Chapter 5.04 BUSINESS LICENSES AND REGULATIONS

The ordinance codified in this chapter is enacted solely to raise revenue for municipal purposes, and is not intended for regulation. (Ord. 354-78 § 2 (part), 1978: Ord. 220 § 2,1965)

5.04.020 Definitions.

A. As used in this chapter:

1. “Business” means and includes professions, trades and occupations, and all and every kind of calling carried on for profit or livelihood.

2. “Person” means and includes all domestic and foreign corporations, associations, syndicates, joint stock corporations, partnerships of every kind, clubs, Massachusetts business, or common law trusts, societies, and individuals transacting and carrying on any business in the city, other than as an employee.

B. Notwithstanding the definition in subsection (A)(1) above, this chapter is not intended to apply to intermittent or periodic fundraising activities of service clubs, veterans organizations and other nonprofit organizations which use the proceeds of such activities for religious, charitable, educational, scientific or social purposes, no portion thereof inuring to the benefit of any individual member of the organization or private person; nor does this chapter apply to persons under the age of eighteen years whose business activities do not result in growth income of more than fifteen hundred dollars in any calendar year. (Ord. 359-79 §§ 1, 2, 1979; Ord. 354-78 § 2 (part), 1978: Ord. 220 § 1, 1965)

5.04.030 Taxes imposed—Payment required.

There are hereby imposed upon the business trades, professions, callings and occupations specified in this chapter license taxes in the amounts hereinafter prescribed. It is unlawful for any person to transact and carry on any business, trade, profession, calling or occupation in the city without first having procured a license from the city to do so, or without complying with any and all applicable provisions of this chapter. (Ord. 354-78 § 2 (part), 1978: Ord. 220 § 5, 1965)

5.04.040 Exemptions—Charitable or nonprofit organizations.

The provisions of this chapter shall not be deemed or construed to require the payment of a license to conduct, manage or carry on any business, occupation or activity, or require the payment of any license from any institution or organization which is conducted, managed or carried on wholly for the benefit of charitable purposes, or from which profit is not derived either directly or indirectly by any individual, firm or corporation; nor shall any license be required for the conducting of any entertainment, dance, concert, exhibition or lecture on scientific, historical, literary, religious or moral subjects, whenever the entire receipts from the same are to be appropriated to any church or school, or to any religious or benevolent purpose; nor shall any license be required for the conducting of any entertainment, dance, concert, exhibition or lecture, whenever the receipts from the same are to be appropriated for the purposes and objects for which such association or organization was formed and from which profit is not derived, either directly or indirectly, by any individual, form or corporation; provided, however, that nothing in this section contained shall be deemed to exempt any such institution or organization from complying with the provisions of this chapter requiring such institution or organization to obtain a permit from the city council, or proper officers, to conduct, manage or carry on any profession, trade, calling or occupation. (Ord. 354-78 § 2 (part), 1978: Ord. 231 N.S. § 1(part),1966: Ord. 220 § 30, 1965)

5.04.050 Exemptions—Farm produce.

Nothing in this chapter shall be construed to require any farmer to procure a license for selling within the city the produce of his farm. (Ord. 354-78 § 2 (part), 1978: Ord. 220 § 15, 1965)

5.04.060 Exemptions—Traveling salesmen.

This chapter shall not apply to that class of persons ordinarily called traveling men who sell by sample to the trade only, but shall apply to all other persons, firms, individuals or corporations who either sell or deliver from place to place or who conduct an established place of business or vend upon the streets or solicit orders from houses or businessmen, or who deliver by truck or other container to the trade, where the same is done over the streets and avenues of the city. (Ord. 354-78 § 2 (part), 1978: Ord. 220 § 16, 1965)

5.04.070 License—Application.

Every person required to have a license under the provisions of this chapter shall make application for the same to the director of finance, and upon the payment of the prescribed license tax, the director of finance shall issue to such person a license. (Ord. 354-78 § 2 (part), 1978: Ord. 220 § 7, 1965)

5.04.080 Separate license for each premises.

A separate license must be obtained for each branch establishment or location of the business transacted and carried on and for each separate type of business at the same location, and each license shall authorize the licensee to transact and carry on only the business licensed thereby at the location or in the manner designated in such license. (Ord. 354-78 § 2 (part), 1978: Ord. 220 § 6, 1965)

5.04.090 Other licenses may be required.

Persons required to pay a license tax for transacting and carrying on any business under this chapter shall not be relieved from the payment of any license tax for the privilege of doing such business required under any other ordinance of the city, and shall remain subject to the regulatory provisions of other ordinances. (Ord. 354-78 § 2 (part), 1978: Ord. 220 § 3, 1965)

5.04.100 License—Schedule for specific businesses.

Every person transacting and carrying on the businesses herein enumerated shall pay an annual license as hereinafter set forth; provided, however, that a person transacting business in a fixed location which falls within one or more of the classes of business enumerated in this section shall be required to pay one license fee only, based on the fee applicable to the highest classification which is applicable to the type of business being conducted.


1. Food and drink establishments; gasoline service stations; barbershops; beauty parlor operators; wholesale merchants; building material yards; feed and fuel stores; and all general merchandising stores; drugstores, appliance stores and the like; arts and craftsmen, including but not exclusively, printers and engravers; garage and motor vehicle repair shops; laundries and dry cleaners; machine welding shops, and the like; photograph studios, sign painters; shoe, radio and other repair shops; upholsterers; landscape gardening; trucking and hauling with fixed place of business within the city; animal hospital or kennels; riding academies, club, coach and/or schools; watch repair, public stenographers; and other retail establishments unless included in another paragraph of this section.
Based on an average total for preceding six months of three individuals (including officers, firm members, owners and employees, other than full-time clerical or janitorial) regularly employed substantially more than half-time
per year	$ 56.25
Average of four to seven persons
per year	78.75
Average of eight or more persons
per year	112.50
2. Vendors or merchandise, not within the provisions or prohibitions of this or other ordinances of the city, who sell or deliver articles to private residence, or public places of business not owned by such vendor, including freight lines and other for-hire delivery services that make regular deliveries within the city limits
per year	56.25
3. Any scheme of club, prize or membership which is substantially a sales technique or device and not carried on from an established business location
per year	225.00
4. Junk and wrecking yards
per year	112.50
5. Professional offices, including real estate offices but excluding insurance offices where no other transaction or business is conducted except insurance. (Each individual carrying on a profession in an office shall be subject to the fee. However, in the event of a firm or partnership, the business entity represented shall pay one fee.)
per year	56.25
6. All general contractors
per year	112.50
7. All other contractors not operating a retail or wholesale business in conjunction with their contracting business in the city
per year	56.25
8. All contractors operating a retail or wholesale business in conjunction with their contracting business in the city
per year	112.50
9. Carnivals, circuses, tent shows, street fairs
First twenty-four hours	225.00
Each twenty-four hours thereafter	112.50
This section shall not apply to school street fairs or church street fairs, or farmer or rural street fairs, or municipal street fairs, where the same are conducted as a public enterprise for the community, or betterment of farming, horticulture, viticulture, social or other betterments of the community
10. All public utilities not operating under a franchise granted by the city
per year	337.50
11. Apartment houses, hotels, motels, boardinghouses and other authorized housing facilities, except duplexes and single-family dwellings which are hereby made exempt
Four-dwelling units or rooms or less
per year	56.25
Five dwelling units or rooms or more per additional unit or room (not to exceed $75.00 per year)
per year	6.00
12. Public dances, where an admission fee is charged or other profit purpose (except those under the auspices and for the benefit solely of a social, civic, veteran, religious or fraternal organization) payable before five p.m. of the preceding day, per twenty-four-hour period
per year	56.25
13. Occult and related sciences and practices, fortunetelling, palmistry and the like, for fee, remuneration, gift or any profit
per year	225.00
14. Amusement or recreation parlor, cardroom or arcade
per year	225.00
15. Billiard rooms, poolrooms, ice and roller rinks
per year	67.50
16. Bowling alleys
per year	112.50
17. Street vendors or peddlers
per year	225.00
18. Solicitors of all kinds
per year	225.00
19. Manufacturing, packing and shipping, based on an average total for the preceding six months of one to four individuals (including officers, firm members, owners and employees, other than clerical or janitorial) regularly employed substantially more than half-time
per year	67.50
For each additional employee	11.25
Maximum tax	225.00
20. Theaters (less than six hundred seats)
per year	78.75
21. Drive-in theaters
Less than one hundred spaces
per year	168.75
One hundred spaces or more
per year	281.25
22. Pawnbroker per year	225.00
23. House mover per year	112.50
24. Mortuary per year	112.50
25. Auto sales, including parts, service and accessories on one property, used motor vehicle lots, and tractor and farm implement sales, service and repairs. Based on an average total for the preceding six months of three individuals (including officers, firm members, owners and employees, other than clerical or janitorial) regularly employed substantially more than half-time	56.26
Average of four to seven employees
per year	78.75
Average of eight or more employees
per year	112.50
26. Any individual performing any service by the hour or piece or job, other than a contractor, and not having a regular place of business
	56.25
27. Any home occupation, such as dressmaking, cooking and baking to order, individual music, dance and arts instruction, individual tutoring in academic studies
per year	22.50
28. All firms engaged in the erecting, operation of and maintaining any outdoor advertising or display signs, self-contained or on any building or structure, regardless of size per sign
per year	56.25
29. Advertising by means of handbills, dodgers, stickers, advertising samples
Per person, per year	37.50
Per person per day of distributing	6.00
30. Advertising by means of display advertisement towed by a vehicle without sound equipment
per year/vehicle	56.25
31. All other lawful and authorized business, other than salaried employee or employees for wages, not included in this or any other chapter, the sum of
per year	67.50

(Ord. 220 Amd. II-83 § 1, 1983; Ord. 354-78 § 2 (part), 1978; Ord. 220 § 14, 1965)

5.04.110 Coin-operated play device licensing.

A. A coin-operated play device means any coin-operated vending machine, device or apparatus, the operation or use of which is permitted, controlled, allowed or made possible by the deposit into such machine of any coin, token, disc or slug, or by the payment of any fee for use as a game of chance or contest, or which may be used for any such game or contest.

B. Any person renting, leasing or operating any coin-operated play device as defined above within the city shall pay a business license tax equal to five percent of the gross receipts from all such machines within the city. (Ord. 354-78 §§ 1 (part), 2 (part), 1978; Ord. 349 N.S. §§ 2, 3, 1976; Ord. 220 §§ 32, 33, 1965)

5.04.120 Disabled veterans.

Every person honorably discharged from any branch of the armed forces of the United States who is unable to earn a livelihood by normal labor may hawk, peddle or vend any kind of goods, wares or merchandise (other than spirituous, vinous, malt or alcoholic liquors) in the city without paying a license tax or obtaining a license therefor, under a permit for that purpose issued by the city clerk, a copy of which permit shall be filed with the city tax collector, and the city clerk shall issue such permit to any person making satisfactory proof that he is entitled thereto under the provisions thereof; provided, no such permit shall be issued until the applicant shall file with the city clerk a certificate issued by the Department of Veterans Administration, certifying to the current disability of such applicant, and which such certificate shall have been issued and dated within six months from date of application, and be approved as to form by a committee consisting of three former members of the armed forces of the United States who shall be residents of the city, and which committee shall be appointed by the mayor with the approval of the city council, to hold office during the pleasure of the mayor and council. (Ord. 354-78 § 2 (part), 1978; Ord. 231 N.S. § 1(part),1966; 220 ß29,1965)

5.04.130 Itinerant businesses.

Every person not having a fixed place of business within the city who engages in business within the city and is not subject to the provisions of Section 5.04.220 of this chapter, shall pay a license-tax of sixty-seven dollars and fifty cents per year. (Ord. 220 Amd. II-83 § 3,1983; Ord. 354-78 §§ 1 (part), 2 (part), 1978; Ord. 220 § 21, 1965)

5.04.140 Nonresident contractors.

Every person not having a fixed place of business within the city who engages in the business of contracting within the city shall pay a license tax of one hundred twelve dollars and fifty cents. (Ord. 220 Amd. II-83 § 2,1983; Ord. 354-78 §§ 1 (part), 2 (part), 1978; Ord. 220 § 20, 1965)

5.04.150 Vending machines—License required.

Any person renting, leasing or operating coin-operated vending machines within the city, other than coin-operated play devices as defined below, shall pay a business license tax equal to one and one-half percent of the gross receipts from all such machines within the city, except that any machine owned and operated by the owner of a business where the machine is located, and dispensing tangible personal property, shall be exempt from the gross receipts tax so long as the owner of such business has been issued a business license and the use of the machine is incidental to the business so licensed. (Ord. 354-78 §§ 1 (part), 2 (part), 1978; Ord. 349 N.S. § 1, 1976; Ord. 220 § 31, 1965)

5.04.160 Vending machines—Tax statements.

In addition to the statements required from business licensees generally, each applicant for a first or renewal vending machine license shall furnish such information as the city may require in order to calculate properly the estimated tax for the year the license is required. The city may audit the books and records of such licensee and require the licensee to submit a copy of any tax statement filed with any government entity or such portion thereof as contains information relevant to gross receipts from the machines subject to license. (Ord. 354-78 § 2 (part), 1978; Ord. 349 N.S. § 4, 1976; Ord. 220 § 34, 1965)

5.04.170 License—Fee payment.

A. Unless otherwise specifically provided, all annual license taxes under the provisions of this chapter shall be due and payable in advance on the first day of January of each year, and shall be payable for the full year or balance of the year as set forth herein:

1. If license applied for during January, February or March, full year license payment required;

2. If license applied for during April, May or June, seventy-five percent of license payment required;

3. If license applied for during July, August or September, fifty percent of license payment required;

4. If license applied for during October, November or December, twenty-five percent of license payment required.

B. No license may be issued for a single quarter unless it falls in the last quarter of the year. All licenses must be issued for the balance of the year unless otherwise specified in this chapter. There shall be no refund of license taxes already paid, for any cause. (Ord. 354-78 § 2 (part), 1978; Ord. 220 § 12, 1965)

5.04.180 License—Late fee payment penalty.

For failure to obtain any required business license prior to initiation of the business or prior to performance of a service taxable under this chapter, the licensee shall pay a penalty of fifty percent of the initial license tax due. Thereafter, for failure to pay a license tax when due, the director of finance shall add a penalty of twenty-five percent to the license tax on the last day of each month after the due date thereof, providing that the amount of such penalty to be added shall in no event exceed one hundred percent of the amount of the license tax due. (Ord. 354-78 § 2 (part), 1978; Ord. 321 N.S. § 1, 1973; Ord. 220 § 13, 1965)

5.04.190 Fees—Waiver authority.

The city council may waive any of the fees within this chapter, if they find it to be in the best interest of the city, by a four-fifths vote of the council and then not for a period longer than fifteen days. (Ord. 354-78 § 2 (part), 1978; Ord. 220 § 23, 1965)

5.04.200 Fees—Deemed debt to city.

The amount of any license tax and penalty imposed by the provisions of this chapter shall be deemed a debt to the city. An action may be commenced in the name of the city, in any court of competent jurisdiction, for the amount of any delinquent license tax and penalties. (Ord. 354-78 § 2 (part), 1978; Ord. 220 § 24, 1965)

5.04.210 Location of business—Zoning district restrictions.

The operation of a business in a district not zoned for the operation of such business shall not excuse the operator from the payment of the license fees imposed in this chapter, nor shall the issuance of a license for such a business be deemed to be a consent or permit for the operation of such a business in the district. (Ord. 354-78 § 2 (part), 1978; Ord. 220 § 17, 1965)

5.04.220 Council approval required for certain businesses.

Licenses for the operation of occult and related sciences, street vendors, riding academies and schools, billiard rooms and/or poolrooms, bowling alleys, cardrooms, junkyards and wrecking yards, shooting galleries, boarding kennels, animal hospitals, veterinary hospitals, amusement and recreation parlors and skating rinks shall only be issued upon the approval of the city council, and application for any such licenses shall be made in accordance with any provisions of the ordinances of the city applicable thereto. (Ord. 354-78 § 2 (part), 1978; Ord. 220 § 19, 1965)

5.04.230 License—Appeal from denial of issuance.

Any person aggrieved by any decision of the director of finance with respect to the issuance or refusal to issue such license may appeal to the council by filing a notice of appeal with the clerk of the council. The clerk of the council shall give notice to such person of the time and place of hearing by serving it personally, or by depositing it in the United States Post Office at Cloverdale, California, postage prepaid, addressed to such person at his last known address. The council shall have authority to determine all questions raised on such appeal. No such determination shall conflict with any substantive provision of this chapter. (Ord. 354-78 § 2 (part), 1978; Ord. 220 § 8, 1965)

5.04.240 Time for filing sworn statements.

In addition to all other power conferred upon him, the director of finance shall have the power, for good cause shown, to extend the time for filing any required sworn statement for a period not exceeding thirty days, and in such case to waive any penalty that would otherwise have accrued, and shall have the further power, with the consent of the council, to compromise any claim as to amount of license tax due. (Ord. 354-78 § 2 (part), 1978; Ord. 220 § 9, 1965)

5.04.250 Duplicate licenses.

A duplicate license may be issued by the director of finance to replace any license previously issued hereunder which has been lost or destroyed, upon the licensee filing statement of such fact, and at the time of filing such statement paying to the director of finance a duplicate license fee of three dollars. (Ord. 354-78 §§ 1 (part), 2 (part), 1978; Ord. 220 § 11, 1965)

5.04.260 License—Transfer limitation.

No license issued pursuant to this chapter shall be transferable; provided, that where a license is issued authorizing a person to transact and carry on a business at a particular place, such licensee may, upon application therefor and paying a fee of three dollars, have the license amended to authorize the transacting and carrying on of such business under the license at some other location to which the business is or is to be moved. (Ord. 354-78 §§ 1 (part), 2 (part), 1978; Ord. 220 § 10, 1965)

5.04.270 License—Suspension or revocation conditions.

A. The violation of any federal statute, state statute or city ordinance by any person holding a permit or license from the city, or by any of the holders of such permit or license in connection with the operation of the business for which such permit or license was issued shall be grounds for the revocation of such permit or license after a hearing held before the city council at which the licensee may have an opportunity to be heard before the council. If at such hearing the city council determines that such a violation has occurred or that the continuance of the holder of the permit or license in the business covered by such permit or license will be contrary to the city interest, it may declare such permit or license revoked. Written notice of any such hearing shall be given the licensee or permit holder or any person employed in the place where the business in question is maintained five days before the hearing.

B. Any such license or permit may be suspended by the city council pending such hearing, provided the council declares that the public health or safety requires it, after twenty-four hours’ written notice is left at the place of business of the permit holder, or license holder. Such notice shall state the grounds of suspension. (Ord. 354-78 § 2 (part), 1978; Ord. 220 § 18, 1965)

5.04.280 Enforcement authority.

A. It shall be the duty of the director of finance, and he is hereby directed to enforce each and all of the provisions of this chapter, and the chief of police shall render such assistance in the enforcement hereof as may from time to time be required by the director of finance or the city council.

B. The director of finance, in the exercise of the duties imposed upon him hereunder and acting through his deputies or duly authorized assistants, shall examine or cause to be examined all places of business in the city, to ascertain whether the provisions of this chapter have been complied with.

C. The director of finance and each and all of his assistants and any police officer shall have the power and authority to enter, free of charge, and at any reasonable time, any place of business required to be licensed herein, and demand an exhibition of the license certificate. Any person having such license certificate heretofore issued, in his possession or under his control, who wilfully fails to exhibit the same on demand, shall be guilty of a misdemeanor and subject to the penalties provided for by the provisions of this chapter. It shall be the duty of the director of finance and each of his assistants to cause a complaint to be filed against any and all persons found to be violating any of such provisions. (Ord. 354-78 § 2 (part), 1978; Ord. 220 ß22,1965)

5.04.290 Violation—Remedies cumulative.

All remedies prescribed hereunder shall be cumulative, and the use of one or more remedies by the city shall not bar the use of any other remedy for the purpose of enforcing the provisions hereof. (Ord. 354-78 § 2 (part), 1978; Ord. 220 § 25, 1965)

5.04.300 Violation—Penalty.

Any person violating any of the provisions of this chapter, or knowingly or intentionally misrepresenting to any officer or employee of the city any material fact in procuring the license or permit herein provided, shall be deemed guilty of a misdemeanor, and upon conviction thereof shall be punishable by a fine of not more than five hundred dollars or by imprisonment in the city or county jail for a period of not more than six months, or by both such fine and imprisonment. (Ord. 354-78 § 2 (part), 1978; Ord. 220 § 26, 1965)

5.04.310 Effect on earlier provisions.

Neither the adoption of the ordinance codified in this chapter nor its superseding of any portion of any other ordinance of the city shall in any manner be construed to affect prosecution for violation of any other ordinance committed prior to the effective date hereof, nor be construed as a waiver of any license or any penal provision applicable to any such violation, nor be construed to affect the validity of any bond or cash deposit required by any ordinance to be posted, filed or deposited, and all rights and obligations thereunto appertaining shall continue in full force and effect. (Ord. 354-78 § 2 (part), 1978; Ord. 220 § 4, 1965)