Chapter 5.28 GAMING CLUBS

Terms used in this chapter shall have the meaning ascribed to them in the Gaming Registration Act (Section 19800 et seq. of the Business and Professions Code) and the regulations adopted thereunder, as said Act and said regulations may from time to time be amended. In addition to definitions therein contained, the following definitions shall apply to terms contained in this chapter.

(1) "Act" shall refer to the Gaming Registration Act as from time to time amended.

(2) "Cardroom" may be used in this chapter interchangeably with the term "gaming club" and for purposes of this chapter, those terms shall have the same meanings.

(3) "Licensee" is a person who has obtained a valid gaming club license.

(4) "Permittee" is a person who has obtained a valid gaming club work permit. (Ord. 1136 § 2 (part), 1992).

5.28.020 Registration required.

(a) First having obtained a valid registration from the Attorney General under the Act; and

(b) Complying with each and every provision of this chapter pertaining to such gaming club and complying with all other applicable state statutes and regulations and city ordinances and resolutions. (Ord. 1136 § 2 (part), 1992).

5.28.030 Gaming club license required.

It is unlawful for any person, for himself or herself, or for any other person, firm or corporation, to engage in or carry on, or to maintain or conduct, or cause to be engaged in, carried on, maintained or conducted, any gaming club without a license as required by this chapter. The license required shall be in addition to any general business license required by the city. (Ord. 1136 § 2 (part), 1992).

5.28.040 Application for gaming club license—In general.

Any application for a gaming club license shall be made with the chief of police and shall be accompanied by a true copy of the current manual gaming registration certificate issued by the Attorney General. The license application shall be on a form prescribed by the chief of police. Any application for a license, which is not otherwise exempt from license fees, shall be accompanied by a nonrenewable fee in an amount established by resolution of the city council. A gaming club license is issued to a specific person for a specific location, the address of which shall be set forth in the license. Any gaming club license issued shall be valid for a period not to exceed one year from the date of issuance, unless it is suspended or revoked prior to that date. (Ord. 1136 § 2 (part), 1992).

5.28.050 Application for gaming club license—Existing gaming clubs.

Any person, firm or corporation who is operating a gaming club in the city on or prior to January 1, 1992, shall file an application for a gaming club license within sixty days of the effective date of the ordinance codified in this chapter. Applications filed by such date shall be exempt from any gaming club license application fees. The chief of police may deny such a permit application for any of the grounds enumerated in Section 5.28.170 for suspension, revocation or nonrenewal of licenses. The decision of police chief shall be appealable to the city council pursuant to Section 5.28.180. (Ord. 1136 § 2 (part), 1992).

5.28.060 Initial application for gaming club license.

Any person, firm or corporation who proposes to operate a gaming club in the city after January 1, 1992, shall file an application for a gaming club license. Thereafter, the investigations detailed in Section 5.28.070 and any other investigations deemed necessary by the chief of police shall be conducted prior to the determination of the chief of police on the application for the license. (Ord. 1136 § 2 (part), 1992).

5.28.070 Investigation and reports.

Upon receipt of an application for an initial gaming club license, the chief of police shall cause the following actions to be taken:

(a) The building official and the fire chief shall make a full and complete investigation of the building and location where the applicant proposes to conduct such business or activity to ensure that such building and location comply with all pertinent state and local laws and regulations including, without limitation, building and fire codes and pertinent zoning regulations. In the event the applicant intends to build a new structure to house such business or activity, the plans and specifications therefor shall be submitted to the building official for approval and such structure shall be built in strict conformity with the approved plans and specifications.

(b) The chief of police shall make complete and full investigation as to the type of tables or units to be used at or in connection with the proposed business and the type of games proposed to be played, which investigation shall also include the proposed locations of the tables or other units in, within or about the proposed place of business.

(c) The chief of police shall determine whether the proposed location of the business or activity would, under these circumstances, tend to cause a police problem, or create a public nuisance or be contrary to the public interest.

(d) The investigation and reports required by this section shall be made within forty-five days after the application is first filed.

No person shall operate a gaming club until the building official, fire chief and police chief have made the investigations required by this section and approved the building, location, type of tables and other matters to be investigated and the police chief has issued a gaming license. (Ord. 1136 § 2 (part), 1992).

5.28.080 Initial application for gaming club license—Determination of police chief—Appeal.

After the investigation is completed, the police chief shall determine, in his discretion, whether or not the license shall be granted. The police chief may base his decision on any of the factors enumerated in Section 5.28.070 and on whether granting of the gaming club license would further or be contrary to the public interest. Any person whose application for a license pursuant to this section has been denied may appeal that determination to the city council. Written notice of such appeal shall be filed with the city clerk no later than ten days from the date of the denial. The appeal shall include a statement of the grounds of the appeal. The city council shall thereafter hear the appeal and affirm, modify or overrule the determination appealed. If the applicant fails to file the notice of appeal within such ten-day period, the denial shall be final and conclusive. (Ord. 1136 § 2 (part), 1992).

5.28.090 Gaming club license renewal.

(a) Thirty days prior to the expiration date of a currently valid gaming club license, the licensee shall apply for the renewal of said license. The application shall be accompanied by a nonrefundable fee in an amount established by resolution of the city council. The chief of police may grant such renewal provided he finds that all facts set forth in the renewal application are substantially the same as on the original application or may deny such renewal pursuant to Section 5.28.170. The decision of police chief shall be appealable to the city council pursuant to Section 5.28.180.

(b) If all facts set forth in the renewal application are not substantially the same as on the original application, the applicant shall comply with all the requirements set forth in this chapter for an initial application for a license. (Ord. 1136 § 2 (part), 1992).

5.28.100 Business name.

No person licensed to operate a gaming club shall operate under any name or conduct business under any designation not specified in the license. (Ord. 1136 § 2 (part), 1992).

5.28.110 Transfer of gaming club licenses.

Gaming club licenses may be transferable, upon completion of the application and investigation process detailed in Sections 5.28.040 through 5.28.080 and upon approval of the chief of police. (Ord. 1183 § 3, 1993: Ord. 1136 § 2 (part), 1992).

5.28.120 Applications for certain changes in ownership of gaming club.

Whenever there is a change in the identity of the principals holding the license by the addition of a person or business entity, application for a gaming club license in accordance with Section 5.28.060 shall immediately be filed. (Ord. 1183 § 4, 1993: Ord. 1136 § 2 (part), 1992).

5.28.130 Transfer of locations—Application required—Appeal.

A licensee may apply to change the location of a gaming club from one building to another within the city. Application for such change shall be made to the chief of police. The application shall be accompanied by a nonrefundable fee in an amount established by resolution of the city council. The chief of police shall cause the investigations and reports described in Section 5.28.070 to be made with respect to the proposed location, and the chief of police may deny the application for a change of location for failure to meet any requirements of Section 5.28.070 or failure to meet any other requirements of state or local law, or if such transfer would be contrary to the public interest. Any person whose application for a transfer pursuant to this section has been denied may appeal that determination to the city council. Written notice of such appeal shall be filed with the city clerk no later than ten days from the date of the denial. The appeal shall include a statement of the grounds of the appeal. The city council shall thereafter hear the appeal and affirm, modify or overrule the determination appealed. If the applicant fails to file the notice of appeal within such ten-day period, the denial shall be final and conclusive. (Ord. 1136 § 2 (part), 1992).

5.28.140 Display of license.

The licensee shall display the gaming club license in the gaming club in an open and conspicuous place on the premises. (Ord. 1136 § 2 (part), 1992).

5.28.150 Employee work permit—Initial application.

(a) Any person who seeks employment in any gaming club shall submit an application to the chief of police for a work permit prior to entering into such employment. The application shall be submitted on forms supplied by the chief of police and shall include, but not be limited to, the true name, address and description of the applicant, the name and address of the applicant’s employer and the position the applicant holds. The application shall be accompanied by the fingerprints of the applicant in cases where the applicant’s fingerprints are not already on file at the police department. Each application for a work permit shall be accompanied by a nonrefundable fee in an amount established by resolution of the city council plus any processing fees established by the California Department of Justice.

(b) The chief of police may deny to such applicant a work permit if the applicant has been convicted of a felony or any crime enumerated in Section 5.28.170(c). Furthermore, the police chief may deny such permit if, based upon investigation into the background of the applicant, the police chief determines that the applicant is of poor moral character and is not likely to carry on in a lawful manner the activities for which the work permit is required or if the applicant has deliberately given false answers to questions contained in the application submitted. In addition to any other restrictions provided by law, the police chief shall not issue a work permit to anyone who is disqualified from holding a state gambling license for any reasons specified in California Business and Professions Code Section 19850. No person shall work in a gaming club in the city and no gaming club shall employ any person after the police chief has denied his or her application for a work permit. Any work permit issued hereunder shall expire one year from the date of issuance.

(c) Any person whose application for a work permit pursuant to this section has been denied may appeal that determination to the city council. Written notice of such appeal shall be filed with the city clerk no later than ten days after the denial of the permit. The appeal shall include a statement of the grounds of the appeal. The city council shall thereafter hear the appeal and affirm, modify or overrule the determination appealed. Upon failure to file the notice of appeal within such ten-day period, the denial shall be final and conclusive.

(d) Any application for a work permit shall be subject to objection by the Department of Justice, Division of Gambling Control. If the Division objects to the issuance of a work permit, it shall be denied. Such a denial may be reviewed in accordance with the Gambling Control Act (California Business and Professions Code Section 19801 et seq.). (Ord. 1348 § 2, 2012; Ord. 1257 §§ 4 and 5, 1999; Ord. 1256 §§ 3 and 4, 1999; Ord. 1136 § 2 (part), 1992).

5.28.160 Gaming club work permit renewal application.

Thirty days prior to the expiration date of a currently valid gaming club work permit, the permittee shall apply for the renewal of said permit. The application shall be accompanied by a nonrefundable fee in an amount established by resolution of the city council. The chief of police may grant such renewal provided he finds that all facts set forth in the renewal application are substantially the same as on the original application and the permittee has not violated any provisions of this chapter or the police chief may deny such renewal pursuant to Section 5.28.170. The decision of the police chief shall be appealable to the city council pursuant to Section 5.28.180. (Ord. 1136 § 2 (part), 1992).

5.28.170 Suspension, revocation and nonrenewal.

The chief of police may revoke, suspend or not renew any license or permit issued under this chapter. Grounds for revocation, suspension or nonrenewal of a license or permit shall include the following:

(a) The failure of the license or permit holder to comply with the provisions of this chapter or any other law pertaining to gaming clubs;

(b) The giving of false or misleading information by the license or permit holder in making application for a license or permit or in connection with an investigation conducted by the city or any other state, local or federal agency;

(1) Any felony;

(2) Any offense involving gambling, narcotics, use of force or violence, theft, embezzlement or any other offense involving moral turpitude;

(d) Any cause for denying an original license or permit as set forth in this chapter. (Ord. 1136 § 2 (part), 1992).

5.28.180 Appeal of suspension, revocation and nonrenewal.

The determination of the chief of police to suspend, revoke or not renew a license or permit shall be made in writing and mailed or delivered to the licensee or permittee. The police chief’s determination shall not be effective for ten days from the date of the notice of that determination. The licensee or permittee may, during such ten-day period, appeal the police chief’s determination to the city council. If the licensee or permittee fails to file the notice of appeal within such ten-day period, the determination of the police chief shall be final and conclusive. If a written notice of appeal is filed with the city clerk during such ten-day period, the determination of the police chief shall be stayed pending the city council’s hearing and decision on the appeal. The written notice of appeal shall state the grounds for the appeal. At the time set for the hearing, the city council shall hear the evidence presented by the police chief or his designee and shall give the licensee or permittee or any other interested party the opportunity to present relevant evidence. The council may continue the hearing from time to time and may affirm, modify or overrule the determination appealed. The decision of the city council shall be final. (Ord. 1136 § 2 (part), 1992).

5.28.190 Bond required.

Prior to commencing the operation of any gaming club, each licensee shall post with the city a cash bond in the sum of five thousand dollars or a surety bond in the same amount furnished by a corporate surety authorized to do business in the state, payable to the city. A corporate surety posting a bond for a licensee, as required by this section, must notify, in writing, the finance director ten days prior to any cancellations or discontinuance of the bond. The bond shall guarantee that the licensee shall redeem all chips, or any other device used in the card games, for cash, and the bond shall be kept in full force and effect by the licensee throughout the term of the license. Prior to renewing the gaming club’s license, the licensee must show proof that the surety bond is valid. (Ord. 1136 § 2 (part), 1992).

5.28.200 Number of gaming rooms and tables restricted.

Notwithstanding any other provisions herein to the contrary, no more than two gaming clubs may operate within the city at any one time. No more than six card tables shall be permitted in any gaming club. No more than six card tables shall be permitted in the city. (Ord. 1318 § 1, 2008: Ord. 1290 § 1, 2005: Ord. 1269 § 1, 2001: Ord. 1257, 1999; Ord. 1256, 1999; Ord. 1183, 1993; Ord. 1136 § 2 (part), 1992).

5.28.210 Regulations.

It is unlawful to operate a gaming club in violation of any of the following rules and regulations:

(1) At all times during which any gaming club is open for business, there must be a supervisor on duty who has control over all operations of the gaming club including the supervision of employees.

(2) Any area of a building or structure in which legal gambling or gaming takes place must be maintained separate and apart from any other business operated in the same building or structure and such activity must be conducted in a separate room or in an area surrounded by an enclosure that is high enough to prevent persons from walking into the enclosed area except through a door or opening.

(3) Each card table shall have assigned to it a person whose duty shall be to supervise the game and to see to it that it is played in accordance with the terms of this chapter and all other pertinent laws and regulations. The person assigned to each table shall act as the dealer for that table and no other person shall be permitted to deal cards for any game. The dealer shall not participate in any other capacity, and shall not be permitted to place any bet.

(4) No minor shall be permitted at any card table, or to participate in any card game played thereat, or to remain in any gaming club or enclosure except for the purpose of transacting lawful business.

(5) No person in charge or control of any card game shall permit any person to play in any card game while such person appears to be or is under the influence of an intoxicating liquor, beverage or any drug or narcotic.

(6) No intoxicating liquors or beverages shall be sold, given away, dispensed, consumed or permitted on the premises unless the premises are licensed for that purpose by the State Department of Alcohol Control and unless such intoxicating liquors or beverages are purchased on the premises. "Premises" includes any other business or enterprise directly connected with or operated in conjunction with such gaming club, including the operation of a restaurant or cafe.

(7) Only table stakes shall be permitted in any card game.

(8) Signs shall be posted at each card table, stating the name of the game, rules of play and other specified information.

(9) No person shall be permitted to hold or be financially interested in more than one gaming club within the city.

(10) No more than one gaming club shall be located at any one location or address.

(11) Not more than ten players shall be permitted at any card table.

(12) Gaming clubs shall be located on the ground floor and so arranged that the card tables and players shall be plainly visible from the front door opening when such door is opened. No wall, partition, screen or similar structure between the front door opening on the street and any card table located in the gaming club shall be permitted if it interferes with such visibility.

(13) Neither the licensee nor his agents or employees shall:

(A) Extend credit to a player;

(B) Accept IOUs or other notes;

(C) 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;

(D) Purchase from any person such article of personal property if the purchase price is to be used for the purpose of securing tokens, chips, or other representatives of money to be used in said gaming club.

(14) No maximum wagering limit is imposed on games at the gaming club. The gaming club may conduct no limit games or may, in its discretion, set maximum wagering limits on a game-by-game basis and table-by-table basis; provided, that such maximum wagering limits comply with all state and local laws. The chief of police has the authority to review this section on an annual basis to determine if no maximum wagering limits pose a detriment to the values and vision of the city of Marysville and may revoke this maximum wagering limit with cause.

(15) Each gaming club shall be responsible and liable for its patrons’ safety and security in and around it. Each gaming club shall adopt and enforce a plan that is sufficient to provide for the safety and security of its patrons.

(16) The chief of police may require, in his or her discretion, gaming club permittees to implement additional reasonable security measures for scheduled events that will take place at the gaming club including, but not limited to, hiring private uniformed security guards.

(17) Gaming clubs may operate up to twenty-four hours a day, seven days a week. Each gaming club shall adopt a schedule specifying its hours of operation. Each gaming club shall clearly post at its location the schedule specifying its hours of operation so as to give law enforcement and patrons adequate notice of the hours of operation. (Ord. 1348 § 1, 2012; Ord. 1328 §§ 1, 2, 2009; Ord. 1276 § 2, 2002; Ord. 1257, 1999; Ord. 1256, 1999; Ord. 1136 § 2 (part), 1992).

5.28.220 Location of gaming clubs.

(a) No gaming club shall be located within three hundred feet of any other gaming club. Such distance shall be measured from the public access of one gaming club to the closest public access of any other gaming club and shall be measured by the nearest sidewalk, street or alley route between such two gaming clubs.

(b) No gaming club shall be located within three hundred feet of any existing church, school or park. Such distance shall be measured from the property line of such church, school or park to the nearest public access of such gaming club. (Ord. 1136 § 2 (part), 1992).

5.28.230 Participant fees.

The only charges imposed upon participants in any card game permitted under this chapter shall be:

(1) A Charge for Table Rental. Such charge shall be imposed for participation in any card game for each twenty-minute period or part thereof that a participant plays in such card game. The amount of such charge for each twenty-minute period of participation shall be determined by each licensee; provided, however, that:

(a) The amount of such charge shall be posted conspicuously within the gaming club; and

(b) The charge for table rental shall not be changed unless and until three days’ notice of any such change is given, in writing, to the chief of police; or

(2) A pre-determined fixed fee assessed to all players at the table and collected prior to the playing of the hand.

(a) The amount of such charge shall be posted conspicuously within the gaming club.

(b) The charge for participation shall not be changed unless and until three days’ notice of any such change is given, in writing, to the chief of police.

No other fee or charge shall be made for participation in any card game. Without limiting the foregoing, licensees and their agents and employees are specifically prohibited from taking any portion of the ante made by any participant in any such game. (Ord. 1276 § 1, 2002; Ord. 1270, 2001: Ord. 1136 § 2 (part), 1992).

5.28.240 Signs.

Notwithstanding any provisions of Title 18 to the contrary, the only sign permitted with respect to the operation of any gaming club shall be a single unlighted sign no larger than six square feet. Such sign shall otherwise comply with all requirements set forth in Title 18. (Ord. 1136 § 2 (part), 1992).

5.28.250 Violations and penalties.

(a) It is unlawful for any person to violate any provision or fail to comply with any of the requirements of this chapter. Any person violating any of the provisions of this chapter shall be deemed guilty of a misdemeanor and upon conviction thereof is punishable by a fine of two hundred fifty dollars.

(b) Each and every violation of any provisions of this chapter shall be deemed to be a separate offense and shall be punishable as provided in this section. (Ord. 1160 § 7, 1993: Ord. 1136 § 2 (part), 1992).

5.28.260 Enforcement.

The provisions of this chapter shall be enforced by the chief of police except that:

(a) Those provisions dealing with building regulations or signs shall be enforced by the building official; and

(b) The provisions dealing with fire regulations shall be enforced by the fire chief. (Ord. 1136 § 2 (part), 1992).

5.28.270 Gaming club vacancy.

(a) If any person licensed under this chapter to operate a gaming club fails to operate a gaming club for a period of sixty days, his or her license to do so shall be revoked. The decision of the police chief to revoke the license shall be appealable to the city council pursuant to Section 5.28.180.

(b) Upon the closure of a licensed gaming club pursuant to subsection (a) of this section, or upon the sale or transfer of any interest in the gaming club which creates a vacancy under Section 5.28.110, the city shall advertise the vacancy in a local newspaper. Application, in response to the advertisement, may be made to the city clerk within thirty days of the date of the advertisement or during any longer application period as may be established by the chief of police. If more than one application is received, a drawing shall be held by the city to determine the applicant to be considered to fill the vacancy. A gaming club license application must be filed, pursuant to Section 5.28.060, by the chosen applicant within sixty days after notification by the city of being chosen to apply to fill the vacancy. If the chosen applicant fails to file an application within sixty days, or if after an application is filed and an investigation conducted, the police chief determines that the applicant’s permit application will be denied, a second drawing will be held and additional drawings may be held as necessary. (Ord. 1136 § 2 (part), 1992).

5.28.280 Exemptions.

A nonprofit society, club, fraternal, labor or other similar organization, when the tables are for the exclusive use of members and bona fide guests of the members of the society, club, fraternal, labor or other organization, shall be exempt from the regulations of this chapter. (Ord. 1136 § 2 (part), 1992).