06-10-87 Council Minutes - Laserfiche WebLink

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MINUTES City Council June 10, 1987 Bingo Mr. Fahey reported that the City has received applications for charitable gambling licenses from the North Suburban DAC, St. Joseph' s Society, Agenda Servants of Mary, and Lake Owasso Children's Home. Howeve r, there are Item No. 6 no lease agreementsattached to these applications. Fahey als o reported that he has met with members of these various charities regarding a proposed lease with Movers Warehouse and the concerns these charities had with the lease. Mr. John Benson, attorney representing Servants of Mary and St. Joseph's Society, reported that his clients have today signed a lease with Movers Warehouse and submitted this lease to the Council. Fahey reported that some of the concerns the charities had with the lease were the escalators in the lease and also that the charities did not want one group to have control over any of the other charities. Fahey felt the Council had a concern to be sure that the charities were being treated fairly by Mr. Short in the lease. Scalze questioned why this would be a concern of the City. Fahey felt that the purpose of attaching a lease to the license application was that the City was to determine that each charity had an area under their exclusive control and that the law contemplates that the City will review the provisions of the lease. Scalze stated that she did not foresee the City negotiating leases for the charities. Scalze felt that if the rent being charged by Mr. Short was too high, the charities would not rent space from Mr. Short. Scalze felt the City should look at the application and determine if the charity benefits the City as outlined under City policy. Fahey agreed that he was not interested in sitting down with Short and negoitating a lease, however, felt the City should offer some assistance to the charities under the circumstances where 6 charities were operating in the hall and now the leases have to be negotiated on an individual basis. P4r. Tom Short, representing Pnovers Warehouse, reported that he has 5 signed leases for 3 charities at this time. The amount of the leases is exactly the $137,000 as provided under the previous lease with LCCB, based on a split of 7 days. Short reported that the charities that have signed the leases are happy with the amount. Short also reported that the charities plan to rotate nights, however, Movers Warehouse will not get involved in this. Short pointed out that the leases do specify certain days for each charity, however, will work out the rotation amongst themselves. Fahey felt that would be fair given that some nights are more profitable than others. Page -3-