Locating pawnshops near casinos

Under current law, a pawnshop can’t be located closer than 10 driving miles of a casino, unless it was in operation before April 1996. That could change to 1,500 feet under a bill sponsored by Rep. Tim Sanders (R-Blaine).

Approved by the House Commerce and Regulatory Reform Committee April 4, HF1152 was sent to the House floor, but not before receiving a commitment from Sanders that the issues of concern would be worked through. The bill’s companion, SF955, sponsored by Sen. David Brown (R-Becker), awaits action by the Senate Commerce and Consumer Protection Committee.

Because casinos are located on tribal lands, and the change could position pawnshops there, this could bring up issues regarding tribal sovereignty, said Rep. Tom Anzelc (DFL-Balsam Township). “These relationships can be complicated,” he said, urging Sanders to consult with the tribes before the bill moves forward.

As the minority lead on the House Government Operations and Elections Committee, Rep. Mike Nelson (DFL-Brooklyn Park) said the bill would also impact local governments and ordinance making. He encouraged Sanders to bring the bill to that committee for review.

The bill would also extend from 22 days to 31 days that a pawnbroker who purchases goods not involved in a pawn transaction, is permitted to sell the goods.

“Anytime we make changes to pawn regulations there is some anxiety out there” because of law enforcement issues, said Anne Finn, assistant intergovernmental relations director for the League of Minnesota Cities. She pointed to language that could give city attorneys “heartburn” because it proposes setting state standards that could make it difficult for localities to implement ordinances regarding pawnshops.

Pawnbrokers are not licensed directly by the state, but abide by a set of laws that local governments may enact, according to the nonpartisan House Research Department.