SF 3086

as introduced - 93rd Legislature (2023 - 2024) Posted on 03/23/2023 09:00am

A bill for an act
relating to gambling; authorizing the city of Cohasset to operate a casino gaming
facility regulated by the Department of Public Safety; authorizing the city to issue
additional on-sale intoxicating liquor licenses.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1. new text begin CASINO GAMING.
new text end

new text begin Subdivision 1. new text end

new text begin Authorization. new text end

new text begin The city of Cohasset is authorized to own or lease and
to operate a casino gaming facility within the city limits of Cohasset subject to the limitations
imposed by this section.
new text end

new text begin Subd. 2. new text end

new text begin Contracts. new text end

new text begin No contract shall be entered into by the city of Cohasset for the
financing, construction, lease, or operation of the casino gaming facility unless approved
by the joint committee established under subdivision 3.
new text end

new text begin Subd. 3. new text end

new text begin Joint committee. new text end

new text begin A joint committee consisting of seven members is created
to review and approve all contracts relating to any casino gaming facility operated by the
city of Cohasset. The city may enter into a lease or management agreement for the operation
of the casino. Three members of the joint committee shall be members of the city council
of the city of Cohasset appointed by the city council of Cohasset. Three members shall be
employees of the Department of Public Safety appointed by the commissioner of public
safety. The joint committee shall elect a chair from among its members. The committee
may elect other officers as it deems necessary. The attorney general is the attorney for the
joint committee.
new text end

new text begin Subd. 4. new text end

new text begin Investigation. new text end

new text begin Before approving any contract relating to the ownership, lease,
or operation of a casino, the joint committee shall conduct, or request the Bureau of Criminal
Apprehension to conduct, a comprehensive background and financial investigation of all
of the parties to the contract. The joint committee may charge any person or corporation
that is to be a party to a contract an investigation fee to cover the cost of the investigation
and shall from this fee reimburse the bureau for its share of the cost of the investigation.
new text end

new text begin Subd. 5. new text end

new text begin Games and prize limits permitted. new text end

new text begin The casino is authorized to conduct video
games of chance and blackjack. The commissioner of public safety shall, after public hearing,
establish the games that may be played and the rules of play and the prize limits for each
game.
new text end

new text begin Subd. 6. new text end

new text begin Records and reports. new text end

new text begin The gross receipts from the operation of the gaming
casino must be segregated from all other revenues of the city of Cohasset and placed in a
separate account. The city must report to the commissioner of public safety on its gross
receipts, expenses, and profits from the operation of the gaming facility.
new text end

new text begin Subd. 7. new text end

new text begin Powers of commissioner of public safety. new text end

new text begin (a) The commissioner of public
safety must enforce and investigate the provisions of this section. The commissioner may,
after public hearing, adopt any rule necessary to implement this section or to ensure the
integrity of the gaming operation within the city of Cohasset.
new text end

new text begin (b) The commissioner and the commissioner's employees shall have the authority, without
notice or warrant, to:
new text end

new text begin (1) inspect and examine the premises where casino gaming is conducted;
new text end

new text begin (2) inspect all gambling equipment or supplies in, about, upon, or around the premises
where casino gaming is conducted; and
new text end

new text begin (3) inspect, examine, and audit all books, records, and other documents pertaining to
the casino gaming operation.
new text end

new text begin Subd. 8. new text end

new text begin Gaming by certain persons prohibited. new text end

new text begin No person under the age of 18 may
participate in any game conducted at a casino gaming facility operating under this section.
new text end

new text begin Subd. 9. new text end

new text begin Use of profits. new text end

new text begin Amounts collected by the city of Cohasset from the operation
of the gaming facility less sums necessarily and actually expended for gaming supplies and
equipment, prizes, rent, utilities, maintenance of gaming equipment or the facility, taxes or
fees imposed by law, repayment of bonds or mortgage, insurance, compensation or wages
paid for conducting or managing the operation, and advertising must be deposited in an
account in the city fund and dedicated to the purposes of property tax relief. At the end of
each fiscal year, the governing body of the city of Cohasset must certify to the commissioner
of revenue the amount of money derived from the Cohasset casino and deposited in the
account designated for property tax purposes under this subdivision. Before the city of
Cohasset adopts its proposed tax levy under Minnesota Statutes, section 275.065, the city
must subtract from its levy the amount equal to the deposit of revenue in the account created
under this section. The city must adopt the amount remaining as its proposed tax levy and
certify this amount to the county auditor.
new text end

new text begin Subd. 10. new text end

new text begin Lawful gaming. new text end

new text begin Gaming conducted under this section is not a lottery or
gambling within the meaning of Minnesota Statutes, sections 609.75 to 609.763.
new text end

Sec. 2. new text begin COHASSET LIQUOR LICENSES.
new text end

new text begin Notwithstanding any law to the contrary, the city of Cohasset may issue two on-sale
intoxicating liquor licenses in addition to those authorized by law. The licenses authorized
to be issued under this section must be issued to a hotel, motel, or restaurant. The licenses
are subject to all other provisions of Minnesota Statutes, chapter 340A.
new text end

Sec. 3. new text begin EFFECTIVE DATE.
new text end

new text begin Notwithstanding Minnesota Statutes, section 645.021, subdivision 2, this act is effective
only upon its approval by a majority of the voters of the city of Cohasset voting on the
question at an election on the question of approval of this act.
new text end