* For state law as to authority of city to license for revenue and regulation purposes, see Gov. C., § 37101. As to authority of city to license in exercise of police power and for purpose of regulation, see B. & P.C., § 16000. As to licensing by cities generally, see B. & P.C., §§ 16000 to 16003.
As to revocation of business license for violation of regulations pertaining to billiard halls, see § 8.7 of this Code. Prior ordinance history: Ordinance No. 1300, as amended by Ordinance Nos. 1305, 1322, 1359, 1369, 1387, 1393, 1395, 1396, 1400, 1418, 1469 and 1554.

ARTICLE I. LICENSE REQUIREMENTS

18.1 Scope.

It is the intent of Articles I through IV of this chapter to provide regulatory provisions only with regard to the specific businesses set forth in Article IV and to prescribe a schedule of fees for revenue purposes only for those businesses set forth in Articles I through III hereof. In the event that any provision of Articles I through III should be construed to be regulatory, then neither such provisions, nor any penal or regulatory provision thereof shall be applied or be made applicable to any business activity which is regulated exclusively by the state of California or other governmental agency, or which by the laws of this state or court decision is not subject to such regulation by this city. Any business activity listed in Articles I through III hereof, for which a permit is required, shall be construed as enacted for both revenue and regulatory purposes. (Ord. No. 1595, § 1.)

18.2 Definitions.

For the purpose of Articles I through IV of this chapter, certain words and phrases are defined and certain provisions shall be construed as herein set forth, unless it is apparent from the context that a different meaning is intended.

1. “Advertising structure” means and includes any structure, sign, display or billboard used for advertising displays. Signs that advertise the particular business or businesses conducted on the premises on which such signs are situated, or signs less than six square feet in area, advertising for rental or sale of the property upon which it stands or referring to any person having the rental or sale of such property in charge shall not be considered to be advertising structures.

2. “Advertising vehicle” means the business of operating upon the street any wheeled vehicle equipped with music or a musical device, loudspeaker or other device for attracting attention, or of operating any wheeled vehicle for advertising purposes and to which wheeled vehicle signs, placards, billboards or other advertising matter are attached.

3. “Apartment” means any building or portion thereof that is designed, built, rented, leased, let or hired out to be occupied, or that is occupied as the home or residence of three or more families living independently of each other and doing their own cooking in the building, and includes flats and apartments.

4. “Auction” means the conducting of an auction sale of goods, wares, merchandise for sale at public auction. This definition does not mean the sale of any goods at public sale belonging to the United States or the state, or the county of Los Angeles, or for the sale of property by virtue of any process issued by any state or federal court, or for the bona fide sale of household goods at the domicile of the owner.

5. “Boardinghouse” means any building or portion thereof that is used for the accommodation for compensation of three or more boarders in addition to members of the occupant’s immediate family occupying such building. The word “compensation” includes compensation in money, services, or other things of value. “Boardinghouse” does not include a boardinghouse for the aged or a boardinghouse for children as defined in other city ordinances.

6. “Business” includes professions, trades and occupations and all and every kind of calling, whether or not carried on for profit or livelihood.

7. “Business by vehicle” is the business of running, driving, or operating any automobile, automobile truck, automobile tank wagon, or any vehicle used for transportation, selling, collection or delivery of goods or other personal property of any kind from a vehicle, either as a principal business or in connection with any other business; or performing work, labor or services in or from a vehicle.

The provisions of this chapter are not to be construed as imposing a tax upon vehicles, but as a method of classification of businesses and distinguishing between those maintaining a fixed place of business in the city in the conduct of which vehicles are used and those maintaining a business in the conduct of which vehicles are used but who do not have a fixed place of business in the city.

“Business by vehicle” does not include the intercity transportation business of any express corporation, freight forwarder, motor transportation broker, or person or corporation owning or operating motor vehicles in the transportation of property for hire upon the public highways under the jurisdiction of the State Public Utilities Commission. “Intercity transportation business” means every service performed in connection with transportation of property by such transportation companies where both the origin point and the destination point of such transported property are not within the exterior boundaries of the city of South Pasadena.

8. “City” means the city of South Pasadena.

9. “City clerk” means the city clerk of the city of South Pasadena, or designee.

10. “City manager” means the city manager of the city of South Pasadena or designee.

11. “Conduct” includes conducting, managing or carrying on of a business, either as owner, officer, agent, manager, employee, servant or lessee.

12. “Contractor” means any person (except an owner who contracts for a project with another person who is licensed by the state of California as a contractor, or architect, registered civil engineer acting solely in his or her professional capacity), who in any capacity other than as an employee of another with wages as the sole compensation and with the normal withholding taxes deducted, undertakes to or offers to undertake to, or purports to have the capacity to undertake to, or submits a bid to, or does him or herself or by or through others construct, alter, repair, add to, subtract from, improve, move, wreck or demolish any building, highway, road, railroad, excavation, or other structure, project, development, or improvement, or to do any part thereof, including the erection of scaffolding, or other structures or works in connection therewith, and in addition, the work of pest control.

13. “Dwelling units” mean at least three dwelling units for rent or rented in the city, whether on the same lot or not.

14. The terms “individuals engaged, employed or used in the conduct of business,” or “employee,” include all individuals actively participating in the conduct of such business, whether as owners, partners, managers or employees, but exclude any employee or employee position requiring the payment of wages for, or work hours of, less than twenty hours per week or less than four weeks per year. “Employee” for the purpose of determining rates is further defined in Section 18.28.

15. “Exhibiting trained animals” means the exhibiting of trained animals other than at a circus, carnival or menagerie or as a regular feature of a theatrical or vaudeville performance.

16. “Firearms sale” means the business of selling at retail, pistols, revolvers, or other firearms capable of being concealed upon the person. The license issued hereunder shall be issued in a form prescribed by the Attorney General of the state, and shall be issued in the manner and upon the conditions required by the statutes of California.

17. “Foster home” means a family home, non-institutional in character that provides care, with or without compensation, for not more than six children under sixteen years of age, including children of the foster family under sixteen years of age, which home holds a license or certificate from the State Department of Social Welfare.

18. “Gross receipts” include the total cost of the job or project covered by the contract to which the contractor is a party, without deduction for subcontracts, and irrespective of whether the contract is one on a fixed price or on a cost-plus basis, or one under the terms of which the contractor acts as agent for the owner. The term “gross receipts,” however, include only receipts from jobs or projects located within the city limits of the city of South Pasadena.

19. “Hearing” means a proceeding authorized by this chapter before a hearing officer selected by the city manager. All hearings shall be conducted informally, and the hearing officer shall not be bound by any statutory rules of evidence or procedure, but shall make inquiry in such manner as he or she deems advisable to protect the rights of the parties and to carry out the purpose of this chapter.

20. “Hearing officer” refers to an independent appointee of the city manager, designated to preside over a hearing authorized by this chapter. The hearing officer shall not be an employee of the city, and his or her compensation shall not be contingent on the particular outcome of any hearing.

21. “Hospital” means any building or portion thereof used for the accommodation of sick, injured, demented or infirm persons and includes sanitariums, sanatoriums, convalescent and rest homes, and boarding homes for children and aged persons. It also includes orphanages, asylums, detention and similar buildings where human beings are housed and detained under legal restraint, except public jails.

22. “Hotel” means any building containing three or more rooms intended or designed to be used, or which are used, rented or hired out to be occupied, or which are occupied for sleeping purposes by guests.

23. “Itinerant vendor” means any person who engages in a temporary or transient business in the city, selling goods, wares, merchandise or any other thing of value, with the intention of conducting such business in the city for a period of not more than ninety days, and who, for the purpose of carrying on such business, hires, leases or occupies any room, doorway, vacant lot, building or other place for the exhibition or sale of goods, wares, merchandise or other things of value. If the place in which a business is conducted is rented or leased for a period of ninety days or less, such fact shall be conclusive evidence that the business carried on therein is a transient business.

24. “License collector” means the finance director of the city of South Pasadena, and shall include his or her designee.

25. A “lodginghouse” is any building or portion thereof, which is used for the accommodation, for compensation, of three or more lodgers in addition to the members of the occupant’s immediate family occupying such building. The word “compensation” includes compensation in money, services or other things of value. Lodginghouse does not include a lodginghouse for the aged or lodginghouse for children as defined in other city ordinances.

26. “Maintain” means and includes, construct, erect, install, place and permit to be.

27. “Manufacturer” means and includes the process of making, preparing, altering, repairing, or finishing, in whole or in part, or to assemble, inspect, wrap or package any articles or materials; the making or fashioning by working on or combining materials; the assembling of component parts.

28. “Peddlers and canvassers” include every person who travels from place to place or house to house and makes demonstrations of, or solicits, takes orders or canvasses for the sale of, or who sells any goods, wares or merchandise, services, or labor, or things or articles of value of any nature, kind or description, or who conducts surveys, whether he or she does one or more of the things described in this section; provided, however, that this definition does not include persons who sell to or solicit orders for merchandise from merchants buying for purposes of resale, nor persons selling or soliciting for the sale of tickets or admission to entertainments to be held for religious, educational, civic or charitable purposes; provided further, that the owner of a business licensed to do business in, and maintaining an office in, the city under any classification mentioned in this chapter, and two regular employees of such owner, shall not be deemed to be peddlers and canvassers. If more than two such employees engage in canvassing, such additional employees shall be deemed canvassers for purposes of Articles III and IV of this chapter.

29. “Peddler using wheeled vehicle” means every peddler of goods, wares or merchandise not otherwise specifically provided for and using a wheeled vehicle in the conduct of his or her business.

30. “Person” means any individual, domestic and foreign corporation, association, syndicate, joint stock corporation, partnership of any kind, club, business or common law trust and society.

31. “Premises” means and includes every house, dwelling, building, structure, enclosure, business establishment, lot, yard, location, place, alley, parkway, sidewalk, street, public way and every vehicle.

32. “Profession” means and includes every accountant, auditor, architect, attorney, chiropractor, dentist, engineer, income tax service, insurance broker, investment service, notary public, optician, optometrist, physician, real estate broker and veterinarian, etc., engaging in business in the city.

33. “Public dance hall” means a place where dancing is conducted, whether for profit or not for profit, and to which the public is admitted either with or without charge, or at which the public is allowed to participate in the dancing either with or without charge.

34. “Retailer” includes every seller who makes any retail sale or sales of tangible personal property. A retail sale is any sale defined as such by the sales and use tax laws of the state.

35. “Searchlights” means the business of advertising by means of portable searchlights or arc lights or light-producing apparatus or equipment.

36. “Service” includes all business activities involving the providing of labor, together with the furnishing of incidental materials in connection therewith, i.e., labor performed in the interest and under the direction of others, except as such business activity may be more specifically included in some other category. This classification includes local businesses only.

37. “Sheriff’s sales” means the selling or offering for sale any goods, wares or merchandise, advertised or designated as sheriff’s, assignee’s, creditor’s, consignee’s, bankrupt’s, trustee’s, receiver’s, or special sales or special bargain sales of goods damaged by fire, water or otherwise; provided, however, that this definition shall not apply to sales of goods, wares or merchandise that are actually in good faith under the control of the sheriff, or of the assignee, trustee in bankruptcy or receiver of any court of the United States or of the state, nor to goods, wares or merchandise that have been damaged within the city and which are being disposed of in good faith to close out the same.

38. “Taxicab” means an automobile that carries passengers for a fare, usually determined by the distance travelled.

39. “Wholesaler” means and includes every seller who makes any sale or sales of tangible personal property for resale. (Ord. No. 2258, § 2, 2013.)

18.2-1 Telephone number.

No business shall be licensed hereunder, and no business license issued shall be renewed, unless the licensee provides the license collector with a written statement containing all current and operational business telephone numbers of the licensed business, and current and operational emergency telephone numbers that will allow the public safety agency immediate contact with each owner and manager of the licensed business in the event of an emergency situation. A licensee who conducts a licensed business at his or her residence shall not be required to provide a current and operational emergency number. (Ord. No. 1857, § 1; Ord. No. 2258, § 3, 2013.)

18.3 Substitute for other revenue ordinances.

Persons required to pay a license tax for transacting and carrying on any business under this chapter shall not be relieved from the requirements of any other permits, fees or taxes required pursuant to other applicable federal, state or local laws, and shall remain subject to the regulatory provisions of other ordinances and chapters of this Code. (Ord. No. 1595, § 1; Ord. No. 2258, § 3, 2013.)

18.4 Repealed by Ordinance No. 2258.

18.5 Business violating law.

No license and/or permit issued pursuant to this chapter shall be construed as authorizing the conduct of, or continuance of, any unlawful business or the provision or sale of any service or product that is illegal under the laws of the United States, the laws of the state of California, or any ordinance of the city. No license and/or permit shall be issued to any unlawful businesses providing or selling illegal services or products. Licenses and/or permits issued to unlawful businesses providing or selling illegal services or products shall be subject to revocation in accordance with Section 18.35 or 18.82. (Ord. No. 1595, § 1; Ord. No. 2198, § 1, 2009; Ord. No. 2258, § 5, 2013.)

18.6 License nontransferable.

No license hereunder shall be transferred or assigned, nor shall such license be construed as authorizing any person other than the licensee to engage in the licensed business. (Ord. No. 1595, § 1.)

18.7 Licenses that are exempt from a tax.*

(a) No license tax shall be required for, of or from the following businesses:

(1) Those exempt from municipal license tax by virtue of the United States and California Constitution and the laws of this state or the United States;

(2) Any institution or organization that is conducted wholly for the benefit of non-profit and/or charitable purposes and from which profit is not derived either directly or indirectly by any person; nor shall any license be required for the conducting of any event, including, but not limited to, entertainment, dance, concert, exhibition, or lecture whenever the receipts from the same are to be appropriated to any non-profit and/or charitable purpose within the city; nor shall any license be required for the conducting of any event, including, but not limited to, 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 person. Nothing in this chapter contained shall be deemed to exempt any such institution or organization from complying with the provisions of this Code requiring such institution or organization to obtain a permit from the city council or proper officer to conduct, manage, or carry on any business;

(3) Any honorably discharged soldier, sailor or marine of the United States selling goods, wares, or merchandise made by him or her; and who exhibits his or her authenticated discharge papers and an application approved by the license collector of the city;

(4) Any employee or direct agent of a licensee conducting the business of such licensee;

(5) Sale or public auction of articles or personal property belonging to residents of the city, which articles shall not be a stock in trade or any part of any stock in trade of any kind, provided such sale or auction is limited to the days and frequencies set forth in Section 36.410.050(B)(2)(d) of this Code;

(6) Domestic servants, dressmakers, or music teachers doing business at their homes or at the homes of their customers, not employing helpers, nor from persons transporting or operating, without compensation, vehicles from points within the city to points outside the city for repairs or servicing;

(7) Foster homes.

(b) Any person claiming an exemption pursuant to this section shall file a certified statement with the license collector stating the facts upon which exemption is claimed. The license collector shall, upon a showing that the applicant is entitled to an exemption pursuant to this section, issue a license to such person claiming exemption under the subdivisions of this section without payment to the city of the license tax required by this chapter.

(c) In all cases of doubt as to any applicant being entitled to an exemption from any license tax or from the application of any of the provisions of this chapter, the burden of establishing the right of such exemption shall be upon the applicant. All applications for exemption in such cases shall be referred to the license collector who shall, in the interests of justice, grant or deny the exemption. In the event the license collector denies an exemption, the applicant may appeal to the city manager for a review of such matter.

(d) Nothing in this section or any subsection hereof shall exempt any person from complying with any of the regulatory measures or provisions of this chapter or any other ordinance of the city. (Ord. No. 1595, § 1; Ord. No. 2258, § 6, 2013.)

* For state law as to persons exempted from license charges, see Business and Professions Code, §§ 16001 and 16002.

18.8 Mistake in amount.

In no event shall any mistake made by the license collector in stating the amount of the license fee or in receiving the license fee prevent or prejudice the collection by the city of the amount actually due, together with all costs of collection, from any person for conducting any business activity without a license or for refusing to pay the license fees specified herein. Overpayments shall be reimbursed upon approval of the license collector. (Ord. No. 1595, § 1.)

18.9 Penalties for failure to pay tax when due.

If any license tax shall remain unpaid at the end of the calendar month in which it becomes due and payable, a penalty of five percent of the total annual tax shall be added for each month that it remains unpaid, not exceeding in the aggregate a total penalty of fifty percent of the license tax. Penalties so imposed shall be collected by the license collector. (Ord. No. 1595, § 1; Ord. No. 2258, § 7, 2013.)

18.10 License tax considered debt.

The amount of any license tax and penalty imposed by the provisions of this chapter shall be deemed a debt to the city, and any person carrying on any business without first having procured a license from the city shall be liable to an action in the name of the city in any court of competent jurisdiction for the amount of license tax and penalties imposed on such business. (Ord. No. 1595, § 1; Ord. No. 2258, § 7, 2013.)

18.11 Both criminal and civil action authorized for failure to pay license tax.

The conviction and fine or imprisonment of any person for engaging in any business without first obtaining a license to conduct such business, shall not relieve such person from paying the license tax to conduct such business, nor shall the payment of any license tax prevent a criminal prosecution for the violation of any of the provisions of this chapter. 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. No. 1595, § 1.)

18.12 Enforcement authority.

The police department shall have the authority to enter, free of charge, during reasonable business hours, any place of business for which a license is required by this chapter and to demand the exhibition of such license for the current term by any person engaged or employed in the transaction of such business; and if such person shall then and there fail to exhibit such license, such persons shall be liable to the penalty provided for violation of this Code. (Ord. No. 1595, § 1; Ord. No. 2258, § 8, 2013.)

18.13 Rules and regulations.

The license collector may make rules and regulations not inconsistent with the provisions of this chapter as may be necessary or desirable to aid in the enforcement of the provisions of this chapter. (Ord. No. 1595, § 1.)

18.14 Not to issue if debts outstanding.

No license for any ensuing, current, or unexpired license period shall knowingly be issued by the license collector to any person who, at the time of making application for any license, is indebted to the city for any unpaid fees required to be paid to the city under the provisions of this chapter or any other ordinance. (Ord. No. 1595, § 1.)

18.15 Repealed by Ordinance No. 2258.

ARTICLE II. LICENSE PROCEDURE

18.20 License required.

(a) There is hereby imposed, upon the businesses, trades, professions, callings and occupations specified in this chapter, a license tax in the amount hereinafter prescribed.

(b) 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 and complying with any and all applicable provisions of this chapter.

(c) Every person who operates any business, whether upon a cost, rental or commission basis as a concession or upon rented floor space in or upon the premises of any person licensed under any provision of this chapter, shall be required to obtain a separate and independent license pursuant to the appropriate provisions hereof, and shall be subject to all provisions of this chapter.

(d) Any public utility operating within the city of South Pasadena under a franchise or franchises from the city and making franchise payments thereunder shall not be subject to a gross receipts license tax.

(e) This section shall not be construed to require any person to obtain a license prior to doing business within the city if such requirement conflicts with applicable statutes of the United States or of the state of California. (Ord. No. 1595, § 1; Ord. No. 2258, § 10, 2013.)

18.21 Separate business.

Separate licenses must be obtained for each branch, establishment or separate place of business in which the business is conducted; except that accessory structures used in connection with and incidental to a business licensed under the provisions of this chapter shall not be deemed to be separate places of business or branch establishments. (Ord. No. 1595, § 1.)

18.22 Two or more businesses.

(a) In the event that any person is conducting, managing or carrying on, at one location, more than one business required to be licensed hereunder (or is conducting one business that might be classified in one or more groups), such person shall only pay the highest license tax provided herein for any of the businesses so conducted.

(b) For purposes of this section: (1) vending machines; and (2) games of skill and science, shall be treated as a separate business as to which a full and separate license fee shall be paid unless such vending machines are operated by an otherwise licensed person, who is the owner of the goods being sold by such vending machines and which are operated only as an incident to another licensed business. (Ord. No. 1595, § 1; Ord. No. 2258, § 10, 2013.)

18.23 No license transferable—Amended license for changed location.

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 ten dollars or a fee as set by city council resolution, 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. No. 1595, § 1; Ord. No. 1750, § 1; Ord. No. 2258, § 10, 2013.)

18.24 Repealed by Ordinance No. 2258.

18.25 Duplicate license.

A duplicate license may be issued by the license collector or a replacement license may be issued to replace any license previously issued hereunder which has been lost or destroyed, upon the licensee paying to the license collector a duplicate license fee of ten dollars, or a fee set by city council resolution. (Ord. No. 1595, § 1; Ord. No. 1750, § 1; Ord. No. 2258, § 12, 2013.)

18.26 Posting and keeping licenses.

All licenses must be kept and posted in the following manner:

(a) Any licensee transacting and carrying on business at a fixed place of business in the city shall keep the license posted in a conspicuous place upon the premises where such business is carried on.

(b) Any licensee transacting and carrying on business but not operating at a fixed place of business in the city shall keep the license upon his or her person at all times while transacting and carrying on such business.

(c) Any licensee to whom a license has been issued for the operation of a wheeled vehicle shall be issued by the license collector, in addition to the license certificate, a paper or metal license certificate and the certificate shall at all times during the effective dates thereof be affixed to the windshield or left front door in the case of a sticker, or on the rear of the vehicle in a conspicuous place in case of a metal license plate. (Ord. No. 1595, § 1; Ord. No. 2258, § 12, 2013.)

18.27 Application—Contents of license.

Every person required to have a license under the provisions of this chapter, shall make application for the same to the license collector of the city and upon the payment of the prescribed tax the license collector shall issue to such person a license that shall contain:

(a) The name of the person to whom the license is issued;

(b) The name of the business licensed;

(d) The date of the expiration of such license;

(e) Such other information as may be necessary for the enforcement of the provisions of this chapter. (Ord. No. 1595, § 1; Ord. No. 2258, § 12, 2013.)

18.28 Rates.

The amount of license tax to be paid to the city by any person engaged in or carrying on any profession, trade, calling, occupation or business under the provisions of this chapter, is hereby fixed and established in Article III of this chapter. (Ord. No. 1595, § 1; Ord. No. 2258, § 12, 2013.)

18.29 Affidavit for license.

(a) In all cases where the amount of license tax to be paid by any person is based upon the number of owners, officers and employees engaged in the conduct of the business, it shall be the duty and obligation of the applicant to file with the license collector, simultaneously with the filing of the application or as a part thereof, a written statement showing the average number of individuals engaged, employed or used in the conduct of such business during the six-month period immediately prior to the filing of the application and such number of individuals shall determine the license fee to be paid in accordance with the schedule herein provided.

In determining the number of owners, officers, and employees engaged in the conduct of the business during the preceding six months, the number of owners, officers and employees in excess of one at the beginning of such period shall be added to those engaged in the business at the end of such period and the sum divided by two.

If the application is for a new, previously unlicensed business, such application or written statement shall estimate the number of individuals proposed to be engaged, employed or used in the conduct of the business, which estimate shall be reconciled in accordance with the facts when the succeeding annual renewal of the license certificate is applied for at which time the license fee shall be adjusted accordingly.

(b) Such statements or estimates shall not be conclusive upon the city or upon any officer thereof as to the matters set forth therein, and the same shall not prejudice the rights of the city to recover any amount that might be ascertained to be due from such person, in addition to the amount shown by such statement to be due in case such statements are found to be incorrect. The correctness of all such statements shall be subject to the verification by the license collector of the city or properly authorized deputies who are hereby authorized and empowered to inspect and audit the books and records of any and all persons licensed to carry on any trade, business, occupation or calling in this chapter specified; except utilities operating under the jurisdiction of the Public Utilities commission of the state of California.

(c) If any person fails to file any required statement within the prescribed time, the license collector shall assess the maximum license rate prescribed for the profession, trade, calling or occupation carried on by such person as hereinabove provided by giving written notice of the amount assessed by serving it personally or by depositing it in a United States post office, postage prepaid, addressed to the person so assessed, at his or her last known address. Such person may, within ten days after mailing or serving of such notice, make application in writing to the license collector for a hearing, on the amount of the license tax. If such application is not made within the time prescribed, the assessment shall become final.

(d) The license collector shall not issue to any such person another license for the same or any other business until such person shall have furnished to him or her the written statements and/or paid the license tax as herein required. (Ord. No. 1595, § 1.)

18.30 Numbered plates.

The license collector shall issue numbered plates or stickers to each licensee who is issued a license for conducting business by vehicle; one plate for each vehicle, which plate shall be placed conspicuously on each vehicle. The plate or sticker shall not be placed on a vehicle not used by the licensee for the business, nor shall any person drive or operate a vehicle engaged in a business upon which no plate or sticker is placed, except as provided herein. (Ord. No. 1595, § 1; Ord. No. 2258, § 13, 2013.)

18.31 Date of licenses.

Annual licenses for business by vehicle and vending machines shall date from the first day of January of each year; all other annual licenses issued under this article may be issued at any time, which licenses shall expire one year from issuance; quarterly licenses shall date from the first day of January, April, July and October, respectively; monthly licenses may be issued at any time, which licenses expire thirty days from issuance; daily or weekly licenses shall be due and payable each day or week in advance. Renewal licenses shall become delinquent on or after the due date and new licenses become delinquent upon the date of commencement of the operation of the business. (Ord. No. 1595, § 1; Ord. No. 1763, § 1.)

18.32 How and when payable—Proration.

Annual licenses for business by vehicle and vending machines shall be due and payable in lawful money of the United States in advance on the first day of January of each year. Any person doing business for less than the full year for business by vehicle or vending machines shall be required to pay the amount of the license tax for a full year, except that the tax for any such license issued after the first one-half of any year shall be fifty percent of the annual license tax prescribed for such business. Except as otherwise herein provided, license taxes, required hereunder, shall not be prorated and shall be due and payable in advance as follows:

(a) Annual license taxes on the first day of the renewal period or commencement of business;

(b) Quarterly license taxes on the first day of January, April, July and October of each year;

(d) Weekly license taxes on first day of business;

(e) Daily license taxes each day in advance.

No greater or less license tax or amount of money shall be charged or received than is provided for in Article III of this chapter and no license shall be issued or authorized for any period of time other than or different from that provided in this chapter. (Ord. No. 1595, § 1: Ord. No. 1763, § 1; Ord. No. 2258, § 13, 2013.)

18.33 Identification stickers required.

Concurrently with the issuance of a license for any mechanical amusement device that furnishes or may be operated as a game, contest or amusement, or any vending machine, weighing machine, or machine or device furnishing astrological readings, foot-ease service, automatic shoe shining, automatic instrumental or phonographic music, or any machine or device in the city that dispenses a service, food, drink or merchandise, the license collector shall issue an identification sticker for each machine or device, which sticker shall show the expiration date of the license and shall be attached at all times to the machine or device in plain sight.

A substitution of a particular device or machine at the place of business specified on the license may be made at the option of the owner or operator at any time during the period designated in the license, where the particular device or machine is substituted by a device or machine of the same type and the owner or operator has notified the license collector of the substitution. (Ord. No. 1595, § 1; Ord. No. 2258, § 13, 2013.)

18.34 Refund of tax.

No refunds shall be made of any license tax paid in accordance with the provisions of this chapter unless the conducting, managing or carrying on of the business described in the license certificate shall become unlawful either by act of the city council, or by act of some other legislative body having jurisdiction, or when payments thereon have been erroneously made by the licensee. (Ord. No. 1595, § 1; Ord. No. 2258, § 13, 2013.)

18.35 Revocation or suspension.

(a) Any license issued under this chapter is subject to revocation or suspension for cause in the manner provided herein.

(b) Complaints against any licensee seeking a revocation or suspension of license must be in writing and must set forth one or more of the enumerated grounds.

(c) A written report of the police department or any officer or employee of the city disclosing asserted violations of law or ordinance by the licensee shall be deemed a complaint within the meaning of this section. All complaints must be verified unless made by officers or employees in their official capacity.

(d) The following are the grounds that shall constitute the basis for the revocation or suspension of a business license:

(1) Continuance of the operations of the licensee shall be contrary to the public health, safety, peace, welfare or morals;

(2) Violations of any of the penal provisions of this chapter occurring at the business;

(3) Violations of any laws of the United States and/or the state of California occurring at the business;

(4) The misrepresentation of a material fact by any applicant in obtaining a license hereunder;

(5) The commission of any public offense involving moral turpitude charged against the licensee.

(e) The city council shall, by resolution, issue guidelines relating to the suspension and/or revocation of business licenses. (Ord. No. 2274, § 1, 2014.)

18.36 Revocation or suspension—Hearing.

Complaints must be filed with the city manager. If, after investigation, the city manager deems a complaint to warrant further consideration, the city manager must provide for a public hearing before a hearing officer to determine whether or not such license should be revoked or suspended. The city manager will notify the members of the city council whenever he or she is required to retain the services of a hearing officer under this section. (Ord. No. 2274, § 2, 2014.)

18.37 Revocation or suspension—Written notice of hearing.

(a) The city manager shall cause written notice of the time and place of the hearing on the complaint to be served on the licensee, and a copy provided to the complaining party. The hearing shall be set for a date not fewer than ten calendar days subsequent to the mailing of the notice. The notice shall be sent to the licensee by certified mail to the address as shown in the license records of the city, and enclosed with such notice shall be a copy of the complaint or report filed with the city manager.

(b) All hearings before the hearing officer shall be conducted informally and the hearing officer shall not be limited by the statutory rules of evidence or procedure, but shall make inquiry as the hearing officer deems advisable to protect the rights of the parties and to carry out the purposes of this chapter. The licensee shall be entitled to have witnesses subpoenaed, cross-examine witnesses, and to appear and give testimony with respect to the charges made against him or her. The hearing officer shall have the authority to exclude repetitive or irrelevant evidence.

(c) The decision of the hearing officer shall be final and conclusive and shall be binding upon the licensee, subject to the provisions of subsection (d) of this section. If the hearing officer shall order the revocation or suspension of a business license, no person whose license has been revoked shall thereafter conduct such business in the city for a period of twenty-four months, and no person whose license has been suspended shall conduct business in the city for the duration of the suspension.

(d) The time for filing a court challenge to a decision of the hearing officer is governed by Sections 1094.5 and 1094.6 of the California Code of Civil Procedure. Notice of the hearing officer’s decision and his or her findings shall include citation to Sections 1094.5 and 1094.6 of the California Code of Civil Procedure. (Ord. No. 2274, § 3, 2014.)

18.38 No refund or new licenses.

Upon revocation of a license, no part of the license tax collected shall be returned but shall be forfeited to the city. When the license of any person is revoked for any cause, no new or other license shall be granted to such person for the same type of business within six months from the date of such revocation. (Ord. No. 1595, § 1; Ord. No. 2258, § 14, 2013.)

ARTICLE III. SCHEDULE OF RATES

18.50 Repealed by Ordinance No. 2258.

18.51 Classifications.

All persons engaged in or carrying on any profession, trade, calling, occupation or business in or into the city are classified in nine groups as follows:

(a) Professional;

(b) Retail;

(d) Manufacturers;

(e) Services;

(f) Contractors;

(g) Business by vehicle;

(h) Specialty businesses;

(i) Not otherwise classified. (Ord. No. 1595, § 1; Ord. No. 2258, § 16, 2013.)

18.52 Rates generally.

The rates in Sections 18.53 through 18.61 shall be applied to the business classifications set forth in Section 18.51 hereof. (Ord. No. 1595, § 1; Ord. No. 1750, § 1.)

18.53 Professional classification rates.

The license fee for the professional classification shall be based upon the number of owners, officers and employees as set and adjusted by resolution of the city council. (Ord. No. 1595, § 1; Ord. No. 1678, § 2; Ord. No. 1750, § 1; Ord. No. 1778, § 1; Ord. No. 2005, § 1.)

18.54 Retail classification rates.

The license tax for the retail classification shall be based upon the number of owners, officers and employees as set and adjusted by resolution of the city council.

This rate shall be applicable to all business activities in the retail classification, except as specifically set forth in Section 18.60. (Ord. No. 1595, § 1; Ord. No. 1750, § 1; Ord. No. 2005, § 1; Ord. No. 2258, § 16, 2013.)

18.55 Wholesale classification rates.

The license tax for the wholesale classification shall be based upon the number of owners, officers and employees as set and adjusted by resolution of the city council.

This rate shall be applicable to all business activities in the wholesale classification, except as specifically set forth in Section 18.60. (Ord. No. 1595, § 1; Ord. No. 1750, § 1; Ord. No. 2005, § 1; Ord. No. 2258, § 16, 2013.)

18.56 Manufacturers classification rates.

The license fee for the manufacturers classification shall be based upon the number of owners, officers and employees as set and adjusted by resolution of the city council.

This rate shall be applicable to all business activities in the manufacturers classification, except as specifically set forth in Section 18.60. (Ord. No. 1595, § 1; Ord. No. 1750, § 1; Ord. No. 2005, § 1.)

18.57 Service classification rates.

The license fee for the service classification shall be based upon the number of owners, officers and employees as set and adjusted by resolution of the city council.

This rate shall be applicable to all business activities in the service classification, except as specifically set forth in Section 18.60. (Ord. No. 1595, § 1; Ord. No. 1750, § 1; Ord. No. 2005, § 1.)

18.58 Contractors and building tradesmen classification rates.

The license tax for the contractors and building tradesmen classification shall be based upon a flat rate as follows:

(a) All contractors and building tradesmen contracting in this city for less than five thousand dollars in gross receipts on an anticipated cumulative basis in any fiscal year, as set and adjusted by resolution of the city council;

(b) All contractors and building tradesmen contracting in this city for five thousand dollars or more but less than fifty thousand dollars in gross receipts on an anticipated cumulative basis in any fiscal year, as set and adjusted by resolution of the city council;

(c) All contractors and building tradesmen contracting in this city for fifty thousand dollars or more in gross receipts on an anticipated cumulative basis in any fiscal year, as set and adjusted by resolution of the city council;

(d) Sections of this Code pertaining to the proration of fees shall not be applicable to the contractors and building tradesmen classification;

(e) Any contractor or building tradesmen applying for a business license shall certify (under penalty of perjury) to the license collector the appropriate subclassification in which such contractor or building tradesmen is to be classified, the value of the job, starting date, and location of job. (Ord. No. 1595, § 1: Ord. No. 1678, § 3; Ord. No. 2005, § 1; Ord. No. 2258, § 16, 2013.)

18.59 Business by vehicle classification rates.

The license fee for business by vehicle classification shall be based upon a flat rate as set and adjusted by resolution of the city council.

This rate shall be applicable to all business activities in the business by vehicle classification, except as specifically set forth in Section 18.60 and except as to those businesses licensed under other classifications. (Ord. No. 1595, § 1; Ord. No. 1750, § 1; Ord. No. 2005, § 1.)

18.60 Specialty business classification.

The license tax for specialty businesses shall be as set and adjusted by resolution of the city council.

(1) Advertising structures, signs, displays (billboards);

(2) Advertising vehicles;

(3) Apartments, hotels, dwelling units;

(4) Auctions;

(5) Boardinghouses or lodginghouses;

(6) Bowling alleys;

(7) Christmas trees, wreaths;

(8) Circuses, carnivals, menageries, rodeos;

(9) Exhibiting trained animals (other than circus, theater, etc.);

(10) Firearms;

(11) Firing ranges;

(12) Fortunetelling;

(13) Gardeners;

(14) Hospitals;

(15) Laundry and dry cleaning;

(16) Machines—Games of skill—Photo vending;

(17) Motion picture and television, for profit;

(18) Motion picture theaters and theatrical performances;

(19) Single production;

(20) Nursery, nursery school, class, classes, private school;

(21) Patrolman (See Section 25.1 et seq.);

(22) Patrol system (See Section 25.1 et seq.);

(23) Pawnbroker (See Section 22.1 et seq.);

(24) Peddler (foot);

(25) Peddler (using wheeled vehicle);

(26) Public dance hall;

(27) Searchlights;

(28) Secondhand dealers (See Section 22.1 et seq.);

(29) Sharpening tools;

(30) Sheriff’s sale, assignee’s, bankruptcy sales;

(31) Sideshows, rides, merry-go-round, etc.;

(32) Skating rinks, shooting galleries, racetracks;

(33) Taxicab drivers (See Section 33.1 et seq.);

(34) Taxicab owners (See Section 33.1 et seq.);

(35) Vendors (itinerant). (Ord. No. 1595, § 1: Ord. No. 1652, § 1; Ord. No. 1661, § 1; Ord. No. 1750, § 1; Ord. No. 1760, § 3(c); Ord. No. 1778, § 2; Ord. No. 1885, § 3; Ord. No. 2005, § 1; Ord. No. 2258, § 16, 2013.)

18.61 Businesses not otherwise classified.

Every person engaging in a business, profession or occupation not specifically mentioned in this article, and who maintains a fixed place of business in the city, either from business establishment or residence, shall pay a license fee as set and adjusted by resolution of the city council. (Ord. No. 1595, § 1; Ord. No. 1750, § 1; Ord. No. 2005, § 1.)

18.62 Repealed by Ordinance No. 2258.

ARTICLE IIIA. SALES AND USE TAX

18.63 Short title.

This article shall be known as the Uniform Local Sales and Use Tax Ordinance. (Ord. No. 1641, § 1; Ord. No. 1983, § 68.)

18.64 Rate.

The rate of sales tax and use tax imposed by this article shall be one percent. (Ord. No. 1641, § 2; Ord. No. 1983, § 68.)

18.65 Operative date.

This article shall be operative on January 1, 1974. (Ord. No. 1641, § 3; Ord. No. 1983, § 68.)

18.66 Purpose.

The city council declares that this article is adopted to achieve the following, among other, purposes, and directs that the provisions hereof be interpreted in order to accomplish those purposes:

(a) To adopt a sales and use tax ordinance which complies with the requirements and limitations contained in Part 1.5 of Division 2 of the Revenue and Taxation Code;

(b) To adopt a sales and use tax ordinance which incorporates provisions identical to those of the Sales and Use Tax Law of the state of California insofar as those provisions are not inconsistent with the requirements and limitations contained in Part 1.5 of Division 2 of the Revenue and Taxation Code;

(c) To adopt a sales and use tax ordinance which imposes a tax and provides a measure therefor that can be administered and collected by the State Board of Equalization in a manner that adopts itself as fully as practicable to, and requires the least possible deviation from the existing statutory and administrative procedures followed by the State Board of Equalization in administering and collecting the California State sales and use taxes;

(d) To adopt a sales and use tax ordinance which can be administered in a manner that will, to the degree possible consistent with the provisions of Part 1.5 of Division 2 of the Revenue and Taxation Code, minimize the cost of collecting city sales and use taxes and at the same time minimize the burden of record keeping upon persons subject to taxation under the provisions of this article. (Ord. No. 1641, § 4; Ord. No. 1983, § 68.)

18.67 Contract with state.

Prior to the operative date this city shall contract with the State Board of Equalization to perform all functions incident to the administration and operation of this sales and use tax chapter; provided, that if this city shall not have contracted with the State Board of Equalization prior to the operative date, it shall nevertheless so contract and in such a case the operative date shall be the first day of the first calendar quarter following the execution of such a contract rather than the first day of the first calendar quarter following the adoption of this article (October 3, 1973). (Ord. No. 1641, § 5; Ord. No. 1983, § 68.)

18.68 Sales tax.

For the privilege of selling tangible personal property at retail a tax is imposed upon all retailers in the city at the rate stated in Section 28.2 of the gross receipts of the retailers from the sale of all tangible personal property sold at retail in this city on and after the operative date. (Ord. No. 1641, § 6; Ord. No. 1983, § 68.)

18.69 Place of sale.

For the purposes of this article, all retail sales are consummated at the place of business of the retailer unless the tangible personal property sold is delivered by the retailer or agent to an out-of-state destination or to a common carrier for delivery to an out-of-state destination. The gross receipts from such sales shall include delivery charges, when such charges are subject to the state sales and use tax, regardless of the place to which delivery is made. In the event a retailer has no permanent place of business in the state or has more than one place of business, the place or places at which the retail sales are consummated shall be determined under rules and regulations to be prescribed and adopted by the State Board of Equalization. (Ord. No. 1641, § 7; Ord. No. 1983, § 68.)

18.70 Use tax.

An excise tax is imposed on the storage, use or other consumption in this city of tangible personal property purchased from any retailer on and after the operative date for storage, use or other consumption in this city at the rate stated in Section 28.2 of the sales price of the property. The sales price shall include delivery charges when such charges are subject to state sales or use tax regardless of the place to which delivery is made. (Ord. No. 1641, § 8; Ord. No. 1983, § 68.)

18.71 Adoption of provisions of state law.

Except as otherwise provided in this article and except as insofar as they are inconsistent with the provisions of Part 1.5 of Division 2 of the Revenue and Taxation Code, all of the provisions of Part 1 of Division 2 of the Revenue and Taxation Code are adopted and made a part of this article as though fully set forth herein. (Ord. No. 1641, § 9; Ord. No. 1983, § 68.)

18.72 Limitations on adoption of state law.

In adopting the provisions of Part 1 of Division 2 of the Revenue and Taxation Code, wherever the state of California is named or referred to as the taxing agency, the name of this city shall be substituted therefor. The substitution, however, shall not be made when the word “state” is used as part of the title of the State Controller, the State Treasurer, the State Board of Control, the State Board of Equalization, the State Treasury, or the Constitution of the State of California; the substitution shall not be made when the result of that substitution would require action to be taken by or against the city, or any agency thereof rather than by or against the State Board of Equalization, in performing the functions incident to the administration or operation of this article, the substitution shall not be made in those sections, including, but not necessarily limited to, sections referring to the exterior boundaries of the state of California, where the result of the substitution would be to provide an exemption from this tax with respect to certain sales, storage, use or other consumption of tangible personal property which would not otherwise be exempt from this tax while such sales, storage, use or other consumption remain subject to tax by the state under the provisions of Part 1 of Division 2 of the Revenue and Taxation Code, or to impose this tax with respect to certain sales, storage, use or other consumption of tangible personal property which would not be subject to tax by the state under the provisions of that code; the substitution shall not be made in Section 6701, 6702 (except in the last sentence thereof), 6711, 6715, 6737, 6797 or 6828 of the Revenue and Taxation Code; and the substitution shall not be made for the word “state” in the phrase “retailer engaged in business in this state” in Section 6203 or in the definition of that phrase in Section 6203. (Ord. No. 1641, § 10; Ord. No. 1983, § 68.)

18.73 Permit not required.

If a seller’s permit has been issued to a retailer under Section 6067 of the Revenue and Taxation Code, an additional seller’s permit shall not be required by this article. (Ord. No. 1641, § 11; Ord. No. 1983, § 68.)

18.74 Exclusions and exemptions.

(a) The amount subject to tax shall not include any sales or use tax imposed by the state of California upon a retailer or consumer.

(b) The storage, use or other consumption of tangible personal property, the gross receipts from the sale of which have been subject to tax under a sales and use tax ordinance enacted in accordance with Part 1.5 of Division 2 of the Revenue and Taxation Code by any city and county, county or city in this state shall be exempt from the tax due under this chapter.

(c) There are exempted from the computation of the amount of sales tax the gross receipts from the sale of tangible personal property to operators of aircraft to be used or consumed principally outside the city in which the sale is made and directly and exclusively in the use of such aircraft as common carriers of persons or property under the authority of the laws of this state, the United States or any foreign government.

(d) In addition to the exemptions provided in Sections 6366 and 6366.1 of the Revenue and Taxation Code the storage, use or other consumption of tangible personal property purchased by operators directly and exclusively in the use of such aircraft as common carriers of persons or property for hire or compensation under a certificate of public convenience and necessity issued pursuant to the laws of this state, the United States or any foreign government is exempted from the use tax. (Ord. No. 1860 §§ 1, 4; Ord. No. 1641, § 12; Ord. No. 1983, § 68.)

18.75 Amendments.

All subsequent amendments of the Revenue and Taxation Code which relate to the sales and use tax and which are not inconsistent with Part 1.5 of Division 2 of the Revenue and Taxation Code shall automatically become a part of this article. (Ord. No. 1641, § 15; Ord. No. 1983, § 68.)

18.76 Enjoining collection forbidden.

No injunction or writ of mandate or other legal or equitable process shall issue in any suit, action or proceeding in any court against the state or this city, or against any officer of the state or this city, to prevent or enjoin the collection under this article, or Part 1.5 of Division 2 of the Revenue and Taxation Code, of any tax or any amount of tax required to be collected. (Ord. No. 1641, § 16; Ord. No. 1983, § 68.)

18.77 Penalties.

Any person violating any of the provisions of this article is guilty of a misdemeanor, and upon conviction thereof shall be punishable by a fine of not more than one thousand dollars or by imprisonment for a period of not more than six months, or by both such fine and imprisonment. (Ord. No. 1641, § 17; Ord. No. 1983, § 68.)

ARTICLE IV. BUSINESS REGULATION

18.80 Permit required for certain businesses.

No person shall operate, and no license shall be issued for, any of the following businesses until a permit has first been obtained upon application in writing for such permit pursuant to this article:

(a) Advertising vehicles;

(b) Auctioneers;

(d) Bookstores or magazine stores, if no sales to minors;

(e) Bowling alleys;

(f) Circuses (primary business);

(g) Classes;

(h) Entertainment, with dance or performers;

(i) Escort or dating service, or related social services;

(j) Firearms;

(k) Firing range;

(l) Public dancehalls;

(m) Racetracks (auto, bicycle, motorcycle);

(n) Rides—Carnivals, merry-go-rounds, etc.;

(o) Rodeos;

(p) Sideshows;

(q) Skating rinks;

(r) Stables. (Ord. No. 2258, § 18, 2013.)

18.81 Application.

The application for any permit required by this article shall be filed with the license collector, shall be signed and verified by the applicant and shall set forth the following:

(a) The name and address of the applicant;

(b) The name and address of the persons by whom employed, if any;

(d) The place where such business is to be conducted;

(e) A brief description of the nature and amount of equipment to be used in such business;

(f) The applicant shall provide valid government-issued identification;

(g) Fingerprints and thumbprints of applicant. (Ord. No. 2258, § 18, 2013.)

18.82 Grant, denial, suspension or revocation of permit.

The city manager shall, after investigation of the permit application, or of a complaint relating to a permitted business, grant, deny, suspend or revoke a permit:

(a) The permit shall be granted if the applicant has provided a complete application and the proposed business complies with all applicable federal, state and local laws, including building and technical code requirements.

(b) If the permit is granted conditionally, the city manager shall impose such terms, conditions and restrictions upon the operation and conduct of the business, not in conflict with federal, state or local law, as necessary to guarantee compliance with the ordinances of the city.

(c) The city manager may deny a permit application, or suspend or revoke an existing permit, if he or she determines that the conduct of the business is or will be contrary to the ordinances of the city or otherwise conducted in an illegal, improper, or disorderly manner. For purposes of this article, the term “illegal” shall include violations of the laws of the United States, state of California, or any ordinance of the city.

(d) No permit for any business shall be revoked or suspended unless the permittee shall be adjudged guilty of a misdemeanor for violations of the provisions of this article, or unless a notice of revocation and public hearing be first given the permittee. (Ord. No. 2258, § 18, 2013.)

18.83 Appeals to independent hearing officer.

(a) If an application for a permit is denied by the city manager, or if an existing permit is revoked or suspended by the city manager, the applicant or permittee shall have the right to appeal the denial, revocation, or suspension of the permit at a hearing before an independent hearing officer. The city manager will notify the members of the city council whenever he or she is required to retain the services of a hearing officer under this section.

(b) If the person whose permit application was denied or whose existing permit was suspended or revoked desires to appeal the city manager’s decision, the person must file a written notice of appeal with the city clerk within fourteen days of the date of the denial, suspension or revocation of the permit. The matter shall be scheduled for hearing before the hearing officer, no more than thirty days from the receipt of the appeal. The city clerk must mail notice of the time and place of the hearing to the appellant, as well as any relevant materials, at least ten calendar days prior to the hearing.

(c) At the hearing, the hearing officer shall afford the applicant a reasonable opportunity to be heard, but it need not follow formal rules of evidence. The hearing officer may cut off the production of evidence that is unnecessarily repetitive or irrelevant.

(d) The hearing officer may affirm, affirm in part, or reverse the action taken by the city manager. In affirming the denial, suspension or revocation of any permit, the hearing officer shall make a finding that the business is not operating in compliance with all applicable federal, state or local laws. The hearing officer’s decision shall issue, in writing, within ten days of the hearing, and shall be delivered forthwith by certified U.S. mail to the appellant. The decision shall articulate the conclusion of the hearing officer, his or her findings of fact and findings of law.

(e) The time for filing a court challenge to a decision of the independent hearing officer is governed by Sections 1094.5 and 1094.6 of the California Code of Civil Procedure. Notice of the independent hearing officer’s decision and its findings shall include citation to Sections 1094.5 and 1094.6 of the California Code of Civil Procedure. (Ord. No. 2258, § 18, 2013.)

18.84 Repealed by Ordinance No. 2258.

18.85 Permit fees.

The fee for filing an application for any permit mentioned in this article shall be as set and adjusted by resolution of the city council. The fees are intended to cover the actual costs of investigation and no part of such fees shall be waived or refunded. (Ord. No. 1595, § 1: Ord. No. 1760, § 3(b); Ord. No. 1750, § 1; Ord. No. 2005 § 1; Ord. No. 2258, § 20, 2013.)

18.86 Repealed by Ordinance No. 2258.

18.87 Repealed by Ordinance No. 2258.

18.88 Repealed by Ordinance No. 2258.

ARTICLE V. CLOSE-OUT SALES

18.90 Definitions.

For the purpose of this article, the following words and phrases shall have the meanings attributed to them as provided in this section:

(a) “Bankruptcy sale” means any sale, or offer to sell to the public or by invitation, of goods, wares, or merchandise in stock that have been involved in any business failure or have been derived from any business that has been adjudicated bankrupt, has been closed, has been discontinued, has been liquidated, or has been placed in receivership.

(b) “Close-out sale” means any sale, or offer to sell to the public or by invitation, of goods, wares, or merchandise, in furtherance of a declared purpose, when such sale is anticipatory of the termination, liquidation, revisions, windup, discontinuance, removal, relocation, dissolution, closing, or abandonment of a business conducted at any location.

(c) “Fire sale” means any sale, offer to sell to the public or any part thereof, of goods, wares, or merchandise that have been damaged or altered as the result of contact with, or exposure to, fire, smoke or water. (Ord. No. 2258, § 21, 2013.)

18.91 Permit—Required.

It is unlawful for any person to conduct a close-out sale, fire sale, or bankruptcy sale, as defined in this article, without first obtaining a permit from the license collector. (Ord. No. 2258, § 21, 2013.)

18.92 Persons exempt.

The provisions of this article shall not apply to, or affect, the following persons:

(a) Persons acting in their official capacities as public officials;

(b) Persons acting pursuant to process issued by a court of competent jurisdiction;

18.93 Permit—Application.

Any person desiring to apply for a permit to conduct a sale regulated by this article shall make a written application to the license collector, accompanied by a fee in the sum as set and adjusted by resolution of the city council.

(a) If the proposed sale is a bona fide close-out, fire or bankruptcy sale, the license collector shall issue the permit.

(b) The permit shall expire thirty days from date of issue. (Ord. No. 2258, § 21, 2013.)

18.94 Deposit required.

Every applicant shall submit to the city license collector a deposit as set and adjusted by resolution of the city council conditioned upon compliance with the provisions of this article. If the sale is conducted and completed in accordance with the provisions of this article, the deposit shall be returned to the applicant; if not so conducted and completed, the same shall be forfeited, but such forfeiture shall not affect any misdemeanor complaint or charge for violation of the provisions hereof. (Ord. No. 1633, § 2; Ord. No. 2005, § 1.)

18.95 Duties of permittee.

It is unlawful for any permittee:

(a) To conduct any sale not in conformity with the purposes stated on the permit application;

(b) To sell any goods, wares or merchandise not physically located on the licensed premises on the date(s) of the permitted sale. (Ord. No. 2258, § 21, 2013.)

18.96 Permit—Revocation.

The city license collector and the chief of police shall have the power to revoke at any time any permit granted hereunder whenever the permitted sale is being conducted in violation of any of the provisions of this Code; or in such a manner as to deceive or defraud the public; or if:

(a) The holder of any such permit has been adjudged of or pled guilty to any fraudulent practice in the conduct of the sale authorized by such permit;

(b) The holder of the permit has extended the sale to a location other than the permitted location;

(c) The holder of any such permit has violated any of the provisions contained in this article. (Ord. No. 2258, § 22, 2013.)

18.97 Appeal.

(a) Any administrative decision made pursuant to this article by the license collector or the chief of police may be appealed within ten calendar days thereafter to the city manager, who may affirm, modify or reverse the decision in writing forthwith. Notice of the city manager’s decision shall be served by certified U.S. mail.

(b) Pending the appeal before the city manager, the administrative decision shall remain in effect.

(c) The time for filing a court challenge to a decision of the city manager is governed by Sections 1094.5 and 1094.6 of the California Code of Civil Procedure. Notice of the hearing officer’s decision and his/her findings shall include citation to Sections 1094.5 and 1094.6 of the California Code of Civil Procedure. (Ord. No. 2258, § 22, 2013.)

18.98 Surrender of general license.

Upon being issued a close-out sale permit hereunder, the permittee shall surrender to the city license collector without refund all other business licenses he or she may then hold applicable to the location and goods covered by the sale permit. (Ord. No. 2258, § 22, 2013.)

18.99 Permit—Renewal.

Except as set forth herein, no permit issued under this article shall be renewable; provided, the city manager may, if he or she finds that the weather, holidays or other circumstances during the permit’s thirty-day period have worked unnecessary hardship on the permittee, renew the permit for a period of time not to exceed an additional thirty days. (Ord. No. 2258, § 22, 2013.)

ARTICLE VI. TOBACCO RETAILER PERMIT

18.101 Definitions.

The following words and phrases, whenever used in this article, shall have the meanings defined in this section unless the context clearly requires otherwise:

(a) “Arm’s length transaction” means a sale in good faith and for valuable consideration that reflects the fair market value in the open market between two informed and willing parties, neither of which is under any compulsion to participate in the transaction. A sale between relatives, related companies or partners, or a sale for which a significant purpose is avoiding the effect of the violations of this article is not an arm’s length transaction.

(b) “Department” means the finance department and any agency or person designated by the department to enforce or administer the provisions of this article.

(c) “Person” means any natural person, partnership, cooperative association, corporation, personal representative, receiver, trustee, assignee, or any other legal entity.

(d) “Proprietor” means a person with an ownership or managerial interest in a business. An ownership interest shall be deemed to exist when a person has a ten percent or greater interest in the stock, assets, or income of a business other than the sole interest of security for debt. A managerial interest shall be deemed to exist when a person can or does have or share ultimate control over the day-to-day operations of a business.

(e) “Self-service display” means the open display or storage of tobacco products or tobacco paraphernalia in a manner that is physically accessible in any way to the general public without the assistance of the retailer and a direct person-to-person transfer between the purchaser and the retailer. A vending machine is a form of self-service display.

(f) “Smoking” means possessing a lighted tobacco product, lighted tobacco paraphernalia, or any other lighted weed or plant (including a lighted pipe, cigar, hookah pipe, or cigarette of any kind), and means the lighting of a tobacco product, tobacco paraphernalia, or any other weed or plant (including a pipe, cigar, hookah pipe, or cigarette of any kind).

(g) “Tobacco product” means any substance containing tobacco leaf, including, but not limited to, cigarettes, cigars, pipe tobacco, hookah tobacco, snuff, chewing tobacco, dipping tobacco, snus, bidis, or any other preparation of tobacco; and any product or formulation of matter containing biologically active amounts of nicotine that is manufactured, sold, offered for sale, or otherwise distributed with the expectation that the product or matter will be introduced into the human body, but does not include any cessation product specifically approved by the United States Food and Drug Administration for use in treating nicotine or tobacco dependence.

(h) “Tobacco retailer” means any person who sells, offers for sale, or does or offers to exchange for any form of consideration, tobacco, tobacco products or tobacco paraphernalia. “Tobacco retailing” means the doing of any of these things. This definition is without regard to the quantity of tobacco, tobacco products, or tobacco paraphernalia sold, offered for sale, exchanged, or offered for exchange. A tobacco retailer can be a primary or accessory land use (as defined in SPMC 36.700.020 or its successor). (Ord. No. 2258, § 23, 2013.)

18.102 Requirements and prohibitions.

(a) Tobacco Retailer Permit Required. It is unlawful for any person to act as a tobacco retailer in the city without first obtaining and maintaining a valid tobacco retailer permit (“permit”) pursuant to this article for each location at which that activity is to occur. Tobacco retailing without a valid tobacco retailer permit is a nuisance as a matter of law.

(b) Lawful Business Operation. In the course of tobacco retailing or in the operation of the business or maintenance of the location for which a permit issued, it shall be a violation of this article for a permittee, or any of the permittee’s agents or employees, to violate any local, state, or federal law applicable to tobacco products or tobacco retailing.

(c) Display of Permit. Each tobacco retailer permit shall be prominently displayed in a publicly visible location at the permitted location.

(d) Positive Identification Required. No person engaged in tobacco retailing shall sell or transfer a tobacco product to another person who appears to be under the age of twenty-seven years without first examining the identification of the recipient to confirm that the recipient is at least the minimum age under state law to purchase and possess the tobacco product.

(e) Minimum Age for Persons Selling Tobacco. No person who is younger than the minimum age established by state law for the purchase or possession of tobacco products shall engage in tobacco retailing.

(f) Self-Service Displays Prohibited. Tobacco retailing by means of a self-service display is prohibited.

(g) False and Misleading Advertising Prohibited. A tobacco retailer or proprietor without a valid tobacco retailer permit, including, for example, a person whose permit has been suspended or revoked:

(1) Shall keep all tobacco products out of public view. The public display of tobacco products or tobacco paraphernalia in violation of this provision shall constitute tobacco retailing without a permit under Section 18.112; and

(2) Shall not display any advertisement relating to tobacco products or tobacco paraphernalia that promotes the sale or distribution of such products from the tobacco retailer’s location or that could lead a reasonable consumer to believe that such products can be obtained at that location. (Ord. No. 2184, § 2, 2009.)

18.103 Limits on eligibility for a tobacco retailer permit.

(a) No permit may issue to authorize tobacco retailing at other than a fixed location. For example, tobacco retailing by persons on foot or from vehicles is prohibited.

(b) No tobacco retailer may be located within five hundred feet of any public school as measured from the closest point on the property line of the parcels containing the retailer’s establishment and the school. Such measurement shall be in a straight line without regard to intervening structures. No existing business within five hundred feet of a public school may begin operation as a tobacco retailer after the effective date of the ordinance codified in this section. (Ord. No. 2258, § 23, 2013.)

18.104 Application procedure.

(a) Application for a tobacco retailer permit shall be submitted in the name of each proprietor proposing to conduct retail tobacco sales and shall be signed by each proprietor or an authorized agent thereof.

(b) It is the responsibility of each proprietor to be informed regarding all laws applicable to tobacco retailing, including those laws affecting the issuance of a tobacco retailer permit. No proprietor may rely on the issuance of a permit as a determination by the city that the proprietor has complied with all state and federal laws applicable to tobacco retailing. A permit issued contrary to this article, contrary to any other law, or on the basis of false or misleading information supplied by a proprietor shall be revoked pursuant to Section 18.111(d) of this article. Nothing in this article shall be construed to vest in any person obtaining and maintaining a tobacco retailer permit any status or right to act as a tobacco retailer in contravention of any provision of law.

(c) All applications shall be submitted on a form supplied by the department and shall contain the following information:

(1) The name, address, and telephone number of each proprietor of the business seeking a permit;

(2) The business name, address, and telephone number of the single fixed location for which a permit is sought;

(3) A single name and mailing address authorized by each proprietor to receive all communications and notices (the “authorized address”) required by, authorized by, or convenient to the enforcement of this article. If an authorized address is not supplied, each proprietor shall be understood to consent to the provision of notice at the business address specified in subsection (c)(2);

(4) Proof that the location for which a tobacco retailer permit is sought has been issued a valid state tobacco retailer permit by the California Board of Equalization;

(5) Whether or not any proprietor or any agent of the proprietor has admitted violating, or has been found to have violated, this article and, if so, the dates and locations of all such violations within the previous five years;

(6) A nonrefundable application fee, as set and as may be amended from time to time by city council resolution;

(7) Such other information as the department deems necessary for the administration or enforcement of this article as specified on the application form required by this section.

(d) A permitted tobacco retailer shall inform the department in writing of any change in the information submitted on an application for a tobacco retailer permit within ten business days of a change.

(e) All information specified in an application pursuant to this section shall be subject to disclosure under the California Public Records Act (California Government Code Section 6250 et seq.) or any other applicable law, subject to the laws’ exemptions. (Ord. No. 2258, § 24, 2013.)

18.105 Issuance of permit.

Upon the receipt of a complete application for a tobacco retailer permit and the permit fee required by this article, the department shall issue a permit unless substantial evidence demonstrates that one or more of the following bases for denial exists:

(a) The information presented in the application is inaccurate or false. Intentionally supplying inaccurate or false information shall be a violation of this article;

(b) The application seeks authorization for tobacco retailing at a location for which this article prohibits issuance of tobacco retailer permits. However, this subsection shall not constitute a basis for denial of a permit if the applicant provides the city with documentation demonstrating by clear and convincing evidence that the applicant has acquired or is acquiring the location or business in an arm’s length transaction;

(c) The application seeks authorization for tobacco retailing for a proprietor to whom this article prohibits a permit to be issued;

(d) The application seeks authorization for tobacco retailing that is prohibited pursuant to this article (e.g., mobile vending), that is unlawful pursuant to this Code including, without limitation the zoning code, building code, and business license tax code, or that is unlawful pursuant to any other law. (Ord. No. 2184, § 2, 2009.)

18.106 Permit renewal and expiration.

(a) Renewal of Permit. A tobacco retailer permit is invalid if the appropriate fee has not been timely paid in full or if the term of the permit has expired. The term of a tobacco retailer permit is one year. Each tobacco retailer shall apply for the renewal of his or her tobacco retailer permit and submit the permit fee no later than thirty days prior to expiration of the term.

(b) Expiration of Permit. A tobacco retailer permit that is not timely renewed shall expire at the end of its term. To renew a permit not timely renewed pursuant to subsection (a), the proprietor must:

(1) Submit the permit fee and application renewal form; and

(2) Submit a signed affidavit affirming that the proprietor:

(A) Has not sold and will not sell any tobacco product or tobacco paraphernalia after the permit expiration date and before the permit is renewed, or

(B) Has waited the appropriate ineligibility period established for tobacco retailing without a permit, as set forth in Section 18.112(a) of this article, before seeking renewal of the permit. (Ord. No. 2258, § 24, 2013.)

18.107 Permits nontransferable.

(a) A tobacco retailer permit may not be transferred from one person to another or from one location to another. A new tobacco retailer permit is required whenever a tobacco retailing location has a change in proprietorship.

(b) Notwithstanding any other provision of this article, prior violations at a location shall continue to be counted against a location and permit ineligibility periods shall continue to apply to a location unless:

(1) The location has been or is being fully transferred to a new proprietor in an arm’s length transaction; and

(2) The new proprietor provides the city with clear and convincing evidence that the new proprietor has acquired or is acquiring the location in an arm’s length transaction. (Ord. No. 2258, § 24, 2013.)

18.108 Permit conveys a limited, conditional privilege.

Nothing in this article shall be construed to grant any person obtaining and maintaining a tobacco retailer permit any status or right other than the limited conditional privilege to act as a tobacco retailer at the location identified on the face of the permit. For example, nothing in this article shall be construed to render inapplicable, supersede, or apply in lieu of, any other provision of applicable law, including, but not limited to, any provision of this Code including without limitation the zoning code, building codes, and business license tax code, or any condition or limitation on smoking in an enclosed place of employment pursuant to California Labor Code Section 6404.5. For example, obtaining a tobacco retailer permit does not make the retailer a “retail or wholesale tobacco shop” for the purposes of California Labor Code Section 6404.5. (Ord. No. 2258, § 24, 2013.)

18.109 Fee for permit.

The initial fee to issue or to renew a tobacco retailer permit is hereby established at one hundred twenty dollars or as set and amended from time to time by city council resolution. The fee shall be calculated so as to recover the cost of administration and enforcement of this article, including, for example, issuing a permit, administering the permit program, retailer education, retailer inspection and compliance checks, documentation of violations, and prosecution of violators, but shall not exceed the cost of the regulatory program authorized by this article. All fees and interest upon proceeds of fees shall be used exclusively to fund the program. Fees are nonrefundable except as may be required by law. (Ord. No. 2258, § 24, 2013.)

18.110 Compliance monitoring.

(a) Compliance with this article shall be monitored by the finance department. In addition, any peace officer may enforce the penal provisions of this article. The city may designate any number of additional persons to monitor compliance with this article.

(b) The department or other person designated to enforce the provisions of this article shall check the compliance of each tobacco retailer at least one time per twelve-month period. The department may check the compliance of new permit and tobacco retailers previously found in violation of the licensing law more frequently. Nothing in this subsection shall create a right of action in any permittee or other person against the city or its agents.

(c) Compliance checks shall be conducted so as to allow the department to determine, at a minimum, if the tobacco retailer is conducting business in a manner that complies with laws regulating youth access to tobacco. When the department deems appropriate, the compliance checks shall determine compliance with other laws applicable to tobacco retailing.

(d) The city shall not enforce any law establishing a minimum age for tobacco purchases or possession against a person who otherwise might be in violation of such law because of the person’s age (hereinafter “youth decoy”) if the potential violation occurs when:

(1) The youth decoy is participating in a compliance check supervised by a peace officer or a code enforcement official of the city of South Pasadena;

(2) The youth decoy is acting as an agent of a person designated by the city to monitor compliance with this article;

(3) The youth decoy is participating in a compliance check funded in part, either directly or indirectly through subcontracting, by the Los Angeles County department of health and/or Pasadena health department; or

(4) The youth decoy has an immunity letter from the district attorney’s office. (Ord. No. 2258, § 25, 2013.)

18.111 Suspension/revocation of permit.

(a) Suspension of Permit for Violation. In addition to any other penalty authorized by law, a tobacco retailer permit shall be suspended or revoked if any court of competent jurisdiction determines, or the department finds based on a preponderance of the evidence, after the permittee is afforded notice and an opportunity to be heard, that the permit, or any of the permittee’s agents or employees, has violated any of the requirements, conditions, or prohibitions of this article or has pleaded guilty, “no contest” or its equivalent, or admitted to a violation of any law designated in Section 18.102 of this article. A tobacco retailer or proprietor whose permit has been suspended is deemed not to have a valid tobacco retailer permit during the suspension period for purposes of this article.

(b) Tobacco Retailer Permit Suspension/Revocation.

(1) After suspension for a first violation of this article at a location within any twelve-month period, no person may engage in tobacco retailing at the location until fifteen days have passed from the date of suspension.

(2) After suspension for a second violation of this article at a location within any twenty-four-month period, no person may engage in tobacco retailing at the location until thirty days have passed from the date of suspension.

(3) After suspension for a third violation of this article at a location within any thirty-six-month period, no person may engage in tobacco retailing at the location until ninety days have passed from the date of suspension.

(4) After revocation for four or more violations of this article at a location within any forty-eight-month period, no new permit may issue for the location until one year has passed from the date of revocation.

(c) Appeal of Suspension/Revocation. A decision of the department to suspend or revoke a permit is appealable to the city manager and must be filed with the city clerk within ten days of mailing of the department’s decision. If such an appeal is made, it shall stay enforcement of the appealed action. An appeal to the city manager is not available for a suspension or revocation made pursuant to subsection (d) of this section.

(d) Revocation of Permit Wrongly Issued. A tobacco retailer permit shall be revoked if the department finds, after the permittee is afforded notice and an opportunity to be heard, that one or more of the bases for denial of a permit under Section 18.105 existed at the time application was made or at any time before the permit issued. The decision by the department shall be the final decision of the city. Such a revocation shall be without prejudice to the filing of a new permit application.

(e) Notice of City Manager Decision. The decision of the city manager (or of the department in the event of revocation pursuant to Section 18.111(d)) shall be mailed to the permittee within five working days of the hearing and shall be final. The decision shall make reference to the time limitation to file a writ to challenge the decision in Sections 1094.5 and 1094.6 of the Code of Civil Procedure. (Ord. No. 2258, § 25, 2013.)

18.112 Tobacco retailing without a permit.

(a) In addition to any other penalty authorized by law, if a court of competent jurisdiction determines, or the department finds based on a preponderance of evidence, after notice and an opportunity to be heard, that any person has engaged in tobacco retailing at a location without a valid tobacco retailer permit, either directly or through the person’s agents or employees, the person shall be ineligible to apply for, or to be issued, a tobacco retailing permit as follows:

(1) After a first violation of this section at a location within any sixty-month period, no new permit may issue for the person or the location (unless ownership of the business at the location has been transferred in an arm’s length transaction), until thirty days have passed from the date of the violation.

(2) After a second violation of this section at a location within any sixty-month period, no new permit may issue for the person or the location (unless ownership of the business at the location has been transferred in an arm’s length transaction), until ninety days have passed from the date of the violation.

(3) After a third or subsequent violation of this section at a location within any sixty-month period, no new permit may issue for the person or the location (unless ownership of the business at the location has been transferred in an arm’s length transaction), until five years have passed from the date of the violation.

(b) Tobacco products and tobacco paraphernalia offered for sale or exchange in violation of this section are subject to seizure by the department or any peace officer and shall be forfeited after the permittee and any other owner of the tobacco products and tobacco paraphernalia seized are given reasonable notice and an opportunity to demonstrate that the tobacco products and tobacco paraphernalia were not offered for sale or exchange in violation of this article. The decision by the department may be appealed pursuant to the procedures set forth in Section 18.111(c). Forfeited tobacco products and tobacco paraphernalia shall be destroyed after all internal appeals have been exhausted and the time in which to seek judicial review pursuant to California Code of Civil Procedure Section 1094.6 or other applicable law has expired without the filing of a writ or, if such a writ is filed, after judgment in that writ becomes final.

(c) For the purposes of the civil remedies provided in this article, the following shall constitute a separate violation of this article:

(1) Each day on which any tobacco product or tobacco paraphernalia is offered for sale in violation of this article; or

(2) Each individual retail tobacco product and each individual retail item of tobacco paraphernalia that is distributed, sold, or offered for sale in violation of this article. (Ord. No. 2258, § 25, 2013.)

18.113 Enforcement.

(a) Violations of this article are subject to a civil action brought by the city prosecutor or the city attorney, punishable by a civil fine not less than two hundred fifty dollars and not exceeding one thousand dollars per violation.

(b) Violations of this article may, in the discretion of the city prosecutor, be prosecuted as infractions or misdemeanors when the interests of justice so require.

(c) Causing, permitting, aiding, abetting, or concealing a violation of any provision of this article shall also constitute a violation of this article.

(d) Any violation of this article is hereby declared to be public nuisances.

(e) The remedies provided by this article are cumulative and in addition to any other remedies available at law or in equity. In addition to other remedies provided by this article or by other law, any violation of this article may be remedied by a civil action brought by the city attorney, including, for example, administrative or judicial nuisance abatement proceedings, civil or criminal code enforcement proceedings, and suits for injunctive relief. (Ord. No. 2258, § 25, 2013.)

ARTICLE VII. SIDEWALK VENDING PERMIT

18.120 Definitions.

As used in this chapter the following meanings shall apply:

(a) “Food” means any type of edible substance or beverage.

(b) “Roaming sidewalk vendor” means a sidewalk vendor who moves from place to place and stops only to complete a transaction.

(c) “Sidewalk vendor” means a person who sells food or merchandise from a pushcart, stand, display, pedal-driven cart, wagon, showcase, rack, or other nonmotorized conveyance, or from one’s person, upon a public sidewalk or other paved public pedestrian path.

(d) “Stationary sidewalk vendor” means a sidewalk vendor who vends from a fixed location. (Ord. No. 2327, § 3 (part), 2019.)

18.121 Sidewalk vending permits.

(a) Only sidewalk vendors with valid sidewalk vending permits issued by the public works director may vend upon the city’s public sidewalk or other paved public pedestrian path at various locations within the city from time to time.

(b) A sidewalk vending permit shall be valid for a period of one year from the date of issuance, unless sooner revoked or abandoned as set forth in this article. Revocation of a sidewalk vending permit shall comply with the procedures set forth in SPMC 18.35 through 18.37.

(1) A completed application form containing:

(A) Their name and mailing address;

(B) Description of the food or merchandise offered for sale or exchange;

(C) If the sidewalk vendor is an agent of an individual, company, partnership, or corporation, the name and business address of the principal and any owners of the company, partnership, or corporation; and

(D) Certification that the information is true to his or her knowledge and belief.

(2) A copy of a California’s driver’s license or identification number, an individual taxpayer identification number, or a social security number. Such information is not a public record and will remain confidential as required by Government Code Section 51038(c)(4).

(3) A copy of a valid California Department of Tax and Fee Administration seller’s permit, as required.

(4) A copy of a valid mobile food permit issued by the Los Angeles County department of public health, as required.

(d) To ensure the safety of residents and the merchantability of products sold by vendors without a fixed place of business, the city requires all sidewalk vending applicants to undergo a fingerprinting background check and to submit the results to the city as an attachment to their application.

(e) The sidewalk vending permit application shall require the applicant to agree, in writing, to comply with all the provisions of this chapter and all applicable provisions of the South Pasadena Municipal Code. (Ord. No. 2327, § 3 (part), 2019.)

18.122 General regulations.

(a) To maintain accessibility standards for the city’s disabled residents, every sidewalk vendor operating on any sidewalk or public paved pedestrian path must ensure that no obstruction is placed in the sidewalk or public paved pedestrian path that would reduce the width of the sidewalk to less than 48 inches, exclusive of the top of the curb.

(b) To prevent food-borne illness and protect the health and safety of the city’s residents, every sidewalk vendor selling any food or beverage is required to wear a hairnet and food service gloves.

(c) To prevent dangerous distractions and promote the general welfare of the city’s residents, sidewalk vendors emitting any loud, unnecessary and unusual noises must comply with SPMC 19A.23.

(d) A sidewalk vending permit does not provide an exclusive right to operate within any specific portion of the public sidewalk or paved pedestrian path.

(e) No equipment or objects used for sidewalk vending purposes may be left or maintained in public spaces or in any portion of the public right-of-way from 10:00 p.m. to 8:00 a.m. Any equipment or objects left overnight in public spaces or in any portion of the public right-of-way will be considered discarded and may be seized or disposed of by the city.

(f) To facilitate the enforcement of this chapter, every sidewalk vendor must display their city-issued sidewalk vending permit on the street-side portion of their pushcart, stand, display, pedal-driven cart, wagon, showcase, rack, or other nonmotorized conveyance when operating in the public sidewalk or paved pedestrian path.

(g) To prevent unintended rolling or slipping, a sidewalk vendor is prohibited from operating a pushcart, pedal-driven cart, wagon, or other nonmotorized conveyance on a public sidewalk or paved pedestrian path with a slope greater than three percent.

(h) No sidewalk vendor shall obstruct access to or from any business, entrance, public water fountain or other public facility adjacent to the public sidewalk or paved pedestrian path. (Ord. No. 2327, § 3 (part), 2019.)

18.123 Specific regulations.

(a) Sidewalk vending hours’ limitations in areas zoned for nonresidential use will be as restrictive as any limitations on hours of operation imposed on other businesses or uses on the same street, excluding those permitted to operate 24 hours.

(b) Sidewalk vending is limited to the hours of 9:00 a.m. through 5:00 p.m. for areas that are exclusively residential. Sidewalk vendors shall not leave their equipment or objects used for sidewalk vending purposes unattended or stored or maintained on any part of the sidewalk, public property or public right-of-way after vending has ceased for the day, and in no event between the hours of 5:00 p.m. to 9:00 a.m. in any residential area. Any equipment or objects left overnight in public spaces or in any portion of the public right-of-way will be considered discarded and may be seized or disposed of by the city.

(d) A stationary sidewalk vendor is prohibited from operating in a city park if the city has entered into exclusive agreements for the sale of food or merchandise by one or more concessionaires for that city park.

(e) A sidewalk vendor is prohibited from operating within 500 feet of a permitted certified farmers’ market, a permitted swap meet, or any area subject to a temporary use permit for the duration of the permit.

(f) A sidewalk vendor shall maintain a distance of 50 feet from any other sidewalk vendor. (Ord. No. 2327, § 3 (part), 2019.)

18.124 Violation—Administrative citation.

(a) Every person vending without a sidewalk vending permit is guilty of a violation punishable by an administrative citation pursuant to the procedures set forth in Chapter 1A SPMC in an amount not to exceed:

(1) Two hundred fifty dollars for a first violation; and

(2) Five hundred dollars for a second violation within one year of the first violation; and

(3) One thousand dollars for each additional violation within one year of the first violation.

(b) Every person violating any other provision of this chapter is guilty of a code violation punishable by an administrative citation not to exceed:

(1) One hundred dollars for a first violation; or

(2) Two hundred dollars for a second violation within one year of the first violation; or

(3) Five hundred dollars for each additional violation within one year of the first violation.

(4) The public works director may rescind a sidewalk vendor permit for the remaining term of the permit upon a fourth or subsequent violation of this chapter.

(c) Failure to pay an administrative fine is not punishable as an infraction or misdemeanor. Additional fines, fees, assessments, or any other financial conditions beyond those authorized will not be assessed. However, the city may levy a lien on the violator’s real or personal property, including the vehicle used for vending purposes.

(d) A violation of this article constitutes a separate and distinct violation for each day that it exists and each such violation may be subject to the maximum fine permitted under this chapter. (Ord. No. 2327, § 3 (part), 2019.)

18.125 Ability-to-pay determination.

(a) In addition to the applicable procedures set forth in Chapter 1A SPMC, any fine issued under SPMC 18.124 will be accompanied with a notice of and instruction regarding the right to request an ability-to-pay determination.

(b) If the requestor is receiving public benefits under Government Code Section 68632(a), or has a monthly income which is 125 percent or less than the current poverty guidelines updated periodically in the Federal Register by the United States Department of Health and Human Services, the public works director will limit the total amount of the requestor’s administrative fine to 20 percent of the total. (Ord. No. 2327, § 3 (part), 2019.)

ARTICLE VIII. TRANSACTIONS AND USE TAX

18.130 Title.

This article shall be known as the city of South Pasadena transactions and use tax ordinance. The city of South Pasadena will hereinafter be called “city.” This article shall be applicable in the incorporated territory of the city. (Ord. No. 2338, § 1 (part), 2019.)

18.131 Operative date.

“Operative date” means the first day of the first calendar quarter commencing more than 110 days after the adoption of the ordinance codified in this article (November 5, 2019). (Ord. No. 2338, § 1 (part), 2019.)

18.132 Purpose.

The ordinance codified in this article is adopted to achieve the following, among other purposes, and directs that the provisions hereof be interpreted in order to accomplish those purposes:

(a) To impose a retail transactions and use tax in accordance with the provisions of Part 1.6 (commencing with Section 7251) of Division 2 of the Revenue and Taxation Code and Section 7285.9 of Part 1.7 of Division 2 which authorizes the city to adopt this tax ordinance which shall be operative if a majority of the electors voting on the measure vote to approve the imposition of the tax at an election called for that purpose.

(b) To adopt a retail transactions and use tax ordinance that incorporates provisions identical to those of the sales and use tax law of the state of California insofar as those provisions are not inconsistent with the requirements and limitations contained in Part 1.6 of Division 2 of the Revenue and Taxation Code.

(c) To adopt a retail transactions and use tax ordinance that imposes a tax and provides a measure therefor that can be administered and collected by the California Department of Tax and Fee Administration in a manner that adapts itself as fully as practicable to, and requires the least possible deviation from, the existing statutory and administrative procedures followed by the State California Department of Tax and Fee Administration in administering and collecting the California State Sales and Use Taxes.

(d) To adopt a retail transactions and use tax ordinance that can be administered in a manner that will be, to the greatest degree possible, consistent with the provisions of Part 1.6 of Division 2 of the Revenue and Taxation Code, minimize the cost of collecting the transactions and use taxes, and at the same time, minimize the burden of record keeping upon persons subject to taxation under the provisions of this article. (Ord. No. 2338, § 1 (part), 2019.)

18.133 Contract with state.

Prior to the operative date, the city shall contract with the California Department of Tax and Fee Administration to perform all functions incident to the administration and operation of this transactions and use tax ordinance; provided, that if the city shall not have contracted with the California Department of Tax and Fee Administration prior to the operative date, it shall nevertheless so contract and in such a case the operative date shall be the first day of the first calendar quarter following the execution of such a contract. (Ord. No. 2338, § 1 (part), 2019.)

18.134 Transactions tax rate.

For the privilege of selling tangible personal property at retail, a tax is hereby imposed upon all retailers in the incorporated territory of the city at the rate of 0.75 percent of the gross receipts of any retailer from the sale of all tangible personal property sold at retail in said territory on and after the operative date of the ordinance codified in this article. (Ord. No. 2338, § 1 (part), 2019.)

18.135 Place of sale.

For the purposes of this article, all retail sales are consummated at the place of business of the retailer unless the tangible personal property sold is delivered by the retailer or his agent to an out-of-state destination or to a common carrier for delivery to an out-of-state destination. The gross receipts from such sales shall include delivery charges, when such charges are subject to the state sales and use tax, regardless of the place to which delivery is made. In the event a retailer has no permanent place of business in the state or has more than one place of business, the place or places at which the retail sales are consummated shall be determined under rules and regulations to be prescribed and adopted by the California Department of Tax and Fee Administration. (Ord. No. 2338, § 1 (part), 2019.)

18.136 Use tax rate.

An excise tax is hereby imposed on the storage, use or other consumption in the city of tangible personal property purchased from any retailer on and after the operative date of the ordinance codified in this article for storage, use or other consumption in said territory at the rate of 0.75 percent of the sales price of the property. The sales price shall include delivery charges when such charges are subject to state sales or use tax regardless of the place to which delivery is made. (Ord. No. 2338, § 1 (part), 2019.)

18.137 Adoption of provisions of state law.

Except as otherwise provided in this article and except insofar as they are inconsistent with the provisions of Part 1.6 of Division 2 of the Revenue and Taxation Code, all of the provisions of Part 1 (commencing with Section 6001) of Division 2 of the Revenue and Taxation Code are hereby adopted and made a part of this article as though fully set forth herein. (Ord. No. 2338, § 1 (part), 2019.)

18.138 Limitations on adoption of state law and collection of use taxes.

In adopting the provisions of Part 1 of Division 2 of the Revenue and Taxation Code:

(a) Wherever the state of California is named or referred to as the taxing agency, the name of this city shall be substituted therefor. However, the substitution shall not be made when:

(1) The word “state” is used as a part of the title of the State Controller, State Treasurer, State Treasury, or the Constitution of the State of California;

(2) The result of that substitution would require action to be taken by or against this city or any agency, officer, or employee thereof rather than by or against the California Department of Tax and Fee Administration, in performing the functions incident to the administration or operation of this article;

(3) In those sections, including, but not necessarily limited to, sections referring to the exterior boundaries of the state of California, where the result of the substitution would be to:

(A) Provide an exemption from this tax with respect to certain sales, storage, use or other consumption of tangible personal property which would not otherwise be exempt from this tax while such sales, storage, use or other consumption remain subject to tax by the state under the provisions of Part 1 of Division 2 of the Revenue and Taxation Code; or

(B) Impose this tax with respect to certain sales, storage, use or other consumption of tangible personal property which would not be subject to tax by the state under the said provision of that code;

(4) In Section 6701, 6702 (except in the last sentence thereof), 6711, 6715, 6737, 6797 or 6828 of the Revenue and Taxation Code.

(b) The word “city” shall be substituted for the word “state” in the phrase “retailer engaged in business in this state” in Section 6203 and in the definition of that phrase in Section 6203.

(1) Any retailer that, in the preceding calendar year or the current calendar year, has total combined sales of tangible personal property in California or for delivery in California by the retailer and all persons related to the retailer that exceeds $500,000. That retailer shall be required to collect use tax on the sale of tangible personal property delivered to an address in the city. For purposes of this subsection, a person is related to another person if both persons are related to each other pursuant to Section 267(b) of Title 26 of the United States Code and the regulations thereunder. (Ord. No. 2338, § 1 (part), 2019.)

18.139 Permit not required.

If a seller’s permit has been issued to a retailer under Section 6067 of the Revenue and Taxation Code, an additional transactor’s permit shall not be required by this article. (Ord. No. 2338, § 1 (part), 2019.)

18.140 Exemptions and exclusions.

(a) There shall be excluded from the measure of the transactions tax and the use tax the amount of any sales tax or use tax imposed by the state of California or by any city, city and county, or county pursuant to the Bradley-Burns Uniform Local Sales and Use Tax Law or the amount of any state-administered transactions or use tax.

(b) There are exempted from the computation of the amount of transactions tax the gross receipts from:

(1) Sales of tangible personal property, other than fuel or petroleum products, to operators of aircraft to be used or consumed principally outside the county in which the sale is made and directly and exclusively in the use of such aircraft as common carriers of persons or property under the authority of the laws of this state, the United States, or any foreign government.

(2) Sales of property to be used outside the city which is shipped to a point outside the city, pursuant to the contract of sale, by delivery to such point by the retailer or his agent, or by delivery by the retailer to a carrier for shipment to a consignee at such point. For the purposes of this subsection, delivery to a point outside the city shall be satisfied:

(A) With respect to vehicles (other than commercial vehicles) subject to registration pursuant to Chapter 1 (commencing with Section 4000) of Division 3 of the Vehicle Code, aircraft licensed in compliance with Section 21411 of the Public Utilities Code, and undocumented vessels registered under Division 3.5 (commencing with Section 9840) of the Vehicle Code by registration to an out-of-city address and by a declaration under penalty of perjury, signed by the buyer, stating that such address is, in fact, his or her principal place of residence; and

(B) With respect to commercial vehicles, by registration to a place of business out-of-city and declaration under penalty of perjury, signed by the buyer, that the vehicle will be operated from that address.

(3) The sale of tangible personal property if the seller is obligated to furnish the property for a fixed price pursuant to a contract entered into prior to the operative date of the ordinance codified in this article.

(4) A lease of tangible personal property which is a continuing sale of such property, for any period of time for which the lessor is obligated to lease the property for an amount fixed by the lease prior to the operative date of the ordinance codified in this article.

(5) For the purposes of subsections (b)(3) and (4) of this section, the sale or lease of tangible personal property shall be deemed not to be obligated pursuant to a contract or lease for any period of time for which any party to the contract or lease has the unconditional right to terminate the contract or lease upon notice, whether or not such right is exercised.

(c) There are exempted from the use tax imposed by this article the storage, use or other consumption in this city of tangible personal property:

(1) The gross receipts from the sale of which have been subject to a transactions tax under any state-administered transactions and use tax ordinance.

(2) Other than fuel or petroleum products purchased by operators of aircraft and used or consumed by such operators directly and exclusively in the use of such aircraft as common carriers of persons or property for hire or compensation under a certificate of public convenience and necessity issued pursuant to the laws of this state, the United States, or any foreign government. This exemption is in addition to the exemptions provided in Sections 6366 and 6366.1 of the Revenue and Taxation Code of the state of California.

(3) If the purchaser is obligated to purchase the property for a fixed price pursuant to a contract entered into prior to the operative date of this article.

(4) If the possession of, or the exercise of any right or power over, the tangible personal property arises under a lease which is a continuing purchase of such property for any period of time for which the lessee is obligated to lease the property for an amount fixed by a lease prior to the operative date of this article.

(5) For the purposes of subsections (c)(3) and (4) of this section, storage, use, or other consumption, or possession of, or exercise of any right or power over, tangible personal property shall be deemed not to be obligated pursuant to a contract or lease for any period of time for which any party to the contract or lease has the unconditional right to terminate the contract or lease upon notice, whether or not such right is exercised.

(6) Except as provided in subsection (c)(7) of this section, a retailer engaged in business in the city shall not be required to collect use tax from the purchaser of tangible personal property, unless the retailer ships or delivers the property into the city or participates within the city in making the sale of the property, including, but not limited to, soliciting or receiving the order, either directly or indirectly, at a place of business of the retailer in the city or through any representative, agent, canvasser, solicitor, subsidiary, or person in the city under the authority of the retailer.

(7) A “retailer engaged in business in the city” shall include any retailer of any of the following: vehicles subject to registration pursuant to Chapter 1 (commencing with Section 4000) of Division 3 of the Vehicle Code, aircraft licensed in compliance with Section 21411 of the Public Utilities Code, or undocumented vessels registered under Division 3.5 (commencing with Section 9840) of the Vehicle Code. That retailer shall be required to collect use tax from any purchaser who registers or licenses the vehicle, vessel, or aircraft at an address in the city.

(d) Any person subject to use tax under this article may credit against that tax any transactions tax or reimbursement for transactions tax paid to a district imposing, or retailer liable for, a transactions tax pursuant to Part 1.6 of Division 2 of the Revenue and Taxation Code with respect to the sale to the person of the property the storage, use or other consumption of which is subject to the use tax. (Ord. No. 2338, § 1 (part), 2019.)

18.141 Amendments.

All amendments subsequent to the effective date of this article to Part 1 of Division 2 of the Revenue and Taxation Code relating to sales and use taxes and which are not inconsistent with Part 1.6 and Part 1.7 of Division 2 of the Revenue and Taxation Code, and all amendments to Part 1.6 and Part 1.7 of Division 2 of the Revenue and Taxation Code, shall automatically become adopted and part of this article; provided, however, that no such amendment shall operate so as to affect the rate of tax imposed by this article. (Ord. No. 2338, § 1 (part), 2019.)

18.142 Enjoining collection forbidden.

No injunction or writ of mandate or other legal or equitable process shall issue in any suit, action or proceeding in any court against the state or the city, or against any officer of the state or the city, to prevent or enjoin the collection under this article, or Part 1.6 of Division 2 of the Revenue and Taxation Code, of any tax or any amount of tax required to be collected. (Ord. No. 2338, § 1 (part), 2019.)

18.143 Severability.

If any provision of this article or the application thereof to any person or circumstance is held invalid, the remainder of this article or the application of such provision to other persons or circumstances shall not be affected thereby. (Ord. No. 2338, § 1 (part), 2019.)

18.144 Effective date.

This article relates to the levying and collecting of city transactions and use taxes and shall take effect immediately. (Ord. No. 2338, § 1 (part), 2019.)

CHAPTER 18BUSINESS, PROFESSIONS AND TRADES*