Why

Lakewood’s Gambling Moratorium History

(Copies of the following Resolutions and Ordinances are available)


Note: The City of Lakewood became incorporated effective February 28, 1996

Resolution/

Ordinance # Date Purpose

Res.1998-36 10/19/98 1st Moratorium on the filing of new applications for licenses, permits and approvals for gambling activities and setting a public hearing. In this document it is acknowledged that 9.46.285 RCW “that cities may absolutely prohibit gambling establishments within their jurisdiction”; and, “the need to study the City’s position is heightened”; and, this moratorium shall not affect any existing businesses in their current level of operations, nor shall it effect any applications for new or modified gambling activities which have been vested prior to the effective date of this Resolution.”

11/2/98 Public Hearing on Moratorium

Res.1999-13 4/5/1999 Public Hearing and Moratorium extension (effectively the 2nd moratorium) on new applications for gambling activities. Reason? “the City is not yet completed with its study of issues and questions relating to the location of gambling activities within the City”.

Res.1999-33 10/4/1999 Public Hearing and Moratorium Extension (effectively the 3rd moratorium) on the filing of applications for gambling licenses and permits for gambling activities within the City as “the City needs further study. . . relating to the location of gambling activities within the City (and) particularly in light of the possibility of changes in the regulation of certain gambling activities by the State of Washington, the need to study the City’s position is heightened”.

Res. 2000-10 4/3/2000 Public Hearing and extension of the “moratorium on the filing of applications for licenses, permits, and approvals for gambling activities within the City.” Purpose: “the City needs further study” – “heightened” study in fact. (This is now effectively the 4th moratorium.)

10/5/2000 Expiration date - according to Res. 2000-10 enacted on April 3, 2000 - ending the moratorium on the filing of applications “for licenses, permits and approvals for gambling activities within the City of Lakewood”.

Note: Between the expiration of moratoriums (10/5/00) and the establishment of a single new moratorium (7/29/02) there is nearly a two-year gap (1 year, 10 months) of no activity at all with regards gambling according to a late July, 2007 Public Disclosure Request (see appendix). Once that new moratorium established 7/29/02 expired the end of January, 2003, there follows once again another near-two-year gap (again 1 year, 10 months – to when a new series of moratoriums/extensions begin on 11/21/05) of minimal gambling concern of an official nature by the City other than a Council resolution expressing zoning-control concerns to the legislature (Resolution 2002-03 on 2/3/03). A second Public Disclosure Request was submitted the end of August, 2007 (appendix) to verify that these gaps existed (see letter from the city indicated a careful search for all documents requested had been completed).

Ord.283 7/29/2002 Establishes the 5th six-month moratorium on the filing of gambling applications. In this document is the statement: “the City has insufficient evidence to establish a cause and effect relationship between gambling as it currently exists in the City and crime in the City” which is followed immediately by “tax revenue from gambling is currently a critical piece of the budget of the City of Lakewood”; and then “businesses within the City that offer gambling provide employment opportunities which benefit the City in both direct and indirect ways”; and, “the City Council believes that the study and evaluation of . . .considerations relevant to the impact of gambling on the welfare of the City will ultimately benefit the City” and, “the City needs time to consider properly and carefully all of the factors involved in determining the appropriate role of gambling in the City”.

8/19/2002 Public hearing on Moratorium

1/5/2003 Public hearing on Gambling

Res.2003-03 2/3/2003 “Strongly encouraging legislative action that would allow local control over the location, type and number of gambling businesses.”

Interesting in this document are the ‘Whereas’ statements:

According to Dave Bugher, Lakewood’s assistant city manager and community development director, in a report to the Planning Advisory Board (PAB) on July 25, 2007, the following series of Ordinances, Resolutions, Public Hearings, and Moratoriums were precipitated by “neighboring communities. . .expected to enact a full ban on gambling at the beginning of 2006 (which) may result in those businesses moving to the City of Lakewood because the City of Lakewood does not have such a ban and gambling establishments. . .have contacted the City to inquire about moving their establishments to Lakewood” (Ord.398).

Ord. 398 11/21/05 6-mon. moratorium (6th) on gambling licenses, & permits for card rooms to allow City Council time to conduct “additional study of the issues and consequences involved in such a moratorium”

Res.2006-02 1/17/06 Public hearing after which the Council received “a review of case law from the City’s legal staff” and thereupon enacted Resolution 2006-02 to enable the City to study “possible legislative action and the. . .suitability of regulations that might limit or ban gambling within the City.” There is the first reference here that “additional study should be conducted on this issue at the staff level or before the City’s Planning Advisory Board to determine. . whether a ban or limit upon gambling is a viable legislative alternative.”

There is also a first reference that “the Council has been advised. . .of the litigation reported within the . . .State Courts”.

4/5/06 PAB public hearing

5/1/06 Another public hearing

Ord. 415 5/15/06 Another 6-mon. moratorium, (7th) extending #398 “for the purpose of study that might limit or ban gambling”

There is a reference in this document that “the City Council has conducted additional study of the issues and consequences involved in this moratorium”.

There is also this: “additional study should be conducted on this issue at the staff level or before the City’s Planning Advisory board”.

And finally it is made clear that the Council received legal advice – including State Court decisions - regarding the “requirements of limiting. . .or initiating a ban upon gambling”.

10/16/06 Another public hearing – City reviews case law; wants more time to study “possible legislative action and. . .the suitability. . .that might limit or ban gambling”

Ord. 427 11/6/06 Another 6-mon. moratorium (8th) based on concern “regarding the consequences of additional gambling establishments relocating to Lakewood and how that might impact the public safety and welfare. . . .therefore. . .additional study should be conducted on this issue at the staff level or before the City’s Planning Advisory Board. . . .”

There is yet another reference to the Council having been advised of the legal consequences of limiting or banning gambling with the result that more study is needed.

3/19/07 Another public hearing at which the Council heard “a status report of the study engaged in by the City regarding the impact of gambling on the City” (Ord.446)

There is yet another reference that the City Council rec’d “a review of case law”

Ord. 446 4/16/07 Yet another six month moratorium (9th) “while the City continues to study. . .the suitability of regulations that might limit or ban gambling. . . .”

July 25, 2007 Planning Advisory Board public hearing on gambling

According to documents prepared by City of Lakewood Development Director and Assistant City Manager Dave Bugher: “If a city has allowed one or more mini-casinos established within the city and it wants to prevent any more from being established, it cannot prohibit new mini-casinos while grandfathering existing ones” i.e. once in, the city cannot limit the number.

Zoning – debatable. Washington State Gambling Commission (WSGC) does not agree. Ditto the city attorney. Lakewood has zoned casinos - in the C1 & C2 zones -under ‘amusement and recreation.’ Legislation has been introduced to address this in the past few legislative sessions, but nothing has passed, leaving it possibly to the courts to decide. Lakewood’s zoning remains unchallenged and has been honored by the WSGC as a ‘partial ban.’

Summary of Lakewood’s Moratorium Ordinance/Resolution History:

Span of years in which moratoriums, etc. were declared (as of 9/12/07):9 (1998-2007)

# of public hearings: 11 (by council); 2 by PAB

# of six-month moratoriums: 6

# of moratorium extensions: 3

# of resolutions: 6

1998-36 October 19, 1998

1999-13 April 5, 1999

1999-33 October 4, 1999

2000-10 April 3, 2000

2003-03 February 3, 2003

2006-02 January 17, 2006

# of ordinances: 5

283 July 29, 2002

398 November 21, 2005

415 May 15, 2006

427 November 6, 2006

446 April 16, 2007

# of times “the City needs further study” is mentioned: 12

# this “study” should be that of staff/Planning Advisory Board: 4 (1st time 1/17/06)

# times PAB held public hearings on gambling: 2 (April 5, 2006; July 25, 2007)

# of times the Counsel received legal and/or case law updates: 7

(1st time case law update was reportedly received: January 17, 2006)

 

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Lakewoods Gambling Moratorium

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