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ORDINANCE NO. 134 AN ORDINANCE REGULATING AND LICENSING THE CONDUCT OF GAMBLING, REPEALING INCONSISTENT ORDINANCES, AI•ND PROVIDING A PENALTY FOR VIOLATION. The Council of the City of Pequot Lakes does ordain: Section 1. Purpose. The purpose of this ordinance is to closely regulate and control the conduct of gambling. Section 2. Provisions of State Law Adopted. The provisions of Minnesota Statutes, Chapter 349, and Laws of Minnesota, 1978, Chapter 507, relating to the definition of terms, licensing, and restrictions of gambling are adopted and made a part of this ordinance as if set out in full. Section 3. License Requirement. No person shall directly or indieectly operate a gambling device, conduct a raffle or operate a bingo game without a license to do so as provided in this ordinance. Section 4. Persons Eligible for a Lidense. A license shall be issued to fraternal, religious, and veterans organizations, or any corporation, trust, or association organized for exclusively scientific, literary, charitable, educational, or artistic purposes, or any club which is organized and operated exclusively for pleasure or recreation. Such organization must have been in existence for at least three years and shall have at least 30 active members. Section 5. License Fees. Subdivision 1. Fees. The annual fee for a paddle wheel shall be $25.00; the annual fee for a tipboard shall be $25.00; the annual fee for a raffle shall be $25.00; and the annual fee for a bingo operation shall be $25.00. Subdivision 2. Application Procedure. Application for a license shall be made upon a form prescribed by the council. No person shall make a false representation in an application. The council shall act upon said application within 180 days from the date of application, but shall not issue a license until at least 30 days after the date of application. Section 6. Profits. Profits from the operation of gambling devices or bingo or the conduct of raffles shall be used for proper purposes only. Section 7. Conduct of Gambling. Subdivision 1. Gambling Manager. All operation of gambling devices, bingo games and the conduct of raffles shall be under the supervision of a single gambling manager to be designated by the organization. The gambling manager shall be designated by the organization. The gambling manager shall be responsible for gross receipts and profits from gambling devices, bingo games and raffles and for their operation. The gambling manager shall be responsible for using profits for a proper purpose. Subdivision 2. Bond. The gambling manager shall provide a fidelity bond in the sum of $10,000.00 in favor of the organization conditioned on the faithful performance of his duties. Subdivision 3. Qualifications of Gambling Manager. The gambling manager shall ' be an active member or the organization, and shall qualify under state law. Section 8. Compensation. No compensation shall be paid to any person in connection with the operation of a gambling device, bingo game or the conduct of a raffle by a licensed organization. No person who is not an active member of an organi- zation, or the spouse or surviving spouse of an active member, may participate in the organization's operation of a gambling device, bingo game or conduct a raffle.