CITY OF VANCOUVER

                        SPECIAL COUNCIL MEETING


        A  Special Meeting of the  Council of the  City of Vancouver
   was held  on  Thursday, April  27,  1995, at  7:30  p.m., in  the
   Council  Chamber, Third  Floor,  City Hall,  for  the purpose  of
   holding  a Public Hearing to amend the Zoning and Development By-
   law.

        The meeting subsequently reconvened at 7:30 p.m. on Tuesday,
   May 16, 1995, in the Council Chamber.

        PRESENT:                 Acting Mayor Puil
                                 Councillors Bellamy (present for
                                             April    27th   meeting
   only),
                                             Chiavario, Hemer, Ip,
                                             Kwan,     Price     and
   Sullivan

        ABSENT:                  Mayor Owen (Civic Business)
                                 Deputy Mayor Clarke (Illness)
                                 Councillor Kennedy

        MANAGER'S
        REPRESENTATIVE:          Judy Rogers, Assistant City Manager
                                 Ted Droettboom, General Manager of
                                      Community Services

        CLERK TO THE COUNCIL:    Gary MacIsaac



   COMMITTEE OF THE WHOLE

   MOVED by Cllr. Bellamy,
   SECONDED by Cllr. Hemer,
        THAT  this  Council resolve  itself  into  Committee of  the
   Whole,  Acting Mayor  Puil  in the  Chair,  to consider  proposed
   amendments to the Zoning and Development By-law.

                                           - CARRIED UNANIMOUSLY



   1.   Rezoning:  272 East 4th Avenue
        (Lot A, Block 25, D.L. 200A, Plan 16118)

        An  application   by  Kantex  Manufacturing  Co.   Ltd.  was
   considered as follows:

        The proposed rezoning, from IC-3 Industrial District to CD-1
        Comprehensive Development District, would:


                                                          cont'd....
   Clause No. 1 (cont'd) 

        ˜    exclude mezzanines in artist "live/work" studios in the
             computation of  floor space ratio.  This would allow an
             additional  395 m›  (4,250  sq.ft.) of  floor area  for
             mezzanines in the 17 double-height units of an approved
             34-unit, four  storey artist live/work  studio building
             (the   exterior  envelope  of  the  building  would  be

             unchanged);

        ˜    require  amendment  to the  Sign  By-law, and  possible
             consequential amendments.

        The Associate Director of Planning - Land Use & Development,
   recommended approval subject to the following conditions proposed
   for adoption by resolution of Council:

        (a)  THAT the  proposed form  of development be  approved by
             Council  in principle,  as shown  in plans  prepared by
             Kasian  Kennedy  Architects  Ltd. and  approved  by the
             Director  of Planning in  Development Permit No. 216175
             issued on August 17, 1994,  and plans stamped "Received
             City  Planning Department, January  26, 1995", provided
             that  the   Director  of   Planning  may   allow  minor
             alterations  to this form of development when approving
             the detailed scheme  of development.  Alterations  will
             include lowering the floor of units  #208 and #209 into
             void space  above the  parking ramp to  provide double-
             height units, and  joining units #301 and #302  to form
             one unit. (Note: These alterations were proposed by the
             applicant in a recent request  for a minor amendment to
             D.P. No. 216175, and they were among the assumptions in
             the analysis undertaken by the Real Estate Division.)

        (b)  THAT,  prior  to  enactment  of the  CD-1  By-law,  the
             registered owner shall:

             (i)  register a strata plan of the building in the Land
                  Title Office; and

             (ii) convey to the City unit #303 at no cost, including
                  GST that may be payable, and free and clear of all
                  encumbrances, such unit to  be satisfactory to the
                  Managers  of  the  Real  Estate  Division  and the
                  Housing  Centre in  terms of  value, architectural
                  and construction specifications, and title.

        (c)  THAT,  prior  to  enactment  of the  CD-1  By-law,  the
             Manager of the Housing Centre, in consultation with the
             Manager of the Real Estate Division and the Director of
             the Office of Cultural Affairs, shall report back on  a
             detailed management plan for unit #303.

                                                          cont'd....
   Clause No. 1 (cont'd)

        (d)  THAT,  following  enactment  of the  CD-1  By-law,  the
             Director of Legal Services shall release from title the
             covenant which presently  restricts future  development
             of mezzanines in double-height spaces.


   Staff Opening Comments

        Mr. Phil  Mondor, Planner,  advised the applicant  owned and
   operated a plant  on this  site.  When  artist live/work  studios
   began to be  constructed in this area, they decided  to build one
   of these buildings and relocate the plant  elsewhere.  Subsequent
   to  the construction of the  building and the  purchase by strata
   owners, the applicant learned about the mezzanine problem and the
   problem with  the installation of lofts.  There is no floor space
   ratio  left for the legal installation of lofts and mezzanines by
   purchasers of the studios.

        On their  own initiative  the applicant approached  the City
   for a solution.   The only feasible solution identified  by staff
   was to do a rezoning application in which the City would accept a
   unit or  some floor space in  the development, equal in  value to
   the floor space that would be provided to the developer through a
   rezoning.  A unit of equal value has been identified.

        Mr. Mondor  advised there has  been little concern  from the
   surrounding neighbourhood, and he reviewed the feedback which has
   been received to date.

        Planning staff recommend approval of the application for the
   following reasons:

   ˜    it has no tangible off-site impacts;

   ˜    the  proposed affordable  unit is  supported by  the Housing
        Centre and the Office of Cultural Affairs;

   ˜    the  Real Estate Division has confirmed  that an equal value
        is involved in the land exchange;

   ˜    there is little neighbourhood concern.


   Applicant Opening Comments

        The applicant had no opening comments.



                                                          cont'd....
   Clause No. 1 (cont'd)


   Summary of Correspondence

        The following correspondence was received:

        -    three letters opposing the application;
        -    one  petition  containing  27 signatures  opposing  the
             application.


   Speakers

        Acting Mayor  Puil called for  speakers for and  against the
   application and the following speakers were heard:

        Mr. Eric Klokstad opposed the application because it sends a
   message to overbuild and ignore existing by-laws and zoning.  The
   applicant should  be required  to live  up to the  same rules  as
   other developers in the City.

        Mr. Klokstad also  disagreed that the  suite offered to  the
   City  is  a fair  exchange for  the  trade-off being  offered the
   developer.

        Mr. Mario Loscervo opposed  the application because it would
   be  unfair to other developers who build their units according to
   the rules.  City Hall should not be involved in  this extra floor
   space ratio request.

        Mr. Loscervo  also expressed concerns  with parking problems
   in the  area and advised  this neighbourhood is  becoming totally
   congested,  and his  business which  employs  30 people  is being

   forced out.

        Responding  to a question from a member of Council, Mr. Rick
   Scobie advised there is presently a covenant advising prospective
   purchasers that there is no residual floor space in the building.


   Applicant Closing Comments

        Mr. Shane Starnes advised that Kantex Manufacturing has made
   this  application in an effort to  address the existing problems.
   It they were to walk  away from the project, it would  likely end
   up with people building illegal lofts.




                                                          cont'd....
   Clause No. 1 (cont'd)


   Staff Closing Comments

        Mr.  Phil  Mondor  reminded  Council that  the  purchase  of
   density can be used to achieve community objectives.  In terms of
   the  value of  the  land trade-off,  the  applicant is  receiving
   approximately 4,250 square  feet while the City  is receiving 537
   square  feet.  However, the 4,250  square feet is a permission to
   build, while the  537 square  feet is constructed  space and  has
   market value.

        In  terms  of  parking,  artist  live/work  studios  have  a
   requirement  that  no  more  than two  occupants  live  there, so
   approval of this application will not result in additional people
   on  site.  Mr. Mondor reiterated that staff do recommend approval
   of this application.

   MOVED by Cllr. Bellamy,
        THAT this application be approved, subject to the conditions
   as set out in this minute of the Public Hearing.

                                                -      C A R R I E D
   UNANIMOUSLY



        Clauses 2(a) and 2(b) were dealt with concurrently.

        Two  alternative  rezoning   proposals  are  presented   for
   Council's consideration:

   2(a) Plaza of Nations CD-1 (Not including a
        Family Sports and Entertainment Centre)

        An application by the Associate Director  of Planning - Land
   Use & Development was considered as follows:

        This  proposed  rezoning,   from  (BCPED)  B.C.   Place/Expo
        District to CD-1 Comprehensive Development District, would:

            confirm the existing Plaza  of Nations development  and
             parking.  The three principal buildings existing on the
             site will be retained;

            permit uses consistent with the provisions of the False
             Creek North Official Development Plan; and

            require amendment to the Sign By-law, and consequential
             amendments,  including amendments  to  the False  Creek
             North Official Development Plan.



                                                          cont'd....
   Clause No. 2 (cont'd)

        The Associate Director of Planning -  Land Use & Development
   recommended  approval  of  alternative  2(b);    however,  should
   Council not favour inclusion of a Family Sports and Entertainment
   Centre,   the  Associate   Director   recommended   approval   of
   alternative 2(a),  subject to  the following  conditions proposed
   for adoption by resolution of Council:

        (a)  THAT the  form of development be approved by Council in
             principle, represented by the buildings existing on the
             site as of  (date of enactment  of the associated  CD-1
             by-law).

        (b)  THAT, prior to final approval by Council of the form of
             development, the  property owner shall  obtain approval
             of   a  development  application  by  the  Director  of
             Planning, the purpose of  which is to clearly determine
             existing uses, floor areas and building heights.

        (c)  THAT,  prior  to  enactment  of the  CD-1  by-law,  the
             registered owner shall, at no cost to the City, grant a
             registrable restrictive covenant  and statutory  right-
             of-way  allowing  public access  through  the Plaza  of
             Nations from Pacific  Boulevard and adjacent waterfront
             walkways except during periods of construction, special
             events  as determined by  the City, emergencies, repair
             or  replacement, on  terms to  the satisfaction  of the
             Director of Legal Services and the City Engineer.

        (d)  THAT  the  conditions of  rezoning  approval include  a
             requirement that the property owner agree to identify a
             potential location for a streetcar corridor through the
             site,  and provide that corridor at no cost to the City
             at such time as Council deems necessary.


                                 - OR -


   2(b) Plaza of Nations CD-1 (Including a Proposed
        Family Sports and Entertainment Centre)    

        An application  by Mr. Martin Thompson,  Portfolio West, was
   considered as follows:

        This  alternative  to  the  CD-1  Comprehensive  Development
        District proposed in item 2 (a) above, would also:

            confirm the  existing Plaza of  Nations development and
             parking.  The three principal buildings existing on the
             site will be retained;

                                                          cont'd....
   Clause No. 2 (cont'd)

            permit uses consistent with the provisions of the False
             Creek North Official Development Plan; and

            require amendment to the Sign By-law, and consequential
             amendments,  including amendments  to  the False  Creek
             North Official Development Plan.

        It would, in addition:

            permit a  family sports and entertainment  centre.  The
             proposed centre would include various sports activities
             such as baseball batting cages, small basketball courts
             and hockey rinks, golf  simulators and a climbing wall.
             It  would also  include food  serving areas,  space for
             small parties, a souvenir shop and arcade machines;

        The  Associate   Director  of   Planning  -  Land   Use  and
   Development  recommended  approval,  subject  to   the  following
   conditions proposed for adoption by resolution of Council: (these
   are the same conditions as proposed for item 2(a) above)

        (a)  THAT the form of development be  approved by Council in
             principle, represented by the buildings existing on the
             site  as of (date  of enactment of  the associated CD-1
             by-law).

        (b)  THAT, prior to final approval by Council of the form of
             development, the property  owner shall obtain  approval
             of  a   development  application  by  the  Director  of
             Planning, the purpose of  which is to clearly determine
             existing uses, floor areas and building heights.

        (c)  THAT,  prior  to  enactment  of the  CD-1  by-law,  the
             registered owner shall, at no cost to the City, grant a
             registrable restrictive covenant  and statutory  right-
             of-way  allowing  public  access through  the  Plaza of
             Nations  from Pacific Boulevard and adjacent waterfront
             walkways except during periods of construction, special
             events as  determined by the  City, emergencies, repair
             or  replacement, on  terms to  the satisfaction  of the
             Director of Legal Services and the City Engineer.

        (d)  THAT  the  conditions  of rezoning  approval  include a
             requirement that the property owner agree to identify a
             potential location for a streetcar corridor through the
             site,  and provide that corridor at no cost to the City
             at such time as Council deems necessary.



                                                          cont'd....
   Clause No. 2 (cont'd)


   Conflict of Interest

        At the outset of the staff presentation, Councillor Sullivan
   advised other members of Council that he rents space in the Plaza
   of Nations.  On the basis of advice from Corporation  Counsel, it
   has been  determined he is not  in a conflict of  interest, as he
   does not stand to benefit from this rezoning application.


   Staff Opening Comments

        Mr. Greg  Yeomans, Planner,  advised that before  Council is
   choice of two rezoning  proposals for the Plaza of  Nations, both
   of  which would establish the land use and development policy for
   the site.  The main  difference between them is that option  2(b)

   would allow for a  family sports and entertainment  centre, while
   option  2(a)   would  not.     Otherwise,  they   are  the   same
   applications.

        Mr.   Yeomans   briefly   reviewed  the   rezoning   package
   recommended in option 2(a).   This CD-1 by-law would:

   ˜    confirm the existing development in the Plaza of Nations;

   ˜    permit  uses   that  are   consistent   with  the   Official
        Development Plan;

   ˜    establish  a  parking  standard  to  recognize   the  unique
        situation on the site.

        In short,  this by-law  would  approve the  status quo  with
   respect to the existing development.

        Three key aspects of the zoning  by-law were highlighted for
   Council's attention.  They were:

        i)   Parking

             The  site currently  has  428 parking  spaces which  is
        about 500 spaces  less than the site should have if the City
        were  to apply  full  parking standards.    It is  virtually
        impossible to  provide more on-site parking  without a major
        redevelopment.  In order  to resolve this, the  Planning and
        Engineering Departments are  recommending a parking standard
        to accept this  existing shortfall.  Limits are  proposed on
        the amount  of extra  parking demand  allowed on this  site,
        beyond  which the  owner  would have  to provide  additional
        spaces.



                                                          cont'd....
   Clause No. 2 (cont'd)

        ii)  Public Access

             The  Plaza  serves as  an  important  space for  public
        events and is a key link  between the east and west portions
        of  the  waterfront  walkway.   The  by-law  recommends  the
        property  owner provide  a  covenant and  right-of-way as  a
        condition  of zoning  enactment.   This  will ensure  public
        access  to  the  Plaza  and  Mr.  Yeomans  advised  this  is
        acceptable to the owners.

        iii) Proposed Streetcar Corridor

             On March 28, 1995,  referred an additional condition of
        rezoning to  this hearing, calling for the property owner to
        identify a  potential location  for a streetcar  corridor to
        the site and provide  that corridor at such time  as Council
        deems necessary.   After preliminary discussions,  the owner
        is in agreement to this condition.

        Mr. Yeomans advised  that option 2(b) goes  one step further
   than the basic  zoning proposed for 2(a),  in that it will  allow
   for a family sports and entertainment centre which would  replace
   an existing production studio on the site.  The main reason  this
   proposal is  brought forward through  a zoning amendment  is that
   existing  regulations would  subject  this proposal  to the  same
   rules  as an  arcade,  including age  restrictions  and hours  of
   operation.  This proposal  differs from a typical arcade  in that

   the  emphasis  is  on  sports  activities and  arcade  games  are
   secondary.

        Should Council proceed with  this rezoning, staff will bring
   forward amendments to the License By-law which would allow people
   under 18 on the premises.  It is recommended  this application be
   approved as a pilot project in the Plaza of Nations only, as this
   will allow staff to  monitor the situation and determine  how the
   regulations are working.

        Two issues have arisen with this proposal and they are:

   ˜    The  arcade  industry does  not  support  this  as  a  pilot
        project, on the basis it  is an unfair competitive advantage
        for  the operator.  The  industry also does  not support the
        centre having different age  restrictions than are permitted
        for arcades.

   ˜    It  has been suggested these games are akin to video lottery
        terminals  and are  a  form of  gambling.   Redemption games
        typically involve throwing or  aiming objects at targets and
        in most cases players insert a coin or  token into a machine
        in order to  play.  Successful  play is awarded with  a game
        credit of one or  more coupons which can be  used for prizes
        available


                                                          cont'd....
   Clause No. 2 (cont'd)

        in the  centre, such as a  poster or a baseball  hat.  Staff
        have carefully considered these  games and feel they clearly
        are not  video  lottery terminals  and  do not  represent  a
        lottery  scheme.    The  proposed  redemption games  involve
        skill-based activities and the outcome is dependant upon the
        player's ability.   There is  no betting and  these are  not
        gambling  machines in  that  the players  do  not bet  on  a
        possible  outcome.   Cash  prizes are  not  proposed by  the
        applicant  and  staff recommend  a License  By-law provision
        that no cash prizes be offered on the site.

        Mr. Yeomans concluded that staff support this basic addition
   to the CD-1 by-law.


   Applicant Opening Comments

        Mr. Martin Thompson, applicant,  advised his intention is to
   provide a place  for everyone which is  fun and challenging in  a
   wholesome environment.  The  application proposes a 28,000 square
   foot sports theme park that combines a wide variety of innovative
   sports skills for people of all ages and abilities.  Mr. Thompson
   provided a  detailed description of the planned activities in the
   sports theme park.

        The general rule of the park will be play as you pay and the
   facility  will  be  labour intensive  and  70  new  jobs will  be
   created.   It is designed to encourage families to participate in
   activities together, and is in keeping with the recently-approved
   Civic Youth Strategy.

        Mr. Thompson  addressed the issue of  redemption skill games
   and  advised there  has been  misinformation in  the media  which
   relates  redemption skill  games to  gambling.   Redemption skill
   games have nothing to do with gambling.  They have existed in the
   Lower  Mainland for many  years and every  law enforcement agency

   has concluded that these  games do not constitute gambling.   The
   redemption skills games at this facility will be sport-challenged
   activities and will be based  solely on skill;  there will  be no
   element of luck or chance.

        If exceptional scores are  achieved, symbolic prizes such as
   a hockey poster will  be available in  recognition of a job  well
   done,  just  like  medals,  crests, little  league  trophies  and
   academic awards.

        In regard to the March 2, 1995 Policy Report before Council,
   Mr. Thompson  requested that  any changes to  the License  By-law
   amendments should only be to "fine tune the operation" and not to
   change any  basic terms  of use.   In  addition,  he advised  the
   Police


                                                          cont'd....
   Clause No. 2 (cont'd)

   Department recommendation  that  development permit  approval  be
   time  limited is  unworkable because  of the  substantial capital
   investment involved.   Mr. Thompson advised he  accepts the staff
   recommendation that the approval be permanent.


   Summary of Correspondence

        The   following   correspondence   was  received   on   this
   application:

        -    82   letters in favour
        -    20   letters opposed
        -    2    press releases opposed
        -    1    petition containing over 500 signatures in support
                  of the application
        -    1    petition  containing  over  800 signatures  urging
                  Council to ban video  lottery terminals and to ban
                  redemption  games   anywhere   in  the   City   of
                  Vancouver.

   Speakers

        Acting Mayor  Puil called for  speakers for and  against the
   application and a total of  50 delegations addressed Council over
   the course of the two evenings.

        The following speakers were in favour of the application:

        -    Sam Campbell
        -    Mannie Buzunis
        -    Don Taylor
        -    Robert Thompson
        -    Tony Schidlo
        -    Dr. Michael Etterman
        -    Tom Baillie
        -    Daryl Pollock
        -    Gordon Allen
        -    Larry Jackie
        -    Rahoul Sharan
        -    Riyaz Hasham
        -    David Reuben
        -    David Tone
        -    Robert Phillips
        -    Dr. Barry Beyrestein
        -    Ted Margulius

        -    Jon Brown
        -    Larry Straith
        -    Bruce Langereis
        -    Blair Norton


                                                          cont'd....
   Clause No. 2 (cont'd)

        -    Bill Gurniak
        -    Fred Carter
        -    Adrian Armstrong
        -    Tyson Warner
        -    Robert Cherniack
        -    Louis Eisman.

        The foregoing speakers supported  the application for one or
   more of the following reasons:

   ˜    These  are  redemption  games  involving  skill  and  do  no
        constitute gambling;

   ˜    The  applicant  has a  proven  personal  and business  track
        record;

   ˜    Many of  the speakers indicated they  have played redemption
        games and have not become addicted to gambling.  These games
        award  achievement  in  the  same manner  as  little  league
        trophies and academic awards;

   ˜    This  application  will  encourage  wholesome,  fun-oriented
        activities in an alcohol and smoke-free environment;

   ˜    This facility will  provide an  outlet to get  kids off  the
        street, and will enrich the lives of children in the City;

   ˜    Redemption games have existed in the Lower Mainland for some
        time  and many children have visited Chuck E. Cheese and the
        PNE, which operate similar redemption games;

   ˜    City  Council should  let parents  and the  public determine
        whether this is gambling;

   ˜    Addictions  are only  likely to  occur in people  with other
        predisposed  attributes.   Well-adjusted people do  not turn
        into addicts,  but someone  who is predisposed  to addiction
        will find  something  from  a  long list  of  activities  to
        indulge in, that will not be a threat to anyone else;

   ˜    Council should support the application because the  benefits
        far outweigh the minimal risks.


        The following speakers were opposed to the application:

        -    Betty Greenwell
        -    Robert Clark
        -    Klara Van Der Molen
        -    Don Larson


                                                          cont'd....
   Clause No. 2 (cont'd)

        -    Charles Ungerleider
        -    Harvey Pudwell

        -    Elizabeth Caton
        -    Connie Fogal
        -    Isabel Minty
        -    Ernest Culley
        -    Joe Arnaud
        -    Colin Campbell
        -    Renee Jensen
        -    Rev. Joe Russell
        -    Janet Sinrose
        -    Peggy McIntosh
        -    Cindy Terry
        -    Eleanor Hadley
        -    Rick Smith.

        The foregoing  speakers opposed  the application for  one or
   more of the following reasons:

   ˜    The  redemption  games proposed  for  this  facility are  an
        expansion of the gambling in the City;

   ˜    This  application will use young people for profit and money
        in the name of wholesome entertainment;

   ˜    Speakers  were not concerned  with the sports  aspect of the
        proposal, but rather the aspect involving redemption games;

   ˜    This is not  an appropriate recreation for  children.  There
        are already many  problems facing  the City, and  we do  not
        need the social ills of youth gambling;

   ˜    Most  addiction problems  related to  childhood experiences.
        It is government's role to  protect those who cannot protect
        themselves,   and  Council  should   protect  children  from
        exposure to gambling;

   ˜    The prevalence of addiction rates  for children is twice the
        rates of adults.   This application  will have its  greatest
        impact  on  children  as  they  will  go  from gambling  for
        merchandise prizes to gambling for cash;

   ˜    Council should be  spending more time studying  the issue of
        gambling  and  its  societal   impacts.    The  industry  is
        attempting to link gambling with wholesome activity;

   ˜    This is  a poor location for such a facility due to the high
        number of licensed establishments in the vicinity.  The site
        is isolated, has poor sightlines and is inadequate  for this
        use;

                                                          cont'd....
   Clause No. 2 (cont'd)

   ˜    Extra  resources will  be  needed to  police  this area  and
        policing will be insufficient.


        The following  speakers opposed the  application on  grounds
   other than gambling:

        -    Karl Feder
        -    Leslie Jung.

        The  foregoing  speakers  opposed  the  application  on  the
   following grounds:

   ˜    The applicant is misrepresenting  the true intention of what

        is planned  for this site.  This  will be the largest arcade
        in  British Columbia.  If  you remove the  arcade portion of
        the project, it is no longer financially feasible;

   ˜    It is unfair  that City staff are  allowing the rules to  be
        changed for this application.  Other owners are not entitled
        to this  special provision which would  allow children under
        the age of  18 on the premises.  This  is creating an unfair
        competitive advantage;

   ˜    Other arcade owners should be given similar opportunities to
        this applicant.


        Mr. Danny Virtue opposed the  application on the basis  that
   the  film  studio  which  is  presently  on  this  site  will  be
   displaced,  and  this is  bad for  the  film industry  economy in
   British Columbia.

        Mr. Brian Calder, on  behalf of the owners  of the Plaza  of
   Nations,  advised he was in  support of application  2(a) and the
   conditions which are attached.  Application 2(b) is an initiative
   of Mr. Thompson and if he  is granted approval by City Council to
   proceed, then  Mr. Thompson  will be  a  tenant of  the Plaza  of
   Nations.    Mr.  Calder advised  he  had  no  formal position  on
   application  2(b) but  that the  family sports  and entertainment
   centre would be a good tenant for the Plaza of Nations.


   Applicant Closing Comments

        Mr.  Martin  Thompson urged  Council to  support application
   2(b)  on  the  basis  that  redemption  games proposed  for  this
   facility are not  gambling.  Mr.  Thompson referenced a  petition
   containing  over 500 names, which was collected in support of his
   application.


                                                          cont'd....
   Clause No. 2 (cont'd)

   Staff Closing Comments

        Mr.  Greg Yeomans  briefly  summarized  the application  and
   reiterated staff's opinion that redemption games are not gambling
   and do not represent  a lottery scheme.  Mr.  Yeomans offered the
   following comments on application 2(b):

   ˜    There  is a general but not unanimous support for the sports
        facility proposed  in this application.   The objections are
        related to redemption games;

   ˜    The arcade owners object to this proposal.  While staff take
        these  objections  seriously,  they  still   recommend  this
        application  as a pilot  project as it is  new in nature and
        the City will want to be able to monitor it;

   ˜    It  was clarified  the  Police Department  have requested  a
        time-limited permit be issued;

   ˜    Redemption games have existed in the Lower Mainland for some
        time;

   ˜    Cash prizes will be  precluded and no prizes will be able to
        be redeemed for cash;

   ˜    People under 15 will  not be allowed on the  premises during
        school hours unless accompanied by a parent or a teacher.

        Mr.  Yeomans  advised  staff  support this  application  and
   Council  are requested  to choose  between either  items 2(a)  or
   2(b).


   MOVED by Cllr. Hemer,
        THAT application 2(b) be approved, subject to the conditions
   as set out in this minute of the Public Hearing.

                                                - CARRIED

                          (Cllr. Kwan opposed)

      (Cllr. Bellamy was not present for the vote on this matter)





   RISE FROM COMMITTEE OF THE WHOLE

   MOVED by Cllr. Sullivan,
        THAT the Committee of the Whole rise and report.

                                                -      C A R R I E D
   UNANIMOUSLY




   ADOPT REPORT OF COMMITTEE OF THE WHOLE

   MOVED by Cllr. Hemer,
   SECONDED by Cllr. Sullivan,
        THAT  the report of the  Committee of the  Whole be adopted,
   and the Director of  Legal Services be instructed to  prepare and
   bring forward the necessary by-law amendments.

                                                -      C A R R I E D
   UNANIMOUSLY



                                 * * *



       The Special Council adjourned at approximately 11:10 p.m.