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HomeMy WebLinkAboutCD-3-93 THE CORPORATION OF THE TOWN OF NEWCASTLE REPORT Meeting: GENERAL PURPOSE AND ADMINISTRATION COMMITTEE File#'�Ia , Date: APRIL 5, 1993 Res. # By-Law# Report CD-03-93 File#: Subject: BINGO COUNTRY - REQUEST FOR LETTER OF SUPPORT FOR THE OPENING OF A COMMERCIAL BINGO HALL Recommendations: It is respectfully recommended that the General Purpose and Administration Committee recommend to Council the following: 1. THAT Report CD-03-93 be received; 2 . THAT the request of John Rinn, Bingo Country, for a letter of support for the opening of a new commercial bingo hall in the Town of Newcastle be denied as it is deemed to be premature at this time; and 3 . THAT John Rinn, Paul Von Hatten, Mrs . Sheehan, Irene England, Bill Poechman, Peter DeJong and Gerald Bray be advised of Council's decision. BACKGROUND AND COMMENT: At a meeting held on February 1, 1993, the General Purpose and Administration Committee received a delegation from John Rinn, Bingo Country, requesting a letter of support from the Council of the Town of Newcastle for the opening of a commercial bingo hall. Bingo Country is interested in the property located at 81 King Street East, Bowmanville (previously The Furniture Store) . This site was previously licenced as a bingo hall for a short period approximately five or six years ago. The licence for the hall would be issued by the Ministry of Consumer and Commercial Relation, however, they will not issue one without a letter of support from the municipality. Presently, the Town regularly licences three organizations to hold bingos, i.e. , St. Joseph's Parish Hall, Brownsdale Community Centre and the Ladies Auxiliary Branch 178, Royal Canadian Legion. As well, licences are issued once a year to the Lions Club of Newcastle (to hold bingos at the Orono Fair) and the Solina Community Centre. The three regulary licenced organizations have been contacted to determine the impact the opening of a commercial hall would have on their operations and the following comments have been received: l Report CD-03-93 - 2 - April 5, 1993 1. Ladies Auxiliary Branch 178, Royal Canadian Legion - The proceeds from their bingos are donated to various charities, namely, The Salvation Army, Bowmanville Hospital, bursaries for four local high schools, Toronto Hospital for Sick Children, Sunnybrook Veterans, Santa Claus Parade, public speaking, memoriums and the dialysis program at Oshawa General Hospital. When 81 King Street East was licenced as a bingo hall, it adversely impacted on the Legion. They were about to discontinue their bingos when the hall ceased operation. Presently, the Legion is recognizing a profit at every bingo event. 2 . Brownsdale Community Centre - The proceeds from their bingos are used to help to run children's baseball and hockey programs in the community and are utilized for building maintenance purposes. This organization is of the opinion that a commercial hall in the Town would have a large impact and, possibly, make it necessary to discontinue the holding of bingos at the Community Centre. 3 . St. Joseph's Parish Hall - The proceeds from these bingos (approximately $20,000 per year) are donated to various charities and to the church itself. The organizers of this event feel that a commercial hall would have a large impact on them and, most likely, force them to discontinue the bingos . The average prize realized at this bingo is $80 . 00, with a maximum prize of $120 .00. Should the commercial hall open offering prizes of $1,000 .00, the church would not be able to compete. One letter of support for the commercial hall has been received from The Newcastle Aquatic Club (see Attachment No. 1) . This Club has been associated with Bingo Country since June 1990 when they started sponsoring bingos at the hall in Cobourg. They would very much like to be able to hold fundraising events in their own municipality. The Ministry of Consumer and Commercial Relations has been contacted and has advised that a moratorium on the establishment of new commercial bingo halls was imposed on August 1, 1989, to control the growth of the industry until such time as proper regulatory controls could be put in place. Mr. Rinn advised the Clerk's Department that the moratorium may not apply to the subject location as it was previously licenced as a commercial bingo hall. The Ministry of Consumer and Commercial Relations has indicated that an exemption from the moratorium was applied to bingo halls that had to relocate for one reason or another or to those operators who had invested in their property prior to the introduction of the moratorium. This, however, is not the case in the Town of Newcastle and the Ministry would not exempt the subject location. 6 0, Report CD-03-93 - 3 - April 5, 1993 In February 1993, the Gaming Services Act was proclaimed which requires that every business and individual providing goods or services to charities in conducting their lottery events be registered. Since this time, a meeting has been held between the Ministry and the Lotteries Task Force of the Association of Municipal Clerks and Treasurers to begin discussions on how the moratorium could be relaxed. This meeting resulted in a proposal being drafted (see Attachment No. 2) . The Ministry is requesting comments from municipalities prior to the end of April to allow for a finalized plan to be implemented in May or June. If the plan is finalized as proposed, it will require an applicant for a new bingo hall to submit a market study demonstrating the need for a new bingo, the potential impact on existing bingo operations in the market area, the number of bingo events per day to be conducted and the proposed amount of the prizeboard. The applicant will then have to advertise the intent to open a new hall and a public hearing will be held. The decision whether to allow the hall to open will rest with the Council of the municipality. Because of the pending policy put forth by the Ministry of Consumer and Commercial Relations, it is the opinion of the Ministry that the request of Bingo Country is premature. It is, therefore, respectfully recommended that the request for a letter of support for the new commercial hall be denied at this time. Respectfully submitted Recommended for presentation, to the Committee, Pa B rie, A.M.C.T. Lawrence Kotseff - own Clerk Chief Administrative Officer r) 't Report CD-03-93 - 4 - April 5, 1993 Individuals to be advised of Council's decision: Mr. J. Rinn Mr. P. Von Hatten Bingo Country Past President Rice Business Centre The Newcastle Aquatic Club 190 Highway #7 West Box 172 Unit #50 Bowmanville, Ontario Brampton, Ontario L1C 3K9 L7A 1A2 Mrs . Sheehan Mrs . I . England President, Ladies Auxiliary 206 Simpson Avenue 28 Lambs Lane Apartment #103 Bowmanville, Ontario Bowmanville, Ontario L1C 3G1 L1C 211 Mr. B. Poechman Mr. P. DeJong 1 Strike Avenue 47 Beaver Street North Bowmanville, Ontario Newcastle, Ontario L1C 1K2 Mr. G. Bray 24 Hillside Drive R.R. #1 Hampton, Ontario LOB 1J0 I i i I ATTACBNENT NO. 1 F 4'11 �9 NEWAC The Newcastle Aquatic Club Box 172 Bowmanville , Ontario L1C 3K9 February 5 , 1993 The Corporation of the Town of Newcastle 40 Temperance St . Bowmanville Ontario L1C 3A6 Attention : Ms . Pattie L . Barrie Town Clerk Dear Ms . Barrie , On February 1 , 1993 Mr . John Rinn from Bingo Country made a presentation to the General Purpose and Administration Committee in order to obtain a letter of support from the Town to establish a Bingo hall in this community . The Newcastle Aquatic Club strongly supports Bingo Country in this endeavour and requests that the Town provide a letter of support as requested by Bingo Country . The Newcastle Aquatic Club has been associated with Bingo Country since June 1990 when we started sponsoring Bingo ' s at their hall in Coburg . Since then we have sponsored approximately 75 Bingo ' s in Coburg , and during that period we have found Bingo Country to be a responsible and reputable organization which puts a high priority on meeting the needs of the charitable organizations and the community at large . Our experience indicates they will establish a quality facility which will be well managed . Our club can speak first hand on the benefits of Bingo sponsorship as it has been our major fundraiser for 3 seasons . It is our belief that a quality Bingo hall will provide a significant benefit to many charities in this community . For this reason and for our own benefit NEWAC has approached Bingo Country several times over the last 3 years to consider the potential of establishing a hall in Bowmanville . NEWAC has been very fortunate indeed to obtain Bingo licences in the town of Coburg . I am sure you are aware that most municipalities restrict bingo licences to charities within their own communities . NEWAC has previously been turned down by both Oshawa and Ajax in this respect . A Bingo hall in this community will provide our local charities with the same opportunities to raise money that our neighbouring community groups en.ioy. Although we have been sucessful in Coburg it has been our desire from day 1 to be able to do our fundraising in our own community . We cannot think of a better opportunity for ourselves and the other charities in the Town of Newcastle than to have a permanent Bingo Hall in this community . The Newcastle Aquatic Club requests that this letter of support be referenced in , or tabled as an addendum to , the requested report from staff to the General Purpose and Administration Committee , or any subsequent report to council on this matter . Thank you in advance for your assistance . Sincerely Paul Von Hatten Past President Newcastle Aquatic Club cc : Executive J- J vl - - ----- - - - - - - - - -- i ATTACHMENT N0. 2 PROPOSAL Given that bingo markets vary from municipality to municipality, a municipal council may pass by-laws to limit the number of bingo halls in its community taking into account the population of the area, the profitability of existing bingo events, distance between existing bingo halls, future economic growth of the area and any other factor that the council may deem relevant and in the best interest of its inhabitants and the surrounding community. I i 1. PROCESS FOR REQUEST FOR NEW BINGO LOCATIONS STAGE 1: APPLICANT FOR THE NEW BINGO HALL MUST SATISFY ALL MUNICIPAL BY-LAWS INCLUDING ZONING APPLICANT MUST QUALIFY AS A GAMING SUPI'LHrR UNDER THE GAMING SERVICES ACT. i STAGE 2: THE APPLICANT MAY THEN APPLY IN WRI'T'ING TO THE MUNICIPAL COUNCIL OUTLINING THE PROPOSAL TO OPEN A NEW BINGO HALL I THE PROPOSAL WILL CONTAIN THE FOLLOWING INFORMATION: I A MARKET STUDY DEMONSTRATING THE NEED FOR A NEW BINGO HALL, THE POTENTIAL IMPACT ON EXISTING BINGO OPERATIONS IN THE MARKET AREA THE NUMBER OF BINGO EVENTS PER DAY TO BE CONDUCTED PROPOSED AMOUNT OF THE PRIZEBOARD THE COUNCIL OF THE MUNICIPALITY MAY i2EQUIRE THE APPLICANT TO SUBMIT ANY ADDITIONAL INFORMATION TO SUBSTANTIATE THE PROPOSAL. THE APPLICANT MUST THEN NOTIFY ALL 1SURROUNDING MUNICIPALITIES OF THE INTENTION TO OPEN A NEW HALL AND ALSO PUBLICLY ADVERTISE THE INTENT TO OPEN A NEW HALL SUCH ADVERTISING WILL CONTAIN A REQUEST FOR COMMENTS TO BE SUBMITTED TO THE MUNICIPAL COUNCIL AIM A DATE FOR � A PUBLIC HEARING TO DISCUSS THE PROPOSAL THAT WILL BE SET AND HOSTED BY THE MUNICIPAL COUNCIL I i I 1 I� STAGE 3: COUNCIL HOLDS A PUBLIC HEARING, IF NECESSARY, AND MAKES THE FINAL DECISION (NO APPEAL TO THE MINISTRY). COUNCIL MAY PLACE CERTAIN TERMS AND CONDITIONS ON THE APPROVAL OF THE NEW HALL. IF THE PROPOSAL, IS REJECTED, NO FURTHER PROPOSAL FROM THAT APPLICANT WILL BE CONSIDERED FOR A PERIOD OF 12 MONTHS OR UNTIL THE COUNCIL FEELS THAT CIRCUMSTANCES HAVE CHANGED, 2. PROCESS FOR REQUEST FOR RELOCATIONS OF EXISTING BINGO HALLS A) NECESSARY RELOCATIONS IF A BINGO MALL OWNER/OPERATOR WANTS TO RELOCATE AS A RESULT OF CIRCUMSTANCES BEYOND HIS/HER/117S CONTROL, MUNICIPAL COUNCIL COULD APPROVE THE RELOCATION WITHOUT THE NOTICE PROVISIONS OR A PUBLIC HEARING PROVIDED THAT: THE RELOCATION IS NECESSARY AND BEYOND THIS CONTROL OF THE BINGO HALL OWNER/OPERATOR (E.G. LEASE TERN11INATED, ACT OF GOD) THE NEW PREMISES WILL OPERATE CINDER SIMILAR CONDITIONS AS THE OLD PREMISE THE REGISTRATION OF THE GAMIN G SUPPLIER IS VALID AND WILL BE AMENDED TO REFLECT THE CHANGE B) OTHER RELOCATIONS A PROPOSAL TO RELOCATE AN EXISTING BINGO HALL WILL BE SUBJECT TO THE PROCESS OUTLINED FOR A NEW BINGO HALL IF THE RELOCATION IS REQUESTED TO: IMPROVE THE COMPETITIVE POSITION OF THE HALL INCREASE THE SIZE OF THE HALL RELOCATE TO A DIFFERENT MUNICIPALITY it OUTSTANDING ISSUE In many larger urban centres, the decision to allow a new bingo hall in one municipality may affect charities in number of surrounding municipalities. Should a process be established to take into account regional concerns, and if so how? For example, if a proposed new bingo hall was located within 30 km of any other bingo in any other municipality, the municipalities affected would appoint one person to a committee which would make the final decision. I welcome any suggestions on how to deal with this issue. i r !lY U U i...j'}1 U ',J to 11 U;} ATTACEIMENT N0. 2 I i PROPOSAL Given that bingo markets vary from municipality to municipality, a unkipal council may pass by-laws to limit the number of bingo halls in its community taing into account the population of the area, the profitability of existing bingo events, disc .nee between existing bingo halls, future economic growth of the area and any other factor!that the council may deem relevant and in the best interest of its inhabitants and the surrounding community. 1. PROCESS FOR REQUEST FOR NEW BINGO LOCMUOM STAGE I.- APPLICANT FOR THE NEW BINGO HALL MUST SATISFY ALL MUNICIPAL BY-LAWS INCLUDING ZONING APPLICANT MUST QUALIFY AS A GAMING SUPPLII!;R UNDER THE GAMING SERVICES ACT. STAGE 2: THE APPLICANT MAY THEN--APPLY IN W,M'ING TO THE MUNICIPAL COUNCIL OUTLIPUNG THE PROPOSAL TO OPEN A NEW BINGO HALL THE PROPOSAL WILL.CONTAIN THE FOLLOWrI G INFORMATION: A MARKET STUDY DEMONSTRATING THEINEED FOR A NEW BINGO HALL, THE POTENTIAL IMPACT ON EXISTING BINGO OPERATIONS IN THE MARKET AREA THE NUMBER OF BINGO EVENTS PtR DAY TO BE CONDUCTED PROPOSED AMOUNT OF THE PRIZEBOARD THE COUNCIL OF THE MUNICIPALITY MAiV REQUIRE THE APPLICANT TO SUBMIT ANY ADDITIONAL INFORMATION TO SUBSTANTIATE THE PROPOSAL. THE APPLICANT MUST THEN NOTIFY ALL SURROUNDING MUNICIPALITIES OF THE INTENTION TO OPEN ;A NEW HALL AND ALSO PUBLICLY ADVERTISE THE INTENT TO OODI A NEW HALL SUCH ADVERTISING WILL CONTAIN A REQUES+ FOR COMMENTS TO BE SUBMITTED TO THE MUNICIPAL COUNCIC AND A DATE FOR A PUBLIC HEARING TO DISCUSS THE PROPOSAL THAT WILL BE SET AND HOSTED BY THE MUNICIPAL COUNCIL u 1,. 1411 10 1"133 014100L Lii0J UU4l''J4 1 , I i i t STAGE 3: COUNCIL HOLDS A PUBLIC HEARING, IF NECESSARY, AND MAKES THE FINAL DECISION (NO APPEAL TO THE MEYISTRY). COUNCIL MAY PLACE CERTAIN TERMS AND CONDITIONS ON THE APPROVAL OF THE NEW HALL. IF THE PROPOSAL IS REWECTED, NO FURTHER PROPOSAL FROM THAT APPLICANT WILL BE CONSIDERED FOR A PERIOD OF 12 MONTH$ OR UNTIL THE COUNCIL FEELS THAT CIRCUMSTANCES HAVE!CHANGED. 2. PROCESS FOR REQUEST FOR RELOCATIONS OF EXISTING BINGO HALLS A) NECESSARY RELOCATIONS IF A BINGO HALL OWNER/OPERATOR WANTS TO ;RELOCATE AS A RESULT OF CIRCUMSTANCES BEYOND HIS/HEk/I17S CONTROL, MUNICIPAL COUNCIL COULD APPROVE THE RELOdATION WITHOUT THE NOTICE PROVISIONS OR A PUBLIC HEARING PROVIDED THAT: THE RELOCATION IS NECESSARY AND BEYOND �H]E CONTROL OF THE BINGO HALL OWNER/OPERATOR (E.G. LEASE TERl1?NATED, ACT OF GOD) THE NEW PREMISES WILL OPERATE UNDER SIMi. LAR CONDITIONS AS THE OLD PREMISE THE REGISTRATION OF THE GAMING SUPPLIER IS VALID AND WILL BE AMENDED TO REFLECT THE CHANGE B) OTHER RELOCATIONS A PROPOSAL TO RELOCATE AN EXISTING BIN GOI HALL WILL BE SUBJECT TO THE PROCESS OUTLINED FOR A NEW BINGO HALL IF THE RELOCATION IS REQUESTED TO: IMPROVE THE COMPETITIVE POSITION OF THE HALL INCREASE THE SIZE OF THE HALL RELOCATE TO A DIFFERENT MUNICIPALITY OUTSTANDING ISSUE In many larger urban centres, the decision to allow a new bingo ha in one municipality may affect charities in number of surrounding municipalities. �hould a process be Y g p established to take into account regional concerns, and if so how'd For example, if a proposed new bingo hall was located within 30 km of any other' bhigo in any other municipality, the municipalities affected would appoint one person to a committee which would make the final decision. I welcome any suggestions on how to deal with this issue. ATTACHMENT N0. 2 PROPOSAL Given that bingo markets vary from municipality to municipality, a municipal council may pass by-laws to limit the number of bingo halls in its community taking into account the population of the area, the profitability of existing bingo events, distance between existing bingo halls, future economic growth of the area and any other factor that the council may deem relevant and in the best interest of its inhabitants and the surrounding community. 1. PROCESS FOR REQUEST FOR NEW BINGO LOCATIONS STAGE 1: APPLICANT FOR THE NEW BINGO HALL MUST SATISFY ALL MUNICIPAL BY-LAWS INTCLUDEINIG ZONING APPLICANT MUST QUALIFY AS A GAMING SUPPLHrR UNDER THE GAMING SERVICES ACT. STAGE 2: THE APPLICANT MAY THEN APPLY IN WRIT"ING TO THE MUNICIPAL COUNCIL OUTLINING THE PROPOSAL TO OPEN A NEW BINGO HALL THE PROPOSAL WILL CONTAIN THE FOLLOWING INFORMATION: A MARKET STUDY DEMONSTRATING THE NEED FOR A NEW BINGO HALL, THE POTENTIAL IMPACT ON EXISTING BINGO OPERATIONS IN THE MARKET AREA THE NUMBER OF BINGO EVENTS PER DAY TO BE CONDUCTED PROPOSED AMOUNT OF THE PRIZEBOARD THE COUNCIL OF THE MUNICIPALITY MAY REQUIRE THE APPLICANT TO SUBMIT ANY ADDITIONAL INFORMATION TO SUBSTANTIATE THE PROPOSAL. THE APPLICANT MUST THEN NOTIFY ALL SURROUNDING MUNICIPALITIES OF THE INTENTION TO OPEN A NEW HALL AND ALSO PUBLICLY ADVERTISE THE INTENT TO OPEN A NEW HALL SUCH ADVERTISING WILL CONTAIN A REQUEST FOR COMMENTS TO BE SUBMITTED TO THE MUNICIPAL COUNCIL AND A DATE FOR A PUBLIC HEARING TO DISCUSS THE PROPOSAL 'WHAT WILL BE SET AND HOSTED BY THE MUNICIPAL COUNCIL STAGE 3: COUNCIL HOLDS A PUBLIC HEARING, IF NECESSARY, AND MAKES THE FINAL DECISION (NO APPEAL TO THE NflMS1I1Y). COUNCIL MAY PLACE CERTAIN TERMS AND CONDITIONS ON THE APPROVAL OF THE NEW HALL. IF THE PROPOSAL IS REJECTED, NO FURTHER PROPOSAL FROM THAT APPLICANT WILL BE CONSIDERED FOR A PERIOD OF 12 MONTHS OR UNTIL THE COUNCIL FEELS THAT CIRCUMSTANCES HAVE CHANGED, 2. PROCESS FOR REQUEST FOR RELOCATIONS OF EXISTING, BINGO HALIS A) NECESSARY REIACATIONS IF' A BINGO HALL OWNER/OPERATOR WANTS TO RELOCATE AS A RESULT OF CIRCUMSTANCES BEYOND HIS/HER/ITS CONTROL, NIU:NICIPAL COUNCIL COULD APPROVE THE RELOCATION WITHOUT THE NOTICE PROVISIONS OR A PUBLIC HEARING PROVIDED THAT; THE RELOCATION IS NECESSARY AND BEYOND THE CONTROL OF THE BINGO HALL ONVNER/OPERATOR (E.G. LEASE TERMINATED, ACT OF GOD) THE NEW PREMISES WILL OPERATE UNDER SB11LAR CONDDITIONS AS THE OLD PREMISE THE REGISTRATION OF THE GAMING SUPPLIER 'IS VALID AND WILL BE AMENDED TO REFLECT THE CHANGE B) OTHER RELOCATIONS A PROPOSAL TO RELOCATE AN EXISTING BINGO HALL WILL BE SUBJECT TO THE PROCESS OUTLINED FOR A NEW BINGO HALL IF THE RELOCATION IS REQUESTED TO: IMPROVE THE COMPETITIVE POSITION OF THE HALL INCREASE THE SIZE OF THE HALL RELOCATE TO A DIFFERENT MUNICIPALITY OUTSTANDING ISSUE In many larger urban centres, the decision to allow a new bingo hall in one municipality may affect charities in number of surrounding municipalities. Should a process be established to take into account regional concerns, and if so how? For example, if a proposed new bingo hall was located within 30 km of any other bingo in any other municipality, the municipalities affected would appoint one person to a committee which would make the final decision. I welcome any suggestions on how to deal with this issue.