Chapter 5.04 Business Licenses

“Cabaret” means any establishment licensed for the sale of beer, wine or other alcoholic liquor, where entertainment or music other than by phonograph or digital recording, radio or television is provided, or where dancing by patrons is permitted.

“Director” means the City Finance Director or his/her designee.

“Employee” means any person employed at any business enterprise that performs any part of their duties within the City, except casual laborers not employed in the usual course of business. A sole proprietor is not an “employee.” All officers, agents, dealers, franchisees, etc., of a corporation or business trust, and all but one partner of a partnership (except limited partners), are “employees” within this definition.

“Home occupation” as used in this chapter is defined in DMC 25.10.080.

“Lawful rental agreement,” as used in this section, means a contract, written or unwritten, express or implied, between a rental housing owner and a renter, conveying rights of tenancy and occupation upon the renter, such that they may occupy the owner’s rental housing for residential use; a lawful rental agreement does not include: (1) where the residential use of the rental housing is gifted by the rental housing owner to the occupant for no fee other than utilities; or (2) where the residential use of the rental housing by an occupant is for no more than 60 days within any 12-month period.

“Nonprofit” means any charitable organization that has been exempted from payment of taxes to the federal government under Section 501(c)(3) of the Internal Revenue Code.

“Rental housing,” as used in this section, means any residential use building or multifamily residence, as those terms are defined in Chapter 25.10 DMC, in the City which is either occupied by a renter pursuant to a lawful rental agreement, or is available to occupy pursuant to a lawful rental agreement, and which is not owned by its occupant(s).

“Rental housing owner,” as used in this section, shall mean any natural person(s) and/or business entities owning or having any ownership interest in any rental housing unit(s) within the City of DuPont, whether or not the rental housing owner employs a manager or management company.

“Year” means a period of 12 months from the time of initial registration and issuance of a business license. (Ord. 12-943 § 2; Ord. 16-1005 § 1).

5.04.030 Persons subject to fees.

There is hereby levied upon and shall be collected from every person engaged in business in the City an annual license fee for the privilege of engaging in business and to identify and register businesses that are active in the City. Except as provided below in subsections (d) through (j) of this section such license fee shall be measured by using the number of employees as reported in the Washington State Unemployment Insurance Report for the quarter ended prior to the month of license application or renewal. The fees for the following shall be as set forth in the City of DuPont Fee Schedule:

(a) Every sole proprietor and every person employing from one up to and including 24 employees, per year;

(b) Every person employing 25 to and including 99 employees, per year;

(d) For special event activities (such as holiday bazaar or July 4th celebration), for a single 24 hours;

(e) For every cabaret, either per year or for a single 24 hours;

(f) For peddling or hawking, per year;

(g) For selling used automobiles, per year;

(h) For wrecking automobiles, per year;

(i) For home occupations with annual gross revenues of less than $10,000, per year;

(j) For providing, offering or operating rental housing pursuant to a lawful rental agreement per this chapter.

Business licenses shall be renewed in the month occurring one year (12 months) after their initial registration and every year thereafter. (Ord. 12-943 § 2; Ord. 16-1005 § 2).

5.04.040 Businesses located outside City.

As to businesses located outside the City and furnishing or performing services within the City, the license fee herein shall be measured by the number of employees of such business to perform any part of their duties within the City. (Ord. 12-943 § 2).

5.04.050 Exemptions.

The requirements of this chapter shall not apply to the following:

(a) Adult entertainment business, which shall be subject to the business license requirements contained in Chapter 5.05 DMC;

(b) Any instrumentality of the United States, State of Washington, or any political subdivision thereof, with respect to the exercise of governmental functions;

(c) Minors engaged in irregular, casual activities such as baby-sitting, delivery of newspapers, casual lawn mowing, casual car washing, and other similar activities;

(d) Businesses meeting all of the following criteria:

(1) Having no employees performing work other than delivery within the City;

(2) Having no salespeople soliciting sales within the City;

(3) Having no installers or contractors working within the City;

(4) Having no offices, warehouses or other physical location(s) within the City; and

(5) Having no inventory located within the City.

Nonprofit organizations, as defined in DMC 5.04.020, or as recognized by the State of Washington and the federal government, including but not limited to religious, civic, charitable, benevolent, cultural or youth organizations, are required to obtain a business license. With proof of exempt status from the Internal Revenue Service the business is exempt from business license fee requirements. A copy of the organization’s 501(c)(3) form must be submitted at the time of application as proof of nonprofit status. (Ord. 12-943 § 2; Ord. 16-1005 § 3).

5.04.060 Requirements for issuance of license.

No person shall engage in any business or activity in the City for which a license fee is imposed without first having obtained and being the holder of a valid and subsisting license, to be known as a “business license,” issued under the provisions of this chapter, which license fee shall accompany the application for the license. Every license granted under this chapter shall be posted in a conspicuous place in the place of business of the licensee. Any license issued under or by virtue of the provisions of this chapter shall be personal and nontransferable. In case business is transacted two or more places by one person or business owner, a separate license for each place at which business is transacted with the public is required.

If any person or business owner required by the terms and provisions of this chapter to pay a license fee for any period fails or refuses to do so, that person shall not be granted a license for the current period until such delinquent license fee, together with penalties, has been paid in full. (Ord. 12-943 § 2).

5.04.062 Investigations and background checks.

Any application for license may be investigated by such departments or officers of the City as the Director may determine. All applications for a license may be subject to a criminal background check, and the results of such checks may be sufficient grounds for denial of a license. (Ord. 12-943 § 2).

5.04.065 Nonconforming uses.

There exists a need to identify and register businesses which are active in the City in order to protect public health, safety, and welfare of the community. The issuance of a business license by the City does not constitute either approval of a business or the use of any particular parcel in the City for a business or any other purpose. By issuing a business license, the City shall not be precluded from taking enforcement action against any use which is not authorized in the zone in which it is occurring, or against any structure that does not comply with the Washington State Building Code or other codes applicable to such structure, nor does issuance of a license vest the licensee with any rights to continue a nonconforming use. (Ord. 12-943 § 2).

5.04.067 Inspections--Right of entry.

The Director or an authorized representative of the Fire Department, Police Department or Community Development Department is authorized to make inspections of any licensed premises during normal hours of operation of said business and take action as may be required to enforce the provisions of the DuPont Municipal Code. (Ord. 12-943 § 2).

5.04.070 Payment of fees.

Business licenses shall be renewed annually in the anniversary month of their initial registration through the forms prescribed by the Washington State Master Business License Program. (Ord. 12-943 § 2).

5.04.080 Over- or underpayment of fees.

If, upon investigation of any application and/or receipts, the Director finds that the fee paid on any license or license renewal is more than the amount required of the applicant, the Director shall return the overpaid amount. If the Director finds that the fee paid is less than required, the Director shall mail a statement to the applicant showing the balance due, who shall within seven days pay the amount shown thereon. (Ord. 12-943 § 2).

5.04.090 Failure to make application.

If any person or business owner fails, neglects or refuses to file their application and to pay any fees due as and when required herein, the Director or designee is authorized to determine the amount of the fee(s) payable and any applicable penalties and by mail to notify such person or business owner of the amount so determined. The amount so fixed shall thereupon become the fee owed and be immediately due and payable. (Ord. 12-943 § 2; Ord. 16-1005 § 4).

5.04.095 Grounds for disqualification of license.

Pursuant to the provisions of this chapter, no license shall be issued to the following persons:

(a) Any minor under 18 years of age;

(b) Any person who, if licensed, is likely to present a danger to public health, safety or welfare by reason of any of the following:

(1) The applicant or his or her employees or agents have been convicted of a crime which relates directly to the specific occupation, trade, vocation, or business for which the license is sought, provided, the time elapsed between the violation and the date of license application is less than three years for a felony conviction or less than one year for a misdemeanor conviction.

(2) The applicant had a similar license revoked or suspended pursuant to the provisions of DMC 5.04.100.

(3) The Director has reasonable grounds to believe the applicant to be dishonest or to desire such license to enable applicant to practice some illegal act or some act injurious to the public health or safety.

(c) Any person who is not qualified under any specific provision of this chapter for any particular license for which the application is made. (Ord. 12-943 § 2).

5.04.097 Application for license--Approval or denial--Appeal.

The Director shall approve or deny all applications for licenses required hereunder. Any applicant denied a license may appeal pursuant to the provisions of DMC 3.08.240(b). (Ord. 12-943 § 2).

5.04.100 Suspension or revocation.

The Director shall have the power to suspend or revoke a business license pursuant to the procedures set forth in DMC 3.08.240. (Ord. 12-943 § 2).

5.04.110 Authority of Director.

The Director shall have the power, and it shall be the Director’s duty, from time to time, to adopt, publish and enforce rules and regulations not inconsistent with this title or with the law for the purposes of carrying out the provisions thereof, and it is unlawful to violate or fail to comply with any such rules and regulations. (Ord. 12-943 § 2).

5.04.120 Mailing notices.

Any notice required under this chapter shall be mailed pursuant to the provisions of DMC 3.08.190. (Ord. 12-943 § 2).

5.04.130 Disclaimer of City liability.

The City of DuPont expressly finds and requires that responsibility for compliance with the provisions of this chapter rests with license applicants and their agents and that no action, inaction, omission of the City or any of its agents or employees shall serve to assume or shift responsibility for compliance with the provisions of this chapter to any other party, including the City. Furthermore, issuance of a license pursuant to this chapter does not constitute the creation of a duty by the City to indemnify the licensee for any wrongful acts against the public, or to guarantee the quality of goods, services or expertise of a licensee. The issuance of a license does not shift to the City responsibility for the training, conduct, or equipment of the licensee or their agents, employees or representatives, even if specific regulations herein or elsewhere require standards of training, conduct or inspections. (Ord. 12-943 § 2).

5.04.140 License additional to other fees.

The license fee levied shall be additional to any license fee imposed or levied under the law of any other chapter of the City except as herein otherwise expressly provided. (Ord. 12-943 § 2).

5.04.150 Fee constitutes debt.¹

Any license fee due and unpaid under this chapter, and all penalties thereon, shall constitute a debt to the City and may be collected by court proceedings in the same manner as any other debt in like amount, which remedy shall be in addition to all other existing remedies. (Ord. 12-943 § 2).

5.04.155 Assignment of license.

No license may be assigned or transferred. (Ord. 12-943 § 2).

5.04.160 Penalties--Violations.

(a) Violations. It shall be unlawful for any person to violate any of the provisions of this chapter and such person shall be subject to the penalties detailed below. Additionally, the license of the business in which a violation occurs may be revoked for such violation, whether the owner knew of or encouraged the violation.

(b) Monetary Penalties. Every person who operates a business without a license issued pursuant to this chapter, or any person who fails to pay the required license fee pursuant to DMC 5.04.030 within 30 days of when the license fee is due, shall be assessed by the Director a monetary penalty in the amount of $250.00. This penalty shall be in addition to the required license fee. Each day of business operation without a license shall constitute a separate violation subject to monetary penalties hereunder. Failure to pay the license fee by more than 60 days after such fee is due shall subject the licensee to a monetary penalty in the amount of $500.00 in addition to the license fee.

(c) Criminal Penalties for Repeat Violations. A second or repeat violation of any provision of this chapter shall constitute a misdemeanor punishable by a fine of a sum not exceeding $1,000 or by imprisonment not exceeding 90 days or by both such fine and imprisonment. Each separate day or portion thereof during which any violation of any provision of this chapter occurs shall constitute a separate violation and upon conviction thereof shall be punished as provided in this section. (Ord. 12-943 § 2).

5.04.170 Rental housing business license.

Each rental housing owner, as defined in this chapter, providing, offering or operating rental housing pursuant to a lawful rental agreement in the City shall obtain a “rental housing business license” issued by the City in accordance with and subject to all the provisions of this chapter.

(a) The fee for a rental housing business license shall be as set forth in the City of DuPont Fee Schedule.

(b) Rental housing is exempted from the inspection requirements in DMC 5.04.067.

(d) The rental housing business license must be applied for using an application form provided by the City; the applicant shall provide: the address of the rental housing property or properties; a contact address, phone number and email address for the rental housing owner; and a contact name, phone number and email address of any third party that is responsible for the management, maintenance, or is in any other way responsible for the rental housing property but is not an occupant of the property. (Ord. 12-944 § 1; Ord. 16-1005 § 4).

Code reviser’s note: Ordinance 12-943 adds this section as DMC 5.04.155. The section has been renumbered to avoid duplication of numbering.