C. Initial Application Fee. Each initial application for a card club license shall be accompanied by a license fee of $35,500 plus $1,000 for each pointholder license applicant or key management employee license applicant, which fee shall be retained by the city for the payment of the costs of the investigation of the applicant. In the event the city actually incurs costs exceeding $1,000 to investigate an applicant, the chief of police is authorized to transmit a statement to the applicant seeking reimbursement of such additional costs up to and including an additional $4,000. Failure to reimburse such additional costs shall be deemed a withdrawal of the application. The fees set forth in this subsection shall be the property of, and be retained by, the city, whether the license and permission to transfer interest in the license is granted or denied.

D. Quarterly License. In addition to the initial card club application fee, the licensee must also pay a quarterly license fee of $20,000. The first installment shall be due upon issuance of the initial card club license and every three months thereafter. The failure to timely pay any such quarterly installment may be deemed an abandonment of the card club license. The city may treat any default hereunder as curable upon payment of the quarterly installment, plus interest and a penalty of not less than $200.00 per day that the installment is past due.

E. Information Regarding Card Club Security Measures. The card club license application shall also include: all information provided regarding security measures, internal controls, or provisions relating to the handling of cash, chips, and cards shall be deemed confidential and shall not be made available for public inspection.

F. Modification of License. The terms and conditions or other requirements imposed by the card club license may be changed by filing an application with the city manager stating the specific terms and conditions that the licensee desires to change and the reasons therefor. Any application for modification under this section shall be accompanied by a fee of $500.00. The city manager shall be responsible for investigating the application and either approving the application, rejecting the application or approving the application, subject to the imposition of additional terms and conditions. (Ord. 877 § 4, 2016; Ord. 808 § 1, 2007; Ord. 651 § 1, 1996).

5.25.031 Card club license application approval process.

A. City Manager Background Investigation and Report. Upon receipt of an application, the city manager shall cause a background investigation to be made covering all matters relevant to the proposed activity of the applicant. Such matters may include but are not limited to the following:

1. Identity, character and background of the applicant;

2. The name of the card club if different from the applicant;

3. The street address of the card club;

4. A description of the gaming facilities;

5. The card games which may be offered at the card club;

6. Interior floor plan of buildings and site plan as to parking, traffic movement and aesthetics;

7. Compliance with city’s general plan, zoning, and environmental requirements;

8. Type of tables to be used and their proposed locations;

9. Area where food and beverages are proposed to be served;

10. Means for excluding persons under 21 years of age from card playing areas;

11. Type and degree of security personnel and facilities to be provided;

12. The financial stability of the pointholders involved in the application and the financial ability of the applicant to comply with the conditions and requirements of the city in the event the application is approved.

B. Additional Criteria for Issuance of a Card Club License. In addition to meeting all the requirements set forth in this section for the issuance of a card club license, a card club license shall not be considered by the city council until:

1. The card club site has been fully developed in accordance with all plans and specifications submitted to and approved by the city and the site has been inspected to verify compliance with all such plans and specifications;

2. The applicant has taken all steps necessary to ensure that the card club shall be operated in the manner set forth in this chapter and as approved by the city and has documents such to the satisfaction of the city manager;

3. All zoning, environmental, building and any other local or state requirements for the design, construction, or operation of the card club have been complied with;

4. Such other terms and conditions as may be imposed by the city council.

C. City Manager Findings and Recommendation. The background investigation of the applicant shall be completed as soon as practicable after a complete application is received and in any event not more than 180 days after receipt. The investigation may include the review and consideration of any and all information submitted by the applicant to the California Gambling Control Commission and/or the California Bureau of Gambling Control and background information obtained from an investigation on the applicant conducted by the California Gambling Control Commission and/or the California Bureau of Gambling Control for the purpose of evaluating the qualifications of an applicant for the approval and issuance of any license, permit, or certificate by the Commission. Following the investigation, the completed report of the investigation together with the city manager’s findings and recommendations shall be forwarded to the city council. The city council shall not consider any application for a license until the city manager’s findings and recommendations are forwarded for review.

D. City Council Determination. The city council by resolution shall either grant, conditionally grant, or deny the application. If the city council rules that an application be denied, the city manager shall transmit a notice of intent to deny as described in BGMC 5.25.022. All such orders and reasons will be made public. It shall be possible for the city council to tentatively approve the application of a license applicant, but disapprove the application for a license of one or more of the pointholders or key management employees. In such cases the city council can grant the license applied for subject to the condition that any pointholder or key management employee disapproved of be removed as an individual having any involvement with, or interest or control in, the card club. Compliance with the removal condition shall be monitored, reviewed and approved of by the city manager, prior to final issuance of the license.

In determining whether to grant a license, the city council shall be guided by the policy that licenses shall be issued only to those persons who will operate such licensed card clubs so as to best protect the public health, safety, morals, good order and welfare of the residents of the city. The action of the city council in accordance with this chapter shall be final.

E. Requirements for Issuance. In the event a full and complete application for a license is presented to the city council, and the payments required by this chapter in connection therewith have been duly made to the city, and the investigations and reports required under the provisions of this chapter have been duly completed, the city council shall have jurisdiction to consider such application.

F. Grounds for Denial. The city council may, in its discretion, deny or condition a license application for any of the reasons listed in BGMC 5.25.160, without being limited thereto, or for any other reason consistent with the general policy of this chapter or for any other reason consistent with federal or state law.

G. Documentation of Card Club License Issued. Should the city council grant the application for a card club license, the city shall issue a card club license in the form of a paper certificate to the applicant within 10 city business days evidencing that the applicant has fulfilled the licensing requirements under this chapter. The card club license shall be valid for one year. (Ord. 877 § 5, 2016; Ord. 808 § 1, 2007; Ord. 651 § 1, 1996).

5.25.032 Card club license application annual renewal process.

The holder of an unsurrendered, unexpired, unsuspended, unrevoked, and valid card club license issued pursuant to the provisions of this chapter shall be entitled to have the license renewed annually in accordance with the following procedure:

A. The card club license shall be valid for a period of one year from the date of issuance, said period to coincide with the period of validity of the annual card club license issued to the licensee by the State of California Gambling Control Commission. A completed application for renewal of the card club license shall be accompanied by a $200.00 renewal fee and shall be filed with the city manager or his/her designee no later than 60 days prior to the expiration of said license. In the case where the card club license applicant has timely filed all required documentation and renewal fees along with the application, the card club license shall be valid for an additional 90-day period following the date of expiration of the initial one-year period of validity to allow for potential administrative delays in the review and processing of the renewal application by the city.

B. A separate copy of the completed application shall be filed simultaneously with the Bell Gardens police department. An applicant may be required to submit completed application forms for the renewal of a card club license as are published and updated by the State of California Gambling Control Commission and/or Bureau of Gambling Control.

C. If such application for renewal is not filed within the time specified by subsection (A) of this section, such licensee may thereafter file a written application for renewal of any such expired license, but in such event, such licensee shall pay a penalty fee of $10.00 for each table or unit affected by such renewal, for each day of delinquency.

D. Renewal of the card club license shall be conditioned upon timely payment of the card club license fee which shall be payable in four equal quarterly installments as provided in BGMC 5.25.030(D).

E. As part of the application for renewal, the card club licensee shall file with the city manager an affidavit made subject to the penalties of perjury containing a full and complete statement including the following information:

1. Any change in individuals with whom the licensee has any operating agreements pertaining to the licensed operation. This shall include but not be limited to all banking groups agreements, lease agreements, service agreements, independent contract agreements, and other providers as designated by the city;

2. Any change in pointholders, the full, true, and correct names and addresses of such new pointholders, or trustors for pointholders;

3. The full, true, and correct names and addresses of each and every new key management employee;

4. If no changes have occurred from the previous renewal, licensee shall so certify and attest.

Failure to make full payment of license fees or failure to file or filing any false statement in any affidavit and/or certification and attestation as is required by this subsection may be deemed grounds for the revocation of such license pursuant to the procedures set forth in this chapter.

F. The application for renewal shall be accompanied by a letter from the owners that includes, in addition to such additional information as may be required by the city manager pursuant to regulation, an estimated budget and a description of any proposed operational changes which can reasonably be expected to have a material impact upon gross revenue.

G. Upon the city’s receipt of all necessary documentation in support of the application for renewal of the card club license, the city manager shall issue a letter to the applicant informing the applicant that the application for renewal and supporting documentation has been received and that the applicant shall be notified in writing regarding the city’s decision to renew or not to renew the application within 60 days of the filing of all required documentation. Should an additional period of time beyond the 60-day period be necessary for the city to render its decision on an application, the city shall notify the applicant in writing before the expiration of the 60-day period that a decision regarding an application for renewal shall be forthcoming no later than 60 days after the expiration of the initial 60-day period.

H. Upon compliance by a licensee with the requirements of this subsection, and if no material changes have occurred that have not already been acted upon, the card club license shall be deemed renewed for another one-year period. The city manager shall issue such card club license renewal in the form of a certificate evidencing that the card club licensee has fulfilled the card club license renewal requirements of this chapter. The certificate shall indicate the period of validity of the renewed card club license. If material changes have occurred, they shall be reviewed and considered by the city council in accordance with the procedures specified in BGMC 5.25.031. (Ord. 877 § 6, 2016; Ord. 808 § 1, 2007; Ord. 651 § 1, 1996).

5.25.040 Pointholder and key management license applications.

A. Pointholder and Key Management Employee Applications Filed Simultaneously with New Card Club License Applications.

1. As set forth in BGMC 5.25.030, the applications for all pointholder and key management employees shall be submitted as part of the application for a card club license.

2. Each applicant shall be responsible for providing complete and accurate information and for signing the application. However, it shall be the responsibility of the card club license applicant to submit the completed application and pay any application fees.

B. Pointholder or Key Management Employee License Applications Submitted Subsequent to the Issuance of a Card Club License.

1. Applications for pointholder licenses which do not accompany the application for a card club license as provided by BGMC 5.25.030 shall conform in all respects with the requirements set forth in subsection (A)(2) of this section.

2. An application for a key management employee license which does not accompany the application for a card club license as provided by BGMC 5.25.030 shall be completed on or before the date key management employee is scheduled to begin work for the licensee. In addition to other information as may be required by the application forms, the applicant for a key management employee license shall complete and provide the information required by subsection (A) of this section.

C. General Information Required – All Applicants. In addition to such other information as may be required by the application for a license, all applicants, regardless of entity type, shall complete and provide the following information:

1. The date of the application;

2. The true name of the applicant;

3. The status of the applicant as being an individual, a sole proprietorship, a partnership or a corporation;

4. Each application for a license shall include the following:

b. A statement that the applicant understands and agrees that any violation of any applicable laws or regulations may render any license subject to immediate suspension or revocation;

Failure to submit complete applications for each proposed pointholder and key management employee may be grounds for denial or revocation of a card club license. As part of the application procedure for a pointholder and key management employee license issued by the city, the applicant may be required to complete and submit the applicable application forms as are published and updated by the California Gambling Control Commission and/or Bureau of Gambling Control.

Upon receipt and review of the foregoing information, the city manager may require an applicant to provide additional information, including, but not limited to:

• A current balance sheet and income statement prepared in accordance with generally accepted accounting principles and a copy of all state and federal tax returns filed for the preceding three years;

• Employment and other background information for the applicant from the time the applicant reached age 18, specifically including the information enumerated in subsection (C)(4) of this section.

D. Specific Information Required – Pointholders and Key Management Employees. In addition to the general information required by subsection (C) of this section, the following information, if applicable, is required in the application:

1. All Pointholders and All Key Management Employees. The residence and business address and personal history record of the applicant, specifically including any criminal record, business and employment history for the past five years;

2. Key Management Employees Only. A statement of the applicant’s experience in the operation and management of card clubs or other lawful gambling or other relevant activities, specifically including all prior applications for gaming licenses, the current status and/or disposition thereof;

3. Pointholders Only. A statement of the number of points and/or nature of the interest sought to be sold, transferred, assigned or hypothecated as well as a statement of the source of any funds to be used to acquire such interest.

E. Specific Information Required – Pointholder Groups. In addition to the general application information required of all applicants listed in subsection (C) of this section, the following information, as applicable, is required in the application:

The name, residence, and business address of each of the copartners or stockholders who qualify as pointholders and the name, residence, and business address of each of the officers and directors of the entity and a copy of all applicable governing documents, specifically including articles of incorporation, bylaws and partnership agreements.

F. Limitations on Use and Disclosure of Information. Financial information shall be used for purposes of determining the source of funds used to acquire points and to ensure that an applicant’s financial history does not disclose involvement in activities inimical to the interests of legitimate gaming. The city expressly acknowledges that financial condition, standing alone or in the absence of an explanation of financial condition, does not constitute a disability which warrants denial of a license under this chapter.

The statements required by this subsection shall be confidential, and the documents containing such information shall be deemed to be confidential documents, and shall not be open to public inspection, but shall be available only to those city officials having direct jurisdiction where any matter relating thereto may be actually pending, except that the names and cities and states of residence only of such pointholders shall be open to public inspection, but all other statements and/or documents shall remain confidential.

G. Application Fees. Each application for a license under this section shall be accompanied by an application fee, payable to the city, in the amount of $1,000 for each pointholder license applicant or key management employee license applicant, which fee shall be retained by the city for the payment of the costs of the investigation of the applicant. In the event the city actually incurs costs exceeding $1,000 to investigate an applicant, the chief of police is authorized to transmit a statement to the applicant seeking reimbursement of such additional costs. Failure to reimburse such additional costs shall be deemed a withdrawal of the application. The fees set forth in this subsection shall be the property of, and be retained by, the city, whether the license and permission to transfer interest in the license is granted or denied and the city affirms that such fees are levied solely for cost recovery and are not for purposes of raising general revenues.

H. Investigations Required. Whenever an application pursuant to the provisions of this section has been filed with the city manager for a license pursuant to the provisions of this section, and the fees have been paid, the city manager, shall promptly and diligently cause a full and complete investigation of the applicant to be made, including the following:

1. Concurrently with the filing of an application, each applicant shall be fingerprinted and photographed by the Bell Gardens police department and shall authorize the city to obtain any available criminal offender record information relating to applicant and shall further authorize the updating of that information on an annual basis if the application is approved;

2. A background investigation including an analysis of the financial information supplied by the applicant.

It shall be the responsibility and duty of the city manager to supervise and direct the chief of police to establish the necessary procedures to administer the provisions of this section.

Nothing herein shall preclude the chief of police from developing variable standards of investigation based upon the different levels of responsibility assigned to a key management employee. The information received by the chief of police pursuant to the provisions of this subsection shall be treated as confidential.

I. Grounds for Denial. The city council or an agent thereof may, in its discretion, deny or condition a license application for any of the reasons listed in BGMC 5.25.160, without being limited thereto, or for any other reason consistent with the general policy of this chapter or for any other reason consistent with federal or state law.

J. Conditional License. In recognition of the delays which may be encountered in obtaining all information on each applicant under this section, the city manager or designee is authorized to issue a conditional license which shall be valid for a period not to exceed six months. A conditional license shall include such terms and conditions as may be determined by the city manager. The six months shall be extended from month to month pending receipt of criminal history information from the Department of Justice. (Ord. 877 § 7, 2016; Ord. 808 § 1, 2007; Ord. 651 § 1, 1996).

5.25.041 Pointholder and key management license renewal.

A. License Renewal. All pointholder and key management employee licenses shall be valid for a period of one year, unless the terms and conditions imposed in the license specify a shorter period of time. Each application for renewal of a license granted under this section shall be deemed to impose upon the applicant an affirmative obligation to promptly inform the city of any change in the information previously provided to the city, specifically including updated background information, personal history, financial information, and in the case of nonindividual applicants, governing corporate documents. The application for renewal shall consist of:

1. A typewritten statement under penalty of perjury that, except as disclosed in any update previously provided to the city manager, there have been no changes in the information provided to the city since the license was last renewed.

2. A check in the amount of $100.00.

An applicant seeking to renew a key management employee license and a pointholder license shall be required to submit two separate application letters but only one check in the amount of $100.00. Each letter shall clearly state which license the applicant is seeking to renew. Nothing herein shall prohibit the city manager from requiring that the applicant complete and submit the applicable application forms for the position of key management employee and/or pointholder as are published by the California Gambling Control Commission and/or Bureau of Gambling Control.

In the event any information provided in connection with any update provided pursuant to this section requires investigation by the Bell Gardens police department, the city manager may levy an additional license fee of not more than $400.00 to help defray the costs of such investigation.

The city council, upon recommendation of the chief of police, may waive the renewal fee required under this section subject to the agreement by the card club licensee to bear the costs of reviewing, investigating, and updating information provided pursuant to the information provided in support of the application for renewal. (Ord. 877 § 8, 2016; Ord. 808 § 1, 2007).

5.25.042 Transfer of pointholder interest.

A. Permission Required. It shall be unlawful for any pointholder, having any interest whatever, or at all, in the ownership of a card club, whether legal or equitable, or as trustor or trustee, or of whatever kind or character, to transfer, hypothecate, pledge, offer as collateral or sell any points and/or interest in a card club to any person who is or by reason of such transaction would become a pointholder without the prior consent and permission of the city council.

B. Prohibition Against Unlicensed Ownership Interests. No card club licensee or pointholder shall knowingly permit any individual, partnership, or other entity to make any investment in, or in any manner participate in, the profits of any licensed card club, or any portion thereof, except in accordance with this chapter. Any distribution to an unlicensed pointholder is expressly prohibited and may be grounds for revocation or suspension of a card club license.

C. Prohibition Against Undisclosed Interests. No card club licensee or pointholder shall knowingly permit any participation in the profits or revenues in any licensed card club by any person acting as agent, trustee, or in any other representative capacity whatever for or on behalf of another person without first having fully disclosed all facts pertaining to such representation to the city council and having obtained a pointholder or key management employee license as provided herein. No person acting in any such representative capacity shall hold or acquire any such interest or participate without first having fully disclosed all facts pertaining to such representation to the city council and obtained written permission of the city council to so act.

D. Transfer of Interest and Escrow Required – Existing Pointholder to New Pointholder. No transfer, sale or hypothecation of a point or new investment in a card club shall be permitted between an existing pointholder and a new pointholder until the city council has received, reviewed, and approved a written request for transfer of interest, and until each new pointholder has been granted a pointholder’s license authorizing the holding of such interest in a point.

An application for transfer of interest shall contain and clearly and truthfully set forth, under oath, and/or affirmation, in addition to such other information as the city manager may require, the information specified in BGMC 5.25.040(A). No money or other thing of value constituting any part of the consideration for the transfer or acquisition of any interest in a licensed card club shall be paid over, received or used prior to complete compliance with all prerequisites set forth in the law and these regulations for the consummation of such transaction. Notwithstanding the foregoing, such funds may be placed in escrow pending completion of the transaction. Any loan, pledge or other transaction in an attempt to evade the requirements of this regulation may be deemed a violation and, as such, shall constitute grounds for disapproval of the point transfer.

E. Transfer of Interest and Escrow Required – Current Pointholder to Current Pointholder. At least 30 days prior to the undertaking of any transfer, sale or hypothecation of a point, or new investment in a card club between existing pointholders, the pointholder proposing to transfer, sell or hypothecate a point or new investment shall notify the city manager in writing of such proposed transfer, sale or hypothecation. Each such written notification shall contain and clearly and truthfully set forth, under oath and/or affirmation, in addition to such other information as the city manager may require, the information specified in BGMC 5.25.040(A).

Each such written notification shall be signed in blue or black ink by the pointholder transferring, selling or hypothecating the point or new investment in the card club and shall contain a declaration signed under penalty of perjury to read as one of the following as applicable:

1. The proposed transfer, sale or hypothecation of a point or new investment in the Card Club is not undertaken for any reason or reasons relating to civil or criminal charges, claims or lawsuits, either pending or existing against the Pointholder proposing to transfer, sell or hypothecate the point or investment.

2. The proposed transfer, sale or hypothecation of a point or new investment in the Card Club is undertaken for reasons relating to civil or criminal charges, claims or lawsuits, either pending or existing against the Pointholder proposing to transfer, sell or hypothecate the point or investment.

Said declaration shall also explain in detail the reasons for the proposed transfer, sale or hypothecation of a point or new investment in the card club. The declaration shall read:

I DECLARE UNDER PENALTY OF PERJURY, UNDER THE LAWS OF THE STATE OF CALIFORNIA THAT THE FOREGOING IS TRUE AND CORRECT AND THAT THIS DECLARATION IS EXECUTED ON .....

F. Investigations Required. Whenever a written request pursuant to the provisions of this section has been filed with the city manager for a license pursuant to the provisions of this section, and the fees required by BGMC 5.25.040(G) have been paid, the city manager shall conduct an investigation as though this were an initial application under BGMC 5.25.040(H).

It shall be the responsibility and duty of the city manager to supervise and direct the chief of police to establish the necessary procedures to administer the provisions of this subsection. The information received by the chief of police pursuant to the provisions of this subsection shall be treated as confidential.

G. Fees. Each written request for transfer of interest from an existing pointholder to a new pointholder or an existing pointholder to another existing pointholder shall be accompanied by the fee provided for by BGMC 5.25.040(G).

H. Granting or Denial of Application. When an application for a license is presented to the city council and the fees required by BGMC 5.25.040(G) have been paid, the application shall be processed and reviewed on the same basis as an initial application as provided by BGMC 5.25.040(H). (Ord. 808 § 1, 2007; Ord. 651 § 1, 1996. Formerly 5.25.041).

5.25.050 Registration, fingerprinting and photographing of employees.

A. Registration Required by All Persons Performing Work at a Card Club. All individuals directly employed by a licensed card club or who are not directly employed by a licensed card club but who work, conduct business or perform services on the card club site shall obtain and maintain valid registration with the Bell Gardens police department prior to commencing employment, conducting business, or performing services on the card club site. It shall be unlawful for any licensed card club to employ any individual or to allow any person to do work, do business or perform services on the card club site who is not the holder of a valid registration badge issued by the chief of police reflecting current registration under the provisions of this section. The chief of police, or his or her designee, shall provide forms upon which the application for registration shall be submitted and shall ensure that copies of such forms are available during normal business hours. The chief of police may charge the authorized city fee for each copy of the form.

B. Fingerprints and Photograph Required Prior to Registration. No registration badge shall be issued to any individual without such person having first been fingerprinted and photographed by the Bell Gardens police department or such other person(s) as approved by the Bell Gardens police department. It shall be the responsibility of every card club, before employing any individual, to ascertain that such person holds a valid registration badge issued in accordance with this regulation, and shall cause its employment records to reflect such fact.

C. Application Procedure. Applications for registration badges shall be submitted to the Bell Gardens police department and shall be reviewed pursuant to the procedures adopted by the police department. An application for registration may be granted or denied by the chief of police or his or her designee for any cause listed in BGMC 5.25.160, without being limited thereto. An individual applying for registration shall authorize the city to obtain any available criminal offender record information relating to the applicant and shall further authorize the updating of that information on an annual basis if a registration badge is issued.

No registration badge shall be issued to any applicant who has been denied a work permit by the state of California and the duly constituted state regulatory authority shall be permitted to object to registration of any applicant, in which event the application shall be denied.

D. Temporary Registration Status. An applicant’s registration is deemed temporary and subject to denial until the police department has completed its background investigation on the applicant. In recognition of the delay which may be encountered in obtaining and verifying all necessary background information of each registration applicant at the time of the applicant’s submittal of his or her application, the chief of police is hereby authorized to issue temporary registration badges which shall be valid for a period not to exceed six months and shall be issued under the terms and conditions to be determined by the chief of police. The six months shall be extended from month to month pending receipt of criminal history information from the Department of Justice.

E. Display of Registration Badge – Card Club and Non-Card Club Employees.

1. All card club employees, including but not limited to permanent, conditional, and temporary, and all non-card club employees shall prominently display the registration badge issued pursuant to this section at all times while conducting business and/or working at the card club site. Said badge shall be worn on the employee’s outermost garment at approximately chest height. The badge shall be maintained in an easily readable condition. Proposition players employed by the card club will not be required to wear their badge while performing duties so long as the badge is in their immediate possession and is produced upon demand.

2. Replacement registration badges shall be issued by the chief of police upon payment of a $25.00 fee.

3. No employee shall display on his or her person or use as a means of identification the registration badge of another employee under any circumstances. Any person who displays the registration badge of another employee on his or her person or who uses such badge as a means of identification shall be subject to the immediate suspension and/or revocation of his or her registration status. Violation of this section may also result in the prosecution of such person under California Penal Code Section 529 and any and all other applicable laws.

4. The requirements for the display of registration badges as provided in this section are in addition to, and not in substitution of, the carrying and/or display of any and all registration or identification as mandated by state law.

F. Responsibilities of the Chief of Police. It shall be the responsibility and duty of the chief of police to establish the necessary procedures to implement and administer the provisions of this section. The information received by the chief of police pursuant to the provisions of this section shall be treated as confidential.

G. Registration Application Fee. Each application for registration under this section shall be accompanied by an application fee, payable to the city, in the amount of $75.00, which fee shall be retained by the city for the payment of the costs of the investigation of the applicant. The fees set forth in this subsection shall be the property of, and be retained by, the city.

H. Obligation of Card Club Licensee.

1. It shall be a condition of the card club operations certificate holder to inform the chief of police of the change in the employment status of a registered employee and of the effective date of said change within 10 days after the close of the month in which the change in employment status took place. For purposes of this section, a change in employment status includes, but is not limited to:

a. Termination (other than for the grounds set forth in BGMC 5.25.160);

b. Leave of absence for any key management employee;

c. Promotion to key management; or

d. Change in key management position or job title.

2. It shall be the responsibility of the card club licensee to inform the chief of police of any and all terminations relating to the grounds set forth in BGMC 5.25.160 within one city business day of the termination.

3. Any and all employees who are transferred or promoted into a key management employee position must be licensed as provided in BGMC 5.25.040.

I. Renewal of Registration – Card Club and Non-Card Club Employees. It shall be the responsibility of the individual employee to maintain a current registration. Each registration shall be renewed bi-annually. The application for renewal shall state, in addition to such information as may be required by the chief of police, whether there have been any changes to the information provided by the applicant when the registration was initially approved or last renewed, whichever the case may be. The fee for renewal of registration shall be $75.00.

J. Overtime Authorization for Registration Processing Outside Normal Business Hours. In the event that the processing of the registration of the employees of a non-card club employment group cannot be completed during normal city business hours and requires the completion of processing outside normal city business hours, the group requesting the registration shall be responsible for paying the overtime costs associated with the processing request. The group shall have 30 days from the date listed on the invoice to remit payment to the city. Failure to timely remit payment of the invoice shall result in the revocation of the registration status of all employees belonging to the group. In the event registration is revoked, the card club shall be responsible for the payment to the city of the overtime costs incurred by the group.

K. Recovery and Return of Registration Badges – Responsibility. It shall be the responsibility of the card club to adopt and to enforce appropriate registration badge recovery procedures to make every reasonable effort to ensure that all registration badges are returned to the police department within 21 days of a card club employee’s or non-card club employee’s last day of work or service at the card club site.

L. Documentation of Employee’s Termination from Employment at Card Club. In the event that an employee’s registration and/or license is revoked by the police department, the card club shall submit a copy of the employee’s last pay period work schedule and letter of termination, or other documentation confirming the employee’s termination if applicable, to the chief of police or his or her designee within three business days of his or her date of termination.

M. Re-Registration for Returning Card Club Employees. Prior to rehire, returning employees (card club and non-card club) previously terminated, laid off or resigned from the card club shall be required to submit a new registration application under this section in the following circumstances:

1. More than one month has elapsed since the date of the employee’s last work day at the card club; or

2. Less than one month has elapsed since the date of the employee’s last work day at the card club; however, the date of the last background investigation conducted on the employee for purposes of registration occurred more than six months prior to the date of proposed rehire. (Ord. 808 § 1, 2007; Ord. 747 § 1, 2002; Ord. 651 § 1, 1996. Formerly 5.25.060).

5.25.051 Arrest notification – Obligation of all employees.

A. Notification within One City Business Day of Arrest(s). As a condition of continued employment on the card club site, all employees, including card club employees and non-card club employees, shall notify the Bell Gardens police department regarding any felony arrests within one city business day of the arrest(s) and within 10 business days for any misdemeanor arrests. Failure to comply with this section shall be grounds for immediate suspension and/or revocation of the employee’s registration and license, as applicable.

B. Temporary Suspension of Registration Pending Outcome of Police Department Investigation. A licensee or registered employee who has been arrested for violating any provision of federal and/or state law may be temporarily suspended pending the outcome of a police department investigation where the employee’s temporary suspension from employment at the card club site during the investigation into the matter is deemed necessary for the immediate preservation of the public peace, health, safety and general welfare. (Ord. 877 § 9, 2016; Ord. 808 § 1, 2007; Ord. 651 § 1, 1996).

5.25.052 Security officer and security surveillance personnel – Card club registration.

In addition to completing the registration requirements as set forth in BGMC 5.25.050, each card club security, patrol and surveillance personnel employee, whether employed directly by the card club or employed by a party contracting with the card club, at the time of submittal of his or her application for a registration badge under BGMC 5.25.050(C) shall submit to the police department a copy of his/her card club employment application that is on file with the card club. Failure to comply with this section shall constitute grounds for denial of registration and revocation of temporary registration status. (Ord. 808 § 1, 2007).

5.25.060 Massage therapy services provided within licensed card clubs or spa facilities within any hotel affiliated with a licensed card club.

A. Purpose and Intent. It is the purpose and intent of this section to provide for the orderly regulation of licensed massage technicians rendering professional services in the form of massage and/or massage therapy services on the gaming floors of card clubs or spa facilities within any hotel located within a card club in the city in the interest of the public health, safety, and welfare by requiring compliance with certain minimum standards of practice and by providing certain minimum qualifications for card club massage technicians. It is the further intent of this section to facilitate the ethical practice of massage and massage therapy services within licensed card clubs.

B. Definitions. For the purpose of this section, unless the context clearly requires a different meaning, the words, terms, and phrases hereinafter set forth shall have the meaning given them in this section:

1. “California Massage Therapy Council” or “CAMTC” means the California Massage Therapy Council created under California Business and Professions Code Section 4602.

2. “Card club massage technician” means any certified massage practitioner or certified massage therapist who administers massage or massage therapy service (within or upon) in and about the premises of a card club or spa facility within any hotel located within a card club to card club individuals or spa facility guests for any consideration whatsoever.

3. “Certified massage practitioner” or “certified massage therapist” means a person who is currently certified as a massage practitioner or massage therapist by the CAMTC pursuant to Chapter 10.5 of the California Business and Professions Code.

4. “Massage” or “massage therapy services” means any massage of pressure on, or friction against, or striking, kneading, rubbing, tapping, pounding, vibrating, manipulating, or stimulating the external parts of the human body with the hands or with the aid of any mechanical or electrical apparatus, or other appliances or devices, with or without such supplementary aids as rubbing alcohol, liniment, antiseptic oil, powder, cream, lotion, ointment, or similar preparations.

5. “Spa facility” or “spa facilities” means any spa facility located within any hotel located within a card club licensed by the city.

6. “Specified anatomical areas” refers to genitals, female breasts, cleft of the buttocks, perineum and anal regions.

C. Card Club Massage Technician Registration and License Requirements.

1. All card club massage technicians shall adhere to the registration and renewal of registration requirements of BGMC 5.25.050.

2. In addition to completing the registration requirements as set forth in BGMC 5.25.050, each card club massage technician, whether employed directly by the card club or employed by a third party contracting with the card club, must be certified as a massage practitioner or massage therapist by the CAMTC. At the time of submittal of his or her application for a registration badge under BGMC 5.25.050(C) each card club massage technician shall submit a copy of his/her CAMTC certificate. Failure to comply with this section shall constitute grounds for denial of registration and revocation of any temporary registration status.

3. No Additional Authorization Granted. Card club massage technician registration authorizing an applicant to act as a card club massage technician does not authorize the applicant to act as a massage technician in any other establishment, including any massage establishment as defined in BGMC 5.46.020, nor does it authorize the operation of a massage establishment in the city.

4. No card club massage technician shall begin employment at a card club nor begin the registration process unless the massage technician group with whom he or she is employed or with whom he or she has contracted to provide massage therapy services has obtained valid registration under BGMC 5.25.061 and 5.25.070.

D. Grounds for Revocation or Suspension of Registration. In addition to the grounds for suspension and revocation of licenses in BGMC 5.25.100, any registration issued to a card club massage technician may be suspended or revoked by the chief of police where it is found that:

1. The card club massage technician has violated any provision of this chapter;

2. The card club massage technician has had his/her CAMTC certification suspended or revoked;

3. The card club massage technician has made a material misstatement or omission in any document or application provided by the city or on behalf of the card club massage technician;

4. The card club massage technician has engaged in fraud or misrepresentation or has knowingly made a misstatement of material fact; or

5. Some other matter or activity in the background of the card club massage technician reasonably related to the activities to be engaged in by the card club massage technician is such that a reasonable person could conclude that there would be an undue risk to the public health and safety if registration were granted.

E. Massage Therapy Services – Card Club Gaming Floor.

1. A card club massage technician providing massage therapy services on the gaming floor of a card club is authorized to perform massage therapy services on or about the following areas only:

a. Head;

b. Neck;

c. Shoulders;

d. Arms;

e. Hands; and

f. Back.

2. No card club massage technician, while performing massage and/or massage therapy services on the gaming floor shall massage or intentionally touch or make physical contact with the specified anatomical areas, as defined herein, of another person, including any and all other areas below the waist.

3. During all massage and/or massage therapy services provided on the gaming floor both the card club massage technician and his/her client shall remain fully clothed.

4. All massage and/or massage therapy services shall be performed on the gaming floor in areas accessible to the public, within public view and during regular business hours of the card club. No such services shall be provided in any public restroom(s) or in any other locations within the card club, unless expressly listed in this section.

F. Massage Therapy Services – Within Spa Facilities.

1. No card club massage technician, while performing massage and/or massage therapy services within spa facilities shall massage or intentionally touch or make physical contact with the specified anatomical areas of another person.

2. During all massage and/or massage therapy services provided within spa facilities, the card club massage technician shall remain fully clothed.

3. No massage and/or massage therapy services shall be provided within spa facilities unless the client’s specified anatomical areas are fully covered.

4. Any spa facility providing massage therapy services must comply with Chapter 5.46 BGMC as it relates to operating standards.

G. Exceptions. No provision of this title shall be deemed, either directly or indirectly, to authorize any act which is otherwise prohibited by any law of the state or to require any act which is otherwise prohibited by any law of the state. No provision shall be interpreted to, either directly or indirectly, prohibit any act or acts which are prohibited by any law of the state.

H. Fees. Wherever provision is made in this section for the payment of fees, such fees shall be those which the city council from time to time approves by resolution or minute order. (Ord. 877 § 10, 2016; Ord. 808 § 1, 2007).

5.25.061 Card club massage technician group registration approval process.

A. Certain Information Required for Registration Approval. To lawfully conduct business at a card club site, all card club massage technician groups are required to satisfy the non-card club group registration requirements set forth in BGMC 5.25.070. No card club massage technician group shall present an individual for registration without having first obtained valid registration as a non-card club employment group under the provisions of BGMC 5.25.070. (Ord. 808 § 1, 2007).

5.25.062 Card club massage technician group registration renewal process.

A. Certain Information Required Prior to Renewal. All card club massage technician groups shall adhere to the same non-card club employment group registration renewal requirements as set forth in BGMC 5.25.072. (Ord. 808 § 1, 2007).

5.25.063 Card club massage technician registration.

Repealed by Ord. 877. (Ord. 808 § 1, 2007).

5.25.064 Card club massage technician registration renewal.

Repealed by Ord. 877. (Ord. 808 § 1, 2007).

5.25.070 Non-card club employment group registration – General requirements.

A. Certain Information Required Prior to Approval. All non-card club employment group’s employees shall adhere to the registration requirements set forth in BGMC 5.25.050. No non-club card employment group shall present an employee for registration without prior approval from the police department and without providing the following information:

B. A letter signed by the non-card club employment group’s owner, on official group letterhead, containing the following information:

1. Group name.

2. Group address.

3. Group telephone number.

4. Group fax number.

5. Emergency contact name.

6. Emergency contact phone number(s).

7. E-mail address(es) of group.

8. Compliance personnel contact name.

9. Compliance personnel contact phone number(s).

10. The date of anticipated employment of the group.

11. The nature of the relationship between the group and the card club, and the business proposed to be conducted at the card club.

C. A copy of the group’s business contract with the card club.

D. A letter from the card club, signed by its legal counsel, which states the relationship between the card club and the prospective group.

E. A letter from the group owner containing a statement affirming that the group’s owner understands and has explained to the group’s employees that any questions regarding registration, registration badges, employment on the card club site, or questions of similar nature shall be directed to the Bell Gardens police department.

F. A copy of the group’s current city of Bell Gardens business license.

G. A current group employee list. (Ord. 808 § 1, 2007).

5.25.071 Non-card club employment group registration – Specific requirements.

In addition to adhering to the registration requirements set forth in BGMC 5.25.050 and 5.25.070, the following group(s) shall have additional specific registration requirements.

A. Third Party Funded Player Groups. Third party funded player groups (“bankers”) shall submit the following prior to being approved to conduct business at a card club:

1. Copy of the California Gambling Control Commission Third Party Provider of Proposition Player Services Registration Certificate as provided by the state of California.

2. Copy of the group’s “Third Party Proposition Player Service Agreement” as filed with the card club. Said agreement must be signed and dated by card club personnel and group owner. (Ord. 808 § 1, 2007).

5.25.072 Non-card club employment group registration renewal.

All non-card club employment group registration shall be renewed annually. In addition, the review of the group’s history with regards to compliance with the provisions of this chapter and with any and all federal, state and local laws and regulations shall be considered in evaluating the group’s application for renewal.

A. Certain Information Required Prior to Renewal. A non-card club employment group shall submit the following items as part of the registration renewal application:

1. Resubmission of all information described in BGMC 5.25.070.

2. A copy of its city of Bell Gardens business license for the upcoming work year.

B. Third Party Funded Player Groups. In addition to subsection (A) of this section, third party funded player groups (“bankers”) shall submit either of the following:

1. Copy of the California Gambling Control Commission Third Party Provider Proposition Player Services Registration Certificate as provided by the state of California for the current year; or

2. Copy of the California Bureau of Gambling Control’s “Notice of Approval to Continue Third Party Proposition Player Services.” (Ord. 877 § 13, 2016; Ord. 808 § 1, 2007).

5.25.073 Non-card club employment group name changes.

Within five business days of the completion of a change in name by a non-card club employment group, the group owner shall submit a copy of a new city business license that reflects the change in the group’s name to the police department. In addition, the group’s owner shall submit a notarized declaration, with an explanation of the reason(s) for the name change. Said declaration shall also indicate that the change in the group name was not undertaken for any reasons relating to any civil or criminal charges, claims or lawsuits either pending or existing against the group or group owner, naming the group and/or its owner under any former or concurrent name(s). The declaration shall be signed by the group owner and shall contain the following language:

I declare under penalty of perjury under the laws of the State of California that the foregoing is true and correct and that this declaration is executed on (month/day/year).

(Ord. 808 § 1, 2007).

5.25.074 Non-card club employment group compliance.

A. Compliance Requirements.

1. Registration Badge Compliance. In the event any non-card club employment group ceases conducting business at a card club for any reason or an employee of such group is terminated or resigns from employment, any and all outstanding registration badges shall be returned to the card club within 21 calendar days of the date of the group’s ceasing to conduct business, or the termination or resignation of the employee, as applicable. Failure to return all registration badges may result in the denial of the group’s application for renewal of its registration.

2. Employee Contact Compliance. In the event the Bell Gardens police department attempts to make contact with a group employee with the information furnished by the employee group under BGMC 5.25.070(B), the employee shall make all reasonable attempts to respond within 21 days. The employee’s failure to respond to documented attempts at contact may result in the revocation of the employee’s registration.

3. Employee and Group List Compliance. All non-card club employment groups shall provide an updated employee and employer list to the Bell Gardens police department and to the card club on a monthly basis. The list shall be due by no later than the first Thursday of the first full week of the month. Failure to comply with this provision may result in the denial of the group’s application for renewal of its registration and/or revocation of its permission to work, as applicable.

B. Compliance Penalties. A non-card club employment group shall be subject to the forfeiture of its deposit(s) and privilege to work at the card club site as a result of its failure to comply with the provisions of this chapter. Upon approval from the police department, a group’s employment status may be reinstated after another deposit has been deposited with the police department. (Ord. 808 § 1, 2007).

5.25.080 Non-card club employee registration – General requirements.

A. Certain Information Required Prior to Approval. No non-card club employee shall begin employment at the card club site until the non-card club employment group with which he or she is employed has fulfilled all of the requirements of BGMC 5.25.070. In addition, all non-card club employees shall adhere to the registration requirements as described in BGMC 5.25.050. (Ord. 808 § 1, 2007).

5.25.081 Non-card club employee registration – Specific requirements.

A. Tournament Dealers. Tournament dealers shall adhere to all of the registration requirements as described in BGMC 5.25.050.

B. Recurring Tournament Dealers. If a tournament dealer is employed as a tournament dealer for more than one tournament in a calendar year, the tournament dealer shall adhere to the registration requirements regulations set forth in subsection (D) of this section. There is no limit to how many tournaments a tournament dealer may participate in during a calendar year.

C. Card Club Massage Technicians. Card club massage technicians (employees), as defined in BGMC 5.25.060(B)(2), must provide proof of certification as a massage practitioner or massage therapist by the CAMTC.

D. Transferring Employment Among Groups. If a non-card club employee changes employment from one group to another of the similar kind, the following shall be applicable for registration:

1. If the non-card club employee was registered under the provisions of BGMC 5.25.050 within the past six months from the transfer date, a $25.00 fee shall be collected for the purpose of updating his/her registration and for the issuance of a new registration badge.

2. If the non-card club employee was registered more than six months from the initial registration date, the full cost of registration ($75.00) shall apply.

3. A non-card club employee may not transfer among three groups of similar type in the same calendar year without having to submit to full registration requirements on the second transfer (third group) at the full cost of $75.00. (Ord. 877 § 14, 2016; Ord. 808 § 1, 2007).

5.25.082 Non-card club employee registration renewal.

All non-card club employees shall adhere to the same registration renewal requirements as set forth in BGMC 5.25.050. (Ord. 808 § 1, 2007).

5.25.090 Required vendor approvals.

A fully executed copy of all contracts (A) for gaming-related services, or (B) for services (whether or not gaming-related) which are to be provided at the card club site on a regular basis shall be submitted to the city manager for his review and maintenance within two business days of their execution. For purposes of this section, “regular basis” means, on average, once a week or more frequent.

The information required by this section shall be regarded as confidential and shall not be open to public inspection to the extent permitted under the law. Documents shall be available only to the city council and those officials having direct jurisdiction involving the provisions of this chapter and to any court of competent jurisdiction where any matter relating thereto may be actually pending.

The card club licensee shall enter into no contract with any city official or member of his or her immediate family. Excluded from the foregoing prohibition are contracts which, in the aggregate, do not call for the payment of more than $50,000 per year.

No contract entered into before the effective date of the ordinance codified in this chapter, as amended, shall be rendered invalid or ineffective or subject to review and/or approval as provided by this section. (Ord. 808 § 1, 2007; Ord. 651 § 1, 1996. Formerly 5.25.070).

5.25.100 Suspension and revocation of licenses.

All licenses and any registration authorized and issued under the provisions of this chapter shall be subject to, and accepted as subject to:

A. Immediate suspension by the city manager, or his designee, if the city manager finds that:

1. The Attorney General has suspended or revoked an applicant’s registration under the California Gambling Control Act.

2. A licensee or registered employee, or any agent or employee thereof, has violated or permitted, allowed or caused the violation of any provision of this chapter, any regulation issued pursuant to this chapter, any condition of approval imposed upon the issuance of the license or registration, or any state law or regulation relating to the operation of a card club where the continued operation of the club in the light of such violation jeopardizes, or threatens to jeopardize, the public welfare.

3. A licensee or registered employee has been convicted of a crime denominated in BGMC 5.25.160. A conviction is a suitable ground for revocation or suspension of the license or registration, prior to the exhaustion of appellate rights.

4. A licensee or registered employee has been arrested for violating any provision of federal and/or state law and where the employee’s suspension during the period of investigation into the matter is necessary for the immediate preservation of the public peace, health, safety, or general welfare.

B. Suspension or revocation by the city on at least 30 days’ notice to the licensee or registered employee and after testimony has been taken from the licensee, the registered employee and/or any other interested person, if the hearing officer finds that:

1. The Attorney General has suspended or revoked an applicant’s registration under the California Gambling Control Act; or

2. A licensee, the registered employee or any agent or employee thereof with the knowledge of the licensee has violated, or permitted, allowed or caused the violation of, any provisions of this chapter, any regulation issued pursuant thereto, any condition of approval imposed upon the issuance of the card club license, or any state or federal law or regulation relating to the operation of a card club; or

3. A licensee or a registered employee has failed to pay, when due and payable, any of the fees provided for in this chapter within 10 days after written notice of any such failure; or

4. A licensee or registered employee has made any fraudulent statements as to a material fact on an application form or as to any other information presented as part of the application process; or

5. A licensee or registered employee knowingly commits any act which would have constituted grounds for denial of an application for a license; or

6. The licensee has knowingly continued to employ in any card club any individual whom the city council or any court has found guilty of cheating, using any improper device in connection with any game, or skimming whether as a licensee or player at a licensed game, or any person whose conduct of a licensed game as an employee of a licensee resulted in revocation or suspension of the license of such licensee; or

7. The licensee or registered employee has been convicted of a crime denominated in BGMC 5.25.160. A conviction is a suitable ground for revocation or suspension of the license or registration, prior to the exhaustion of appellate rights.

C. Except as otherwise provided in this chapter, the imposition of a limit, condition, suspension or revocation of the license of an individual pointholder or key management employee or of the registration of any employee will not affect the license of the card club.

D. The city manager may order the sale or transfer of points or interest held by an individual pointholder licensee whose license has been revoked. The individual pointholder licensee whose license has been revoked shall have not more than 120 days within which to conclude the transfer of his interest, which time may be enlarged upon application to the city manager for good cause shown. Any such application shall describe the good faith efforts taken to secure a sale, the reasons why a sale cannot be concluded within the time provided and an estimate of the time by which a sale will be concluded. The transferee or purchaser of any interest pursuant to any such order shall be subject to the same licensing requirements as are generally applicable and set forth in BGMC 5.25.042.

E. The city manager may order a licensed card club to keep an individual pointholder or employee whose license or registration has been revoked from coming onto the card club site, or not to pay such pointholder or employee any remuneration for services as an employee and/or any profits, income or accruals on his or her investment as a pointholder in the card club.

F. In the event of a violation described in subsections (B)(2) through (7) of this section, a fine, not to exceed $10,000 per day for each violation, may be imposed on the licensee in lieu of suspension or revocation. In the event the violation is for nonpayment of fees, the fine shall amount to five percent of the unpaid fees plus one and one-half percent per month accrued daily after the first 30 days. In the event the city elects to impose a fine, the same procedures as are applicable to revocation or suspension of the license shall apply.

G. When appropriate, in addition to or in lieu of suspension, revocation or imposition of a fine, the city manager may impose other appropriate penalties, including but not limited to restitution to victims and modifications and limitations on the terms and conditions of the license, registration or card club operations certificate. (Ord. 808 § 1, 2007; Ord. 651 § 1, 1996. Formerly 5.25.090).

5.25.110 Procedure for revocation or suspension.

A. Notice of Intent to Revoke or Suspend. In the event the city manager determines that a license issued pursuant to the terms of this chapter shall be suspended or revoked, with or without notice, the city manager shall issue a notice of decision which shall state the grounds upon which the suspension or revocation or other penalty is based. The notice shall be in writing and shall be mailed by certified mail addressed to the licensee or employee at the address of record. This section shall not define or limit the authority of the chief of police, or his or her designee, to suspend or revoke a license or registration issued pursuant to this chapter. This section shall not apply to the temporary suspension procedure as set forth in BGMC 5.25.051. (Ord. 808 § 1, 2007; Ord. 651 § 1, 1996. Formerly 5.25.093).

5.25.111 Effect of notice of decision and notice of appeal.

A. Notice of Appeal. A licensee or employee whose license or registration is revoked or suspended shall have the right to file a written notice of appeal within 30 calendar days from the date of mailing of the notice of decision. Unless the licensee or employee files a written notice of appeal with the city manager within 30 calendar days from the date of mailing of the notice of decision, the decision shall become effective on the close of business on the thirtieth day after the mailing of the decision. The notice of appeal shall state all of the grounds of appeal and shall admit or deny the determination in the notice of decision. The city manager shall select a hearing officer who is unrelated to the city and to any of its officers or employees. The hearing officer shall be an attorney, arbitrator, or retired judge.

The hearing shall take place within 30 days from the date of the notice of decision. The hearing officer shall schedule and conduct the hearing in accordance with procedures specified in regulations issued by the city manager pursuant to this chapter. The decision of the hearing officer shall be final with respect to all decisions made concerning employee registrations made under BGMC 5.25.050. The decision of the hearing officer shall, upon application of the licensee, be reviewed by the city council. Any such review shall be on the record made before the hearing officer and any decision made by the city council shall be final.

The cost of the appeal, including but not limited to the costs of the services of the hearing officer and for the preparation of the transcript, shall be borne by the licensee or employee whose conduct has resulted in the hearing. The city attorney shall provide an estimate of costs which must be deposited with the city clerk before the scheduled start of the hearing. Failure to deposit the estimated costs before the hearing is scheduled to begin shall be deemed a waiver of the appeal.

B. Denial of Registration and Revocation of Temporary Registration Status – No Right to Appeal. Registration applicants who are denied a registration badge and whose temporary registration status is revoked during or after the police department’s background investigation is complete shall have no right to appeal the denial of registration.

Denial of registration or revocation of temporary registration status may be for the grounds set forth in BGMC 5.25.160 or if a registrant fails to submit all necessary supplemental information required by the police department to complete the application process within the requisite time period. (Ord. 808 § 1, 2007).

5.25.112 No application upon final determination of revocation.

Once a determination by the hearing officer regarding the revocation of a registration and a determination by the city council is made regarding the revocation of license under BGMC 5.25.111, no new license or registration shall be issued to such person. (Ord. 808 § 1, 2007; Ord. 651 § 1, 1996. Formerly 5.25.094).

5.25.120 Gross revenue license fees.

A. Monthly Gross Revenue Fee – Calculation. In addition to the fees prescribed by this chapter, and in lieu of any other gross receipts tax imposed by the Bell Gardens Municipal Code, there is hereby imposed a gross revenue license fee.

The gross revenue license fee shall be payable monthly. The license fee due and payable to the city shall be based on the total monthly gross revenue, except licensee may reduce from gross revenue the amount of funds paid for incentives using post-tax revenues generated from gaming operations during the same period as the reported monthly gross revenue, and shall be calculated as a percentage of monthly gross revenue as provided in the following graduated schedule:

Monthly Gross Revenue		Computed Fee
OVER	BUT NOT OVER
$0	$300,000	$0 + 8.2% of the amount over	$0
$300,000	$700,000	$24,600 + 9.2% of the amount over	$300,000
$700,000	$1,000,000	$61,400 + 10.2% of the amount over	$700,000
$1,000,000	$1,200,000	$92,400 + 11.2% of the amount over	$1,000,000
$1,200,000	$1,600,000	$114,400 + 12.2% of the amount over	$1,200,000
$1,600,000	and over	$163,200 + 13.2% of the amount over	$1,600,000

B. Statement of Revenue. Each licensee shall file with the city on or before the fifteenth day of each calendar month a statement, under oath, showing the true and correct amount of gross revenue derived from the card club business and any allowable offsets, operated pursuant to licenses issued pursuant to this chapter, for the operations of the preceding month. Such statement shall be accompanied by the payment of the correct amount of gross revenue license fee due and owing in accordance with the provisions of this section. 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 of perjury that the foregoing is true and correct.

Licensee, Managing Partner, or Owner

(Strike out the titles which are not applicable.)

At the end of each fiscal year, the licensee shall employ at its expense a nationally recognized firm of certified public accountants to conduct an audit of licensee’s financial records in accordance with generally accepted auditing standards. Such audit shall conclude with the expression of the auditor’s opinion on the financial statements of the licensee’s card club operations in accordance with generally accepted auditing principles. The auditor shall express a separate opinion on the licensee’s gross revenues, allowable offsets and related fees paid to the city for the period then ended. Also, the licensee shall provide the city with an annual update of the evaluation of its internal accounting and administrative controls.

Such audit report shall be filed with the city clerk no later than 120 days after the fiscal year end. In the event that such evaluation discloses material weaknesses or reportable conditions in the licensee’s system of internal accounting and administrative controls, the licensee shall submit a program to the city manager within 30 days of such evaluation outlining licensee’s program to correct such weaknesses or conditions. All reports or evaluations submitted hereunder shall be confidential and shall not be available for public inspection.

C. Revocation or Suspension of the Licenses. Any failure or refusal of any such licensee to make any statement as required within the time required, or to pay such sums due as gross revenue license fees when the same are due and payable in accordance with the provisions of this chapter, shall be and constitute full and sufficient grounds for the revocation or suspension of the licenses issued pursuant to this chapter in the sole discretion of the city council. The city council may, instead of revocation or suspension, impose a fine of not less than $200.00, plus accrued interest at the rate of 10 percent for each and every failure to pay the gross revenue license fee.

D. Fee Amendment. The city council may amend, alter, increase, or decrease any of the fees prescribed in this chapter, and in lieu of any gross receipts tax imposed by the Bell Gardens Municipal Code amend, alter, increase, or decrease the gross revenue license fee set forth in subsection (A) of this section. Any change in fees for the gross revenue license fee shall be duly approved by the majority of the city council by resolution. (Ord. 939 § 3, 2024; Ord. 808 § 1, 2007; Ord. 684 § 1, 1997; Ord. 651 § 1, 1996. Formerly 5.25.100).

5.25.130 Administrative fees by resolution.

A. Consistent with BGMC 5.25.140, rules and regulations to effectuate the purposes of this chapter may be enacted, modified, or adopted by the city manager and/or city council. In order to implement and enforce existing rules and regulations and any future amendment to said rules, fees to cover the actual cost of implementation may be imposed in the manner set forth in subsection (B) of this section. Furthermore, pursuant to BGMC 5.25.131 and 5.25.132, the city has a responsibility to audit records, books, and documents, the actual cost of which may also be imposed upon the licensee.

B. The city manager shall set forth a schedule of fees for implementation of the rules and regulations, auditing function, and any reasonably related regulatory activity by the city. Said schedule shall reflect the actual cost of performing the regulatory activity in question. The city council shall by a majority vote adopt, modify, or amend said schedule of fees so long as the fees do not exceed the reasonable cost of conducting the regulatory activities for which fees are imposed.

C. The licensee(s) shall remit payment of a fee imposed by the city within 10 days of receipt of a written invoice setting forth in particular the charges in question. (Ord. 808 § 1, 2007; Ord. 684 § 2, 1997. Formerly 5.25.110).

5.25.131 Records, reports and supplemental information.

A. Each licensed establishment shall make and maintain complete, accurate and legible records of all transactions pertaining to revenue subject to taxes and fees imposed by this chapter. Such records shall include but not be limited to a general ledger maintained in accordance with generally accepted accounting principles, together with appropriate supporting records such as cash receipts and disbursements logs and journals, payroll journals, canceled checks, and original paid invoices. Such general ledger shall be maintained in a fashion suitable for producing financial statements in accordance with generally accepted accounting principles. Such records shall be maintained for at least three 12-month fiscal years and shall be maintained at the card club site and made available for examination and copying by the city or its designee, except there is no obligation to retain bar, parking and restaurant patron tickets.

B. In the event information requested of a licensee can be furnished only by someone other than the licensee (such as a landlord, supplier or an accountant), the licensee shall make every bona fide effort to obtain such information as requested and furnish the same or have it furnished directly by the person who has the information available.

C. In addition to such other information and data required by this section or by regulation issued by the city manager pursuant to this chapter, each licensed establishment shall maintain on the card club site the following:

1. If a partnership or corporation:

a. A schedule showing the dates of capital contributions, loans or advances, the names and addresses of the contributors and percentage of ownership interest held of record by each.

b. A record of the withdrawals or distributions of funds or assets to partners or stockholders.

c. A record of salaries paid to each pointholder and key management employee.

d. A copy of the partnership or corporate agreement, certificate of limited partnership and accurate corporate stock transfer book, if applicable.

e. Copies of any and all public filings required by the Securities and Exchange Commission.

f. Copies of all state and federal tax returns filed during the preceding three years.

2. If a sole proprietorship:

a. A schedule showing the name and address of the proprietor and the amount and date of his original investment.

b. A record of subsequent additions thereto and withdrawals therefrom.

c. Copies of all state and federal tax returns filed during the preceding three years.

The records required to be kept by this regulation shall be in ink or any other permanent form of recordation. (Ord. 808 § 1, 2007; Ord. 651 § 1, 1996. Formerly 5.25.111).

5.25.132 Access to records and facilities.

A. Notwithstanding the audit requirements specified in BGMC 5.25.130 and 5.25.131, the licensee shall allow the city manager or his or her designee unrestricted access to all books, records, and facilities pertaining to the card club, including but not limited to cash counting rooms and vault. Any information obtained pursuant to this section or any statement filed by the licensees shall be deemed confidential in character and shall not be subject to public inspection except in connection with the enforcement of the provisions of this chapter. It shall be the duty of the city manager to preserve and keep such statements so that the contents thereof shall not become known except to the persons charged by law with the administration of the provisions of this chapter or pursuant to the order of any court of competent jurisdiction.

B. Any failure or refusal of any licensee to make and file any statement within the time required, or to permit inspection of such books, records, accounts and reports of such licensee in accordance with the provisions of this chapter, shall be full and sufficient grounds for the revocation or suspension of the licenses of any such licensee in the sole discretion of the city council. (Ord. 808 § 1, 2007; Ord. 651 § 1, 1996. Formerly 5.25.112).

5.25.140 Rules and regulations.

The city manager may from time to time enact rules and regulations to effectuate the purposes of this chapter, specifically including rules governing the operation of card clubs and the activity conducted in card clubs by patrons. All such rules and regulations shall be given to all licensees concurrently with or prior to the effective date.

Unless modified, supplemented or abrogated by later action of the city council, the following rules and regulations shall govern all card licenses to be issued:

A. Rule No. 1. Acceptance of a license issued under the provisions of this chapter shall be deemed to be acceptance of and agreement to be bound by and observe each and all of the terms, conditions and provisions of this chapter and of the rules and regulations established thereby relating to such licenses.

B. Rule No. 2. No licensee or other individual in charge or control thereof shall use, operate or permit the use or operation of more tables or units than those for which licensee holds then current and valid authorization to operate or use in the city and for which the prescribed license fee has been paid to the city.

C. Rule No. 3. No licensee or other individual in charge or control of any card club operating under any license held or issued pursuant to the provisions of this chapter shall operate or use any table or unit or manage, conduct or carry on any business or activity authorized by this chapter during any time that such license issued by the city has been or is suspended or revoked.

D. Rule No. 4. Each and all of the games conducted or operated in the city pursuant to the provisions of this chapter shall be conducted and operated in full conformity with, and subject to, all the provisions of the laws of the state and of the city.

E. Rule No. 5. No licensee holding a license pursuant to the provisions of this chapter and no agent, representative or employee of the licensee and no other person in charge or control of any licensed activity, game or authority shall:

1. Permit or allow any person under the age of 21 years to play any of the games authorized by the license.

2. Permit or allow any person under the age of 21 years at any time to be in the card playing area.

3. Permit or allow the playing of any card games other than those specifically authorized by the license or permit any form of unlawful gambling to occur anywhere on the card club site.

F. Rule No. 6. It shall be unlawful for any individual player or other unauthorized person to enter any secure areas within the card club site or for any operator, agent or employee of any duly licensed card club to permit any player or unauthorized person to enter any secure areas within the card club site.

G. Rule No. 7. The card club, including the entire card club site, shall be open for inspection during all hours to the chief of police, or his duly authorized representatives, without a search warrant.

H. Rule No. 8. The playing of all games provided for in this chapter shall be confined to designated card playing areas, which shall be separate and distinct from nongaming areas by a permanent or temporary barrier. Gaming shall be permitted in the following additional specified areas, so long as those areas are open to inspection at all times by the chief of police or his duly authorized representative:

1. Event space, limited to those areas commonly referred to as the Event Center and the Dynasty spaces.

2. Suites, limited to those areas commonly referred to as the President’s Suite, the Governor’s Suite, and private pool side cabanas.

3. Meeting rooms, limited to those meeting rooms commonly referred to as the Regal, the Grand, the Empire, and the Palace, and the attached and enclosed patio areas commonly referred to as the Regal Grand and the Empire Palace.

I. Rule No. 9. The city council shall by resolution establish a minimum seat rental or collection fee for all permitted games.

J. Rule No. 10. All card playing areas shall be accessible at all times to law enforcement officers and officials designated by the city. Subject to the foregoing, licensee may designate certain areas or rooms in the card club or hotel as open only to players and their guests for tournaments or charity events.

K. Rule No. 11. All players financed either in whole or in part by the house shall be required to wear an insignia or identifying badge.

L. Rule No. 12.

1. For the purposes of this chapter and rule, the words and phrases hereinafter set forth shall have the following meanings ascribed to them unless the context clearly requires to the contrary:

a. “Blind cut” or “false cut” shall mean a maneuver which appears to cut the deck, but does not in fact do so.

b. “Blind shuffle” shall mean to false shuffle or to give the deceptive impression of intermixing playing cards, while actually retaining the same sequence of all or a group of cards.

c. “Burn” is a discard in accordance with the rules of the game, made before the draw when playing draw poker.

d. “Capping the deck” shall mean to place cards onto the top of the deck.

e. “Cheating” shall mean any and all acts of fraud, misrepresentation, dishonesty, false pretense, use of device or manipulation of card, done with the purpose of defrauding or gaining an unfair advantage over another player whether or not an actual advantage is gained, whether or not specifically defined herein.

f. “Cooler” shall mean a deck of cards, secretly prearranged in a known sequence or marked to be substituted for the deck in play.

g. “Daubing” shall mean to mark cards by applying a faintly visible substance to the back of the cards.

h. “Second dealing” or “seconds” shall mean to deal a card which is second from the top of the deck.

i. “Hand mucking” shall mean the surreptitious switching of cards from those that are dealt to a player.

j. “Hold-out” shall mean a mechanical device used for the purpose of surreptitiously switching or retaining cards.

k. “Hopping the cut” shall mean to surreptitiously nullify the cutting of the deck.

l. “Middle dealing” shall mean to deal a card from the center of the deck.

m. “Playing partners” shall mean any scheme or action in which two or more players act in concert to communicate information or to otherwise act for the purpose of defrauding or gaining an unfair advantage over another player, whether or not an actual advantage is gained.

n. “Punching” shall mean to mark the back of the cards by creating a dimple or indentation thereon.

o. “Roughing fluid” shall mean a liquid chemical applied to the back of the cards for the purpose of marking them by roughening the surface.

p. “Run-up” or “stacking” or “stocking” shall mean to shuffle the cards in such a fashion as to surreptitiously arrange the sequence to known cards.

q. “Sanding” shall mean to mark cards by applying an abrasive substance to the cards.

r. “Shiner” shall mean a mirror or other reflecting device used for the purpose of enabling a player to see cards which the player is not entitled to see under the rules of the game being played.

s. “Slick sleeve” or “mohair sleeve” shall mean a long sleeve on a clothing garment to assist in holding out a playing card.

t. “Slug” shall mean a group of cards.

u. “Transmitter” shall mean an electronic or radio device used for the purpose of transmitting signals or information to another player, who receives such signals or information by use of a “receiver.”

v. “White flash” shall mean a form of daubing whereby a chemical is used to create a “white on white” marking on the back of the cards.

2. No cheating shall be permitted or tolerated by any licensee or employee. All provable cases of cheating shall be reported to the appropriate law enforcement authorities and the licensee shall cooperate fully in the prosecution of all individuals who are criminally charged with cheating in the licensed establishment. Cheating devices shall be confiscated and shall not be returned to the individual or persons using or bringing such devices on to the card club site whether or not the offender is arrested or prosecuted. Permitting or tolerating cheating shall be grounds for immediate suspension or revocation of card club license or imposition of additional conditions.

3. It shall be unlawful for any individual as a player or dealer to deal, draw, distribute or burn any playing cards other than the top card of the deck. The “top card” is defined as the uppermost face-down card of a face-down deck. It shall, therefore, be unlawful to deal or cause to be dealt what is known as a second, bottom or to engage in second dealing or middle dealing.

4. It shall be unlawful for any individual as a player, dealer, employee or agent to shuffle or cause to be shuffled any playing cards that are to be used or are being used in a licensed card game, other than in a random manner. It shall be unlawful to predetermine or to prearrange the sequence of playing cards by value or suit, or to retain or hold back a card or cards either individually or as a group or slug as an effort to circumvent a random mixing of the playing cards. Any blind shuffle, run-up, stacking or stocking of the deck to gain an unfair advantage in play, whether or not an advantage is gained, is unlawful.

5. It shall be unlawful for any patron or any other person not a licensee to bring cards into a card club. It shall be unlawful for any person other than a licensee, authorized employee or a patron then playing cards to have playing cards in his or her possession while in a card club. It shall be unlawful for any person in a card club other than on duty employees with valid registration cards to have playing cards in his or her possession outside of a designated card playing area. Nothing herein shall apply to punched or otherwise destroyed or mutilated cards or any souvenir or designer decks that could not be misconstrued as playing cards used in the card playing area.

6. It shall be unlawful for any player or dealer to palm, hold out or conceal any card or cards during a card game, whether by sleight of hand, mechanical apparatus, or by clothing such as a slick sleeve. It shall also be unlawful for any individual, player or dealer to switch, exchange or cause to be exchanged any playing card, or cards, as a means of deception. The deceptive practices known as hand mucking, capping the deck, introducing additional cards into a game, or switching the deck with a “cooler” are prohibited.

7. It shall be unlawful for any individual to use any technique in a card game designed to accomplish a “blind” or false cut, or to use a fraudulent technique to nullify a cut once performed by a player, or to influence or indicate to another individual to cut the deck at a specific location.

8. It shall be unlawful for any individual, player or dealer to deliberately mark or alter any card or cards when there is a likelihood that such cards will be used in a licensed game, or when such cards are in play. It shall be unlawful to knowingly use any altered or marked cards in a card game. “Marking and altering” as used herein include sanding, daubing, white flash, white on white, punching, adding to, removing from or blocking out the existing design whether on the face, backside or edge of any card or cards. Any deliberate crimping, warping, bending, cutting, trimming, shaving or alteration by any means that would or may cause an advantage for any player over other players, whether or not such advantage is gained, is unlawful.

9. It shall be unlawful for any individual to use any mechanical or electrical apparatus or other device so as to gain any advantage or to gain information that would enable a player or dealer to deceive others. Such devices include, but are not limited to, hold-outs, table bugs, shiners, transmitters, receivers, punches, chemical solutions, shading, roughing, fluids, inks or dyes.

10. It shall be unlawful for any individual to play partners or to knowingly aid or abet another in any cheating action prohibited by this chapter.

11. It shall be unlawful for any individual or group to use any of the cheating techniques prohibited by this chapter, or to cheat in any manner whatever, whether or not such techniques are specifically defined or are successful. The licensee or management shall immediately notify the police department upon the detection of any individuals suspected of cheating.

12. It shall be the responsibility of the licensee, management and their employees to fully cooperate with card game surveillance and protection personnel in the detection, apprehension and identification of those individuals involved in cheating or fraudulent practices. Management shall retain and deliver to the police department as evidence in arrests or detention all playing cards and implements suspected of involvement in cheating. Management shall cooperate with card club surveillance personnel whether provided by a governmental policing agency, a city-contracted service, city-administered or licensee-assigned.

13. The police department upon being notified by card room personnel or game surveillance personnel that an individual or individuals are being detained for cheating at play shall respond to the card room. The police department shall ascertain the identity of those involved in the cheating, the circumstances involved and decide what police action, if any, is deemed appropriate. The police department shall assist as legally required in any citizen’s arrest.

14. The licensee shall cause these rules to be reproduced and available at the card club site. The licensee shall cause these rules to be included in its policies and procedures and shall further ensure that they shall form part of staff training.

M. Rule No. 13. A card club shall maintain for operation a minimum of 35 tables. There is an authorized maximum limit of 350 gaming tables for each licensee. The city manager may approve the use of tables above 350 upon a finding that use of additional tables is in the best interest of the health and welfare of the residents of the city. The building housing the card club shall be no smaller in aggregate size or area under one roof than 30,000 square feet. (Ord. 877 § 15, 2016; Ord. 808 § 1, 2007; Ord. 737-U § 1, 2001; Ord. 736 § 1, 2001; Ord. 651 § 1, 1996; Ord. 653 § 2, 1995. Formerly 5.25.120).

5.25.141 Violations.

It shall be unlawful for any licensee or other person to violate any of the rules or regulations set forth in this chapter. (Ord. 808 § 1, 2007; Ord. 651 § 1, 1996. Formerly 5.25.121).

5.25.142 Changes in rules and regulations.

The city manager reserves the right to add to, amend or repeal any of the rules and regulations set forth in BGMC 5.25.140, and for the city manager to adopt additional rules and regulations, which changes shall be effective upon adoption by the city council. (Ord. 808 § 1, 2007; Ord. 651 § 1, 1996. Formerly 5.25.122).

5.25.143 Emergency rules and regulations.

The city council further reserves the right to adopt by resolution additional emergency rules and regulations which shall become effective immediately upon adoption, and the violation of any such emergency rules and regulations may constitute grounds for the suspension and revocation of the licenses issued pursuant to the provisions of this chapter. (Ord. 808 § 1, 2007; Ord. 651 § 1, 1996. Formerly 5.25.123).

5.25.144 Rights of licensee and card club.

A. A licensee or card club may exclude or eject from the card club site any person who is reasonably suspected of or who is engaged in or has been convicted of bookmaking, loan sharking, sale of controlled substances, illegal gambling activities, cheating, prostitution or whose presence in or about such card club would be inimical to the interest of legitimate gaming.

Pursuant to any investigation of a violation of this chapter, the licensee or card club may detain any person on the card club site and request that that person present themselves at the security office of the card club.

To be reasonably suspected of violating this chapter, the licensee or card club must show, by direct or circumstantial evidence, knowledge of such a violation or reasonable belief that such violation is about to occur. The licensee or card club may temporarily exclude or eject any person during the pendency of an investigation by the licensee or card club regarding a violation of this chapter.

B. As used in this chapter, the following items shall be deemed to be inimical to the interests of legitimate gaming. These items are in no way meant to be exhaustive:

1. Violation of any card club rule;

2. Violation of any law or ordinance;

3. Behavior that would indicate that the person is under the influence of a drug, narcotic or alcohol;

4. Loud, boisterous or other disruptive behavior;

5. Swearing or using profane language;

6. Failure to abide by instructions or orders of licensees’ employees, agents or management personnel, issued pursuant to state or city laws or rules of the card club;

7. Loitering;

8. Panhandling;

9. The presence at the card club site of any person whose name, or alias, appears on any list produced or maintained by the Commission or Bureau as a person who should be excluded from a card club.

No person shall be excluded or ejected on the grounds of race, color, religion, national ancestry, disability or sex. (Ord. 877 § 16, 2016; Ord. 808 § 1, 2007; Ord. 651 § 1, 1996. Formerly 5.25.124).

5.25.145 Administration of chapter by city manager.

The city manager shall be responsible for the administration of this chapter and is expressly assigned responsibility for ensuring the timely processing of all applications for licenses hereunder, and for the execution of any discipline against licensees as provided by this chapter. The city manager shall formulate in writing all 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. Preserve and maintain 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;

B. Promulgate and/or to require prior approval of accounting procedures to be utilized by licensees to ensure accurate reporting of card club revenues;

C. Delegate the duties and powers vested in the city manager by this chapter to appropriate city employees or officers;

D. Issue regulations for the more effective enforcement of the provisions of this chapter and the elimination of that conduct which is inimical to the interests of legitimate gaming.

All powers vested in the city manager by this chapter may be revoked and assumed by the city council or such other representative as it may designate by resolution. (Ord. 808 § 1, 2007; Ord. 651 § 1, 1996. Formerly 5.25.125).

5.25.150 Unlawful acts.

A. Unlawful Locations. It shall be unlawful for any individual 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 license held or issued pursuant to the provisions of this chapter, and operated, owned, controlled and directed by pointholder and key management employees issued licenses pursuant to the provisions of this chapter.

B. Lawful Games. The only lawful games permitted are:

1. Draw poker;

2. Low ball poker;

3. California aces;

4. California baccarat;

5. Pai gow;

6. Panguingue; and

7. Such other games as are approved by resolution by city council.

C. Unlawful Interests. It shall be unlawful for any city employee or city official while employed by the city to directly or indirectly own, operate or have any interest, legal or equitable, in any card club or card club license. It shall be unlawful for any city employee or city official to be employed in any manner whatever by a card club or card club licensee.

For purposes of this section, indirect performance of any prohibited act shall include but not be limited to the performance of such prohibited act by the spouse or other person related by blood or marriage to any party prohibited from directly performing such act.

For purposes of this section, the term “conduct business” shall include but not be limited to the provision of loans or any other form of financing, sale or lease of any real or personal property, and the provision of any services, supplies, goods or other materials, but shall not include the conduct of business as a patron or customer in a manner available to the general public.

D. Unmandated Closure by Licensee. It shall be unlawful for any licensee under this chapter to cease operations for any period of time unless the cessation of operations is a result of a direct and unambiguous order to cease operations issued by a nonmunicipal regulator or the city, or unless the closure is required due to an act of God or public enemy or is caused by war, riot, storm, earthquake, or other natural forces. Notwithstanding BGMC 5.25.151, any licensee who causes a cessation of operations in violation of this subsection (D) shall be fined $50,000 per day for each day or any portion of a day during which such cessation of operations occurs. The pointholder or key management employee license of any licensee causing cessation of operations in violation of this subsection (D) shall be subject to suspension or revocation pursuant to BGMC 5.25.100. (Ord. 808 § 1, 2007; Ord. 722 § 2, 1999; Ord. 721-U § 2, 1999; Ord. 651 § 1, 1996. Formerly 5.25.130).

5.25.151 Penalties.

Any individual violating any of the provisions of this chapter or any of the rules and regulations set forth, established or promulgated in this chapter shall be guilty of a misdemeanor. (Ord. 808 § 1, 2007; Ord. 651 § 1, 1996. Formerly 5.25.131).

5.25.160 Grounds for denial of application.

A. General – All Applicants.

1. Conviction for any crime punishable as a felony.

2. Conviction for any misdemeanor involving dishonesty or moral turpitude within the 10-year period preceding the submission of the application.

3. Conviction or other form of discipline for any act involving fraud, forgery, counterfeiting, gambling, loan sharking, bookmaking, money laundering, embezzlement, thievery, burglary, bunko, moral turpitude, evasion of taxes, or otherwise indicating a lack of business integrity or business honesty, whether committed in the state of California or elsewhere.

4. Association of the applicant with criminal profiteering activity or organized crime as defined by Section 186.2 of the Penal Code.

5. Willful and repeated defiance by the applicant 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 crimes related to gambling, official corruption related to gambling, or criminal profiteering activity or organized crime, as defined by Section 186.2 of the Penal Code.

6. Failure of the applicant to have a valid registration from the Commission issued pursuant to the Gambling Control Act, if required.

7. Identification by any law enforcement agency, legislative body or crime commission as a member of, or an associate of, organized criminal elements.

8. Knowingly making any false statement in the application or as to any other information presented as part of the application process.

9. Failure to satisfy the city council as to the source of funds to be invested in the proposed venture.

10. Prior disciplinary action taken against an applicant in another jurisdiction (specifically including the revocation or termination of any license) without regard to whether the acts were sufficient to justify revocation of a license.

11. Applicant is presently the subject of proceedings to secure a conviction for any of the crimes described in subsections (A)(1) through (3) of this section.

12. Making or causing to be made any statement in an application or document provided to the city council or its agents or orally to a city council member or agent in connection with an application, which statement was, at the time and in the light of the circumstances under which it was made, knowingly false or misleading.

13. Failure of any person named in the application when summoned by the city council to appear and testify before it or its agents at such time and place as it may designate.

14. Failure for applicant to contact, assist, or remedy the background investigatory process as initiated by the police department, as a condition of employment.

B. Specific – Key Management Employees Only. With respect to key management employee licenses only, applicant does not have the business experience to fulfill the responsibilities of the proposed position.

C. Specific – Card Club License Approval Only.

1. Failure of the proposed business or activity to be operated in compliance with federal, state or city law or regulation.

2. Applicant does not have the financial capability or business experience to operate a card club in a manner which would adequately protect the patrons of the card club and the residents of the community.

3. Lack of evidence that there is adequate financing available to pay potential current obligations and, in addition, to provide adequate working capital to finance opening of the card club proposed.

4. Proposed location of card club in an area other than a “card club site.” (Ord. 808 § 1, 2007).

5.25.165 Severability.

If any section, subsection, sentence, clause, phrase, provision or portion of this chapter, or the application thereof to any person or circumstances, is for any reason held to be invalid or unconstitutional by the decision of any court of competent jurisdiction, such decision shall not affect the validity of the remaining portions or provisions of this chapter or their applicability to distinguishable situations or circumstances.

In enacting this chapter, it is the desire of the city council to validly regulate to the full measure of its legal authority in the public interest and, to that end, the city council declares that it would have adopted this chapter and each section, subsection, sentence, clause, phrase, provision, or portion thereof, irrespective of the fact that any one or more sections, subsections, sentences, clauses, phrases or portions thereof might be declared invalid or unconstitutional in whole or in part, as applied to any particular situation or circumstances, and to this end the provisions of this chapter are intended to be severable. (Ord. 808 § 1, 2007).