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Council updates city ordinance on coin-operated and amusement redemption machines; nonprofits eligible for exemption
Summary
The council amended city code to align definitions and licensing with the state comptroller’s guidance for coin-operated machines and amusement redemption machines (ARMs); the ordinance clarifies fees and exempts eligible nonprofits that provide state notice of exemption.
The Crockett City Council approved an ordinance updating the city’s code to align with state definitions and oversight for coin-operated machines and amusement redemption machines (ARMs), city staff said.
City staff explained the state comptroller’s office now treats amusement redemption machines as a subset of coin-operated machines; the ordinance amendments update city definitions and cross-reference zoning limits to reflect that change. The amendments also require nonprofit organizations seeking exemption from the city’s ARM licensing and inspection fee to provide the city with a written notice from the Texas Comptroller (state comptroller) confirming the organization’s exemption status.
Under the ordinance as described in the staff summary, the state’s coin-operated-machine tax is $60 per machine and the city’s tax is $15 per machine per year. The city’s ARM licensing and inspection fee is $1,000 per ARM per year; the proposed amendment would exempt an eligible nonprofit from that city fee if it provides the state comptroller’s written notice. Staff said the change prevents the city from making exemption determinations that the state already handles and aligns local enforcement with state permitting and tax records.
Council members asked for more time to review the detailed definitions and examples of machine types; one council member asked for the item to be placed on the next agenda for additional review. Staff said the language had been prepared with input from code enforcement and the city attorney to ensure compliance with state law and the comptroller’s guidance. After discussion and a brief request for additional review from one member, a motion to adopt the ordinance amendment was made, seconded and approved by the council.
Council members and staff noted the complexity of machine classifications and the moving regulatory environment; staff said the ordinance ties local licensing to the state’s permitting and tax processes so the city can rely on the state’s existing oversight rather than attempt independent enforcement for every unit in local businesses.
The ordinance was approved on motion; council did not record individual vote tallies in the meeting transcript.
