HomeMy WebLinkAboutORD 05-11 Amending Title 5 Business LicensesORDINANCE 5 -11
AN ORDINANCE OF THE CITY COUNCIL OF THE
CITY OF ORANGE AMENDING TITLE 5 OF THE
ORANGE MUNICIPAL CODE RELATING TO
BUSINESS LICENSES.
WHEREAS, pursuant to Title 5 of the Orange Municipal Code the City regulates and
taxes the carrying on of businesses, trades and professions in the City; and
WHEREAS, the requirement that all businesses have a business license and pay
business taxes raises revenue for the City that in part offsets impacts from the businesses on
City provided services, facilities and programs; and
WHEREAS, the requirement to have a business license furthers important regulatory
powers of the City in that the application apprises the City about the nature of any business
proposing to open in the City and the possibility that additional permits and review may be
required by the Community Development, Fire, Public Works and/or Police departments or;
and
WHEREAS, the majority of business licenses are reviewed, at a minimum, by the
Community Development Department to help ensure that the business is a permitted use, is
located in the appropriate zoning designation and obtains all necessary permits prior to
opening; and
WHEREAS, this initial review assists the business owner in finding out whether the
business is permitted in the City, whether there are moratoriums on such businesses, whether
it is located in the appropriate zoning and whether there are additional zoning and permit
requirements prior to committing significant resources to the opening of the business; and
WHEREAS, a business license may be denied or issuance withheld if an applicant
does not, in some instances, show proof that he or she possesses a required County or State
license; and
WHEREAS, requiring an applicant to provide proof that he or she possesses a
required County or State license promotes the public health and safety and protects
consumers; and
WHEREAS, there have been several instances in which the business license
requirement has proved to be a useful tool in enforcement of the Orange Municipal Code;
and
WHEREAS, certain provisions contained in the business license regulations require
amendment to make the regulations internally consistent and to clearly define and distinguish
the regulatory aspects of requiring and issuing a business license from the revenue aspects of
the business tax; and
WHEREAS, this Ordinance does not enact any new or increased fees or taxes.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF ORANGE
DOES ORDAIN AS FOLLOWS:
SECTION I:
In all cases in which the term "Business Tax Certificate" or "Business Tax
Certificates" or "Certificate" is used in this Title 5, such term shall be amended to read
Business License" or "Business Licenses" or "License ", respectively.
SECTION II
Chapter 5.02 of the Orange Municipal Code (hereafter "Code ") entitled "General
Provisions" shall be amended as set forth below.
a. Section 5.02.010 of the Code is deleted in its entirety and replaced with the
following:
5.02.010 Purpose of Chapter.
The business tax rates set forth in this title are enacted solely to raise revenue for
municipal purposes and are not intended for regulation."
b. Section 5.02.020 of the Code is hereby amended to delete the word "article" and
replace with the word "title" in both the title and body of the section.
c. Section 5.02.030 of the Code shall be deleted in its entirety and replaced with the
following:
5.02.030 Collection of Correct Amount When Mistake Made.
In no case shall any mistake of the Business Services Coordinator in stating the
amount of the tax prohibit or prejudice the collection by the City of the amount of the tax that
was actually due."
d. Section 5.02.040 of the Code shall be deleted in its entirety and amended to read
as follows:
5.02.040 Obligation to Pay Business Tax.
There are imposed upon the businesses, trades, professions, callings and
occupations specified in this title, business taxes in the amount prescribed in this title.
Persons not required to obtain a Business License because of a conflict with State or Federal
law shall remain liable for the payment of the tax imposed by this title."
e. Section 5.02.050 of the Code shall be deleted in its entirety.
f. Sections 5.02.060, 5.02.065, 5.02.070, 5.02.080, 5.02.090 and 5.02.100
respectively, shall be renumbered as follows: 5.02.050, 5.02.055, 5.02.060.
5.02.070, 5.02.080 and 5.02.090.
SECTION III:
a. Section 5.06.010 of the Code shall be deleted in its entirety and replaced with the
following:
5.06.010 Application.
Before any Business License is issued to any person a written application shall be
made by the business owner to the Business Services Coordinator. Such application shall be
made under penalty of perjury and any material misrepresentations shall constitute a
violation of this code. The application shall contain the following information:
A. The exact nature or kind of business for which the Business License is requested.
B. The place where such business is to be carried on and if there is no permanent
place of business, the residential address of the business owner.
C. Businesses that are required to be licensed by the County or State must provide
verification of a current valid license.
D. Any further information which the Finance Department may require to issue the
appropriate business license and to apprise other City departments whether the
business is permitted in the City, whether it is permitted in the proposed location
and whether any additional permits or licenses are required.
E. No Business License shall be issued until the application has been reviewed by
the Community Development Department, unless the Finance Department can
determine from the face of the application that it requires no additional review.
F. In the event that the application for a Business License is for a person doing
business under a fictitious name, the application shall set forth the names and
place of residence of those owning the business."
b. A new Section 5.06.015 shall be added to the Code to read as follows:
5.06.015 Business License Required.
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 Business License from the
City to do so and without complying with any and all applicable provisions of this title. This
section shall not be construed to require any person to obtain a Business License if such
requirement conflicts with State or Federal law."
c. A new Section 5.06.025 shall be added to the Code to read as follows:
Section 5.06.025 Business License — Compliance with Other Regulations.
A Business License shall not be issued and may be revoked if the Business Services
Coordinator has reason to believe that: (1) the applicant has not obtained all necessary land
use approvals or permits; or (2) has failed to comply with any other regulations of this code
having to do with the operation of the business for which the application has been made; or
3) is not authorized by this code, state or federal law to conduct the business for which
application has been made; or (4) has reason to believe that the applicant has made a
misrepresentation on the application. The issuance of a Business License does not constitute
a waiver of any other licensing, permit, zoning or other requirement contained in this code
and does not entitle any person to conduct a trade, business or occupation in lieu of
complying with any such requirements."
d. Section 5.06.030 shall be deleted in its entirety.
e. Section 5.06.080 of the Code shall be deleted in its entirety and be replaced with
the following:
Section 5.06.080 Change of Location — Amendment to Business License.
A Business License issued to conduct business at a particular place may, upon
application and paying a fee in such amount established by resolution of the City Council, be
amended to conduct such business at a new location."
SECTION IV:
The City Council finds that this Ordinance is not a project and is not subject to the
California Environmental Quality Act ( "CEQA ") pursuant to Title 14, California Code of
Regulations, Sections 15060(c)(2) and 15060(c)(3) of the CEQA Guidelines because it has
no potential for resulting in physical change to the environment.
SECTION V
If any section, subdivision, paragraph, sentence, clause or phrase of this Ordinance is
for any reason held to be invalid or unconstitutional, such decision shall not affect the
validity of the remaining portions of this Ordinance. The City Council hereby declares that it
would have passed this Ordinance, and each section, subdivision, paragraph, sentence, clause
and phrase thereof, irrespective of the fact that any one (or more) section, subdivision,
paragraph, sentence, clause or phrase had been declared invalid or unconstitutional.
SECTION VI
A summary of this Ordinance shall be published and a certified copy of the full text
of this Ordinance shall be posted in the Office of the City Clerk at least five (5) days prior to
the City Council meeting at which this Ordinance is to be adopted. A summary of this
Ordinance shall also be published once within fifteen (15) days after this Ordinance's passage
in a newspaper of general circulation, published, and circulated in the City of Orange. The
City Clerk shall post in the Office of the City Clerk a certified copy of the full text of such
adopted Ordinance along with the names of those City Council members voting for and
against the Ordinance in accordance with Government Code Section 36933. This Ordinance
shall take effect thirty (30) days from and after the date of its final passage.
ADOPTED this 28 day of June, 2011.
ATTEST:
Mary E. P rp ,` ity Clerk CiLylpf Orange
STATE OF CALIFORNIA
COUNTY OF ORANGE
CITY OF ORANGE
I, MARY E. MURPHY, City Clerk of the City of Orange, California, do hereby
certify that the foregoing Ordinance was introduced at the regular meeting of the City
Council held on the 14 day of June, 2011, and thereafter at the regular meeting of said City
Council duly held on the 28 day of June, 2011, was duly passed and adopted by the
following vote, to wit:
AYES: COUNCILMEMBERS: Smith, Cavecche, Dumitru, Bilodeau
NOES: COUNCILMEMBERS: None
ABSENT: COUNCILMEMBERS: Whitaker
ABSTAIN: COUNCILMEMBERS: None
Mary E. ity Clerk, C' range