Chapter 5.20
CARDROOMS
Sections:
5.20.010 Cardroom defined.
5.20.015 Exception – Fundraisers by nonprofit organizations.
5.20.020 Chapter does not permit games prohibited by state law.
5.20.030 License – Required.
5.20.040 License – Application – Fingerprints required – Renewal – Continuing obligation to provide current information.
5.20.050 License – Only one license per person – Transferability.
5.20.060 License – Fee – Exceptions.
5.20.070 License – Denial by Chief of Police – Grounds.
5.20.080 Change of location – Approval required.
5.20.090 Employee work permits – Required when.
5.20.100 Employee work permits – Application.
5.20.110 Employee work permits – Issuance restrictions.
5.20.120 Employee work permits – Term –Renewal not required upon change in place of employment.
5.20.130 Employee work permits – Denial conditions – Appeal.
5.20.140 Suspension and revocation of license and work permits.
5.20.150 Number of tables – Limitation.
5.20.160 Operation – Rules and regulations.
5.20.170 Patron safety and security.
5.20.010 Cardroom defined.
For the purpose of this chapter, a “cardroom” means any space, room or enclosure furnished or equipped with a table used or intended to be used as a card table for the playing of cards and similar games, and the use of which is available to the public or any portion of the public; provided, however, that this section shall not apply to any bona fide nonprofit society, club, fraternal, labor or other organization as defined in LMC 5.20.060. (Ord. 1883 § 1 (Exh. A), 2009; Ord. 1563 § 1, 1999)
5.20.015 Exception – Fundraisers by nonprofit organizations.
The regulations in this chapter shall not apply to a nonprofit organization conducting a fundraiser using controlled games as a funding mechanism when the fundraiser is conducted in compliance with the requirements of Business and Professions Code Section 19986 and the regulations adopted by the Division of Gambling Control to effectuate that statute, and is preapproved by the Division of Gambling Control. A nonprofit organization shall obtain a temporary use permit as provided in the Livermore Development Code before conducting a fundraiser excepted from the regulations of this chapter. (Ord. 1901 § 3 (Exh. A § 12), 2010; Ord. 1883 § 1 (Exh. A), 2009)
5.20.020 Chapter does not permit games prohibited by state law.
The Council of the City declares that it is not the intention of this chapter to permit the licensing of any cardroom for the playing of any game prohibited by the laws of the state, including, but not limited to, those games enumerated in Section 330 of the Penal Code of the state, which section includes banking and percentage games. (Ord. 2065 § 1(A), 2018; Ord. 1883 § 1 (Exh. A), 2009; Ord. 1563 § 1, 1999)
5.20.030 License – Required.
A cardroom use may not be established by right. It is unlawful for any person, for himself, herself, or for any other person, to establish, own, or operate a cardroom in the City, unless the person first obtains the following:
A. A valid cardroom license from the City in compliance with this chapter; and
B. All valid licenses required by the California Department of Justice, Division of Gambling Control and the California Gambling Control Commission pursuant to the Gambling Control Act (California Business and Professions Code Section 19800 et seq., as it may be amended from time to time) for the cardroom, each person who has a financial interest in the cardroom, and for all key employees as that term may be defined by the Gambling Control Act and both Division 18, Title 4 and Division 3, Title 11 of the California Code of Regulations. (Ord. 2065 § 1(A), 2018; Ord. 1883 § 1 (Exh. A), 2009; Ord. 1563 § 1, 1999)
5.20.040 License – Application – Fingerprints required – Renewal – Continuing obligation to provide current information.
A. Any person who wishes to establish, own, or operate a cardroom within the City shall file with the Chief of Police a license application on a standard form supplied by the City and shall pay an application filing fee as established by resolution of the City Council. The applicant has the responsibility and the burden to supply evidence to justify the grant of a cardroom license. If the applicant is other than an individual, an officer of the business entity or an individual with the majority interest therein shall sign the application. All applications shall include the following information:
1. Identifying information:
a. If the applicant is an individual, the individual shall state his or her legal name, including any aliases, and address, and submit satisfactory written proof that he or she is at least 18 years of age.
b. If the applicant is a partnership, the applicant shall state the partnership’s complete name, the address for the partnership’s principal place of business, the names and current addresses of all partners, and whether the partnership is general or limited. The applicant shall also attach to the application a current copy of the partnership agreement.
c. If the applicant is a corporation, the applicant shall state the corporation’s complete name and corporate identification number, the state of incorporation, the date of its incorporation, evidence that the corporation is qualified to do business and in good standing under the laws of California, the names, addresses, and capacities of all officers and directors, the names of any related parent or subsidiary corporations, and the name of the registered corporate agent and the address of the registered office for service of process.
d. If the applicant intends to operate the cardroom under any name other than that of the applicant, the applicant shall file and maintain a fictitious business name statement in Alameda County. The applicant shall also attach to the application proof of registration of the fictitious name.
2. The applicant’s telephone number and address to which correspondence related to the application, including the notice of action, is to be delivered.
3. The street address, building number, and assessor’s parcel number for the location where the proposed cardroom is to be established.
4. The applicant shall sign the application under penalty of perjury stating that the information contained in the application is true and correct.
5. The applicant also shall complete and sign the standard background investigation form supplied by the Livermore police department, and provide the following information and documents:
a. The full name and aliases, current home address, date of birth, social security number, and a copy of the driver’s license or identification card issued by a state Department of Motor Vehicles for the applicant and each person who has a financial interest in the cardroom;
b. The past criminal record, if any, of the applicant and of all persons financially interested in the cardroom;
c. A passport-size photograph and the fingerprints of the applicant and of all persons financially interested in the cardroom taken by the Livermore police department;
d. The employment history, business, or occupation of the applicant for the three-year period immediately preceding the date the application is submitted; and
e. The residential and employment, business or occupation address for the applicant, each person who has a financial interest in the cardroom, all key employees, and all partners and controlling members of a corporation which will establish, own, and operate the cardroom.
6. A copy of each license issued by the California Department of Justice, Division of Gambling Control and the California Gambling Control Commission pursuant to the California Gambling Control Act, for the cardroom, for each owner who has a financial interest in the cardroom, and for each employee that was issued a license but is not required to obtain an employee work permit from the City pursuant to LMC 5.20.090.
7. Any approval by the California Department of Justice, Division of Gambling Control of an agent for the applicant along with the true names and addresses of any such agent.
8. Proof of registration of the cardroom by the California Department of Justice pursuant to the Gambling Control Act and Chapter 6, Division 1, Title 11 of the California Code of Regulations.
9. A plan for the security and safety of patrons as required by LMC 5.20.170.
B. If an applicant has applied to the California Department of Justice, Division of Gambling Control and the California Gambling Control Commission for a license or registration required by the Gambling Control Act, but the state has not issued the license and registration prior to the applicant’s application for a city cardroom license, the applicant shall provide the Chief of Police with true and correct copies of the completed applications furnished to the state. However, the applicant shall submit a true and correct copy of each license and registration prior to the City’s issuance of a cardroom license.
C. A city-issued cardroom license shall be valid for a period of one year, unless revoked or suspended by the Chief of Police, or surrendered by a licensee. Any valid city cardroom license in effect on January 1, 2009, shall be deemed to have been awarded pursuant to this chapter on that date and shall expire December 31, 2010, unless revoked, suspended, or renewed prior to that date.
D. A cardroom licensee shall be under a continuing obligation to provide the Chief of Police current information regarding the items required by subsection A of this section. Applicant shall notify the Chief of Police within 10 calendar days of any changes to the items required by subsection A of this section, except for changes to a criminal record which shall be provided within 48 hours of any change.
E. A valid city cardroom license may be renewed in accordance with the following process:
1. The licensee shall file with the Chief of Police a renewal application no later than 60 days before the anniversary date of the license to be renewed, otherwise the licensee must submit an application for a new license;
2. The renewal application shall include the information required by subsection A of this section and comply with this chapter;
3. The renewal application shall include the following statement signed by the applicant under penalty of perjury:
I hereby state that the cardroom has been operated consistent with this chapter and/or the Gambling Control Act at all times during the term of the license to be renewed; and that there has been no change in the fitness of the following persons to establish, own or operate a cardroom: each person who established, owned, or operated or had a financial interest in the cardroom, all key employees, and all partners and controlling members of a corporation.
Dated:_____ Signed:________________
4. The Chief of Police shall renew the cardroom license for an additional one-year term unless he or she finds the cardroom was not operated consistent with the requirements of this chapter and the Gambling Control Act or sufficient grounds exist pursuant to LMC 5.20.070 to deny the renewal application. (Ord. 2065 § 1(A), 2018; Ord. 1883 § 1 (Exh. A), 2009; Ord. 1563 § 1, 1999)
5.20.050 License – Only one license per person – Transferability.
No person shall be granted a license to conduct more than one cardroom. No cardroom license shall be assignable or transferable. (Ord. 1883 § 1 (Exh. A), 2009; Ord. 1563 § 1, 1999)
5.20.060 License – Fee – Exceptions.
A. A fee charged for a cardroom license, and any renewal thereof, shall be set by resolution in an amount to cover the actual cost incurred in administering the provisions of this chapter.
B. This fee shall be in addition to the business license tax imposed by LMC 3.08.060.
C. A nonprofit society, club, or fraternal, labor, or other organization having adopted bylaws and duly elected directors and members may be granted a license without fee by the Chief of Police when it appears the tables are for the exclusive use of members of the society, club, or fraternal, labor or other organization and no charge is made for any of the facilities.
D. A nonprofit organization as defined by Business and Professions Code Section 19986(h) may be granted a license without fee by the Chief of Police to conduct a fundraiser provided the fundraiser is approved by the California Department of Justice, Division of Gambling Control, and satisfies the regulations in both California Business and Professions Code Section 19986 and Chapter 1, Division 3, Title 11 of the California Code of Regulations, as those regulations may be amended from time to time. (Ord. 2065 § 1(A), 2018; Ord. 1883 § 1 (Exh. A), 2009; Ord. 1563 § 1, 1999)
5.20.070 License – Denial by Chief of Police – Grounds.
A. The Chief of Police shall deny any application for a cardroom license if:
1. The operation of a cardroom at the proposed location will aggravate the crime problems in the area, or otherwise be detrimental to crime prevention or be detrimental to the public peace, health, welfare or safety in the area; or
2. A report of the Chief of Police, fire chief, building official, or planning manager indicates that issuance of the license would result in a violation of the laws or regulations administered by those officials; or
3. The applicant, its owners, officers, or employees are unfit to operate a cardroom business. In making such determination, the Chief of Police may consider:
a. The commission of any acts by the applicant, its owners, officers, or employees involving dishonesty, fraud, or deceit with the intent to benefit substantially oneself or another, or substantially injure another;
b. The license and permit history of the applicant, its owners, officers, and employees, and whether such person in previously operating in this or another state under a license or permit has had such license or permit revoked, denied, or suspended, the reasons for such action, and the resulting actions of such persons;
c. Any previous convictions of the applicant, its owners, officers, and employees for any crimes involving dishonesty, fraud, or the use of narcotics; or
4. The applicant has failed to comply with or is not in conformance with any of the provisions of the Livermore Municipal Code, the Livermore zoning ordinance, or other laws applicable to the premises, equipment, or operation of the business for which a permit is requested; or
5. The applicant has knowingly made false statements in the application; or
6. The applicant has failed to obtain or maintain a license or registration required by the Department of Justice, Division of Gambling Control, or the California Gambling Control Commission.
B. The action of the Chief of Police in denying such a license shall be subject to an appeal before the City Manager. An appeal shall be filed with the city clerk within 10 days after the denial of such license. Upon failure to file such notice within the 10-day period, the action of the Chief of Police in denying such license shall be final and conclusive. (Ord. 2065 § 1(A), 2018; Ord. 1883 § 1 (Exh. A), 2009; Ord. 1563 § 1, 1999)
5.20.080 Change of location – Approval required.
No licensed cardroom may be moved to a new location within the City without prior approval by the Chief of Police. In addition to the requirements of this chapter, all cardroom locations must meet Development Code and all other applicable city requirements. (Ord. 2065 § 1(A), 2018; Ord. 1901 § 3 (Exh. A § 13), 2010; Ord. 1883 § 1 (Exh. A), 2009; Ord. 1563 § 1, 1999)
5.20.090 Employee work permits – Required when.
Cardroom employees must obtain a work permit from the Chief of Police. “Cardroom employees,” for the purpose of this chapter, are defined as dealers, overseers and others directly connected with the operation and supervision of the card tables. The term “cardroom employees” does not include waitresses, bartenders, culinary workers, and other employees not connected with the operation and supervision of a cardroom and whose duties do not require or authorize access to restricted areas. (Ord. 2065 § 1(A), 2018; Ord. 1883 § 1 (Exh. A), 2009; Ord. 1563 § 1, 1999)
5.20.100 Employee work permits – Application.
A. Applications for cardroom employee work permits shall be submitted under oath and contain the past criminal record, if any, of the applicant and any other information required by the Chief of Police.
B. The application shall also be accompanied by:
1. A photograph and fingerprints of the applicant.
2. A copy of a work permit issued by the California Gambling Control Commission pursuant to the California Gambling Control Act. (Ord. 2065 § 1(A), 2018; Ord. 1883 § 1 (Exh. A), 2009; Ord. 1563 § 1, 1999)
5.20.110 Employee work permits – Issuance restrictions.
A work permit shall be issued only to citizens of the United States who have resided in the state of California for at least one year immediately preceding the submission of a work permit application. (Ord. 1883 § 1 (Exh. A), 2009; Ord. 1563 § 1, 1999)
5.20.120 Employee work permits – Term –Renewal not required upon change in place of employment.
A. Each application for a work permit shall be accompanied by a fee, the amount of which shall be set by resolution in an amount to cover the actual costs of administration. The work permit shall be valid for a period of one year. The fee shall not be returned in the event that the work permit is refused, revoked or suspended as provided in this chapter.
B. Only one work permit shall be required each year, even though the holder of the work permit may change his place of employment within the City. (Ord. 2065 § 1(A), 2018; Ord. 1883 § 1 (Exh. A), 2009; Ord. 1563 § 1, 1999)
5.20.130 Employee work permits – Denial conditions – Appeal.
A. The Chief of Police shall deny any such applicant a work permit if:
1. The applicant has previously been convicted of a felony or misdemeanor involving theft, dishonesty, fraud, or the use of narcotics; provided, however, that he or she may disregard such conviction if he or she finds and determines that mitigating circumstances exist, such as, but not limited to, evidence of rehabilitation, length of time elapsed since such conviction, the age of such person at the time of conviction, or the fact that the permit applied for is unrelated to such conviction; or
2. Any of the grounds for denial by the Gambling Commission, set forth in Business and Professions Code Section 19859, are present; or
3. The applicant has not obtained a work permit required by the California Gambling Control Commission as required by the Gambling Control Act or Chapter 2, Division 18, Title 4 of the California Code of Regulations, as those regulations may be amended from time to time.
B. In addition, pursuant to California Business and Professions Code Section 19912, the Department of Justice, Division of Gambling Control, may object to the issuance of a work permit, in which case the application shall be denied.
C. The action of the Chief of Police in denying such a work permit shall be subject to an appeal in accordance with the provisions of Chapter 1.22 LMC. (Ord. 2065 § 1(A), 2018; Ord. 2052 § 1(H), 2017; Ord. 1883 § 1 (Exh. A), 2009; Ord. 1563 § 1, 1999)
5.20.140 Suspension and revocation of license and work permits.
A. The Chief of Police shall have the right for cause, after notice and a hearing, to revoke or suspend any cardroom license or cardroom work permit issued under this chapter, and to take possession of such permit. Any grounds upon which the Chief of Police shall be required to refuse to issue an initial cardroom license or cardroom work permit shall also constitute grounds for such revocation or suspension. In addition, the failure of a holder of a cardroom license or cardroom work permit to comply with the provisions of this chapter shall also constitute grounds for revocation or suspension of such license or work permit.
B. The Chief of Police shall also have the right to revoke or suspend any cardroom license or cardroom work permit by reason of abandonment by the licensee under the following conditions:
1. The operation of a cardroom has not commenced within one year after the issuance of the city cardroom license; or
2. The cardroom has failed to operate for a period of six consecutive months.
C. Before revocation or suspension, the Chief of Police shall notify the cardroom operator of his or her intent to revoke or suspend the cardroom license or cardroom work permit issued under this chapter, and to take possession of such permit. The notice shall list the grounds for the proposed revocation or suspension.
Within 10 days of the mailing of the notice, the cardroom operator may request a hearing with the City Manager, which shall be conducted within 30 days of the request. After the hearing, the City Manager may either uphold or overturn the decision of the Chief of Police. If no hearing is requested within 10 days of the mailing of the notice, the proposed revocation or suspension shall take effect.
D. The decision of the City Manager in this respect shall be subject to an appeal to the City Council. An appeal shall be filed with the City Manager within 10 days after the revocation or suspension. Upon failure to file an appeal within the 10-day period, the decision of the City Manager shall be final and conclusive. (Ord. 2065 § 1(A), 2018; Ord. 1883 § 1 (Exh. A), 2009; Ord. 1563 § 1, 1999)
5.20.150 Number of tables – Limitation.
The total number of tables allowed within the City shall be limited to one table per 4,200 residents of the City of Livermore.
When the Chief of Police determines that an additional card table is available based upon the population of the City of Livermore, he or she shall give notice to existing validly licensed cardrooms having less than the maximum number of tables allowed pursuant to LMC 5.20.160(D) that they are eligible to apply for the additional card table.
In the event more than one existing cardroom is eligible and applies for the additional card table, the Chief of Police shall first offer the additional card table to the cardroom that has executed a development agreement pursuant to LMC 5.20.160(Q). In the unlikely event that two or more cardrooms are equally eligible to receive the additional card table, the Chief of Police shall award the additional table by drawing lots.
In the event no eligible cardroom applies for the additional card table within 180 days after the Chief of Police delivers notice of its availability, the additional card table shall become available for use on a first come, first served basis by a new cardroom obtaining a license consistent with the terms and conditions of this chapter. (Ord. 2065 § 1(A), 2018; Ord. 1883 § 1 (Exh. A), 2009; Ord. 1563 § 1, 1999)
5.20.160 Operation – Rules and regulations.
It is unlawful to operate a cardroom in violation of any of the following regulations and rules:
A. Not more than one cardroom shall be located at any one address.
B. Neither the operator nor any employee of a cardroom shall extend credit to a player, nor shall they accept IOUs or other notes, or otherwise loan money to any person on any ring, watch or other article of personal property for the purpose of securing tokens, chips or other representatives of money as an ante.
C. No games, except lowball, draw poker, without variations as defined by Hoyle, pinochle, pangini, rummy, contract or auction bridge, and Texas hold ‘em, shall be played in any cardroom, and the rules and manner of play for such games shall be consistent with LMC 5.20.020.
D. Not more than 10 of the total number of tables allowed pursuant to LMC 5.20.150 shall be permitted in any single cardroom.
E. No more than eight players shall be permitted at a table.
F. Cardrooms shall be located on the ground floor and so arranged that at least 25 percent of the cardroom shall be plainly visible from the front door opening when such is opened. No wall, partition, screen or similar structure between the front door opening on the street and any card table located in the cardroom shall be permitted if it interferes with such visibility.
G. No person under 21 years of age shall be permitted at any card table or participate in any game played thereat. No person under age 21 shall be permitted to remain in a cardroom.
H. Cardrooms may operate seven days a week, with the following daily schedule: Monday, Tuesday, Wednesday and Thursday, from 10:00 a.m. to 2:00 a.m., and Friday from 10:00 a.m. continuous to 2:00 a.m. Monday morning, unless the Chief of Police determines that a reduction in the hours is necessary due to the number of calls for service or the inability of the licensee to implement a security plan acceptable to the Chief of Police. The Chief of Police has the discretion to give written approval to the continuous operation of a cardroom on national holidays or for tournament play.
I. All cardrooms shall be open to police inspection during all hours of operation.
J. Only table stakes shall be permitted. Each game shall have a maximum single bet of $20.00.
K. The cardroom shall have assigned to it a person holding a valid card table work permit, whose duty it shall be to supervise the game and to see that it is played strictly in accordance with the terms of this chapter and with the provisions of the Penal Code of the state. This person may have more than one table under his supervision. The licensee may act as a table operator or supervisor without having a work permit.
L. There shall be posted at every cardroom, in letters plainly visible from all parts thereof, signs stating that no game except lowball, draw poker without variations as defined by Hoyle, pinochle, pangini, rummy, contract or auction bridge, or Texas hold ‘em shall be played in the cardroom. These signs shall also contain such other information relating to the regulations contained herein as the Chief of Police may require. A copy of this chapter shall also be conspicuously posted.
M. No person who is in a state of intoxication shall be permitted in any cardroom.
N. Loitering about the card tables shall not be permitted.
O. Cardrooms shall be operated consistent with the regulations established by the California Department of Justice, Division of Gambling Control and the California Gambling Control Commission for the operation of gambling establishments.
P. Each licensed cardroom may offer tournament play events with the prior written approval of the Chief of Police. A cardroom licensee shall give the Chief of Police notice at least five days before the event and provide a security plan to be approved in writing by the Chief of Police. All tournament play shall comply with the bet limits, number of players, number of tables, and all other provisions of this chapter and such conditions as may be imposed by the Chief of Police.
Q. A cardroom may offer expanded services, subject to the approval of a conditional use permit and a development agreement in conformance to the Livermore Development Code. The development agreement shall assure the cardroom of the expanded services, subject to conditions, and define the community benefit to be provided by the cardroom operator. The Chief of Police may revoke or suspend the expanded services for a cardroom following the same provisions for the suspension and revocation of license and work permits of LMC 5.20.140. All provisions of this chapter shall apply to an expanded services cardroom, except the following expanded services may be permitted:
1. Any game approved by the California Department of Justice, except Pai Gow played with tiles, is permitted with the written consent of the Chief of Police. There shall be posted at every cardroom, in letters plainly visible from all parts thereof, stating the permitted games.
2. Not more than 10 players shall be permitted at the table.
3. Cardrooms may operate 24 hours per day, except for a nine-hour period on Monday between 2:00 a.m. and 11:00 a.m. The Chief of Police has the discretion to give written approval to the continuous operation of a cardroom on Monday for national holidays or for tournament play, provided the cardroom is closed during another nine-hour period during the week.
4. Each game shall have a maximum single bet of $200.00.
R. Cardrooms shall conform to the Livermore Development Code. (Ord. 2065 § 1(A), 2018; Ord. 1901 § 3 (Exh. A § 14), 2010; Ord. 1892 § 1, 2009; Ord. 1883 § 1 (Exh. A), 2009; Ord. 1563 § 1, 1999)
5.20.170 Patron safety and security.
Each cardroom licensee shall be responsible for the security and safety of patrons in the cardroom and in and around off-street parking areas and shall:
A. Provide at least one security guard in distinctive uniform attire not resembling the uniforms worn by the Livermore police department during all hours when the cardroom is open for business; and
B. Present and implement a security plan acceptable to the Chief of Police. (Ord. 2065 § 1(A), 2018; Ord. 1883 § 1 (Exh. A), 2009; Ord. 1563 § 1, 1999)