DeKALB – DeKalb Mayor Cohen Barnes said a proposal to update the city’s provisions for video gambling is meant to help city leaders “set the tone” for the community.

The DeKalb City Council this week considered a proposal which would limit the number of video gaming terminals used for gambling in the city, including prohibiting them at restaurants, gas stations and liquor stores. No vote was taken, however, city staff gathered more input from elected officials.

Barnes said the city has a specific goal as it seeks to determine what type of business to welcome to the area.

“What we’re really trying to just accomplish is … the spirit of the conversation that we had and where we want to take the direction of DeKalb,” Barnes said during the Monday meeting. “Limiting gambling is no different than other things that come up – liquor stores or cigarette stores, you name it. We have the responsibility to choose and set the tone of our community. I’m a big believer in free enterprise and small businesses judging that and shaping that.”

In 2022, the city took in $391,000 in tax revenue from the terminals, the highest annual revenue to date, according to city records. License fees brought in $96,000 for the terminals in 2022.

The topic has long been a debate at DeKalb City Council meetings, but the matter resurfaced in recent weeks as city leaders deliberated whether to grant an extension for a request by Fatty’s Pub & Grille owner Jeff Dobie to open a drive-thru liquor store with video gambling at 1221 W. Lincoln Highway, across from Fatty’s.

The request, made by Dobie through Blue Ridge LLC, has been in the works for nearly five years. The Council previously granted Dobie extensions on the request, and another was granted unanimously Monday.

CJ’s Gaming Bar at 2022 Sycamore Road has a conditional city video gaming license, but awaits state licensure. If CJ’s and Blue Ridge LLC’s request is approved at the state level, DeKalb would have 11 video gambling establishments, despite a municipal code that limits the number to 10.

“Limiting gambling is no different than other things that come up – liquor stores or cigarette stores, you name it. We have the responsibility to choose and set the tone of our community.”

—  Cohen Barnes, DeKalb mayor

Each establishment is allowed up to six video gaming terminals. DeKalb has nine fully licensed video gaming establishments in the city, according to city records.

“There’s a limit put on by the council some years ago,” City Manager Bill Nicklas said.

Nicklas sought additional feedback from the Council Monday. Based on that feedback, a future vote is expected that could update the city’s existing code for video gambling.

The proposal would prohibit video gambling terminals in gas stations, food and fuel establishments, liquor stores and current and future restaurants, documents show. If approved, the updates would maintain existing limitations, including that only 10 video gaming establishments be allowed within city limits, and that each establishment only be allowed six terminals.

Gambling terminals would still be allowed at businesses holding a bar license, documents show.

Nicklas said conversations with the mayor and other Council members have shown a general support for allowing video gambling terminals in businesses with bar licenses, but not in restaurants, gas stations, food and fuel establishments or liquor stores.

Not everyone was on board with the idea of backing the proposal as presented to the City Council.

Seventh Ward Alderman Tony Faivre said he finds video gambling to be distasteful.

“I am not in support of it,” Faivre said. “It doesn’t represent the community that I want. I want a community that’s flourishing because of the investments made in the community. These aren’t investments in the community. These are set up to take money away our community. I have a very hard time continuing to support this.”

DeKalb resident Duane Brown urged the City Council to consider amending the potential limit on video gambling establishments and terminals.

“The municipal code should be changed to allow more than 10 establishments to have video gaming,” Brown said. “The free market should determine the number. We should allow video gaming in gas stations, in taverns and in restaurants. Just look at what we could get with a truck stop on the tollway if there were video gaming allowed on that.”

At the city manager’s recommendation, the council agreed there will be no further video gambling establishments until the total number is reduced below 10, according to city documents.