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MINUTES <br />City Council <br />February 7, 1987 <br />Lawcon Mr. Fahey read a letter the City received from Rudy Boschwitz <br />Grants reporting that the Senate has not acted on the President's <br />recommendation for the rescision of Federal LAWCON grant funds. <br />The rescision will not take place unless the Senate acts within <br />45 days, and Senator Boschwitz does not feel that this will take <br />place. <br />Bingo Mr. Bob Nash appeared before the Council expressing concern that <br />the Little Canada Charitable Bingo Organization is not abiding <br />by State gambling statutes. Mr. Nash reported that he is involved <br />in bingo through the Knights of Columbus. Nash stated that the <br />Knights of Columbus meets State gambling requirements and felt <br />that Little Canada Charitable Bingo should do so as well. <br />The City Auditor reported that he has not had an opportunity to <br />meet with the Little Canada Charitable Bingo Organization to look <br />at their accounting procedures. <br />Council discussed the fact that Ray Masman, representing Little <br />Canada Charitable Bingo, recently reported that they have not <br />donated to the City its share of proceeds as was previously <br />committed to due to additional Federal tax changes. It was pointed <br />out that this is a pending change by the IRS. <br />Mr. Nash reported that the State of North Dakota has been exempted <br />from such a tax and felt that the increase would not come about <br />in Minnesota as well. <br />Council discussed the amount of money that the Little Canada <br />Charitable Bingo Organization has donated to the City as well as <br />how the amount of money that the Organization is taking in each <br />day could be determined. <br />Mr. Jim LaValle reported that he has discussed some of his concerns <br />with Roger Frank of the State Charitable Gambling Control Board, <br />and Mr. Frank will be sending the City copies of the reports that <br />Little Canada Charitable Bingo has filed with the State. <br />Fahey felt that the City Auditor had to make a review of the <br />Organization's records to assist the Council in answering concerns <br />and questions it has. However, Fahey stated that the City cannot <br />favor the bingo operation of one charity over another. <br />Mr. Nash agreed and stated that his only concern was that the <br />Little Canada Charitable Bingo Organization complied with State <br />Statutes just as the Knights of Columbus are doing. Nash stated <br />that it is the responsibility of the local unit of government to <br />ensure this. <br />Page -3- <br />