Merced Municipal Code Ch. 5.04 General Licensing Provisions

Footnotes:

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Editor's note— Ord. No. 2425, § 1, adopted May 19, 2014, amended Ch. 5.04 to read as herein set out. Former 5.04, §§ 5.04.010—5.04.270, pertained to similar subject matter, and derived from prior code §§ 15.1—15.26; Ord. No. 1319, § 2, adopted 1980; and Ord. No. 2316, § 16, adopted 2008.

As used in this chapter, the word 'person' includes a corporation, business entity, association, syndicate, partnership, club, business trust, society and individual.

(Ord. No. 2425, § 1, 5-19-2014)

The finance officer shall prepare and print licenses for all classes of businesses mentioned in this chapter for the term of one (1) year or for shorter or longer periods as authorized in this chapter, provided that such license fee is prorated for the yearly period. Licenses shall provide for the signature of the finance officer.

(Ord. No. 2425, § 1, 5-19-2014)

The finance officer shall keep a ledger or record in which he shall keep the account of all licenses.

(Ord. No. 2425, § 1, 5-19-2014)

Every applicant shall furnish, but not limited to, the following information if applicable:

A. Business name, location, phone number and mailing address.

B. License contractor information.

C. Social security number or federal tax identification number, state tax identification number and/or state sales tax number.

D. Corporation must provide corporate information.

E. Partnership or sole owner must provide owners name, address, phone number, date of birth and driver's license.

F. A non-profit must provide a 501(c) or other proof of tax exempt status.

G. Additional information may include emergency contacts. Applicants under age of eighteen (18) must provide guardian information.

(Ord. No. 2425, § 1, 5-19-2014)

It shall be unlawful for any person, club or association to commence, carry on, engage in or continue in, in the city, any business, trade, occupation or employment upon which a license tax is imposed by the terms and provisions of this chapter and for which a license tax is required to be procured by the terms and provisions of this chapter, without first paying such license tax and procuring such license as provided in this chapter.

(Ord. No. 2425, § 1, 5-19-2014)

A license shall authorize the party obtaining the same to transact the business described in such license in a particular locality in the city; provided, that the party complies with all other provisions of the Code, and other ordinances and regulations of the city.

(Ord. No. 2425, § 1, 5-19-2014)

A separate license must be obtained on each branch establishment or separate place of business.

(Ord. No. 2425, § 1, 5-19-2014)

A license must be taken out before commencing business provided, that the person taking out a license under the provisions of this chapter after the beginning of any year shall pay only a pro rata amount of such sum for the balance of the time of the annual license, unless otherwise specified in this chapter.

(Ord. No. 2425, § 1, 5-19-2014)

The finance officer shall make diligent inquiry as to all persons in the city liable to pay a license as provided in this chapter.

(Ord. No. 2425, § 1, 5-19-2014)

In all cases where the amount of the license fee is based upon the amount of receipts or sales affected or business transacted, the finance officer must require such person to state under oath the average amount of business which he, or the firm of which he is a member, or of which he is an agent or attorney, or the association or corporation of which he is a president, secretary or managing agent or other officer, transacted in the year next preceding the commencement of the year for which the license is asked. Thereupon, such person, agent, president, secretary or other officer must procure a license from the finance officer for the term desired and for the class of business for which such person is liable in accordance with such statement.

(Ord. No. 2425, § 1, 5-19-2014)

Persons first starting in business must pay a first license tax equal to the annual rate established for such business or occupation; except, that all persons and firms commencing business and who are classified under Section 5.08.020 of this title "gross receipts license," shall pay a first license tax in accordance with the classification in which they are placed at the following rates: Classification A the sum of fifty dollars ($50.00); Classification B the sum of forty dollars ($40.00); Classification C the sum of thirty dollars ($30.00) and Classification D the sum of fifteen dollars ($15.00). For each succeeding year, the amount of such license shall be governed by the statement required by this chapter.

(Ord. No. 2425, § 1, 5-19-2014)

Any person failing, neglecting or refusing to make a statement, or willfully making an incorrect statement, required by this chapter, shall be guilty of a misdemeanor or subject to an administrative citation under Chapter 1.10. Such person shall also be required to pay a penalty of twenty-five (25) percent if not reported within thirty (30) days from the due date. This penalty shall be increased by an additional twenty-five (25) percent for each thirty (30) days thereafter until paid in full, up to a maximum penalty of one hundred (100) percent of the original amount due. In addition, if the amount due is not paid within thirty (30) days from the due date, an additional twenty-five (25) percent penalty shall be imposed on the license pursuant to Section 5.04.240.

(Ord. No. 2425, § 1, 5-19-2014)

Whenever a statement is provided for in this chapter, no license shall be issued or shall be renewed until such statement is made, sworn to and presented to the finance officer as provided in this chapter.

(Ord. No. 2425, § 1, 5-19-2014)

The finance officer is authorized to administer all oaths required by this chapter.

(Ord. No. 2425, § 1, 5-19-2014)

The finance officer shall periodically deposit into the city treasury for the benefit of the general fund all money collected for licenses under this chapter.

(Ord. No. 2425, § 1, 5-19-2014)

No license issued shall be in any manner assignable or authorize any person other than therein mentioned or named to transact or carry on such business or authorize any other business than is therein mentioned or named to be continued or transacted thereunder, or at any place other than therein mentioned or named.

(Ord. No. 2425, § 1, 5-19-2014)

Every person having a license under the provisions of this chapter shall conspicuously exhibit the same in his place of business, or carry same on his person when he has no fixed place of business, and shall produce the same when requested to do so by the finance officer, chief of police, fire chief or their representative.

(Ord. No. 2425, § 1, 5-19-2014)

The securing of a business license under this chapter shall be exempt from the license tax to any institution or organization, with proof of a 501(c) or other tax exempt status, which is conducted, managed, or carried on wholly for the benefit of a charitable purpose, or from which profit is not derived either directly or indirectly by any person; nor shall any license tax be required for the conducting of any entertainment, concert, exhibition or lecture on scientific, historical, literary, religious or moral subjects, whenever the receipts of such function are to be appropriated to any church, school or to any religious or benevolent purpose within the city; nor shall any license tax be required for the conducting of any entertainment, dance, concert, exhibition or lecture by any religious, charitable, fraternal, educational, military, state, county or municipal organization or association whenever the receipts of any such entertainment, dance, concert, exhibition or lecture are to be appropriated for the purposes and objects for which such association or organization was formed, and from which profit is not derived either directly or indirectly by any individual; provided, that nothing contained in this section shall be deemed to exempt any such institution or organization from complying with the provisions of any law or regulation of the city requiring such institution or organization to obtain permission from the city council; provided further, that whenever any venture or activity to be sponsored by any institution or organization which does not meet or deviates from the intent or provisions of this section or when any institution or organization sponsors or is connected with a commercial, profitmaking venture or activity for the benefit of an individual or individuals, if such individual or individuals in any way control or conduct the advertising, promotion, ticket sales or any part of such venture or activity other than the actual performance, prior permission must be obtained from the city council.

(Ord. No. 2425, § 1, 5-19-2014)

A. Except as may be otherwise specifically provided in this code, the provisions in this chapter shall not be deemed or construed to apply to any of the following persons or firms:

1. Any public utility which pays to the city a tax under a franchise or similar agreement, or any publicly owned public utility.

2. Banks, including national banking associations, to the extent that a city may not levy a license tax upon them under the provisions set forth under Article XIII, Section 27 of the State Constitution.

3. Insurance companies and associations to the extent that a city may not levy a license tax upon them under the provisions as set forth in Article XIII, Section 28 of the State Constitution.

4. Any person or firm who the city is not authorized to license under any law or the Constitution of the United States or the State of California.

B. The finance officer may require the filing of a verified statement from any person or firm claiming to be excluded by the provisions of this section, which statement shall set forth all the facts upon which the exclusion is claimed.

(Ord. No. 2425, § 1, 5-19-2014)

The license tax imposed by this chapter shall be a debt due the city from and against any person who maintains, carries on, engages in or conducts in the city any business, occupation, trade, profession or employment, upon which a license tax is imposed, or for the commencing, engaging in, carrying on or conducting of which a license is required to be procured without first having paid such license tax and procured such license according to the terms and provisions of this chapter. Such persons shall be liable in a civil action in the name of the city as plaintiff in any court of competent jurisdiction for the amount of the license tax imposed by this chapter and for the cost of suit, and for reasonable attorney's fees.

(Ord. No. 2425, § 1, 5-19-2014)

The license tax imposed by this chapter shall become due and payable in lawful money of the United States of America to the finance officer.

(Ord. No. 2425, § 1, 5-19-2014)

All license fees imposed by this chapter shall be payable in advance and shall be deemed to be delinquent if not so paid. Penalties for the non-payment thereof shall be imposed as provided in Section 5.04.240.

(Ord. No. 2425, § 1, 5-19-2014)

Any business required to pay additional fees, under the following provisions, shall make payment the same time and in the same manner as the license tax:

A. Business improvement area tax — Chapter 3.44

B. Home occupation certificate fees — Chapter 20.54, Section 20.54.100.

C. Massage license fee — Chapter 5.44.

D. Solicitor licenses fees — Chapter 5.08, Section 5.08.800.

E. Street and sidewalk vendor fees - Chapter 5.54.

F. Any other permit or fee under Title 5 business licenses and regulations shall be made at the same time as the business license tax.

(Ord. No. 2425, § 1, 5-19-2014)

Subject to other provisions of this chapter, licenses not paid within thirty (30) days from the due date as provided shall be subject to a twenty-five (25) percent penalty. Daily licenses shall be subject to a twenty-five (25) percent penalty if not paid prior to the beginning of any act or business activity required to be licensed under the provisions of this chapter. These provisions of delinquency and penalty shall not be construed in any way, as affecting the liability of the period in default for prosecution on account of failure to pay the license fee as is now prescribed or may hereinafter be prescribed by ordinance. In addition to the twenty-five (25) percent penalty, a penalty for failure to make a statement or falsification of such statement pursuant to Section 5.04.110 shall also be required.

(Ord. No. 2425, § 1, 5-19-2014)

Any person failing, neglecting or refusing to make a statement, or willfully making an incorrect statement, required by this chapter shall be subject to an administrative citation under Chapter 1.10.

(Ord. No. 2425, § 1, 5-19-2014)

No license shall be issued under the provisions of this chapter until the applicant has complied with all of the provisions of the building code, the fire code, Title 18, Title 20 and when applicable, the rules and regulations of the police and health departments.

(Ord. No. 2425, § 1, 5-19-2014)

Whenever the amount of any tax has been overpaid or paid more than once or has been erroneously or illegally collected or received by the city under this chapter, it may be refunded as provided in Section 5.08.045.

(Ord. No. 2425, § 1, 5-19-2014)