Kenmore voters to deal hand in fate of card room

Tucked inside the state's largest bowling alley, beyond the shoes and the video games, is the 11th Frame Restaurant and Lounge. From inside, it's visible through a window no bigger than one of its 15 card tables; from the outside, there's a small, lighted "casino" sign.
For decades, the card room inside Kenmore Lanes has seen poker and blackjack games dealt across its faded, red felt.
But the 11th Frame is now at the center of a city proposition to ban social card rooms. On Sept. 14, Kenmore voters will decide the fate of its lone card room and any future card rooms. Proposition 1 seeks to ban "social card games," which according to the measure are "a form of legalized gambling defined by state law and authorized by the Washington Gambling Commission."
The card-room issue is one this city of 19,000 has wrestled with since the late 1990s. In March, the City Council decided to put the issue before voters, and the debate is now being played out through campaign signs, meetings, impassioned letters and newspaper advertisements.
Supporters of the measure say their ire isn't necessarily against Kenmore Lanes, but that allowing the only card room in the city to continue means the city would likely have to allow others.
"You have to ban completely or open the doors to more," said Allan Van Ness, a member of Citizens for a Better Kenmore.
The group recently placed a full-page advertisement in the city's weekly newspaper, stating that growth of mini-casinos could cause Kenmore to "become a late-night adult entertainment district" and would degrade the city's family values.
Opponents of the proposed ban say the income provided to the city by the card room and bowling alley — nearly $600,000 annually in taxes from the card room alone — were integral to the feasibility of Kenmore's incorporation in 1997.
"Let's keep this place [the 11th Frame]; it's relatively benign," said Deborah Chase, a former Kenmore councilwoman and mayor. Chase was one of three people who prepared the argument opposing Proposition 1 in the King County voters pamphlet.
Chase noted that if the 11th Frame were to close, people who want to gamble would just go to a neighboring city, taking revenue out of Kenmore. The closest social card room is B.C. MacDonalds in Bothell, about three miles away.
Social card rooms, also known as "house-banked card rooms" or "mini-casinos," are businesses that operate up to 15 tables where the house, or the business itself, is directly involved in the game. Bets are capped at $100.
The bowling alley and card room together are the second-largest employer in Kenmore, providing jobs for about 180 people. The tax revenue accounts for about 7 percent of the city's general fund, according to city finance director Doug Farmen.
Owner Frank Evans has said that if the measure passes, he would have to close the bowling alley as well as the card room. The bowling operation — which includes senior, junior, handicapped and high-school bowling programs — are subsidized by the card room, he said.
"The card room is the moneymaker. ... You just can't take 50 lanes and move," he said.
In April 1999, the City Council voted to place a moratorium on new card rooms but allowed the 11th Frame to stay open while the city tried to resolve the issue.
"[The City Council] recognized a potential for a couple more, and we didn't know the interest," Chase said.
Kenmore isn't the first city to try to "grandfather in" an existing card room while banning new ones. The state Gambling Commission reports that 42 county or city ordinances currently in place in Washington ban card rooms; seven others have a grandfather clause, and four others have a grandfather clause with sunset provisions.
Grandfather clauses allow for existing card rooms to remain, and sunset clauses stipulate when a business must be phased out.
Susan Arland, spokeswoman for the commission, said that although cities may have ordinances that allow only those gambling establishments already in place, the commission would still issue a new applicant a license if they met all the legal requirements. The applicant could then sue the city.
That's what one Kenmore man did in 2003 when the City Council banned new card rooms while grandfathering in the 11th Frame.
The ordinance was quickly thrown out after its legality was challenged by Len Griesel, owner of Taboo Video in Kenmore, who wanted to open another card room. Griesel cited a recent Court of Appeals ruling that struck down an Edmonds ordinance with grandfather and sunset clauses on existing card rooms.
Arland said state law allows cities to prohibit card rooms, but they cannot change the "scope" of a license, such as by altering betting limits or stating which gambling establishments can and can't exist.
Since Kenmore threw out its ordinance, the council has reinstated a moratorium banning new card rooms. The current moratorium expires in January 2005.
Meanwhile, outside the 11th Frame, campaign signs opposing the measure poke out of potted plants and shrubs. Most utility poles on Bothell Way Northeast, the city's main thoroughfare, have the signs tacked to them.
Employees know their jobs are on the line, and they've been canvassing Kenmore with signs and pleas for support, Evans said.
Proposition 1 is technically an advisory vote, said City Manager Stephen Anderson. If the measure passes, the city could take action to ban all social card rooms, he said.
If the measure fails, the City Council could leave the moratorium in place and hope the state adopts legislation giving cities authority to zone for card rooms. A bill to do so went to the House earlier this year but didn't get to the Senate before the legislative session ended.
Carter Hawley, assistant city manager, said budget figures due this week anticipate a potential loss of $578,000 if the measure passes. Should the measure fail, that money would be added to the budget.
As to which programs might lose funds, Hawley said it's too early to tell.
Jessica Delos Reyes: 206-515-5546 or jdelosreyes@seattletimes.com
