CC PACKET 06122001 - Laserfiche WebLink

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1 ® MEMORANDUM DATE: May 22, 2001 TO: Mayor and Councilmembers FROM: Michael Mornson, City Manager Michael Larson, Liquor Operations Manager ITEM: STONEHOUSE OPERATIONS Developing a plan or options for the Stonehouse property was identified as Goal #2 for the City at their annual Goal Setting Retreat in 2001. This has been a goal or a concern of the City since about 1990. The City was concerned about declining income from the operation since that time, as well as increasing building costs in order to maintain the property. The City Council was also concerned about the impact the Stonehouse operation had on the charitable gambling operation of the Sports Boosters. Since 1994 the City Council's position to.staff on the Stonehouse was, in my opinion, the following: "Continue to keep the operation open and seek ways to improve the operation, but do not spend a lot of the City's money on the operation because of declining profits and increasing building needs." As long as the operation was making any money, it still bought the Council time to make a decision on the future of the property and the Sports Boosters could still sell pull tabs, etc. to assist with youth sports, scholarships, high school programs, etc. The following information was submitted by staff and is to provide the Council assistance in reaching a decision on the Stonehouse property. This decision, in our opinion, is complicated because when one decision is made, it sets off another series of decisions for the Council to consider. We are not prepared to provide you with a date when a decision should be made: The purpose of tonight's presentation is to provide the Council with a comprehensive look at the Stonehouse operation and a list of possible decisions, issues, or concerns of which the Council needs to be aware. 1. Operational Information of the Stonehouse. • Square footage • Property size • Number of employees • • Financial history • Catering, bands, DJ's, etc.