Montebello Municipal Code Ch. 5.04 Business Licenses Generally

This title shall be known and referred to as the "business license code" of the city.

(Prior code § 6100)

It is the intent of the city council of the city, by the adoption and amendment of the provisions of this title, to provide regulatory provisions only, with regard to specific businesses, as set forth hereinafter, and, to prescribe a schedule of business licenses taxes, for revenue purposes only, for all businesses, in the amounts and manner as set forth hereinafter. It is also the intent of the city council of the city to ensure that all businesses intending to operate in the city meet certain minimum zoning, fire, building and safety, and other requirements of the Montebello Municipal Code prior to and during the operation of said business. In the event that any business regulated by the provisions of this title, which is now, or hereafter, declared by appropriate legal authority, to be regulated by the laws of the state, to the exclusion of the right of regulation by this city, the provisions of this title which are regulatory, in nature, shall not be deemed to apply to such business or businesses, except that the imposition of the business license tax, as set forth herein, shall, notwithstanding such determination, apply thereto.

(Prior code § 6101)

(Ord. No. 2338, § 1, 10-27-2010)

For the purpose of this title, certain words and phrases are herein defined, and the same shall be construed in accordance with the same, unless it is apparent from the context that a different meaning is intended:

"Advertising vehicle" means the business of operating upon the streets, any motor or other vehicle equipped with music or a musical device, loudspeaker or other device for attracting attention by sound, for commercial advertising purposes.

"Apartment house" shall be defined as set forth in Chapter 17.08 of this code.

"Business" means the conduct of any enterprise, trade, calling, vocation, profession, occupation, including, but not limited to, the renting or leasing of apartments located within the city, or any other means of livelihood carried on within the city, whether or not the same has a fixed place of business in the city.

"Business by vehicle" means the business of operating any motor vehicle, wagon, or any other vehicle for the purpose of transporting refuse or rubbish, or transporting, selling or repairing of goods, wares, merchandise or other personal property of any kind, from such vehicle, or for the purpose of soliciting for work, labor or services, to be performed at a residence or place of business of the consumer, or to be performed upon goods, wares, merchandise or other personal property of such consumer, which are to be taken, for such purpose, to a plant or establishment inside or outside of the city. Business by vehicle shall not be deemed to include the delivery and pickup of goods, wares or merchandise as an incident to the conduct of another business.

"Business license tax" or "tax" means a business license tax imposed pursuant to the provisions of this title by reason of the conduct of business within the city.

"Chief" means a duly appointed, acting and qualified chief of police of the city, or his authorized deputy.

"City" means the city of Montebello.

"City manager" means the duly appointed, acting and qualified city manager of the city.

"City attorney" means the duly appointed, acting and qualified city attorney of the city.

"Coin" means any slug, token, plate, disc, plug, key, check or other device or thing of value.

"Conduct" means and includes the conducting, managing or carrying on of a business in any capacity.

"Contractor" means any person licensed, or required to be licensed, as such, by virtue of the provisions of the Business and Professions Code of the state of California.

"Council" means the city council of city.

"Engaged in business" means the operating, conducting, managing or the carrying on of any business in the city, as owner, officer, manager, employee, servant or lessee, whether or not a profit or gain therefrom is actually made.

"Gross receipts" means and includes the total amount received as and for the sale price of all goods, wares and merchandise sold and/or the total amount charged and received for the performance of any act, service or employment of whatever nature, for which a charge is made or credit allowed, whether or not such act, service or employment is done as part of or in connection with the sale of materials, goods, wares or merchandise or the rendition of personal services. Included in gross receipts shall be all receipts, cash, credits and property of any kind or nature, without any deduction therefrom on account of the property sold, the materials used, labor or service costs, interest paid or payable, losses or other expenses whatsoever attributable to sale activities or personal services.

"Itinerant vendor" means the same as peddler.

"License" means a business license issued pursuant to the provisions of this title.

"Licensee" means a person holding a valid business license issued pursuant to the provisions of this title.

"License collector" means an officer or employee of the city who is appointed as the city's license collector, whose primary duty is to enforce the provisions of this title.

"Mechanical amusement device" or "amusement game machine" means any machine or device, whether mechanical, electrical or electronic, which upon the insertion of a coin, slug, token or similar object operates for use as a game, contest or amusement. It includes devices commonly referred to as pinball machines and video game machines; also means the use of any microscope, kinetoscope, giograph, projectoscope or other instrument or machine of like character, lung tester, muscle tester, galvanic battery, weighing machine, ball, knife or ring throwing, and all devices or contraptions of a similar nature. Each such device or contraption shall be considered and licensed as a separate business.

"Peddler" means any person who goes from house to house, place to place, or in or along the streets within the city selling or making immediate delivery, or offering for sale and immediate delivery, any goods, wares or merchandise, or anything of value, in possession of the peddler, or offering to perform personal services, to persons other than manufacturers, wholesalers, jobbers or retailers in such commodities.

"Permit" means a permit required to be issued prior to the conduct of any business referred to hereinafter.

"Permittee" means a person holding a valid permit issued pursuant to the provisions thereof.

"Person" shall mean any individual, corporation, partnership, association, incorporated or not, Massachusetts business or common law trust, societies, joint venture or other associations of individuals transacting or conducting any business in the city.

"Premises" means all land, buildings, structures, equipment and appurtenances connected with, or used in, conducting any business.

"Solicitor" means any person who engages in the business of going from house to house, place to place, in or along the streets within the city, selling or taking orders for goods, wares or merchandise, or other things of value for future delivery, or for services to be performed in the future.

"Vending machines" includes any self-service device or machine available for public use, which upon insertion of coins or tokens will disperse or provide a service, music, food, drink or other type of merchandise.

"Written notice" means a written communication which shall be addressed to the party involved, at his last known address, postage prepaid, deposited in the course of transmission of the United States Postal Service.

(Prior code § 6102)

Persons required to pay a tax pursuant hereto shall not be relieved from the payment of any tax for the privilege of doing such business required under any other applicable law of the city, and such persons shall remain subject to all other applicable regulatory provisions of other ordinances and provisions of this code, except as hereinafter expressly provided.

(Prior code § 6103)

A. The amount of tax due under this chapter or Chapter 5.08 may be calculated by the license collector. If the tax is not calculated by the license collector, it shall be calculated by the taxpayer pursuant to this code, subject to a review and revision of the calculation by the license collector. Failure of the taxpayer to calculate the tax or to remit the tax shall not excuse its payment or the payment of any associated interest or penalties. If license collector calculates or recalculates a tax, the determination shall be sent in writing to the taxpayer. All notices and communications by the city under this section shall be sent by first class mail or personal service to the last known address for the taxpayer.

B. If a taxpayer disputes the amount of the assessed or recalculated tax, the taxpayer may make application in writing to the license collector for a hearing on the amount assessed within fifteen days after the date of the notice of assessment or recalculation. If application by the taxpayer for a hearing is not made and received within the time prescribed, the tax, interest and penalties, if any, determined by the license collector shall become final and conclusive, and immediately due and payable. If such application is made, the license collector shall give not less than five days' written notice to the taxpayer to show cause, at a time and place fixed in the notice, why the amount specified therein should not be fixed for such tax, interest and penalties. At such hearing, the taxpayer may appear and offer evidence why such specified tax, interest and penalties should not be so fixed. After such hearing, the license collector shall determine the proper tax to be remitted and shall thereafter give written notice to the person of such determination and the amount of such tax, interest and penalties. The amount determined to be due shall be payable after fifteen days, unless an appeal is taken as provided herein.

C. Any taxpayer aggrieved by any decision of the license collector with respect to the amount of such tax, interest and penalties, may appeal to the city council by filing a notice of appeal with the city clerk within fifteen days of serving or mailing the determination of tax due. The council shall fix a time and place for hearing such appeal, and the city clerk shall give five days' notice in writing thereof to such taxpayer at his last known place of address. The findings of the council shall be final and conclusive and shall be conveyed in writing to the taxpayer. Any amount found to be due shall be immediately due and payable upon the mailing or service of the notice.

(Ord. 2140 § 2, 1996)

Neither the adoption of this title nor its superseding of any portion of any other law of the city, shall, in any manner, be construed to effect the pending prosecution for the violation of any other such law committed prior to the effective date hereof; nor shall the same be construed as a waiver of any license or any penal provision applicable to any such violation; nor shall the same be construed to affect the validity of any bond or cash deposit or tax imposed, whether or not paid, required by any other such law.

(Prior code § 6104)

A. Exemption.

Licenses shall be issued, but no tax shall be required for, of, or from the following:

1. Those persons engaged in a business exempted from the payment of a tax imposed by the provisions hereof, by virtue of the Constitution and the laws of this state or of the United States;

2. Any institution or organization which conducts a business wholly for the benefit of charitable, religious, educational or benevolent purposes and from which profit is not derived either directly or indirectly by any person;

3. Any employee or direct agent of a licensee conducting the business of such licensee;

4. To conduct a sale at public auction of articles of personal property belonging to residents of the city, which articles are not part of the stock in trade or any part of such stock in trade of any business; or any such auction which is conducted pursuant to appropriate judicial authority;

5. Disabled war veterans shall not be required to pay a business license tax for peddling or soliciting; provided, that the persons exhibit to the license collector evidence of such character as shall satisfy him that the applicant has received an honorable discharge from the United States military or naval service and of service-connected disability; nor

6. Farmers, poultrymen and horticulturists shall not be required to pay a business license tax for the privilege of selling exclusively their own produce. The exemption shall not apply to nurseries or other commercial establishments who buy goods for resale as well as selling their own produce.

B. Procedure.

1. Any person claiming an exemption pursuant to this section shall file a verified statement with the license collector stating the facts upon which exemption is claimed. The license collector, upon a proper showing contained in the verified statement, shall issue a license to such persons claiming exemption under the provisions of this section, without payment to city of the tax required by this chapter.

2. The burden of proof in all cases, shall be upon the applicant to establish, pursuant to the provisions hereof, a valid basis for the exemption for the payment of a tax imposed by this title.

3. Where the license collector declines to issue an exempt license for the reason that the applicant has not qualified for such exemption pursuant to the provisions hereof, the license collector shall, within five days of such decision, give the applicant written notice of such denial. The applicant shall, within ten days after the mailing of such notice, have the right of appeal to the city manager. Upon receipt of such an appeal, the city manager shall consider all applicable documents and staff reports relating to the matter, and shall permit the applicant, either in writing or in person, to present the factual basis claimed for such exemption. The city manager, based upon such evidence, in accordance with the purpose and intent of this code, shall determine whether or not the applicant is qualified for such exemption. Upon reaching a conclusion, the city manager shall give the applicant written notice of such decision. Within ten days after the mailing of such notice of decision, the applicant may appeal the decision of the city manager to the city council. Such an appeal shall be perfected by the applicant's filing with the city clerk, such an appeal, in writing, stating the basis therefor. Upon receipt of such an appeal, the city clerk shall place the same upon the next most convenient city council agenda, and shall give the applicant at least five days' written notice of the time and place of the hearing. At the time of the hearing, the city council shall consider all relevant evidence, including, but not limited to, all applicable staff reports, relating to the matter. The applicant shall be given a reasonable opportunity to be heard in conjunction therewith. Based upon such evidence and the purpose and intent of this code, the city council shall determine whether the exemption should be granted. The decision of the city council shall be final and conclusive.

C. Compliance with Other laws.

Nothing in this section, or any subsection hereof, shall exempt any person from complying with any other applicable law of the city.

(Prior code § 6105)

No person shall engage in, or conduct, any business in the city without first paying the business license tax for such business, in the amounts hereinafter set forth, and obtaining the license therefor, except as hereinbefore expressly provided.

A. No person shall conduct any business in the city without having a license from the city so to do, valid and in effect at the time, and without complying with any and all regulations pertaining to such business as contained in this code. No person who is an employee or who is the direct representative of a licensee shall be required to obtain such license or pay such tax for the doing of any part of work in the business of such licensee.

B. 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 hereunder shall be required to obtain a separate license pursuant to the appropriate provisions hereof.

(Prior code § 6150)

Separate licenses shall be obtained for each branch or separate place of business which is a part of any business licensed, or required to be licensed, hereunder; provided, that only one tax shall be imposed upon such business, but a two dollar and fifty cent filing and processing fee shall be paid to the city by such persons for each separate license.

(Prior code § 6151)

In the event that any person is conducting, managing or carrying on, at one location, more than one business required to be licensed hereunder, a separate license for each such business shall be obtained, and the applicable taxes therefor, which is classified in one or more categories hereunder shall pay a tax equal to the highest of the taxes imposed thereon.

(Prior code § 6152)

Where a business license has heretofore been issued to any person by the city and the tax paid therefor under the provisions of any ordinance heretofore enacted and the term of such license has not expired as of the effective date hereof, a new license for the business shall not be required until the expiration of the term of such unexpired license.

(Prior code § 6154)

A. Application. Every person required to have a license under the provisions of this title, shall make an application therefor, in a form prescribed by the city manager, to the license collector of the city. Upon the payment of the prescribed tax therefor and upon determination that none of the grounds for denial as specified in Section 5.04.110.B exist, the license collector shall issue to such person a license which shall contain:

1. The name of the person to whom the license is issued;

2. The business licensed;

3. The place where such business is to be transacted and carried on;

4. The date of the expiration of such license;

5. Such other information as may be deemed necessary.

B. Grounds for Denial. The license collector of the city shall deny any application for a business license or for the renewal thereof if the license collector makes any of the following findings and/or determinations:

1. The applicant has not first obtained or has not maintained in full force and effect any separate and distinct regulatory permit, conditional use permit, or other entitlement that is required pursuant to the provisions of the Montebello Municipal Code or other applicable law;

2. The building, structure, premises, location, or the equipment used to conduct the business activity fails to comply with all applicable health, zoning, fire, building and safety laws and regulations;

3. The applicant has knowingly made any false, misleading, or fraudulent statement of material fact in the application for the business license, in the application for renewal of the business license, in the application for any permit which is a pre-requisite to the acquisition of a business license, or in any report or statement required to be filed with the license collector;

4. The business is prohibited by any federal, state, or local law or regulation, or prohibited in the particular location or zone by any law or regulation;

5. The applicant is in violation of a provision of the Montebello Municipal Code or owes taxes, fees, or penalties pursuant to this chapter or any other provision of the Montebello Municipal Code;

6. The application is for a license (new or renewal) for the same or substantially similar business activity for which the applicant has had a business license denied or revoked by the City of Montebello within the preceding twenty-four months.

C. Notice of Denial. Upon determining the existence of any factors specified in Section 5.04.110.B, the license collector shall advise the applicant by serving upon the applicant a notice of denial in writing within ten business days of such determination. The notice of denial shall state the license collector's findings and/or determinations that justify denial of the business license application, and shall include a summary of the evidence upon which such findings and/or determinations are based.

D. Appeal of Denial of License. The denial of any business license by the license collector may be appealed to the city council pursuant to the provisions of Section 5.04.310.F of this chapter.

(Prior code § 6157)

(Ord. No. 2338, § 2, 10-27-2010)

Annual licenses shall date from the day of issue thereof, and shall be in effect for a period of one year thereafter.

(Prior code § 6160)

A duplicate license shall be issued by the license collector to replace any license previously issued hereunder which has been lost or destroyed, upon the licensee filing an affidavit attesting to such fact, and the payment of a filing and processing fee in the sum of two dollars and fifty cents.

(Prior code § 6155)

All licenses shall be kept by the licensee conspicuously posted and located on the premises utilized by the licensee. 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 person at all times while transacting and carrying on such business. 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 device, as prescribed by the city manager. The device shall at all times during the effective dates thereof be affixed to the vehicle in a location designated by the city manager. A fee of one dollar per device shall be paid in addition to the tax required hereunder.

(Prior code § 6156)

No license issued pursuant to this chapter shall be transferable. Where a license is issued to a person at a particular place, such license may, upon application therefor, and payment of a filing and processing fee in the sum of two dollars and fifty cents, be amended so as to authorize the transacting and carrying on of such business under the license at a different location. A new license shall be obtained, and the tax required therefor, shall be paid where an existing license is sold or transferred.

(Prior code § 6153)

The amount of license taxes to be paid to the city by any person engaged in or carrying on any business in the city, shall be as set forth in Chapter 5.08 of this code.

(Prior code § 6158)

A. In all cases where the amount of business license tax to be paid by any person is based upon the amount of gross receipts, as set forth in this title, such person shall, before obtaining a license, render to the license collector for his guidance, a written statement showing the total amount of gross receipts, or other facts upon which the license collector may determine the license tax under the provisions of this title, as applied to the particular business involved. Such statement shall so be filed within ten days of the commencement of such business, or within five days after written notice so to do, given to such person by the license collector.

B. All statements filed pursuant to the provisions of this section shall be deemed confidential in character and shall not be subject to public inspection. It shall be the duty of the license collector to preserve and keep such statements so that the contents thereof may not become known to any unauthorized person. The filing of a false statement hereunder shall be deemed to be a violation of this code.

C. Such statements 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 actually due from such person. The correctness of all such statements shall be subject to verification by the license collector of the city who is authorized and empowered to inspect and audit the books and records of any and all persons licensed to carry on any business in this city, for which a tax is imposed.

D. If any person fails to file any required statement or application within the prescribed time, the license collector shall assess the maximum license tax prescribed for the business carried on by such person; if such tax is based upon gross receipts, the tax which shall be imposed for the purposes of this section shall be in the sum of one hundred dollars. The license collector shall give the person conducting such business written notice of the determination made pursuant hereto, which determination shall be final and conclusive, unless within ten days after the mailing of such notice, such person files with the license collector, a written statement showing good cause (i.e., "good cause for the purpose of this section means mistake, inadvertence, surprise or excusable neglect, resulting in failure to timely file such statement). If good cause is shown, the license collector shall permit the late filing of such statement.

(Prior code § 6159)

All annual license taxes imposed hereunder, shall be due and payable in lawful money of the United States, in advance, not later than the anniversary of the date of issuance of such license.

(Prior code § 6161)

A. Except as otherwise herein provided, license tax fees, other than annual, required hereunder, shall not be prorated and shall be due and payable in advance in lawful money of the United States as follows:

1. Quarterly license fees on the first day of January, April, July and October of each year;

2. Monthly license fees on the first day of each and every calendar month;

3. Weekly license fees on Monday of each week;

4. Daily license fees each day in advance.

B. No license shall be issued or authorized for any period of time other than those provided in this title.

(Prior code § 6162)

A. Concurrently with the issuance of a license for a mechanical amusement device and/or vending machine, the license collector shall issue and furnish an identification card or device, as prescribed by the city manager, for each such machine so licensed. Such identification card or device shall be and remain attached to the device or machine at all times. Such identification cards or devices shall be issued by the license collector for new or replacement machines upon the payment of a filing and processing fee of one dollar each. Such identification devices shall be valid so long as a license allowing such business is in full force and effect.

B. Each person owning or operating either mechanical amusement devices or vending machines, shall file with the license collector a complete list of all such machines or devices owned by him or under his control and operated within the city, including the kind of machine or device, its serial number, the location where each machine or device is to be operated, and such other information as the license collector deems necessary, upon a form to be provided by the license collector. The owner or person in control of the business establishment wherein the machine or device is located shall be responsible for the full amount of the business license tax required hereunder if the owner of the machine or device has not paid the license tax due and payable thereon.

(Prior code § 6163)

A. The license collector shall seal the coin opening or slots, in a manner which will render inoperative the coin-operating device upon any vending machine or any mechanical amusement device which is available to the public for operation, and to which no city identification card or device is attached as required by this code.

B. A filing and processing fee in the amount of ten dollars shall be paid to the license collector by the owner or operator of any such vending machine, or mechanical amusement device so sealed for the removal of any such seal. No person shall operate or permit the operation of any machine so sealed, without first submitting evidence to the license collector that a valid business license is in effect, and that the filing and processing fee has been paid. It is unlawful for any person other than the license collector to break or remove any such seal.

(Prior code § 6164)

No person shall engage in any of the enumerated businesses without first obtaining a permit therefor in the manner prescribed in this chapter:

A. Amusement or recreation parlors or places;

B. Automobile or truck wrecking business;

C. Billiard room;

D. Bowling alley;

E. Device and contraption;

F. Itinerant vendor;

G. Junkyard or junk dealer;

H. Mechanical amusement device;

I. Pawnbroker;

J. Peddler;

K. Poolroom;

L. Private patrol;

M. Riding academies, clubs, corrals and schools;

N. Salvage yard or salvage dealer;

O. Side shows;

P. Skating rink;

Q. Solicitors.

(Prior code § 6300)

Before any permit is issued by the license collector and inspector of the city (hereinafter "license collector") pursuant to this chapter, an application shall be verified by the applicant (if a corporation or association, by an officer thereof; if a partnership, by a general partner) and accompanied by the fee required therefor, and shall include the following information:

A. Name and address of applicant (names of partners, if a partnership; officers and directors, if a corporation; principals, if an association);

B. Nature of the business enterprise;

C. The location and address of business or enterprise;

D. Brief description of the nature and amount of equipment to be used in business or enterprise;

E. A personal description of applicant (or each officer, partner or principal);

F. Evidence of identity of such applicant (or each officer, partner or principal) including, but not limited to, a suitable photograph of such person;

G. Fingerprints and thumb prints of applicant (or each officer, partner or principal).

(Prior code § 6301)

The license collector shall refer such applications to the city department heads for investigation in the manner and to the extent deemed necessary by collector to determine whether the applicant (or each officer, partner or principal) is of good moral character and proposes to engage in the business in a manner which shall not be detrimental to the public peace, health, safety, morals or welfare, either by reason of the character of the applicant or the nature of the business or the manner in which the business is proposed to be conducted. After such investigation, the chief of police or other department heads shall, in writing, indicate to the license collector the conclusions of such investigation. If as a result of such investigation, it is found that the applicant, or each officer, partner or principal), are of good moral character and that the business or enterprise will not be detrimental to the public peace, health, safety, morals or welfare of the city or its inhabitants, either by reason of the character of the applicant, the nature of the business or the manner in which the business is proposed to be conducted, the license collector shall forthwith issue a permit upon such terms, conditions and restrictions as are not in conflict with any permanent law, and as may be necessary or expedient to protect the public peace, health, safety, morals or welfare of the city and its inhabitants.

(Prior code § 6302)

Should the license collector refuse to issue such a permit, the applicant may file an appeal with the city clerk within ten days of the denial thereof. Within thirty days after filing an appeal, the council shall review the matter, applicant shall be given at least five days' notice of the time and place of such review. The review need not be a hearing de novo, but the applicant shall have the right to be heard. If the council determines that the proposed enterprise would be detrimental to the public peace, health, safety, morals or general welfare of the city or its inhabitants, either by reason of the character of the applicant or the nature of the business or enterprise, or the manner in which the business or enterprise is proposed to be operated, it shall refuse to issue such permit. If it is found that the public peace, health, safety, morals or general welfare will not be adversely affected by the issuance of the requested permit, the council shall order the same issued. The action of the council shall be final.

(Prior code § 6303)

A. Permits issued pursuant to this chapter shall be posted on the premises where the business or enterprise for which the permit is issued is conducted and shall remain so posted during the period the permit shall be in force.

B. Any permit issued to a person who goes from place to place within the city for the purpose of carrying on the business or activity permitted, shall carry such permit with him at all times, and shall exhibit the same upon request thereafter.

(Prior code § 6304)

Permits issued pursuant to this chapter shall be for the same duration as the business license issued to such person or business pursuant to this code.

(Prior code § 6305)

Permits issued pursuant to this chapter may be renewed upon the filing of an application therefor with the license collector. The application for renewal shall be in the same form as an application for an original permit. It shall be issued or denied in a like manner as in the case of the original permit.

(Prior code § 6306)

A filing and processing fee of fifteen dollars shall be submitted with each application for an original permit. For any renewal thereof, such fee shall be in the sum of ten dollars.

(Prior code § 6307)

No permit issued pursuant to this chapter shall be transferable except by consent of the city council expressed by a council minute order. Any transfer made without such consent shall void the permit.

(Prior code § 6309)

A. The city council finds that the provisions of this section are to be used for those general business activities when there are no express provisions regulating the modification, suspension, and/or revocation of licenses and/or permits for a particular type of business. To the extent that this chapter may be in conflict with other chapters of this title which expressly provide for suspension, revocation or denial of a business license and/or permit for a specific type of business, the express provisions of that specific chapter shall control over the provisions of this chapter.

B. Grounds for Suspension or Revocation. The license collector shall may suspend or revoke any license and/or permit issued pursuant to this chapter, if the license collector makes any of the following findings and/or determinations:

1. There exists any ground for denial of the license/permit pursuant to Section 5.04.110.B of this chapter.

2. The licensee/permittee or his/her agent, employee, partner, director, controlling stockholder, or manager has knowingly made any false, misleading or fraudulent statement of material facts in the application for a license or permit or in any report or record required to be filed by law;

3. The licensee/permittee or any employee, agent, or manager of the licensee/permittee, has violated or is violating any condition of approval imposed upon such license and/or permit, or upon any other entitlement granted by the city or other government agency;

4. The licensee/permittee or any employee, agent, or manager of the licensee/permittee has violated or is violating any ordinance, law, or regulation of the city, County of Los Angeles, State of California, or the United States of America, in the course of exercising any rights under the business license/permit;

5. The licensee/permittee, or any employee, agent, or manager of the licensee/permittee, has caused, allowed, suffered, or failed to exercise reasonable diligence and care to prevent the use of the business or the business premises as a base for unlawful or criminal activity, including, but not limited to, solicitation, prostitution, illegal gambling, or the use and/or sale of illegal narcotics;

6. The licensee/permittee, or any employee, agent, or manager of the licensee/permittee, operates the business in violation of any notice of denial, order of suspension, or order of revocation issued pursuant to the provisions of this chapter;

7. The licensee/permittee has been held liable for, or has been convicted of, any offense involving the maintenance of a nuisance resulting from any act performed in exercising any rights under the business license/permit; and/or

8. The continued operations under the license and/or permit would endanger, disrupt or otherwise be detrimental to the public peace, health, safety, morals or general welfare of the city or its inhabitants, or constitute a public nuisance.

C. Grounds for Summary Suspension or Revocation. The license collector shall summarily suspend or revoke any license and/or permit issued pursuant to this chapter, if the license collector determines that any ground for suspension or revocation pursuant to Section 5.04.310.B exists to the extent or degree that it creates an imminent peril to the public health, welfare, morals, or safety.

D. Order of Suspension/Revocation.

1. Suspension. The license collector shall serve a written order of suspension upon the licensee/permittee (in accordance with the provisions of Section 1.04.080 of this code) stating the grounds for suspension and informing the licensee/permittee of his/her appeal rights (including method and timeline for requesting appeal). The order shall also advise the licensee/permittee of the length of the suspension and the effective date of the suspension.

a. A license/permit may be suspended for a period not to exceed fifteen calendar days for each violation.

2. Revocation. The license collector shall serve a written order of revocation upon the licensee/permittee (in accordance with the provisions of Section 1.04.080 of this code) stating the grounds for revocation and informing the licensee/permittee of his/her appeal rights (including method and timeline for requesting appeal). The order shall also advise the licensee/permittee of the effective date of the revocation.

E. Effective Date of Suspension or Revocation.

1. General. Except as provided at Section 5.04.310.E.2, any license or permit suspended or revoked pursuant to the provisions of Section 5.04.310.B of this chapter shall become effective, and the licensee/permittee shall cease all operations authorized under such license and/or permit, no later than ten calendar days from the service of the order of suspension or order of revocation. Where an appeal is timely filed in accordance with the provisions of Section 5.04.310.F, the notice of suspension or notice of revocation shall be stayed pending the city council's resolution of the appeal pursuant to the provisions of this chapter.

2. Summary Suspension/Revocation. Any license or permit suspended or revoked pursuant to the provisions of Section 5.04.310.C ("Summary Suspension/Revocation") of this chapter shall become effective immediately upon service of the order of summary suspension/revocation, and the licensee/permittee shall immediately cease all operations authorized under such license and/or permit, pending the city council's resolution of the appeal pursuant to the provisions of this chapter. A suspension or revocation pursuant to the provisions of Section 5.04.310.C shall not be stayed by the filing of a request for an appeal or during the pendency of an appeal thereof.

F. Appeal.

1. Request for Appeal. Any licensee/permittee may appeal any notice of denial, order of suspension, or order of revocation issued by the license collector by filing a request for an appeal with the city clerk, and tendering a filing and processing fee as set by resolution of the city council, within ten calendar days of service of the notice/order of such denial, suspension, or revocation. The request for an appeal must be made in writing and must contain the following information:

a. The name of the appellant and the address of the applicable business establishment where the appellant was authorized (or was seeking to be authorized) to conduct business pursuant to the license or permit that was denied or is subject to the order;

b. The date of denial, suspension, or revocation by the license collector;

c. A statement as to all grounds for appeal in sufficient detail to enable the city council to understand the nature of the controversy, however, a licensee/permittee may only challenge a summary suspension/revocation based upon the grounds for the suspension/revocation and not the license collector's determination that such grounds existed to the extent or degree that it creates an imminent peril to the public health, welfare, or safety;

d. The signature of the appellant under penalty of perjury as to the contents of the request for appeal.

2. Upon receipt of such written appeal and fee, the city clerk shall immediately set the matter for consideration by the city council at its next most convenient regular meeting, or otherwise transmit the appeal to the mayor for the purpose of calling a special meeting to consider the appeal, provided that no appeal hearing related to a suspension or revocation pursuant to Section 5.04.310.C shall be commenced in excess of thirty days from the timely filing of a request for appeal and payment of applicable fees without the consent of the appellant. The city clerk shall issue written notice of the time and place of an appeal hearing to the appellant at least seven consecutive calendar days' prior thereto. If a request for an appeal is not timely submitted (with all applicable fees) to the city clerk, the notice of denial, order of suspension, or order of revocation shall be deemed final and binding, and the licensee/permittee shall be deemed to have failed to exhaust all administrative remedies.

3. Appeal Hearing. An appeal hearing conducted pursuant to the provisions of this section, shall comply with the following:

a. The appeal hearing shall proceed solely on those issues or defenses raised in the request for an appeal filed by the appellant, and all matters not contested in said request shall be deemed admitted into evidence;

b. The city shall have the burden to establish the grounds for the denial, suspension, or revocation that has been contested by the appellant by a preponderance of the evidence. The notice of denial, order of suspension, or order of revocation (and all documents or reports relied upon and/or prepared in relation to the notice or order) shall be admitted into evidence and shall constitute prima facie evidence of the grounds for denial, suspension, or revocation;

c. The appellant shall be given an opportunity to testify and to present written and/or oral evidence relevant to the matters raised in the request for an appeal filed by the appellant, and shall have the right to examine and cross-examine any documents and witnesses presented by the city in support of the denial, suspension or revocation. The unexcused failure of the appellant to appear at the appeal hearing shall constitute a withdrawal of his/her request for an appeal hearing and the denial, suspension, or revocation as issued by the license collector shall be deemed final and binding;

d. Appeals hearings are to be conducted informally, and formal rules of evidence need not be followed;

e. Written notice of the city council's determination of whether to suspend, revoke, reinstate or conditionally reinstate the license and/or permit shall be issued to the appealing party within ten business days of the decision. The determination of the city council shall be final and conclusive;

f. The licensee/permittee may seek prompt judicial review of such administrative actions in a court of competent jurisdiction as provided by law, pursuant to Section 1094.6 of the California Code of Civil Procedure.

(Ord. 2272 § 8, 2004: prior code § 6308)

(Ord. No. 2338, § 3, 10-27-2010)

No license or permit issued pursuant to this chapter shall be construed as authorizing the conduct of or continuance of any illegal or unlawful business or practice, or the furnishing, sale, provisioning of any service, good, or product that is illegal under this code, the laws of the County of Los Angeles, the laws of the State of California, and the laws of the United States of America. Licenses issued to an unlawful business or businesses providing or selling illegal services or products shall be subject to revocation in accordance with this code.

(Prior code § 6106)

(Ord. No. 2338, § 4, 10-27-2010)

No license or permit issued hereunder shall be transferred to or assigned, nor shall such be construed as authorizing any person other than the licensee or permittee, to engage in the licensed business, except as hereinafter provided

(Prior code § 6107)

In no event shall any mistake, made by the license collector in stating the amount of the tax or receiving such tax, prevent or prejudice the collection by the city of the amount of tax actually due, together with any penalty applicable thereto, and all costs of collection, from any person for conducting any business activity without a license or for refusing to pay the taxes specified herein. Overpayments, erroneous or duplicate payments, shall be reimbursed upon approval of the city council.

(Prior code § 6108)

For failure to pay a tax when due, the license collector shall add a penalty of ten percent of the amount of such tax on the last calendar day of each month after the due date thereof. In no event shall any penalty imposed hereunder exceed an amount equal to one hundred percent of such tax.

(Prior code § 6109)

The amount of any tax, penalty and filing and processing fee imposed hereunder, shall be deemed to be a debt to the city. Any person carrying on any business without first having procured a license from the city to do so, shall be liable to the city for an amount equal to the amount of such tax, penalty and filing and processing fee, if any, together with all appropriate costs of collection, including reasonable attorney fees, if litigation is reasonably required to collect the same.

(Prior code § 6110)

All amounts due and unpaid, as and for business license taxes, penalties, filing and processing fees, and all appropriate costs of collection, including reasonable attorney fees, shall be collectable by civil actions filed in the name of the city. All remedies prescribed or permitted by law 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.

(Prior code § 6111)

The conviction and punishment of any person having engaged in business without a license and/or permit, as required by this title, shall not excuse or exempt such person from the payment of any business license tax, penalty, any applicable filing and processing fee, and costs of collection due and unpaid at the time of such conviction.

(Prior code § 6114)

The license collector/finance services supervisor, and any city police officer or firefighter shall have, and may exercise the authority to, enter, free of charge, at any time, any place of business for which a license and/or permit is required hereunder, and to demand the exhibition of a current license and/or permit by any person engaged or employed in the transaction of such business. Failure to exhibit such license and/or permit upon demand shall be deemed to be a violation of the provisions of this title.

(Prior code § 6113)

Any person violating any provision of this title shall be guilty of a misdemeanor, and shall be subject to the penalty therefor, as set forth in Chapter 1.12 of this code. Any such person shall be guilty of a separate offense for each and every day during which a portion of which a violation of the provisions of this title is committed, continued, or permitted to be continued, by such person.

(Prior code § 6112)

A. Notwithstanding any other provisions of this chapter, and except as provided otherwise in this section, no business license shall be issued to any individual or organization, or to any employee or agent thereof, during a period of license restriction. As used herein, "period of license restriction" means a period of twenty-four months commencing immediately upon the effective and final date of denial, suspension, or revocation of the business license for that individual or organization.

B. Prior to issuing any business license, the license collector may request that an applicant provide additional information and/or documentation that the license collector reasonably deems necessary to determine whether the applicant is an agent or employee of an individual or organization subject to a period of license restriction. An applicant's failure or refusal to provide such information or documentation shall constitute grounds for denial of the business license application.

C. Any individual or organization, or employee or agent thereof, may apply for relief from the period of license restriction by filing an appeal in the manner set forth in Section 5.04.310.F. herein. Upon such filing, the city council shall conduct a hearing on the appeal in the manner, and according to the timeline, set forth in Section 5.04.310.F of this chapter. If the city council determines that good cause exists, the individual or organization, and employees or agents thereof, shall not be subject to any period of license restriction as specified in this section. Otherwise, the period of license restriction shall remain binding upon the individual or organization, and employees or agents thereof, subject to subsequent appeals which may be filed no more frequently than once every six months from the date of the last city council denial. As used herein, "good cause" exists when the city council makes each of the following determinations and/or findings:

1. The appellant has demonstrated that all circumstances and/or conditions which gave rise to the original business license suspension or revocation have been fully and satisfactorily cured or corrected;

2. The appellant has demonstrated proof of his/her commitment and ability to prevent such circumstances from reoccurring, and to prevent any other violations from occurring;

3. Neither the appellant nor any other individuals employed by or associated with the proposed business are subject to any civil, criminal, or administrative proceedings which would affect the business's good standing;

4. The appellant has demonstrated that the proposed business is materially different from that originally licensed or, if not materially different, will be subject to standards of operation which would prevent violations from occurring or reoccurring;

5. The appellant has demonstrated that the proposed business will be sited at a different location from that originally licensed or, if it will be sited at the same location, sufficient modifications to the location have been or will be made which would prevent violations from occurring or reoccurring; and

6. The appellant has demonstrated that all other necessary permits, entitlements, and approvals for the proposed business have been approved and are in effect.

(Ord. No. 2338, § 5, 10-27-2010)