Chapter 4.04
BUSINESS LICENSES AND REGULATIONS

Sections:

4.04.010    Purpose

4.04.020    Definitions

4.04.030    License Required

4.04.040    Exemptions

4.04.045    Engaging in Business

4.04.050    Planning and Community Development Department as License Office

4.04.060    Procedure for Obtaining License

4.04.070    Procedure for Issuance of License

4.04.080    License Fees

4.04.090    Term and Renewal of License

4.04.100    License Late Penalty

4.04.110    License Posting and Change of Address

4.04.120    License Transferability - Sale of Business

4.04.130    Canvassers, Peddlers and Solicitors

4.04.140    Temporary Businesses

4.04.150    Suspension or Revocation of License - Grounds

4.04.160    Appeal and Hearing

4.04.170    Subsequent Application

4.04.180    Examinations of Business Premises

4.04.190    Mailing of Notices

4.04.200    Excise Tax Reporting

4.04.210    Violations

4.04.220    Penalties

4.04.230    Investigations and Background Checks

4.04.010 Purpose.

The purpose of business licensing and regulations is to provide a means for obtaining public information, compile statistical information on existing and new businesses in the City, ensure the legal conduct of businesses, and assist in the effective administration of City ordinances relating to health, fire and building codes, zoning and other codes of the City. (Ord. 957, Sec. 1 (Exh. A), 2016)

4.04.020 Definitions.

For the purpose of this chapter and unless otherwise declared or clearly apparent from the context, the following definitions shall be applied:

“Business” shall include without limitation:

(1)    All activities, occupations, pursuits, sales, services or professions, engaged in or on premises located within the City with the object of gain, benefit, advantage or profit to the business enterprise or person or to another person or class, directly or indirectly, regardless where their permanent location of business is located;

(2)    The rental and/or leasing of commercial or industrial properties;

(3)    Business activities of nonresident businesses and specifically:

(i)    Sales or services that are solicited or performed by the physical presence of business representatives within the City;

(ii)    General and specialty contractors who perform work in or on premises located within the City.

“Canvasser” means any person who goes from place to place or approaches individuals within the City seeking contributions or donations to private causes or tax exempt charities, or seeks opinions, preferences or other information for commercial purposes. “Canvassing” means to engage in such action.

“City” means the City of Lake Stevens.

“Employee” means any person employed at any business location within the City, and/or any person furnishing and/or performing services within the City, and in addition thereto shall include all persons who are self-employed.

“Engage in” or “engaging in” means commencing, conducting or continuing in any business activity including soliciting business within the City or using either a business telephone number or business address within the City. It also includes the exercise of corporate or franchise powers as well as liquidating a business when the liquidators thereof hold themselves out to the public as conducting such business.

“Nonresident business” means any business which is not occupying a fixed place of operation within the City.

“Person” means any individual, partnership, corporation or other entity or group of persons however organized.

“Planning and Community Development Department” means the City department responsible for providing professional planning services including current planning, long range planning, building and business licenses.

“Planning and Community Development Department Director” means the director charged with oversight of the Planning and Community Development Department or designee.

“Premises” is meant to include all lands, structures and places, and also any personal property which either is affixed to or is used in connection with any such business conducted on such premises.

“Solicitor” or “peddler” means any person who, without prior invitation from the occupant, goes from place to place, or house to house, carrying for sale, exposing for sale, or offering for sale goods, wares, merchandise, or services of any type, for present or future delivery.

“Taxpayer” includes any individual, group of individuals, corporation or association required to have a business license hereunder, or liable for any license fee or tax, for the collection of any license fee or tax, for the collection of any business fee or tax hereunder or who engages in any business, or who performs any act, for which a license fee or tax is imposed by this chapter.

“Temporary business” means businesses having a transitory nature or fixed duration and operating from a fixed location within the City for not more than 60 days within any calendar year including but not limited to the following:

(1)    Circuses, carnivals, rodeos, fairs or similarly transient amusement or recreational activities;

(2)    Christmas tree sales lots and flower stands;

(3)    Indoor or outdoor special sales, including swap meets, flea markets, parking lot sales, warehouse sales or similar activities;

(4)    Temporary stands for the sale of items such as food, toys, jewelry, goods, art, crafts and firewood.

Words in the singular number shall include the plural, and the plural shall include the singular. Words of one gender shall include the other gender. (Ord. 1185, Sec. 3, 2024; Ord. 957, Sec. 1 (Exh. A), 2016; Ord. 750, Sec. 1, 2007)

4.04.030 License Required.

It is unlawful for any person to conduct, operate, engage in or practice any business within the City without first obtaining or maintaining a valid business license issued under the provisions of this chapter.

(a)    Single Business - Multiple Locations. If a business actively operates from more than one location in the City, a separate license shall be required for each location; provided, however, warehouses, distributing plants and/or storage yards used in connection with and incidental to a business licensed under the provisions of this chapter shall not be deemed to be a separate place of business. Location of such warehouse, distributing plants and/or storage yard shall be provided to the Planning and Community Development Department, and must comply with the provisions of all City codes.

(b)    Single Location - Multiple Nature of Business. If more than one separate business is conducted on a single premises within the City, a separate license shall be required for each business.

(c)    Applicability to Subcontractors. All subcontractors shall be subject to this chapter and shall obtain a separate license as provided in this chapter, and they are not privileged to operate under the prime contractor’s license.

(d)    Firms with Two or More Licensed Members. Whenever a firm is established in any of the various professions in which two more members of the firm are licensed under State law to practice such profession, a separate license shall be required for each member.

(e)    Businesses Located Outside the City Limits. As to any businesses located outside the City and furnishing and performing services within the City, a business license shall be required, provided one or more employees of said business perform any part or all of their duties within the City.

(f)    Neither the filing of an application for a license or the renewal thereof, nor payment of any application or renewal fee, shall authorize a person to engage in or conduct a business until such license has been granted or renewed.

(g)    Marijuana producers, processors and retail facilities are subject to licensing, fees and building permit requirements. (Ord. 957, Sec. 1 (Exh. A), 2016; Ord. 908, Sec. 1, 2014)

4.04.040 Exemptions.

(a)    The following shall be required to submit a completed license application to the Planning and Community Development Department to determine if they are exempt from the licensing requirements, but shall not be required to pay a license fee:

(1)    All honorably discharged veterans exempt from paying license fees as provided in RCW 73.04.050, Right to peddle, vend, sell goods without license - License fee on business established under act of Congress prohibited, and RCW 73.04.060, Right to peddle, vend, sell goods without license - Issuance of license, as the same exist or may hereinafter be amended.

(2)    Sales of any fruits, vegetables, berries, butter, eggs, fish, milk, poultry, meat, etc., or other farm products or edibles raised, caught, produced, or manufactured within the State of Washington and sold by the farmer or gardener raising, catching, producing or manufacturing the same.

(b)    The following shall be exempt from the licensing provisions of this chapter:

(1)    Nonprofit and not-for-profit activities and fundraising sales carried on by religious, charitable, educational, benevolent, fraternal or social organizations which have been determined by the Internal Revenue Service (IRS) of the United States to be exempt from the payment of income tax;

(2)    Nonprofit and not-for-profit activities and fundraising sales carried on by corporations registered as nonprofit by the Secretary of State’s Office;

(3)    Casual sale of items of personal property where the person conducting such sale is not regularly engaged in the business of selling items of personal property (for example, garage sales, service agency bake sales); such sales shall not exceed four sales per year;

(4)    Public utility companies, or any instrumentality of the United States, State of Washington, or political subdivisions thereof with respect to the exercise of governmental functions;

(5)    All special events including vendors in a temporary bazaar or community fair for which a land use permit has been issued to the sponsor thereof as defined in Section 14.16C.065, Events, and Section 14.40.010, Table of Permissible Uses;

(6)    Minors engaged in babysitting, delivery of newspapers, lawn mowing, car washing, and similar activities where no other person is employed by the minor;

(7)    Any nonresident business where the only event occurring within the City is the mere delivery of goods or merchandise sold at business premises located outside of the City;

(8)    Any nonresident business where the only event occurring within the City is the mere rental of a postal box located at the United States Post Office facility within the City; provided, however, that any person claiming such an exemption shall provide the Planning and Community Development Department with a copy of a valid and current business license issued by the jurisdiction in which the business has a fixed location to qualify for said exemption;

(9)    Sales conducted as fundraisers for youth athletic, scouting, or educational organizations. By way of illustration and not limitation, these organizations may include Boy Scouts and Girl Scouts, youth soccer, basketball, football, softball, and other youth athletic organizations.

(10)    To the extent set forth in this section, the following persons and businesses shall be exempt from the registration, license and/or license fee requirements as outlined in this chapter:

(i)    Any person or business whose annual value of products, gross proceeds of sales, or gross income of the business in the City is equal to or less than $2,000 and who does not maintain a place of business within the City shall be exempt from the general business license requirements in this chapter. The exemption does not apply to regulatory license requirements or activities that require a specialized permit. (Ord. 1033, Sec. 1, 2018; Ord. 957, Sec. 1 (Exh. A), 2016; Ord. 811, Sec. 8, 2010; Ord. 750, Sec. 2, 2007)

4.04.045 Engaging in Business.

(a)    The term “engaging in business” means commencing, conducting, or continuing in business, and also the exercise of corporate or franchise powers, as well as liquidating a business when the liquidators thereof hold themselves out to the public as conducting such business.

(b)    This section sets forth examples of activities that constitute engaging in business in the City, and establishes safe harbors for certain of those activities so that a person who meets the criteria may engage in de minimis business activities in the City without having to pay a business license fee. The activities listed in this section are illustrative only and are not intended to narrow the definition of “engaging in business” in subsection (a) of this section. If an activity is not listed, whether it constitutes engaging in business in the City shall be determined by considering all the facts and circumstances and applicable law.

(c)    Without being all-inclusive, any one of the following activities conducted within the City by a person, or its employee, agent, representative, independent contractor, broker or another acting on its behalf constitutes engaging in business and requires a person to register and obtain a business license:

(1)    Owning, renting, leasing, maintaining, or having the right to use, or using tangible personal property, intangible personal property, or real property permanently or temporarily located in the City.

(2)    Owning, renting, leasing, using, or maintaining, an office, place of business, or other establishment in the City.

(3)    Soliciting sales.

(4)    Making repairs or providing maintenance or service to real or tangible personal property, including warranty work and property maintenance.

(5)    Providing technical assistance or service, including quality control, product inspections, warranty work, or similar services on or in connection with tangible personal property sold by the person or on its behalf.

(6)    Installing, constructing, or supervising installation or construction of, real or tangible personal property.

(7)    Soliciting, negotiating, or approving franchise, license, or other similar agreements.

(8)    Collecting current or delinquent accounts.

(9)    Picking up and transporting tangible personal property, solid waste, construction debris, or excavated materials.

(10)    Providing disinfecting and pest control services, employment and labor pool services, home nursing care, janitorial services, appraising, landscape architectural services, security system services, surveying, and real estate services including the listing of homes and managing real property.

(11)    Rending professional services such as those provided by accountants, architects, attorneys, auctioneers, consultants, engineers, professional athletes, barbers, baseball clubs and other sports organizations, chemists, consultants, psychologists, court reporters, dentists, doctors, detectives, laboratory operators, teachers, veterinarians.

(12)    Meeting with customers or potential customers, even when no sales or orders are solicited at the meetings.

(13)    Training or recruiting agents, representatives, independent contractors, brokers or others, domiciled or operating on a job in the City, acting on its behalf, or for customers or potential customers.

(14)    Investigating, resolving, or otherwise assisting in resolving customer complaints.

(15)    In-store stocking or manipulating products or goods, sold to and owned by a customer, regardless of where sale and delivery of the goods took place.

(16)    Delivering goods in vehicles owned, rented, leased, used, or maintained by the person or another acting on its behalf.

(d)    If a person, or its employee, agent, representative, independent contractor, broker or another acting on the person’s behalf, engages in no other activities in or with the City but the following, it need not register and obtain a business license:

(1)    Meeting with suppliers of goods and services as a customer.

(2)    Meeting with government representatives in their official capacity, other than those performing contracting or purchasing functions.

(3)    Attending meetings, such as board meetings, retreats, seminars, conferences, or other meetings wherein the person does not provide training in connection with tangible personal property sold by the person or on its behalf. This provision does not apply to any board of director member or attendee engaging in business such as a member of a board of directors who attends a board meeting.

(4)    Renting tangible or intangible property as a customer when the property is not used in the City.

(5)    Attending, but not participating in, a trade show or multiple vendor events. Persons participating at a trade show shall review the City’s trade show or multiple vendor event ordinances.

(6)    Conducting advertising through the mail.

(7)    Soliciting sales by phone from a location outside the City.

(e)    A seller located outside the City merely delivering goods into the City by means of common carrier is not required to register and obtain a business license; provided, that it engages in no other business activities in the City. Such activities do not include those in subsection (d) of this section.

The City expressly intends that engaging in business include any activity sufficient to establish nexus for purposes of applying the license fee under the law and the Constitutions of the United States and the State of Washington. Nexus is presumed to continue as long as the taxpayer benefits from the activity that constituted the original nexus generating contact or subsequent contacts. (Ord. 1033, Sec. 2, 2018)

4.04.050 Planning and Community Development Department as License Office.

The Planning and Community Development Department in coordination with the Washington State Business Licensing Services shall collect all license fees, process applications and issue licenses in the name of the City to all persons qualified under the provisions of this chapter and shall:

(a)    Adopt all forms and prescribe the information to be provided;

(b)    Investigate and determine the eligibility of any applicant for a license as prescribed herein;

(c)    Notify any applicant of the acceptance or rejection of the application;

(d)    Ensure that each license is numbered, and shows the business name, location, the name of the licensee authorized to conduct or engage in business and the expiration date of the license. (Ord. 957, Sec. 1 (Exh. A), 2016; Ord. 750, Sec. 3, 2007)

4.04.060 Procedure for Obtaining License.

(a)    Application for a business license shall be made by filing an application through the Washington State Business Licensing Services, in coordination with the Planning and Community Development Department, giving such information as is deemed reasonably necessary to enable the enforcement of this chapter. Persons applying for a license must pay fees as established by the City Council by periodic resolution, and the Washington State Business Licensing Services handling fee. A business license must be approved by the City before a business commences operation within the City. The application may include the following information:

(1)    The nature of the business, its proposed address and telephone number;

(2)    The names, addresses and telephone numbers of all owners or officers of the business (or their registered agent);

(3)    The number of employees employed by the business and emergency notification information;

(4)    The State tax identification number and/or copy of State contractor’s license;

(5)    Copy of the Snohomish County Health Department permit (if applicable);

(6)    Any other information required by the Planning and Community Development Department or any other City official as may be deemed reasonably necessary to determine compliance with this chapter or other applicable codes.

(b)    If the applicant or the business applying for a license is regulated, licensed or certified by any other governmental agency or professional association, the application must include written evidence of good standing with the regulatory authority. In such cases the continuing validity of the City business license shall be conditioned upon compliance with the requirements of the regulatory authority.

(c)    No person shall engage in any business for which a license is required under this section without being registered and licensed in compliance with the provisions of this chapter; nor shall any person holding such a business license suffer or allow any other person for whom separate license is required to operate under or display said license.

(d)    The application for a license shall be accompanied by the full amount of the fee chargeable including Washington State Business License Services handling fee and late penalties, if applicable, for such license.

(e)    Issuance of a business license shall not relieve the applicant from the need to comply with all other applicable City ordinances.

(f)    Certain information on business license applications is protected from public disclosure by RCW 42.17.310, entitled “Certain personal and other records exempt.”

(g)    The City’s decision to issue or the issuance of a business license shall not be construed as permission or acquiescence to conduct a prohibited activity or other violation; and the City shall not be held liable for the actions of any licensed business by virtue of having issued a license to conduct business. (Ord. 1179, Sec. 2, 2024; Ord. 957, Sec. 1 (Exh. A), 2016; Ord. 750, Sec. 4, 2007)

4.04.070 Procedure for Issuance of License.

(a)    After receiving a completed application for a business license, the Planning and Community Development Department Director or designee may forward a copy of the application to the Planning, Building, Police, and Fire Departments and any other appropriate department which has the duty of enforcing all City regulations and ordinances.

(b)    The departments shall review the completed application and obtain additional information from the applicant as needed, inspect the premises proposed to be operated when deemed necessary, and shall make written verification to the Planning and Community Development Department that such application and premises comply with the codes of the City. No license may be issued without such verification.

(c)    An application for a business license shall be denied if:

(1)    It contains a material omission of fact, misrepresentation or fraud;

(2)    The applicant has been convicted of a felony and if the time elapsed since the felony is less than 10 years and the felony for which the applicant was convicted directly relates to the specific business for which the license is sought. Applicants who have a current State license to operate a marijuana facility and who have applied for a business license to operate a marijuana business are subject to Washington State Liquor Control Board rules regarding felony convictions;

(3)    The premises on or in which the business will be operated violates a building, zoning, fire or any other applicable law of the City;

(4)    The applicant has not received or has been denied a land use permit to operate the proposed business at the address proposed;

(5)    The business for which the license is sought will result in a danger to the public health, safety or welfare, or the violation of any Federal (except for current State-licensed recreational marijuana producers, processors or retailers), State or local law, ordinance or regulations; or

(6)    The applicant has had a similar license revoked by the City within a period of one year prior to the date of making application for a license hereunder; provided, that any applicant denied a license under the provisions of this chapter may reapply if and when the reasons for denial no longer exist.

(d)    After review and approval of the completed application by all of the appropriate departments, the Washington State Business License Services in coordination with the Planning and Community Development Department shall issue the applicable license or licenses authorized by this chapter.

(e)    The decision of the City regarding issuance or denial of an applicant’s initial business license shall be rendered within 90 days of the date of filing of the completed application, unless an extension is requested by the applicant or the City.

(f)    When the City determines that there is cause for denial of any business license application, the Planning and Community Development Department Director or designee shall notify the applicant by certified mail, return receipt requested, of the City’s decision. Notice mailed to the address on file shall be deemed received three days after mailing. The notice shall specify the grounds for the denial. The applicant affected thereby shall have the right to appeal such action by filing a notice of appeal with the Planning and Community Development Department as provided in Section 4.04.160, Appeal and Hearing. (Ord. 957, Sec. 1 (Exh. A), 2016; Ord. 908, Sec. 2, 2014; Ord. 750, Sec. 5, 2007)

4.04.080 License Fees.

(a)    Fees for business licenses are established by the City Council pursuant to such periodic resolution as the Council from time to time updates and approves and by the Washington State Business License Services for the handling fee. The City license fee may be prorated as necessary to conform to Section 4.04.090.

(b)    Establishments that include live music and/or dance entertainment and games shall pay additional annual fees as established by Council resolution.

(c)    The license fees herein levied shall be in addition to any other fees or taxes imposed or levied in any other ordinance or title of this code, except as herein otherwise provided.

(d)    City business license application fees are nonrefundable. (Ord. 957, Sec. 1 (Exh. A), 2016; Ord. 824, Sec. 1, 2010; Ord. 750, Sec. 6, 2007)

4.04.090 Term and Renewal of License.

(a)    Each City license issued shall have an expiration date as determined by the Department of State Licensing’s Master License Service, in coordination with the City. The City license may be prorated to coordinate with the expiration date assigned by the Washington State Business License Services.

(b)    Licensees shall submit renewal applications and applicable fees by the date assigned by the Business License Service. License renewals are handled by the Washington State Business Licensing Services in coordination with the City. Renewal of the City license requires payment of fees including handling fees. Businesses not renewing their business license by the expiration date may be subject to a late renewal penalty charged by the Master License Service. (Ord. 957, Sec. 1 (Exh. A), 2016; Ord. 824, Sec. 2, 2010; Ord. 750, Sec. 7, 2007; Ord. 732, Sec. 1, 2006)

4.04.100 License Late Penalty.

(a)    As to any business commenced during the year, such annual license fee shall be due and payable on the first day that such business is transacted or carried on. Failure to pay the license fee within 30 days of the date on which it is due and payable shall render the taxpayer subject to a penalty of 100 percent of the amount of the license fee for the first month of delinquency, and an additional penalty of 100 percent for each succeeding month of delinquency, but not exceeding a total penalty of 500 percent of the total amount of such license fee, in any event.

(b)    For any renewal license application submitted after the applicable date required in Section 4.04.090, Term and Renewal of License, there is assessed and there shall be collected by the Planning and Community Development Department, in addition to the required license fee, a delinquency charge of 100 percent of the license fee for each month or part of a month occurring between the time such application is submitted and time when the same should have been submitted under the provisions of Section 4.04.090, Term and Renewal of License, but not exceeding a total penalty of 500 percent of the total amount of such license fee, in any event. (Ord. 957, Sec. 1 (Exh. A), 2016)

4.04.110 License Posting and Change of Address.

(a)    Every license granted under this chapter shall be kept on their person or posted in a conspicuous location in the place of business of the licensee.

(b)    Licensee shall notify the State Business Licensing Services in writing of any change in location of a fixed place of business or mailing address within 15 calendar days of such change. The Planning and Community Development Department may require the licensee to complete a new business license application and submit same for review as outlined in Section 4.04.060, Procedure for Obtaining License.

(c)    Upon receipt of notification of address change and approval of a business license application, if required, a license for the new location will be issued upon receipt of the license fee. (Ord. 957, Sec. 1 (Exh. A), 2016; Ord. 750, Sec. 8, 2007)

4.04.120 License Transferability - Sale of Business.

(a)    All licenses issued pursuant to this chapter are nontransferable.

(b)    Upon the sale or transfer of any business which is licensed pursuant to this chapter, the license issued to the prior owner shall automatically expire on the date of such sale or transfer and the new owner shall apply for and obtain a new business license prior to engaging in, conducting or operating the business by filing a master application with the Washington State Business Licensing Services, in coordination with the Planning and Community Development Department. (Ord. 957, Sec. 1 (Exh. A), 2016; Ord. 824, Sec. 3, 2010)

4.04.130 Canvassers, Peddlers and Solicitors.

(a)    Purpose.

(1)    The purpose of this section is to regulate the activities of canvassers, peddlers, and solicitors to promote their dependability and accountability. The licensing fees provided herein are levied to defray the costs of regulation and not to place undue burden on interstate commerce.

(2)    It is expressly the purpose of this chapter to provide for and promote the safety and welfare of the general public and not to create or designate any particular class of persons who will or should be specially protected by its terms.

(b)    Immunity.

(1)    It is the specific intent of this chapter to place the obligation of complying with its terms on the licensee. No provision of this section is intended to impose any duty upon the City or its employees.

(2)    Nothing contained in this chapter is intended to be nor shall be construed to create any liability on the part of the City or its employees for any injury or damage resulting from the failure of the licensee to comply with the provisions of this chapter, or by reason or in consequence of any act or omission in connection with the implementation or enforcement of this chapter on the part of the City or its employees.

(c)    License Required. It is unlawful for any person to engage in business as a peddler, solicitor, or canvasser without first obtaining a solicitor license for each person as provided in this chapter. Such license is in addition to the general business license requirements in this chapter.

(d)    Exemptions. No person shall be required to obtain a soliciting license for the exempt activities listed in Section 4.04.040.

(e)    Application Requirements. Applicants shall provide the Department of Planning and Community Development with a written application, to be reviewed in conjunction with the Police Department, including the following information:

(1)    Application including name, date of birth, and permanent home address of the applicant;

(2)    A brief description of the nature of the business and the goods or services to be sold;

(3)    Name and address of the employer or parent organization the applicant is representing and documentation verifying that relationship;

(4)    An estimate of the length of time and a statement of the exact location or parts of the City in which the applicant will pursue the activities in question;

(5)    Description and license plate numbers of any vehicles to be used;

(6)    A copy of the applicant’s picture identification taken within 60 days immediately prior to the date of filing of the application which picture shall be two inches by two inches showing the head and shoulders of the applicant in a clear and distinguishing manner;

(7)    The fingerprints of the applicant for the purpose of a background check pursuant to RCW 35.21.920. Fingerprints shall be taken or submitted to the Police Department. Background checks will be conducted pursuant to Section 4.04.230;

(8)    License fee as adopted by resolution;

(9)    All applicable requirements listed under Section 4.04.060, Procedure for Obtaining License.

(f)    Procedure for Approval or Denial.

(1)    The Police Chief or designee shall review the application and provide a written verification of approval or denial. The review shall include a background check containing felony and misdemeanor convictions and traffic offenses which have occurred in the past 10 years.

(2)    The Police Chief’s report shall specifically address but is not limited to the issues of unsatisfactory criminal history, public safety, pedestrian traffic, vehicular traffic, public disturbance, and noise concerns.

(3)    The Police Chief or designee shall grant, deny or condition the license based on the written report to the applicant.

(g)    Expiration of License. All licenses issued pursuant to this chapter shall expire one year from the date of issuance.

(h)    General Requirements.

(1)    It is unlawful for any canvasser, peddler or solicitor to operate in a congested area where such operation may impede or inconvenience the public use of such street, alley, sidewalk or right-of-way. For the purpose of this chapter, the judgment of a police officer, exercised in good faith, is conclusive as to whether the area is congested and the public impeded or inconvenienced.

(2)    It is unlawful for any canvasser, peddler or solicitor to occupy any property or structure for the purpose of selling, renting, or delivery of goods, wares or merchandise within the City without prior approval of said structure or property by the City. It is the responsibility of the licensee to assure that approval of each specific structure or property is clearly listed on any license issued under this chapter.

(3)    The solicitor’s license badge shall be carried at all times when peddling, soliciting or canvassing within the City and shall be displayed along with photo identification upon request by any prospective customer or law enforcement officer.

(4)    No canvasser, peddler or solicitor shall engage in canvassing, peddling or solicitation activities between the hours of 8:00 p.m. and 9:00 a.m.

(5)    No canvasser, peddler or solicitor shall engage or attempt to engage in activity at any home, residence, apartment complex or business that displays a “No Peddlers” or “No Solicitors” sign or any other similar sign. Any person failing to comply with this chapter shall be in violation of this chapter and shall also be subject to criminal prosecution under RCW 9A.52.080.

(i)    Revocation, Suspension, and Denial. Solicitor licenses issued under this chapter may be revoked, suspended, or denied pursuant to Section 4.04.150. All revocations, suspensions, and denials of a solicitor license may be appealed pursuant to Section 4.04.160. (Ord. 1185, Sec. 4, 2024; Ord. 957, Sec. 1 (Exh. A), 2016; Ord. 824, Sec. 4, 2010)

4.04.140 Temporary Businesses.

(a)    Any person who engages in temporary business activities within the City shall submit an application to the Planning and Community Development Department for a business license at least 10 business days prior to engaging in such activities. The application shall be made on forms provided by said officer, and may include the following:

(1)    The nature of the temporary business including the type of goods and/or services to be sold and the proposed location;

(2)    The applicant’s full name, birth date, phone number and permanent residence or business address;

(3)    The names, addresses and telephone numbers of all owners or officers of the business (or their registered agent);

(4)    The anticipated dates and time of day in which the temporary business will be conducted;

(5)    A written rental or lease agreement with the legal owner of the premises upon which the business shall be located, if applicable;

(6)    Drawings and/or a detailed narrative description of any structures to be placed upon the premises in connection with the business;

(7)    Any other information required by the Planning and Community Development Department or any other City official as may be deemed reasonably necessary to determine compliance with this chapter or other applicable codes;

(8)    A valid land use permit pursuant to Title 14, if required.

(b)    Temporary business licenses issued pursuant to the provisions of this section shall be valid for 30 consecutive days at a fixed location and may be renewed by paying the applicable license fee as set by resolution and submitting a written request for the renewal to the Planning and Community Development Department; provided, however, in no event shall a temporary business operate within the City for more than 60 days, whether consecutive or nonconsecutive, within any calendar year.

(c)    Any person granted a license under this section shall exhibit their license at the request of any prospective customer or law enforcement official. (Ord. 957, Sec. 1 (Exh. A), 2016)

4.04.150 Suspension or Revocation of License - Grounds.

(a)    Depending upon the severity of any public health and safety problem presented by a violation of this chapter and based upon the recommendation of the appropriate department head, the Planning and Community Development Department may suspend, deny or revoke any business license when the licensee, licensee’s officers, employees or agents does any of the following:

(1)    Knowingly causes, aids, abets or conspires with another to cause any person to violate any of the laws of this State or the City which may affect or relate to the licensee’s business;

(2)    Has obtained a license or permit by fraud, misrepresentation, concealment or through inadvertence or mistake;

(3)    Has been convicted of a felony and if the time elapsed since the felony is less than 10 years and the felony for which the licensee was convicted directly relates to the specific business for which the license was sought, except for business licenses issued to operators of a marijuana facility who have a current State license to operate a marijuana facility, which are subject to the Washington State Liquor Board rules;

(4)    Violates Title 14, Land Use Code;

(5)    Engages in unfair or deceptive acts or practices in the conduct of the business, operated the business in such a manner as to constitute breach of the peace, or menace to the health, safety or general welfare of the public; or

(6)    Fails to renew a business license within 90 days after the expiration date of the license.

(b)    When the City determines that there is cause for suspending, denying or revoking any license issued pursuant to this chapter, the Planning and Community Development Department shall notify the person holding such license by certified mail, return receipt requested, of the City’s decision. Notice mailed to the address on file shall be deemed received three days after mailing. The notice shall specify the grounds for the suspension, denial or revocation. The suspension, denial or revocation shall become effective 10 days from the date the notice is delivered or deemed received unless the person affected thereby files a written request with the City within such 10-day period of a hearing before the City Council or to such other hearing body as may hereafter be established by the City Council.

(c)    It is unlawful for any person whose license has been revoked, denied or suspended to keep said license in his/her possession or control, and the same shall immediately be surrendered to the Planning and Community Development Department. When revoked or denied, the license shall be cancelled, and when suspended the Planning and Community Development Department shall retain the same during the period of suspension.

(d)    A business license revoked/terminated for failure to pay the annual license fee may be reinstated if payment of the amount due, together with any penalties due thereon, is made within 10 days of the date of notice, but may also require reapplication for the City license and approval by the City before the revoked/terminated business may continue operation within the City. (Ord. 1179, Sec. 2, 2024; Ord. 957, Sec. 1 (Exh. A), 2016; Ord. 908, Sec. 3, 2014; Ord. 824, Sec. 5, 2010)

4.04.160 Appeal and Hearing.

(a)    Any person aggrieved by the action of the City in denying, refusing to renew, suspending or revoking any license under this chapter shall have the right to appeal such action to the City Council or to such other hearing body as may hereafter be established by the City Council for the hearing of such appeals, by filing a notice of appeal with the Planning and Community Development Department within 10 calendar days after receiving notice of the action from which the appeal is taken.

(b)    If the decision of the City is appealed, the action shall be stayed unless continued operation of the business would cause imminent risk of harm to public health, safety or welfare.

(c)    Upon receipt of a notice of appeal, the Planning and Community Development Department shall schedule a date for a public hearing of such appeal within 30 calendar days.

(d)    The City Council shall hear testimony, take evidence, and may hear oral argument and receive written briefs.

(e)    The decision of the City Council or other hearing body shall be final unless appealed, by the filing of an appropriate action to the Snohomish County Superior Court within 10 calendar days of the date the decision is entered. Appellant shall pay the cost of reproduction of the record transcript.

(f)    In the event the applicant or licensee does not follow the procedures within the time periods set forth above, the license of the person shall be denied, suspended or revoked and that action shall be final. (Ord. 957, Sec. 1 (Exh. A), 2016)

4.04.170 Subsequent Application.

The applicant may resubmit an application previously denied or suspended upon submission of adequate proof to the Council that the reasons for an original denial or suspension have been corrected. A new registration shall accompany any re-application. (Ord. 957, Sec. 1 (Exh. A), 2016)

4.04.180 Examinations of Business Premises.

City officials shall have the authority to investigate and examine all places of business licensed or subject to license under this chapter at any reasonable time for the purpose of determining whether such place of business complies with the provisions of this chapter. (Ord. 957, Sec. 1 (Exh. A), 2016)

4.04.190 Mailing of Notices.

Unless as herein otherwise provided, notices required by this chapter to be mailed to any person shall be sent by ordinary mail, addressed to the address of the applicant as shown by the record of the Planning and Community Development Department, or if no such address is shown, to such address the Planning and Community Development Department is able to ascertain by reasonable effort. Failure of the person to receive such mail notice shall not release the person from any fees or penalties thereon, nor shall such failure operate to extend any time set by the provisions of this chapter. (Ord. 957, Sec. 1 (Exh. A), 2016)

4.04.200 Excise Tax Reporting.

All persons, firms and corporations who perform labor, services and construction within the City (as provided in Rule II, WAC 458-20-145) shall report the City “Location Code Number 3109” on their excise tax returns to the State of Washington, Department of Revenue. (Ord. 957, Sec. 1 (Exh. A), 2016)

4.04.210 Violations.

(a)    Each annual license fee herein provided for shall become due and payable each year on the date determined by the State Department of Licensing Services, in coordination with the City.

(b)    If any taxpayer fails, neglects or refuses to file application for a business license and to pay any license fee as and when required herein, the Planning and Community Development Department is authorized to mail notice to such taxpayer of the amount of the license fee and any penalties provided. The amounts determined thereon shall thereupon become the license fee and shall remain immediately due and payable.

(c)    Any license fee or tax due, unpaid, and delinquent under this chapter, and all penalties thereon, may be collected by civil action, which penalty shall be in addition to any and all other existing remedies and penalties. (Ord. 957, Sec. 1 (Exh. A), 2016; Ord. 750, Sec. 9, 2007; Ord. 732, Sec. 2, 2006)

4.04.220 Penalties.

(a)    Any person violating or failing to comply with any of the provisions of this chapter or any lawful rule or regulation adopted by the City Council pursuant thereto with the exception of the provisions of Section 4.04.100 regarding license late penalties shall be guilty of a misdemeanor and, upon conviction thereof, shall be punished in an amount not to exceed $1,000 or by imprisonment for a term not exceeding 90 days, or by both such fine and imprisonment, which penalty shall be in addition to any other penalties provided for herein.

(b)    Any taxpayer who engages in or carries on any business subject to a tax hereunder without having a business license shall be guilty of a separate violation of this chapter for each day during which the business is so operated.

(c)    On any violation on reporting of excise tax, the amount of local sales and use taxes due the City shall be paid to the City by the violator, together with a penalty of 100 percent in addition to all other penalties, fines and remedies provided in this chapter.

(d)    Nothing in this chapter limits the right of the City to pursue other lawful, criminal, civil or equitable remedies to abate, discontinue, correct or discourage unlawful acts under or in violation of this chapter. (Ord. 1179, Sec. 2, 2024; Ord. 957, Sec. 1 (Exh. A), 2016; Ord. 553, 1997; Ord. 302, 1987; Ord. 145, 1976; Ord. 189, 1980)

4.04.230 Investigations and Background Checks.

The following shall apply to background checks for solicitor license applications, as required by Section 4.04.130(e)(7):

(a)    In accordance with Section 4.04.130(e)(7), an applicant, employee, or volunteer seeking to engage in soliciting, peddling, or canvassing shall submit fingerprints to the Police Department which will submit to the Washington State Patrol and the Federal Bureau of Investigation along with appropriate fees.

(b)    Upon receipt of the fingerprints and the appropriate fees, the Washington State Patrol will compare the subject’s fingerprints against its criminal database and submit the fingerprints to the Federal Bureau of Investigation for a comparison with nationwide records. The results of the Washington State Patrol and Federal Bureau of Investigation’s check will be returned to the Police Department.

(c)    If an employer or organization is a private entity, the Police Department shall render a fitness determination based upon the results of the criminal background check and communicate its fitness determination to such private employer or organization. If an employer or organization is a public entity, the Police Department shall:

(1)    Render a fitness determination based upon the results of the criminal background check and communicate its fitness determination to such public entity; or

(2)    Disseminate the results of the criminal background check to the public entity for a fitness determination.

(d)    In rendering a fitness determination, the Police Department will decide whether the record subject has been convicted of (or is under pending indictment for):

(1)    Any felony or a misdemeanor which involved force or threat of force, intent to deliver controlled substances, burglary, theft, financial crimes, crimes against children, or was a sex-related offense;

(e)    A record subject may request and receive a copy of his/her criminal history record information from the Police Department. Should the record subject seek to amend or correct his/her record, he/she must contact the Washington State Patrol for a Washington state record or the Federal Bureau of Investigation for records from other jurisdictions maintained in its file. (Ord. 1185, Sec. 5, 2024)