Rancho Cucamonga Municipal Code Art. I General Provisions

This article and article II of this chapter are enacted solely to raise revenue for municipal purposes and are not intended for regulation.

(Code 1980, § 5.04.010; Ord. No. 21, art. I, § 2, 1978)

For the purposes of this chapter, unless otherwise apparent from the context, the following words and phrases shall have the meanings set out below:

"Business"

means and includes professions, trades, occupations and every other kind of calling carried on for profit or livelihood, whether or not a profit or livelihood is earned thereby.

"Collector,"

as used in this chapter, means the city official charged with the administration of this chapter.

"Commercial handbill,"

as used in this chapter, means any handbill which is distributed for the purposes of advertising for sales of goods, wares, merchandise or services, or any other commercial activity and includes the distribution or circulation of samples of goods, wares and merchandise.

"Employee"

means any person engaged in the operation or conduct of any business, whether as owner, member of the owner's family, partner, agent, manager, or solicitor, and any or all other persons employed or working in such businesses.

"Gross payroll"

includes all salaries of owners, officers, partners, agents, and employees of the company based at that location in the city for the year immediately preceding any license application or renewal. The term "salary" shall mean wages, commissions, bonuses or other money payment of any kind which is received from or given credit for by his employer. It shall not include travel expenses incurred in the business of the employer and reimbursed by the employer.

"Gross receipts"

includes the total amount of the sale price of all sales and the total amount charged or received for the performance of any act of service, of whatever nature it may be, for which a charge is made or credit allowed, whether or not such act or service is done as a part of, or in connection with, the sale of materials, goods, wares, or merchandise. Included in the term "gross receipts" shall be all receipts, cash, credits, and property of any kind or nature without any deduction therefrom on account of the cost of the property sold, the cost of the materials used, labor or service costs, interest paid or payable, or losses or other expenses whatsoever. Excluded from the term "gross receipts" shall be:

Cash discounts allowed and taken on sales;

Credit allowed on property accepted as part of the purchase price and which property may later be sold;

Any tax required by law to be included in, or added to, the purchase price and collected from the consumer or purchaser;

Such part of the sale price of property returned by purchasers upon the rescission of the contract of sale as is refunded either in cash or by credit;

Amounts collected for others where the business is acting as an agent or trustee to the extent that such amounts are paid to those for whom the same are collected; and

That portion of the receipts of a general contractor, which receipts represent payments to subcontractors provided such subcontractors are licensed pursuant to the provisions of this chapter and provided the general contractor furnishes to the collector the names and addresses of the subcontractors and the amounts paid each subcontractor.

"Noncommercial handbill"

means any handbill other than a commercial handbill.

"Person"

means and includes all domestic and foreign corporations, associations, syndicates, joint stock corporations, partnerships of every kind, clubs, Massachusetts businesses or common law trusts, societies, and individuals transacting and carrying on any business in the city other than as an employee.

"Starting date"

means that date when a newly established business first commences its operation.

"Sworn statement"

means an affidavit sworn to before a person authorized to take oaths, or a declaration or certification made under penalty of perjury.

(Code 1980, § 5.04.020; Ord. No. 21, art. I, § 1, 1978; Ord. No. 21B, §§ 1—3, 1986; Ord. No. 870 (Recodification), 2014)

A. There are imposed upon the businesses, trades, professions, callings, and occupations set forth in this chapter license taxes in the amounts set forth in article II of this chapter. It shall be unlawful for any person to transact and carry on any business, trade, profession, calling, or occupation in the city with-out first having procured a license from the city so to do or without complying with any and all applicable provisions of this chapter.

B. The provisions of this section shall not be construed to require any person to obtain a license prior to doing business within the city if such requirement conflicts with applicable statutes of the United States or the state.

C. The issuance of a license shall not infer that the applicant has satisfied any other city, local, state or federal requirements.

(Code 1980, § 5.04.030; Ord. No. 21, art. I, § 3, 1978; Ord. No. 870 (Recodification), 2014)

Every person required to have a license pursuant to the provisions of this chapter shall make an application for the license to the collectors.

(Code 1980, § 5.04.040; Ord. No. 21, art. I, § 4, 1978)

A. Upon making an application for the first license to be issued pursuant to the provisions of this chapter or for a newly established business, the applicant shall furnish to the collector such other information as is necessary or convenient for the enforcement of the provisions of this chapter, including but not limited to, information authorized to be collected pursuant to 42 USC 405(c)(2)(C)(i). In all cases where the amount of license tax to be paid is measured by gross receipts or gross payroll, the applicant shall also furnish to the collector his or her guidance in ascertaining the amount of license tax to be paid by the applicant, a sworn statement upon a form provided by the collector, setting forth such information as may be required on such form and as may be necessary to determine the amount of the license tax to be paid by the applicant.

B. If the amount of the license tax to be paid by the applicant is measured by gross receipts, or gross payroll, the applicant shall estimate the gross receipts or gross payroll for the period to be covered by the license to be issued. Such report, if accepted by the collector as reasonable, shall be used in determining the amount of license tax to be paid by the applicant; provided, however, the amount of the license tax so determined shall be tentative only.

C. Such applicant shall, within 30 days after the expiration of the period for which such license was issued, furnish to the collector a sworn statement upon a form furnished by the collector, showing the actual, or gross payroll during the period of such license. The license tax for such period shall be finally ascertained and paid in the manner provided in this article for ascertaining the paying of renewal license taxes for other businesses after deducting from the payment found to be due the amount paid at the time such first license was issued.

D. The collector shall not issue to any such person another license for the same or any other business until such person shall have furnished to him or her the sworn statement and paid the license tax as required in this section.

(Code 1980, § 5.04.050; Ord. No. 21, art. I, § 5, 1978; Ord. No. 870 (Recodification), 2014)

Upon the payment of the prescribed license tax, the collector shall issue to the applicant a license which shall contain the following:

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

B. The type of business for which the licenses are issued;

C. The place where the business is to be transacted and carried on;

D. The date of the expiration of the license; and

E. Such other information as may be necessary or convenient for the enforcement of the provisions of this chapter.

(Code 1980, § 5.04.060; Ord. No. 21, art. I, § 6, 1978; Ord. No. 870 (Recodification), 2014)

A. Any person aggrieved by any decision of the collector with respect to the issuance or refusal to issue a license may, within ten days of the date of the decision, appeal the decision to the city manager, or designee, by filing a written notice of appeal with the city manager.

B. The city manager, or designee, shall thereupon fix a time and place for hearing such appeal within 30 days of the date of said decision. The aggrieved party shall be given notice of the time and place of the hearing by serving the notice personally or by depositing it in the United States Post Office in the city, certified mail, addressed to the aggrieved party at his or her last known address.

C. The city manager, or designee, shall have the authority to determine all questions raised on such appeal during the hearing. No such determination shall conflict with any substantive provision of this chapter.

D. Following such hearing, the city manager, or designee, may reverse, modify, or affirm the decision of the collector with respect to the issuance or refusal to issue a license. The city manager shall render a decision within a reasonable period of time not to exceed 60 days of the conclusion of the hearing. The decision of the city manager, or designee, shall be final.

(Code 1980, § 5.04.070; Ord. No. 21, art. I, § 7, 1978; Ord. No. 870 (Recodification), 2014)

A separate license shall be obtained for each branch or location of the business transacted and carried on. Different business activities at the same location, where each is taxable on gross receipts, or gross payroll, may be combined or consolidated and one tax paid on the basis of the rate applicable to that one activity responsible for the largest percentage of gross receipts. The licensee shall have the right to apportion gross receipts and apply individual tax rates accordingly, if desired. However, warehouses and distributing plants used in connection with, and incidental to, a business license pursuant to the provisions of this chapter shall not be deemed to be separate places of business or branch establishments; and provided, further, for used car lots operated by one owner where no separate books are maintained for separate locations, a flat fee shall be paid for each separate location in addition to the tax for the gross receipts of the entire business, as provided in the revenue provisions of this chapter.

(Code 1980, § 5.04.080; Ord. No. 21, art. I, § 8, 1978; Ord. No. 870 (Recodification), 2014)

The applicant for every renewal of a license shall submit to the collector, for his or her guidance in ascertaining the amount of the license tax to be paid by the applicant, a sworn statement upon a form to be provided by the collector, setting forth such information concerning the applicant's business during the preceding year as may be required by the collector to enable him or her to ascertain the amount of the license tax to be paid by the applicant pursuant to the provisions of this chapter.

(Code 1980, § 5.04.090; Ord. No. 21, art. I, § 9, 1978)

No license issued pursuant to the provisions of this chapter shall be transferable.

(Code 1980, § 5.04.100; Ord. No. 21, art. I, § 10, 1978)

Where a license is issued authorizing a person to transact and carry on a business at a particular place, such licensee may, upon application therefor and paying a fee in the amount of $5.00, have the license amended to authorize the transacting and carrying on of the business under the license at some other location to which the business is, or is to be, moved.

(Code 1980, § 5.04.110; Ord. No. 21, art. I, § 11, 1978; Ord. No. 870 (Recodification), 2014)

A duplicate license may be issued by the collector to replace any license previously issued pursuant to the provisions of this chapter, which previously issued license has been lost or destroyed, upon the licensee filing a statement of such fact. At the time of filing the statement, the licensee shall pay to the collector a duplicate license fee in the amount of $2.00.

(Code 1980, § 5.04.120; Ord. No. 21, art. I, § 12, 1978; Ord. No. 870 (Recodification), 2014)

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

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

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

(Code 1980, § 5.04.130; Ord. No. 21, art. I, § 13, 1978)

Unless otherwise specifically provided, after payment of the initial license tax, all annual license taxes provided in this chapter shall be due and payable one year from the initial starting date and on such date each year thereafter.

(Code 1980, § 5.04.140; Ord. No. 21, art. I, § 14, 1978; Ord. No. 21B, § 4, 1986; Ord. No. 870 (Recodification), 2014)

Upon failure to pay any license tax when due, the collector shall add a penalty of 50 percent of such license tax when due and owing 30 days after the due date thereof. For new businesses, the penalty shall accrue 31 days following the business start date. For purposes of this section, the computation of such 30 days shall include all weekends and holidays except, if the 30th day thereof falls on a weekend or holiday, such 30th day shall be deemed to be the next business day.

(Code 1980, § 5.04.150; Ord. No. 21, art. I, § 15, 1978; Ord. No. 21-A, § 1, 1983; Ord. No. 21B, § 5, 1986; Ord. No. 21-C, § 1, 1988; Ord. No. 870 (Recodification), 2014)

A. The provisions of this chapter shall not be deemed or construed to require the payment of a license tax to engage in any business operated for nonprofit purposes where such business is conducted, managed or carried on by and/or only for the benefit of any nonprofit organization, including fraternal societies, orders or organizations, religious, charitable, philanthropic, scientific, literary or educational organizations, amateur sports or humanitarian organizations, civic leagues, social welfare and employees' organizations, nonprofit recreation clubs, political organizations, home owners' associations and military, federal, state, county or municipal organizations.

B. The provisions of this chapter shall not be deemed or construed to apply to veterans qualifying under Business and Professions Code §§ 16001, 16001.5, or 16001.7.

C. The provisions of this chapter shall not be deemed or construed to apply to any person transacting and carrying on any business exempt from the payment of the taxes prescribed in this chapter by virtue of the Constitution or applicable statutes of the United States or of the state.

D. No license tax provided for in this chapter shall be so applied as to occasion an undue burden upon interstate commerce. In any case where a license tax is believed by a licensee or applicant for a license to place an undue burden upon such commerce, such licensee or applicant may apply to the license collector for an adjustment of the tax so that it shall not be discriminatory or unreasonable as to such commerce. Such application may be made before, at, or within six months after the payment of the prescribed license tax. The applicant shall, by affidavit and supporting testimony, show his or her method of business, the gross volume or estimated gross volume of the business, and such other information as the collector may deem necessary in order to determine the extent, if any, of such undue burden on interstate commerce. The collector shall then conduct an investigation and, after having first obtained the written approval of the city attorney, shall fix as the license tax for the applicant an amount which is reasonable and nondiscriminatory or, if the license tax has already been paid, shall order a refund of the amount over and above the license tax so fixed. In fixing the license tax to be charged, the collector shall have the power to base the license tax upon a percentage of gross receipts or any other measure which will ensure that the license tax assessed shall be uniform with that assessed on businesses of like nature; provided, however, the amount so assessed shall not exceed the license tax as prescribed in this chapter. Should the collector determine the gross receipts measure of license tax to be the proper basis, he or she may require the applicant to submit, either at the time of the termination of the applicant's business in the city or at the end of each three-month period, a sworn statement of the gross receipts of the applicant and require the applicant to pay the amount of license tax therefor; provided, however, no additional license tax during any one calendar year shall be required after the licensee shall have paid an amount equal to the annual license tax as prescribed in this chapter.

E. Any person claiming an exemption pursuant to the provisions of this section shall file a verified state-ment with the collector, stating the facts upon which the exemption is claimed.

F. The collector shall, upon a proper showing contained in the verified statement, issue a license to such person claiming an exemption pursuant to the provisions of this section without payment to the city of the license tax required by this chapter.

G. The collector, after giving notice and a reasonable opportunity for a hearing to a licensee, may revoke any license granted pursuant to the provisions of this section upon information that the licensee is not entitled to the exemption as provided in this section.

(Code 1980, § 5.04.160; Ord. No. 21, art. I, § 16, 1978; Ord. No. 870 (Recodification), 2014)

The amount of any license tax and penalty imposed by the provisions of this chapter shall be deemed a debt to the city. An action may be commenced in the name of the city in any court of competent jurisdiction for the amount of any delinquent license tax and penalties.

(Code 1980, § 5.04.170; Ord. No. 21, art. I, § 17, 1978)

No statement required by the provisions of this chapter shall be conclusive as to the matters set forth therein, nor shall the filing of the same preclude the city from collecting by appropriate action such sum as is actually due and payable.

(Code 1980, § 5.04.180; Ord. No. 21, art. I, § 18, 1978; Ord. No. 870 (Recodification), 2014)

A. In an effort to obtain necessary information to establish fees, the city will proceed with a pre-audit request for such information. This pre-audit request will be in the form of a certified letter requesting verification of figures used to determine license fees. Such information is to be returned to the city within seven days of receipt of said request.

B. The statements required by the provisions of article II of this chapter, and each of the several items therein contained, shall be subject to inspection and verification by the city manager or his or her duly appointed deputy to examine and inspect such books and records of any licensee or applicant for a license as may be necessary to verify or ascertain the amount of license tax due; provided, however, such inspection and verification shall be limited to those books and records necessary to establish the necessary fees as enumerated in article II of this chapter. A certificate executed by a certified public accountant licensed by the state or a bona fide public accountant shall establish a rebuttal presumption that gross receipts of such licensee are as stated in the statements required by the revenue provisions of article II of this chapter.

(Code 1980, § 5.04.190; Ord. No. 21, art. I, § 19, 1978; Ord. No. 870 (Recodification), 2014)

The information furnished or secured pursuant to the provisions of sections 5.04.050, 5.04.090, 5.04.190 and this section shall be confidential and used for official purposes only, except for the following information contained in the business license application: business name, business telephone, business mailing address and physical business location, the exact nature of the business for which the license is required, owner's name and the name of the principals, and the type of business entity. Any unauthorized disclosure or use of information that is confidential under this section by any officer or employee of the city shall constitute a misdemeanor, and such officer or employee shall be subject to the penalty provisions of the chapter, in addition to any other penalties provided by law.

(Code 1980, § 5.04.200; Ord. No. 21, art. I, § 20, 1978; Ord. No. 870 (Recodification), 2014)

A. If any person fails to file any required statement within the time prescribed or if, after demand therefor made by the collector, such person fails to file a corrected statement, the collector may determine the amount of license tax due from such person by means of such information as the collector may be able to obtain.

B. If such determination is made, the collector shall give a notice of the amount so assessed by serving it in person or by depositing it in the United States Post Office, postage prepaid, addressed to the person so assessed at his or her last known address.

C. Such person may, within 15 days after the mailing or serving of such notice, make an application in writing to the collector for a hearing on the amount of the license tax. If such application is made, the collector shall cause the matter to be set for hearing before the city council within 15 days.

D. The collector shall give at least ten days' notice to such person of the time and place of the hearing in the manner prescribed in subsection B of this section for serving notices of assessments.

E. Notices. The city council shall consider all evidence produced and shall make findings thereon which shall be final. A notice of such findings shall be served upon the applicant in the manner prescribed in subsection B of this section for serving notices of assessments.

(Code 1980, § 5.04.210; Ord. No. 21, art. I, § 21, 1978; Ord. No. 870 (Recodification), 2014)

The term "license," as used in this chapter, shall not be construed to mean a permit. The payment of a business license tax required by this article, and its acceptance by the city, and the issuance of such license to any person shall not entitle the holder thereof to carry on any business unless he has complied with all of the requirements of this Code and all other applicable laws, nor to carry on any business in any building or on any premises designated in such license in the event that such building or premises are situated in a zone or locality in which the conduct of such business is in violation of any law.

(Code 1980, § 5.04.220; Ord. No. 21, art. I, § 22, 1978)

A. The collector is hereby charged with the duty of carrying out and enforcing the provisions of this chapter.

B. In addition to all other powers conferred by this chapter, the collector shall have the authority, for good cause shown, to extend the time for filing any required sworn statement for a period not exceeding 30 days and in such case to waive any penalty which would otherwise have accrued. The collector shall have the further authority, with the consent of the city council, to compromise any claim as to the amount of license tax due.

(Code 1980, § 5.04.230; Ord. No. 21, art. I, § 23, 1978; Ord. No. 870 (Recodification), 2014)

Neither the adoption of this chapter nor its superseding any portion of any other law of the city shall in any manner be construed to affect prosecution for the violation of any law committed prior to January 1, 1978, or be construed as a waiver of any license or any penal provision applicable to any such violation, nor be construed to affect the validity of any bond or cash deposit required by any law to be posted, filed, or deposited, and all rights and obligations thereunto appertaining shall continue in full force and effect.

(Code 1980, § 5.04.240; Ord. No. 21, art. I, § 24, 1978)

A. It shall be the duty of the collector, and the collector is hereby directed, to enforce each and all of the provisions of this chapter, and the police chief shall render such assistance in such enforcement as may from time to time be required by the collector or the city council.

B. The collector, in the exercise of the duties imposed by the provisions of this chapter and acting through deputies or duly authorized assistants, shall examine, or cause to be examined, all places of business in the city to ascertain whether the provisions of this chapter have been complied with.

C. The collector, each and all of his or her assistants, and any police officer, shall have the power and authority to enter, free of charge and at any reasonable times, any place of business required to be licensed by the provisions of this chapter and demand an exhibition of its license certificate.

D. Any person, having such license certificate in his or her possession or under his or her control, who willfully fails to exhibit the same on demand shall be deemed guilty of a misdemeanor and subject to the penalties provided for in this chapter. It shall be the duty of the collector and each of his or her assistants to cause a complaint to be filed against any and all persons found to be violating any of such provisions.

(Code 1980, § 5.04.250; Ord. No. 21, art. I, § 25, 1978; Ord. No. 870 (Recodification), 2014)

A. Any person who violates any of the provisions of this chapter or who knowingly or intentionally misrepresents to any officer or employee of the city or the fire district any material fact in procuring the license or permit provided for in this chapter shall be deemed guilty of a misdemeanor, and, upon conviction thereof, shall be punishable as set forth in this Code.

B. For purposes of determining whether a business is being conducted in violation of the provisions of this chapter, the use of any medium, including but not limited to print or electronic media, to advertise hold out, or represent that the business is being conducted in the city, or holding an active license or permit issued by a governmental agency indicating that the business is being conducted in the city shall be considered prima facie evidence that the business is being conducted in the city.

(Code 1980, § 5.04.260; Ord. No. 21, art. I, § 26, 1978; Ord. No. 870 (Recodification), 2014)

All remedies prescribed in this chapter 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 of this chapter.

(Code 1980, § 5.04.270; Ord. No. 21, art. I, § 27, 1978)