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MINUTES <br />CITY COUNCIL <br />MAY 12, 1993 <br />Boss pointed out that the bingo hall was more <br />successful when the five organizations involved were <br />allowed to work together. However, the State has <br />prohibited the charities from working together as a <br />team. Boss pointed out that there are no restrictions <br />on Indian gaming, but other organizations are <br />restricted to the hilt. Boss stated that it is not <br />just the cost of labor and rent, but the cost of <br />running the business and increased taxes. All this <br />cuts into profits. <br />Boss reported that the Fire Department is still in <br />compliance, but would end up out of compliance if it <br />continued to operate at the bingo hall. Boss reported <br />that the rent at the bingo hall is too high and that an <br />organization cannot pay $18 to $21 per square foot and <br />make it. The Fire Department shaved its labor and <br />administrative costs, but too much of that cuts into <br />service and is a detriment to business. Boss felt that <br />if an agreement with the property owner for a <br />reasonable rent had been worked out, the Fire <br />Department might have stayed at the bingo hall a little <br />longer. Boss reported that the competitive rental rate <br />in the market place is $13 to $14 per square foot. <br />Matson reported that NSYA has a compliance problem but <br />feels it can turn it around with other fund-raising <br />efforts. Matson pointed out that even though last <br />month put NSYA further out of compliance, it still <br />raised $7,000 for the youth of the community. Matson <br />also reported that NSYA feels the operation at the <br />bingo hall must be a 7-day per week operation. <br />Scalze asked why other bingo halls are successful and <br />Little Canada Bingo Hall is not. <br />Boss reported that Little Canada Bingo Hall is the <br />largest non-Indian bingo hall in the State. Other <br />bingo halls are having problems as well. <br />Matson reported that some are successful. <br />Scalze felt that if there were proper rent levels, <br />there would be enough organizations to operate the hall <br />seven days per week. <br />Matson reported that NSYA is paying $200 per session at <br />the Knights of Columbus Hall in Roseville. <br />Short reported that six months ago he came before the <br />Council and asked the Council to look at the rent <br />situation. Short suggested that if rent had to be <br />lower, then services would have to be lower as well. <br />Page 5 <br />