DATE:
January 21, 2025
TO:
Adam Politzer, Interim City Manager
FROM:
Jeff Jennings, Chief of Police
SUBJECT:
Resolution Of The City Council Of The City Of Emeryville Granting An Annual Card Room License To The Oaks Card Club For The Calendar Year 2025
RECOMMENDATION
Staff recommends the City Council adopt the attached resolution approving the Oaks Card Club application to renew its annual Card Room License.
BACKGROUND
The premise listed below currently holds an active Card Club license.
Oaks Card Club (Mr. John Tibbetts, et al, Partner and CEO) 4097 San Pablo Avenue, Emeryville, CA 94608
Discussion
Applicable Law
Chapter 5 of the Emeryville Municipal Code (hereinafter "EMC") governs all aspects of the Oaks Card Club rooms in the City.
The State of California Department of Justice - Division of Gambling Control, requires anyone who owns, manages, or holds a financial interest in a gaming room to register with the State Attorney General. The Division of Gambling Control provides for concurrent jurisdiction with local governments and does not preempt the authority of local governments from imposing any valid local control over card rooms. The Division of Gambling Control is responsible for licensing card room owners and employees and conducts its own independent investigation. Any disqualifying information is forwarded to the City of Emeryville Police Department.
Section 5-5.24 EMC, Permitted Games Designated, lists currently authorized games as follows:
Draw Poker
Lowball Draw Poker
Seven Card Stud Poker (High)
Seven Card Stud Poker (Low)
Texas Hold’em Poker
Panguingue (PAN)
Pai Gow
Double Hand Poker
Super Pan 9
Pure 21.5 Blackjack
21st Century Blackjack
Omaha Poker
14 Three Card Poker
ZOOBAC
The rules of play for the above permitted games are on file at the Police Department as required by ordinance. No other games may be played or permitted to be played in a licensed Emeryville card room. By revision of the ordinance, additional games may be added, but all games of mere chance are prohibited (that is, State Penal Code Section 330 requires there be some level of skill involved in the game).
The Police Department carefully monitors informational bulletins published by the Division of Gambling Control concerning gaming regulations. From time-to-time DOJ provides changes in guidelines to registered businesses and to the local police agency to ensure that violations of the State Penal Code can be avoided.
Additionally, the State Attorney General has reminded local law enforcement officials that if any of the aforementioned games are played in a fashion that constitutes a "banking" or a "percentage" game, participants are in violation of State Penal Code Section 330, and State gaming permits are subject to revocation. Moreover, the State appellate court held that jackpot arrangements are illegal.
The Oaks Card Club is in compliance with all of the aforementioned.
Authorized Number of Tables. Section 5-5.16 EMC requires approval of the City Council concerning the number of designated tables which sets the monthly per table license fee charged by the City of Emeryville.
The Oaks Card Club has applied for permission to operate up to thirty (30) tables.
AUTHORIZED NUMBER OF TABLES:
Oaks Card Club - 30 Tables
Investigation Concerning the Oaks Card Club: During 2024, the Emeryville Police Department, made several unannounced card room inspections. Employees and customers were monitored during these inspections and no unusual or remarkable events occurred.
For the Calendar year of 2024, there were one hundred-ten (110) events documented by the Police Department at the Oaks Card Club. Of the (110) events; one (1) incident involved a reported battery, two (2) incidents involved citizens causing a disturbance and/or refusing to leave, one (1) incident involved a subject severely intoxicated, and two (2) incidents involving welfare checks of individuals. The majority of the remaining calls involved Officers conducting security checks of the area. (See Attachment #A) The total number of uniformed security personnel employed by the Oaks Card Club is twenty-seven (27). The security personnel are deployed throughout the interior of the card room and the exterior parking lots.
The following is the breakdown in ownership of the card room. The percentages are as follows:
John Tibbetts 1%
Tibbetts Trust 50%
Kathleen Tibbetts Family Trust 12.25%
Nora Ernst 12.25%
Dorothy Leroux 12.25%
Janet Heger Trust 4.083%
Steven R. Heger Revocable Trust 4.083%
Suzy Heger Stevens Trust 4.083%
FISCAL IMPACT
The annual card room license fee of $3,608.00 was paid October 24, 2024. This fee is to recover the cost of reviewing the annual application and determining compliance with the Municipal Code.
CONFLICT OF INTEREST
None.
CONCLUSION
At the conclusion of the investigation, it is determined the Oaks Card Club management has been responsible in its obligation to report crimes and suspicious activity in and around the licensed property to the Emeryville Police Department and the Department of Justice’s Bureau of Gambling Control. The Emeryville Police Department has not received any negative information from the Department of Justice regarding the Oaks Card Club.
The Police Department investigation has revealed no significant information which would warrant a recommendation for denial of the 2025 renewal application of the current card room permit for the Oaks Card Club. Mr. John Tibbetts has been transparent and cooperative with the Police Department in the review of this application and in adherence of the ordinance of the EMC and State law.
Staff is recommending the City Council approve the application and resolution granting a Card Room License to the Oaks Card Club for the calendar year 2025.
Staff Communication with the Public
None to date.
PREPARED BY: Sgt. Andrew Cassianos
Approved and Forwarded to the
City Council of the City of Emeryville:
Adam Politzer, Interim City Manager
Attachments
Attachment A – Event Log
Draft Resolution
Exhibit A – Conditions of Approval
Oaks Card Club Permit
City Council Meeting | January 21, 2025
City of Emeryville
CALIFORNIA
MEMORANDUM