Chapter 5.12 BUSINESS PERMITS

The purpose of this chapter is to promote improved enforcement of ordinances, at lower public cost, with a higher level of protection for the public. Regulation of businesses within the city will help to ensure compliance with city ordinances and state laws, prevent disturbances of neighborhoods and nuisances and otherwise protect the public peace, health, safety and welfare of the people of the city. [Ord. 08-1309 § 15, 2008.]

5.12.020 Definitions.

As used in this chapter, the following terms and phrases shall have the indicated meanings:

A. “Applicant” means an applicant for a business permit.

B. “Business permit” means a permit issued by the finance director pursuant to this chapter and required of all businesses operating within the city, issued for the purpose of regulating businesses. The permit may or may not contain conditions placed on the operation of the business.

C. “Convicted” and “conviction” will be used in relation to the outcome of criminal charges, including a plea of nolo contendere.

D. “Finance director” means the finance director of the city of Pittsburg or his/her designee.

E. “Hearing officer” means a person to whom the city manager has assigned the responsibility for conducting a hearing required by this chapter. The city manager shall be authorized to assign hearing responsibilities to any person the city manager finds that, by training and experience, is qualified to act as a hearing officer, including but not limited to city management personnel and individuals retained by contract to conduct hearings, such as attorneys or administrative law judges.

F. “Permittee” means a person issued a business permit pursuant to this chapter.

G. “Special event vendor” means a person, vendor or booth operator who offers or sells any type of merchandise, including but not limited to food, beverages, tangible goods or products, at a special event, as defined by Chapter 9.94 PMC, within the city. [Ord. 08-1309 § 15, 2008.]

5.12.030 Permit required.

A. Except as provided for in PMC 5.12.130(D), no person shall operate or conduct a business within the city unless and by the authority of a valid, unexpired and unrevoked business permit issued pursuant to this chapter. A person shall be deemed to operate or conduct a business and violate this section if a person, without a required business permit in effect, supervises, directs, organizes, manages or controls or is any way responsible for or in charge of the business for which a permit is required.

B. Businesses required to obtain a business license pursuant to Chapter 5.04 PMC must also obtain a business permit.

C. Neither the issuance nor the receipt of a business permit shall be deemed to constitute a representation that the business complies with all city, state, federal or otherwise applicable codes, rules, regulations or laws, or that the business is housed on property or premises that complies with all such laws; nor shall the existence of such an unrevoked license be deemed to preclude any criminal or civil remedy for violation of such ordinances or laws, including but not limited to the revocation of the business permit. The possession of a business permit shall not be deemed to relieve the permittee of the requirement to obtain any other licenses or permits required by city, state, federal or otherwise applicable codes, rules, regulations, or laws, including but not limited to a business license pursuant to this code. [Ord. 08-1309 § 15, 2008.]

5.12.040 Number of permits required.

A. A business permit is required for each location or branch of a business within the city. A business permit issued for a fixed location is only valid for the location listed on the permit.

B. When space within an office building, shopping center, warehouse, department store or other structure or property is leased for business or commercial use, each tenant of the premises operating a business required to have a permit under this chapter shall apply for and obtain a separate business permit. [Ord. 08-1309 § 15, 2008.]

5.12.050 Enforcement – Inspections.

A. The finance director and city staff are responsible for enforcing this chapter and inspecting businesses which are licensed and/or regulated by the city. The finance director and city staff may enter any business subject to this chapter for the purpose of inspecting for compliance with this code.

B. The finance director may, during the term of a permit, require the permittee to complete a permit information update form for the purpose of ensuring continued compliance with this code. The permittee shall, within 15 days of the date of mailing such a form by the finance director, return the completed form to the finance director. [Ord. 08-1309 § 15, 2008.]

5.12.060 Term of business permit.

A. Business permits shall be renewed annually in conjunction with the business license.

B. If a permittee ceases to use the property for the business or activity listed on his/her permit, the permit shall have no further force or effect and becomes void. However, if the business is closed for remodel or renovations, the business permit shall remain valid as long as the business is closed for less than 45 days, unless a longer period is approved in advance by the finance department. [Ord. 08-1309 § 15, 2008.]

5.12.070 Permit fees.

A. The finance director shall impose a nonrefundable fee to recover the administrative costs of processing applications, issuing and renewing business permits, and administering this chapter. Such fees shall be established by resolution of the city council, amended from time to time. The payment of fees under this chapter shall not preclude the imposition of any administrative fees collected under any other provisions of the municipal code, or any other fees required under applicable law.

B. All fees for the issuance, processing, and renewal of permits shall be paid at the time of filing the application with the finance director. All fees for an appeal shall be paid at the time of and with the filing of the appeal. No application or request for approval or appeal shall be deemed valid or complete until all prescribed fees have been paid.

C. Charitable and nonprofit organizations, as set forth in PMC 5.04.080, are exempt from the payment of the permit fees required pursuant to this section. [Ord. 13-1376 § 3, 2013; Ord. 08-1309 § 15, 2008.]

5.12.080 Contents and posting of permits.

A. The contents of each business permit shall include, but need not be limited to, the following:

1. A complete description of the business authorized by the permit;

2. The name of the business or person to whom the permit was issued;

3. The date of issuance and date of expiration of the permit;

4. A description of any and all conditions upon which the permit was issued.

B. The original business permit issued to the business, with any applicable conditions, shall be posted conspicuously on the premises in full public view. “Original,” for purposes of this section, shall not include photocopies or reproductions of the permit issued by the city. [Ord. 08-1309 § 15, 2008.]

5.12.090 Transferability.

A. A business permit shall not be transferable or assignable from one person to another, or from one location to another.

B. Each business permit shall automatically terminate and have no further force or effect upon a change of the primary function or operation for which the permit has been issued. [Ord. 08-1309 § 15, 2008.]

5.12.100 Notices.

A. Any notice or writing issued pursuant to this chapter shall be deemed served and effective on the date when the notice is either personally delivered to the party to whom it is directed or is addressed to the party and deposited in the United States mail, postage prepaid. When any notice or other writing is authorized or required to be filed, it shall not be deemed to have been filed until it is received in the office of the official with whom filing is required.

B. Any notice or writing sent to a permittee or applicant regarding a business permit or business permit application, including, but not limited to, denial of an application, conditions imposed on a permit, or revocation of a permit, shall also be sent to the property owner of the building or premises where the business is housed. However, failure of the property owner to receive or respond to such notice shall not affect the validity of the application or any proceedings under this chapter. [Ord. 08-1309 § 15, 2008.]

5.12.110 Administration.

A. Except as otherwise provided, the finance director is responsible for administering business permits and is authorized from time to time to promulgate and enforce such rules or regulations consistent with the purposes, intent, and express terms of this code.

B. No rules or regulations promulgated by the finance director, or amendments thereof, shall be enforced or become effective until 30 calendar days following the date on which the proposed rules or regulations are filed with the city clerk. [Ord. 08-1309 § 15, 2008.]

5.12.120 Violations.

A. Operating a business without a business permit, in violation of this code, after service of a written notice advising of the violation and ordering a cessation of operations, shall constitute a misdemeanor.

B. Except as otherwise specifically provided, any violation of this chapter shall constitute an infraction subject to punishment. [Ord. 08-1309 § 15, 2008.]

5.12.130 Application.

A. Filing. Every person required to have a permit under this chapter shall apply for a business permit with the finance director. An application for a business permit shall be made at the same time as the application for a business license, required by Chapter 5.04 PMC.

B. Contents of Application. The application for a business permit shall be on a form provided by the finance director and shall be written by the applicant under penalty of perjury. The application shall contain such information as is prescribed by the finance director, but shall include, at a minimum, the following:

1. The type of ownership of the business, whether individual, partnership, or a closely held corporation, or otherwise;

2. The name under which the business is to be conducted;

3. The complete address and all telephone numbers of the business;

4. The name and address of the manager of the business, if known at the time of submitting the application;

5. The following personal information concerning the applicant; and concerning each partner having an ownership interest in the business of more than 10 percent, if the applicant is a partnership; and concerning the manager or other person in charge of the operation of the business:

a. Name, complete current home address and telephone numbers, and complete mailing address if applicable;

b. Business history experience, including but not limited to whether or not the person, previously operating in this or another city, county or state under a permit or license, had a permit or license denied, revoked or suspended and the reasons therefor;

c. All criminal convictions within the last 10 years, other than misdemeanor traffic violations and infractions for any criminal offense, the jurisdiction in which the conviction occurred, and the circumstances thereof;

6. The number of employees reporting to and/or located at the business site. If the business is seasonal, the highest and lowest number of employees reporting to and/or located at the business site within the corresponding month of the year for each period;

7. The number and types of vehicles associated with the business that will be reporting to and/or located at the business site.

C. Application Deemed Complete. An application is deemed complete and validly filed when the finance director has received all information required by the business permit application and this code, and has received any fees associated with the application or application processing. An application is not deemed complete unless an application for a business license required by Chapter 5.04 PMC has also been submitted and any applicable business taxes have been paid.

D. Exemption from Permit Requirement. The following persons, entities or organizations shall be exempt from obtaining a business permit required by this chapter:

1. Any person, entity or organization exempt from the requirement to obtain a business license pursuant to Chapter 5.04 PMC;

2. Any person, entity or organization with a valid home occupation permit issued by the city’s planning department;

3. Any business or contractor whose business is operated out of a fixed location not within the city limits. A business operated from a residence outside of the city limits shall be deemed to be conducted at a fixed location;

4. Any person, entity or organization with a valid temporary activity permit, required by PMC 18.08.160;

5. Special event vendor, participating in a special event as defined by Chapter 9.94 PMC. [Ord. 08-1309 § 15, 2008.]

5.12.140 Investigation and issuance.

A. The finance director shall refer the application for review by the relevant city departments, including but not limited to the planning department, the engineering department and the police department. Each department shall examine the application for the purpose of determining whether the business complies with the municipal code and applicable law, and whether any conditions should be attached to issuance of the permit. Inspection of the site shall be conducted as necessary to determine applicability, compliance with, or the adequacy of corrections to achieve compliance with such law.

B. The finance director shall issue the business permit no later than 45 days after the date a complete application is filed, unless grounds for denial established in this chapter exist. [Ord. 08-1309 § 15, 2008.]

5.12.150 Conditions.

A. Upon recommendation by a department responsible for reviewing business permits pursuant to PMC 5.12.140, the finance director may issue the business permit upon such conditions as are necessary to ensure safety and prevent the business from disturbing the peace and tranquility of the neighborhood in which it is located. Such conditions may include, but are not limited to, the following:

1. Limitations upon hours or days of operation, when required in order to prevent disturbance of the peace and quiet of a neighborhood caused by the business or the patrons of the business;

2. Requirement that the business provide licensed or otherwise qualified security personnel for the exterior or interior of the business during operating hours;

3. The provision of adequate off-street parking to prevent the business from inconveniencing neighbors or causing traffic disruptions at a particular location;

4. The installation of on-site improvements required to prevent operation of the business from disturbing its neighbors at a particular location; or

5. Other conditions related to operations or improvements demonstrated under the particular circumstances to be necessary in order to prevent hazards; disturbance of the peace, quiet or safety of the neighborhood; or other nuisance.

B. Such conditions may be imposed at the time a business permit is initially issued, upon renewal of the permit, or at any time during the term of the business permit. [Ord. 08-1309 § 15, 2008.]

5.12.160 Procedure for imposition of conditions.

A. The finance director shall provide written notice of the conditions imposed on the business permit and the reasons for the conditions to the applicant or permittee. The city department recommending conditions shall assist the finance department in the explanation of the conditions to the applicant or permittee.

B. Conditions imposed at the issuance of an initial business permit become effective immediately following the date of service of the notice thereof. The holder of the business permit is entitled to appeal the conditions within the time and manner prescribed; however, the business permit shall not be effective until the appeal is finally determined.

C. Conditions imposed at the time of renewal or during the term of a business permit become effective 15 days following the date of service of the notice thereof; however, if an appeal is filed by the applicant or permittee within the time and in the manner prescribed, the conditions shall not become effective until the appeal is finally determined. [Ord. 08-1309 § 15, 2008.]

5.12.170 Processing and issuance of renewed business permit.

A. Processing. An application for renewal of a business permit shall be investigated and processed in the same manner as an initial application for a business permit. The permittee shall file the application for renewal, and any required fees, with the finance director prior to the expiration of the immediately preceding permit.

1. Issuance. Within 30 days of receiving a complete application, the finance director shall issue the business permit unless grounds for denial identified in this chapter exist.

B. The renewed business permit shall be processed at the same time as any other entitlements required by this title.

C. With respect to any application for renewal of a business permit which is filed on or before the date of expiration of the immediately preceding permit, the finance director shall extend the term of the immediately preceding permit, without charge, during the period of any investigation required to determine whether the permit shall be renewed. [Ord. 08-1309 § 15, 2008.]

5.12.180 Grounds for denial.

A. The finance director shall deny an initial application or application for renewal of a business permit if the finance director finds in writing that:

1. The applicant has committed acts which would constitute a felony or which would constitute a crime, or the conviction thereof, if the crime is substantially related to the qualifications, functions, or duties of the business, profession or trade for which the permit was requested or issued;

2. The applicant has knowingly made a false statement of fact or omitted a fact required to be revealed in an application for the permit, or in any amendment or report, or other information required to be made thereunder;

3. The finance director determines the business, or the property or building in which the business is housed, violates city, state, federal, or otherwise applicable codes, rules, regulations or laws;

4. The applicant has owned or leased premises that have been the subject of an administrative, civil or criminal nuisance abatement action and court judgment or administrative determination finding the premises to be a nuisance within the past five years;

5. The applicant has engaged in, created, maintained or suffered either a public nuisance as defined in Chapter 1.20 PMC and Sections 3479 and 3480 of the California Civil Code, or criminal conduct, as proscribed in the California Penal Code, on or in proximity to the licensed or permitted premises or in connection with the operation of the licensed or permitted premises;

6. Pursuant to Business and Professions Code Section 16000(c), the applicant or business fails to hold a valid, unexpired, unsuspended, unrevoked contractor’s license issued by the State of California, Contractor’s License Board;

7. The permittee has failed to pay business license taxes as required by Chapter 5.04 PMC.

B. The finance director shall also deny an application for renewal upon a finding that one or more conditions applicable to the preceding permit at the same location have been violated and, pursuant to PMC 5.12.150, it is determined that such conditions should also be applicable to the renewed permit. [Ord. 08-1309 § 15, 2008.]

5.12.190 Method of denial.

A. The finance director’s denial of an initial application or application for renewal of a business permit shall be in writing, with the reasons stated therefor. The finance director’s written notice of denial and a copy of this chapter shall be served upon the applicant. The city department recommending denial shall assist in explaining the grounds of denial to the applicant.

B. Denial of an initial application or application for renewal of a business permit shall relate solely to the location at which the business is proposed and shall not affect the conduct of such business at another location within the city, if grounds for denial could be cured by an alternate location.

C. With respect to denial of an application for renewal, the immediately preceding business permit shall be deemed to be in full force and effect for a period of 15 days following the date of service upon the applicant of the notice of denial. If the permittee files an appeal in the time and manner prescribed, the permit shall remain in full force and effect until the appeal is finally determined. [Ord. 08-1309 § 15, 2008.]

5.12.200 Grounds for revocation.

A business permit may be revoked for any of the following reasons:

A. The business is operated in a manner or is housed on premises or within a building which violates or is in violation of any city, state, federal or otherwise applicable codes, rules, regulations or laws; or

B. The permittee has violated one or more conditions upon which the permit has been issued; or

C. The permittee, while holding an active business permit, has committed an act which would have resulted in the denial of a business permit pursuant to this chapter; or

D. The permittee has failed to pay business license taxes as required by Chapter 5.04 PMC; or

E. Pursuant to Business and Professions Code Section 16000(c), the applicant or permittee no longer holds a valid contractor’s license issued by the State of California, Contractor’s State License Board. [Ord. 08-1309 § 15, 2008.]

5.12.210 Method of revocation.

A. The finance director may revoke a business permit by issuing a written notice of revocation, stating the reasons therefor, and serving the notice, together with a copy of this chapter, upon the permittee. The city department recommending revocation shall assist in explaining the grounds of revocation to the applicant.

B. The revocation of a business permit shall become effective 15 days after the date of service upon the holder of the notice of revocation. If the permittee files an appeal in the manner and within the time prescribed, the permit shall remain in effect until the appeal is finally determined.

C. A business permit may be temporarily suspended pending expiration for the time of appeal, if the finance director finds that such temporary suspension is necessary in order to protect against a serious and immediate threat to the health, safety or welfare of the public caused by exercise of the permit. If the finance director orders a temporary suspension, the notice of suspension shall be served to each place of business to which the permit relates, served upon the permittee, and shall contain the following:

1. The finding justifying the temporary suspension;

2. The time, date and place at which the permittee may appear in advance of the commencement of the temporary suspension for the purpose of showing cause to the hearing officer as to why the temporary suspension is not necessary; and

3. The time and date on which the temporary suspension commences, which shall not be earlier than 24 hours following the time and date of delivery of the notice of suspension. [Ord. 08-1309 § 15, 2008.]

5.12.220 Appeals.

A. The holder of a business permit or applicant for a business permit may file an appeal from the following:

1. The denial of an initial application for or application for renewal of a business permit; or

2. The imposition of conditions on the business permit at the time of issuance; or

3. The imposition of conditions on the business permit at the time of renewal of the business permit or during the term of the business permit; or

4. The revocation of a business permit.

B. An appeal pursuant to this section shall be in writing, shall state the specific reasons for the appeal and the grounds asserted for relief, and be accompanied by a nonrefundable appeals processing fee set by city council resolution. The appeal shall be filed with the finance director, no later than 15 days after the date of service of the notice providing the grounds for appeal. The failure to file an appeal in the time or in the manner prescribed in this section, or to include the appeals processing fee, waives the right to appeal. [Ord. 08-1309 § 15, 2008.]

5.12.230 Appeal hearing.

A. No later than 20 days following filing of a timely appeal, a hearing shall be held to determine whether the appeal shall be granted. The city shall provide the appellant written notice of the time, date and place of the hearing no later than 10 days before the hearing date.

B. The issues raised on appeal shall be limited to:

1. Whether grounds for denial of a business permit exist; and/or

2. Whether conditions placed on the business permit were justified; and/or

3. Whether active conditions on the business permit were violated; and/or

4. Whether conditions placed on a business were unclear, resulting in the inability of the business permit holder to comply with the conditions.

C. The finance director, in conjunction with the city department recommending the conditions on the permit, shall have the burden of proof during the hearing. The provisions of the California Administrative Procedure Act, Government Code Section 11500 et seq., and the formal rules of evidence do not apply at the hearing.

D. At the conclusion of the hearing, the hearing officer shall prepare a written decision which either grants or denies the appeal and contains findings of fact and conclusions of law. The written decision shall be filed with the finance director no later than seven days following the date on which the hearing is closed. The finance director shall, within three days of the filing of such decision, serve the applicant or permittee with notice of the written decision and include a copy of such decision. [Ord. 08-1309 § 15, 2008.]

5.12.240 Finality of determination.

A. With respect to appeals from the denial of an initial application for a business permit or the imposition of conditions on an initial business permit, the hearing officer’s decision is final upon service of the hearing officer’s decision on the appellant.

B. With respect to an appeal from either denial of renewal of a business permit or from the imposition of conditions upon a business permit at renewal or during the term of a business permit, or from the revocation of a business permit, the hearing officer’s decision is final upon 15 days after service of the hearing officer’s decision on the appellant. [Ord. 08-1309 § 15, 2008.]

5.12.250 Review by city council.

A. To request city council review of the hearing officer’s decision, the applicant for a business permit, permittee, or finance director and/or city department requesting review shall file a written request with the city clerk within 15 days following the date of service of the hearing officer’s decision. The request for review shall state in detail the reasons for review and the error alleged in the hearing officer’s decision, and include a copy of the hearing officer’s decision attached to the request for review, and an appeals processing fee as set by city council resolution.

B. Upon receipt of a request for review by city council, the city clerk shall schedule city council review not later than 30 calendar days following the date of filing of the notice of appeal. The city clerk shall provide notice of the time and date of the hearing to the parties at least 10 days in advance. The city council shall be authorized to deny the introduction of evidence and decide the matter after oral argument presented during the hearing, to admit supplementary evidence with respect to challenges or particular findings, or reject the findings and conclusions and conduct a de novo hearing. The determination by the city council granting or denying the appeal shall be final and shall be accompanied by findings of fact and conclusions of law, which may consist of an adoption by reference of those by the hearing officer.

C. The city council is authorized to order the issuance or renewal of a business permit, may order the revocation of the business permit, suspend the business permit or order the business permit to remain in effect upon such terms and conditions as in the discretion of the city council are deemed to be necessary and appropriate. [Ord. 08-1309 § 15, 2008.]

5.12.260 Effect of revocation.

A. With respect to any business that has a business license issued pursuant to Chapter 5.04 PMC, revocation of the business license for failure to pay taxes shall automatically and without notice also revoke the business permit issued for the same business at each location at which the business is located.

B. Revocation of a business permit shall also automatically and without notice also revoke the business license issued pursuant to Chapter 5.04 PMC.

C. With the exception of subsection (A) of this section, revocation of a business permit shall terminate the privilege of doing business at that location to which the business relates. [Ord. 08-1309 § 15, 2008.]

5.12.270 Failure to exhaust.

Any administrative remedy, including an appeal procedure, applicable to the interpretation, administration or enforcement of this chapter shall be exhausted prior to having a right to judicial review. The failure to exhaust such a remedy shall constitute grounds for denial of an appeal under this chapter. The hearing officer and city council shall be bound in the decision of appeals under this chapter by determination made in exhausting such remedies, and questions decided or which should have been decided pursuant to the exhaustion of such remedies shall not be subject to litigation in appeals under this chapter. [Ord. 08-1309 § 15, 2008.]