South Pasadena Municipal Code Art. II License Procedure

(a) There is hereby imposed, upon the businesses, trades, professions, callings and occupations specified in this chapter, a license tax in the amount hereinafter prescribed.

(b) It is unlawful for any person to transact and carry on any business, trade, profession, calling or occupation in the city without first having procured a license from the city and complying with any and all applicable provisions of this chapter.

(c) 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 under any provision of this chapter, shall be required to obtain a separate and independent license pursuant to the appropriate provisions hereof, and shall be subject to all provisions of this chapter.

(d) Any public utility operating within the city of South Pasadena under a franchise or franchises from the city and making franchise payments thereunder shall not be subject to a gross receipts license tax.

(e) 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 of the state of California. (Ord. No. 1595, § 1; Ord. No. 2258, § 10, 2013.)

Separate licenses must be obtained for each branch, establishment or separate place of business in which the business is conducted; except that accessory structures used in connection with and incidental to a business licensed under the provisions of this chapter shall not be deemed to be separate places of business or branch establishments. (Ord. No. 1595, § 1.)

(a) In the event that any person is conducting, managing or carrying on, at one location, more than one business required to be licensed hereunder (or is conducting one business that might be classified in one or more groups), such person shall only pay the highest license tax provided herein for any of the businesses so conducted.

(b) For purposes of this section: (1) vending machines; and (2) games of skill and science, shall be treated as a separate business as to which a full and separate license fee shall be paid unless such vending machines are operated by an otherwise licensed person, who is the owner of the goods being sold by such vending machines and which are operated only as an incident to another licensed business. (Ord. No. 1595, § 1; Ord. No. 2258, § 10, 2013.)

No license issued pursuant to this chapter shall be transferable; provided, that 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 of ten dollars or a fee as set by city council resolution, have the license amended to authorize the transacting and carrying on of such business under the license at some other location to which the business is or is to be moved. (Ord. No. 1595, § 1; Ord. No. 1750, § 1; Ord. No. 2258, § 10, 2013.)

A duplicate license may be issued by the license collector or a replacement license may be issued to replace any license previously issued hereunder which has been lost or destroyed, upon the licensee paying to the license collector a duplicate license fee of ten dollars, or a fee set by city council resolution. (Ord. No. 1595, § 1; Ord. No. 1750, § 1; Ord. No. 2258, § 12, 2013.)

All licenses must 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.

(c) 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 certificate and the certificate shall at all times during the effective dates thereof be affixed to the windshield or left front door in the case of a sticker, or on the rear of the vehicle in a conspicuous place in case of a metal license plate. (Ord. No. 1595, § 1; Ord. No. 2258, § 12, 2013.)

Every person required to have a license under the provisions of this chapter, shall make application for the same to the license collector of the city and upon the payment of the prescribed tax the license collector shall issue to such person a license that shall contain:

• (a) The name of the person to whom the license is issued;

• (b) The name of the business licensed;

• (c) The place where such business is to be transacted and carried on;

• (d) The date of the expiration of such license;

(e) Such other information as may be necessary for the enforcement of the provisions of this chapter. (Ord. No. 1595, § 1; Ord. No. 2258, § 12, 2013.)

The amount of license tax to be paid to the city by any person engaged in or carrying on any profession, trade, calling, occupation or business under the provisions of this chapter, is hereby fixed and established in Article III of this chapter. (Ord. No. 1595, § 1; Ord. No. 2258, § 12, 2013.)

(a) In all cases where the amount of license tax to be paid by any person is based upon the number of owners, officers and employees engaged in the conduct of the business, it shall be the duty and obligation of the applicant to file with the license collector, simultaneously with the filing of the application or as a part thereof, a written statement showing the average number of individuals engaged, employed or used in the conduct of such business during the six-month period immediately prior to the filing of the application and such number of individuals shall determine the license fee to be paid in accordance with the schedule herein provided.

In determining the number of owners, officers, and employees engaged in the conduct of the business during the preceding six months, the number of owners, officers and employees in excess of one at the beginning of such period shall be added to those engaged in the business at the end of such period and the sum divided by two.

If the application is for a new, previously unlicensed business, such application or written statement shall estimate the number of individuals proposed to be engaged, employed or used in the conduct of the business, which estimate shall be reconciled in accordance with the facts when the succeeding annual renewal of the license certificate is applied for at which time the license fee shall be adjusted accordingly.

(b) Such statements or estimates 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 due from such person, in addition to the amount shown by such statement to be due in case such statements are found to be incorrect. The correctness of all such statements shall be subject to the verification by the license collector of the city or properly authorized deputies who are hereby authorized and empowered to inspect and audit the books and records of any and all persons licensed to carry on any trade, business, occupation or calling in this chapter specified; except utilities operating under the jurisdiction of the Public Utilities commission of the state of California.

(c) If any person fails to file any required statement within the prescribed time, the license collector shall assess the maximum license rate prescribed for the profession, trade, calling or occupation carried on by such person as hereinabove provided by giving written notice of the amount assessed by serving it personally or by depositing it in a United States post office, postage prepaid, addressed to the person so assessed, at his or her last known address. Such person may, within ten days after mailing or serving of such notice, make application in writing to the license collector for a hearing, on the amount of the license tax. If such application is not made within the time prescribed, the assessment shall become final.

(d) The license 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 written statements and/or paid the license tax as herein required. (Ord. No. 1595, § 1.)

The license collector shall issue numbered plates or stickers to each licensee who is issued a license for conducting business by vehicle; one plate for each vehicle, which plate shall be placed conspicuously on each vehicle. The plate or sticker shall not be placed on a vehicle not used by the licensee for the business, nor shall any person drive or operate a vehicle engaged in a business upon which no plate or sticker is placed, except as provided herein. (Ord. No. 1595, § 1; Ord. No. 2258, § 13, 2013.)

Annual licenses for business by vehicle and vending machines shall date from the first day of January of each year; all other annual licenses issued under this article may be issued at any time, which licenses shall expire one year from issuance; quarterly licenses shall date from the first day of January, April, July and October, respectively; monthly licenses may be issued at any time, which licenses expire thirty days from issuance; daily or weekly licenses shall be due and payable each day or week in advance. Renewal licenses shall become delinquent on or after the due date and new licenses become delinquent upon the date of commencement of the operation of the business. (Ord. No. 1595, § 1; Ord. No. 1763, § 1.)

Annual licenses for business by vehicle and vending machines shall be due and payable in lawful money of the United States in advance on the first day of January of each year. Any person doing business for less than the full year for business by vehicle or vending machines shall be required to pay the amount of the license tax for a full year, except that the tax for any such license issued after the first one-half of any year shall be fifty percent of the annual license tax prescribed for such business. Except as otherwise herein provided, license taxes, required hereunder, shall not be prorated and shall be due and payable in advance as follows:

• (a) Annual license taxes on the first day of the renewal period or commencement of business;

• (b) Quarterly license taxes on the first day of January, April, July and October of each year;

• (c) Monthly license taxes on the first day of business;

• (d) Weekly license taxes on first day of business;

• (e) Daily license taxes each day in advance.

No greater or less license tax or amount of money shall be charged or received than is provided for in Article III of this chapter and no license shall be issued or authorized for any period of time other than or different from that provided in this chapter. (Ord. No. 1595, § 1: Ord. No. 1763, § 1; Ord. No. 2258, § 13, 2013.)

Concurrently with the issuance of a license for any mechanical amusement device that furnishes or may be operated as a game, contest or amusement, or any vending machine, weighing machine, or machine or device furnishing astrological readings, foot-ease service, automatic shoe shining, automatic instrumental or phonographic music, or any machine or device in the city that dispenses a service, food, drink or merchandise, the license collector shall issue an identification sticker for each machine or device, which sticker shall show the expiration date of the license and shall be attached at all times to the machine or device in plain sight.

A substitution of a particular device or machine at the place of business specified on the license may be made at the option of the owner or operator at any time during the period designated in the license, where the particular device or machine is substituted by a device or machine of the same type and the owner or operator has notified the license collector of the substitution. (Ord. No. 1595, § 1; Ord. No. 2258, § 13, 2013.)

No refunds shall be made of any license tax paid in accordance with the provisions of this chapter unless the conducting, managing or carrying on of the business described in the license certificate shall become unlawful either by act of the city council, or by act of some other legislative body having jurisdiction, or when payments thereon have been erroneously made by the licensee. (Ord. No. 1595, § 1; Ord. No. 2258, § 13, 2013.)

• (a) Any license issued under this chapter is subject to revocation or suspension for cause in the manner provided herein.

(b) Complaints against any licensee seeking a revocation or suspension of license must be in writing and must set forth one or more of the enumerated grounds.

(c) A written report of the police department or any officer or employee of the city disclosing asserted violations of law or ordinance by the licensee shall be deemed a complaint within the meaning of this section. All complaints must be verified unless made by officers or employees in their official capacity.

• (d) The following are the grounds that shall constitute the basis for the revocation or suspension of a business license:

• (1) Continuance of the operations of the licensee shall be contrary to the public health, safety, peace, welfare or morals;

• (2) Violations of any of the penal provisions of this chapter occurring at the business;

• (3) Violations of any laws of the United States and/or the state of California occurring at the business;

• (4) The misrepresentation of a material fact by any applicant in obtaining a license hereunder;

• (5) The commission of any public offense involving moral turpitude charged against the licensee.

(e) The city council shall, by resolution, issue guidelines relating to the suspension and/or revocation of business licenses. (Ord. No. 2274, § 1, 2014.)

Complaints must be filed with the city manager. If, after investigation, the city manager deems a complaint to warrant further consideration, the city manager must provide for a public hearing before a hearing officer to determine whether or not such license should be revoked or suspended. The city manager will notify the members of the city council whenever he or she is required to retain the services of a hearing officer under this section. (Ord. No. 2274, § 2, 2014.)

(a) The city manager shall cause written notice of the time and place of the hearing on the complaint to be served on the licensee, and a copy provided to the complaining party. The hearing shall be set for a date not fewer than ten calendar days subsequent to the mailing of the notice. The notice shall be sent to the licensee by certified mail to the address as shown in the license records of the city, and enclosed with such notice shall be a copy of the complaint or report filed with the city manager.

(b) All hearings before the hearing officer shall be conducted informally and the hearing officer shall not be limited by the statutory rules of evidence or procedure, but shall make inquiry as the hearing officer deems advisable to protect the rights of the parties and to carry out the purposes of this chapter. The licensee shall be entitled to have witnesses subpoenaed, cross-examine witnesses, and to appear and give testimony with respect to the charges made against him or her. The hearing officer shall have the authority to exclude repetitive or irrelevant evidence.

(c) The decision of the hearing officer shall be final and conclusive and shall be binding upon the licensee, subject to the provisions of subsection (d) of this section. If the hearing officer shall order the revocation or suspension of a business license, no person whose license has been revoked shall thereafter conduct such business in the city for a period of twenty-four months, and no person whose license has been suspended shall conduct business in the city for the duration of the suspension.

(d) The time for filing a court challenge to a decision of the hearing officer is governed by Sections 1094.5 and 1094.6 of the California Code of Civil Procedure. Notice of the hearing officer’s decision and his or her findings shall include citation to Sections 1094.5 and 1094.6 of the California Code of Civil Procedure. (Ord. No. 2274, § 3, 2014.)

Upon revocation of a license, no part of the license tax collected shall be returned but shall be forfeited to the city. When the license of any person is revoked for any cause, no new or other license shall be granted to such person for the same type of business within six months from the date of such revocation. (Ord. No. 1595, § 1; Ord. No. 2258, § 14, 2013.)