Council denies application to operate three coin-operated amusement machines at Corner Store

The Borger City Council denied a request to place three coin-operated amusement machines inside the Corner Store at 941 North Main Street, Shelby Road. The applicant, identified only as Ross, told the council his business had state approvals and that the machines would help him reinvest in the site, including plans to add gasoline service.

Ross, the owner and applicant, said Texas regulatory approval had been obtained and that the machines were intended as amusement devices rather than gambling. "This is just an amusement. Nothing like, you know, being gambling machine," Ross said, and he told council members the machines would help the business reinvest in the property.

A law enforcement officer on the panel warned that monitoring and enforcing payout restrictions is difficult. The officer said investigators must document a machine paying out to obtain evidence and that undercover purchases and multiple visits are sometimes required to demonstrate an illegal payout before a seizure can occur. "You've got to send undercover officers ... They've got to gamble. They have to win to show that it's paid out," the officer said. The officer added that the city’s ordinance tightened enforcement options compared with past practice but still presents practical monitoring challenges.

Council discussion touched on the permit process and fees. Staff described an application and licensing process that includes inspection of machine serial numbers and a business-license fee for both the business and each machine; a council member said the city would collect roughly $10,000 in licensing fees if the permit were granted. Council members expressed concern the city lacks the resources to consistently monitor compliance and enforcement, and one council member moved to deny the application. After a second, the motion to deny was approved by the council.

The applicant also said the store intends to operate as a convenience store with beer and to add gasoline; he said the machines are leased and not owned by him. Staff said the machines were on-site but not currently operating and that the city had not previously reviewed this specific application. The council recorded opposition from at least one community member before voting to deny the application.

The council’s denial means the applicant must not operate the machines under a city permit; staff noted license fees and inspection requirements remain as part of the city’s regulatory framework for amusement devices.