Is gambling ‘good for Gearhart’? – Daily Astorian

R.J. Marx/The Daily Astorian

The owner of the former Gearhart Grocery was denied in his bid to install four lottery machines in a new brew pub. He is seeking to reverse that decision in an appeal.

R.J. Marx/The Daily Astorian

Pub owner Terry Lowenberg at the Planning Commission hearing in January.

GEARHART The owner of a brew pub at the former Gearhart Grocery has accused the city of rejecting video lottery machines because of a bias against gambling.

In an appeal delivered to the city Tuesday, Terry Lowenberg states the denial of a conditional use permit does not appear to be based on any relevant fact, but rather on a prejudice against gaming and the people that participate in gaming.

Lowenberg states that city code does not exclude lottery machines, gambling or gaming.

Last year, Lowenberg won approval for a brew pub and deli on Pacific Way, but at a Planning Commission hearing in January he told commissioners he needed the lottery machines to survive economic hardship in winter months. The machines four to start, with a maximum of six would be placed in an enclosed area next to the deli separated by an 8-foot wall.

Lowenberg closed his grocery store in November after citing competition from larger supermarkets in the region.

Simply exist

In his January request, Lowenberg said he needed the lottery machines to simply exist, and if the permit was not granted, he would end up having to close the store.

Commissioners denied the request 5-2. They said the lottery machines could open the door to gambling machines downtown, and pointed to video gaming establishments on nearby U.S. Highway 101. Others were skeptical that video poker could prop up Lowenbergs failing business.

Two commissioners, Virginia Dideum and Jeremy Davis, praised the brew pubs design plan and opposed the denial.

Gambling and drinking

Lowenbergs appeal takes City Planner Carole Connell to task for failing to provide evidence for her staff report recommendation to deny the machines, based on what she said were studies linking gambling and drinking. The city finds gambling stations that encourage alcohol consumption do not coincide with the intent of a neighborhood cafe as defined.

This is clearly a highly-biased opinion from someone who is adamantly against the proposed use rather than independent review of an application, Lowenberg wrote. It seems the planner is trying to find arguments against the lottery machines by linking gambling and drinking, he said.

Lowenberg disputes the planners contention that lottery machines are not a use devoted to the use of food while customers are seated at tables.

Lottery dollars support many resources in Oregon and locally, he said, and if customers want to participate in lottery while waiting on a meal, this is good for Gearhart and good for Oregon.

City Administrator Chad Sweet said the City Council will set a date to hear the appeal at a public meeting. A decision must be rendered by March 28, within 120 days of the original application.

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Is gambling 'good for Gearhart'? - Daily Astorian