Chapter 3.44
BUSINESS LICENSE TAX

Sections:

3.44.010    Title.

3.44.020    Purpose.

3.44.030    Definitions.

3.44.040    Business license required.

3.44.050    Business licenses – Duration.

3.44.060    Business license taxes – Payment.

3.44.070    Business license taxes – Delinquencies.

3.44.080    Business licenses – Issuance to persons operating under fictitious names.

3.44.090    Unlawful business.

3.44.100    Duplicate license.

3.44.110    Presentment of license.

3.44.120    Substitute for other provisions.

3.44.130    Director – Duties.

3.44.140    No license issued or renewed where applicant is indebted to City.

3.44.150    License not transferable.

3.44.160    Preparation and issuance of licenses.

3.44.170    Errors in issuance of licenses.

3.44.180    Licenses for each business activity.

3.44.190    Enforcement.

3.44.200    Evidence of doing business.

3.44.210    Refunds.

3.44.220    Permit prerequisite.

3.44.225    Occupancy review or home occupation permit.

3.44.230    Application.

3.44.240    Renewal license application.

3.44.250    Exemptions.

3.44.260    Confidential information.

3.44.270    Failure to file statement or corrected statement.

3.44.280    Appeal.

3.44.290    Business classifications and license taxes.

3.44.300    Tax amounts.

3.44.310    Severability.

3.44.010 Title.

This chapter shall be known, and may be cited, as the “business license tax ordinance.” (Ord. 897 § 1, 1990)

3.44.020 Purpose.

This chapter is enacted solely for the purpose of raising revenue for general municipal purposes. It is not intended to be regulatory. The payment of a business license tax required by this chapter, its receipt by the City, and the issuance of a business license to any person shall not entitle the holder thereof to conduct any business unless such person has complied with all requirements of this code and all other applicable laws, nor to conduct any business in any building or on any premises designated in such business license if such building or premises are in a zone or locality in which the conduct of such business is in violation of any law or ordinance. (Ord. 897 § 1, 1990)

3.44.030 Definitions.

For purposes of this chapter, the following terms shall have the following meanings unless it is apparent from their context that a different meaning is intended:

(A) “Agent” or “agency” means a person who acts for, on behalf of, or in the place of another person and who receives compensation, either directly or indirectly, for services rendered.

(B) “Antique mall” means a business enterprise wherein the owner or operator thereof provides booths, concessions, stalls or kiosks to independent merchants for the sale of antiques.

(C) “Broker” means a person who, by authority, acts as an intermediary, representative, or agent in the purchase or sale of insurance, real or personal property, stocks, bonds, certificates, notes or other items of value.

(D) “Brokerage” means a business involving the purchase or sale of insurance, real or personal property, stocks, bonds, certificates, notes or other items of value.

(E) “Contractor” means a person who, individually or by or through others, undertakes to construct, alter, repair, add to, subtract from, improve, remove or demolish any building or structure, or portion thereof. The following shall not be included within this definition:

(1) A person acting solely in the capacity of an architect or civil engineer;

(2) An owner of real property where such construction, alteration or repair is done by such owner; and

(3) Employees of such contractors.

(F) “Business” means all activities engaged in or caused to be engaged in within the City, including any commercial or industrial enterprise, trade, profession, occupation, vocation, calling or livelihood, including the rental or lease of residential or nonresidential real estate and mobile home parks, and the activities of independent contractors, whether or not carried on for gain or profit, but shall not include: (a) the services rendered by an employee to his or her employer; or (b) the activities of a person who manages residential real property that such person owns.

(G) “Business license” means the license issued to a person under this chapter which evidences payment of the tax prescribed by this chapter.

(H) “City” means the City of Palmdale, a municipal corporation of the state of California.

(I) “Director” means the Director of Planning of the City or such other person as the Director shall designate.

(J) “Merchant” means and includes any person who engages in, carries on or conducts the business of buying or selling produce, foodstuffs or any food product, commodities, goods, wares or merchandise to the public.

(K) “Engage in business” means to commence, operate, manage or carry on a business, or to exercise corporate or franchise powers, whether as an owner or by means of one or more officers, agents, managers, employees, servants or otherwise, within the boundaries of the City, regardless of whether the business is operated from a fixed location within the boundaries of the City.

(L) “Flat rate” or “flat rate tax” means a fixed amount assessed per business location or, alternatively, a fixed scale of amounts whose sum is variable depending on the number of factors constituting the basis for determination of the license tax. The term “flat rate” or “flat rate tax” as used in this chapter includes any tax based on the number of persons engaged or employed in a business.

(M) “Home occupation” means any business activity conducted for gain by a resident of a dwelling, which business is conducted as a lawful accessory use in the resident’s dwelling unit.

(N) “Independent contractor” means a person who is engaged to aid in the business of any other person, whether as a professional as defined herein, or whether pursuant to any license, certificate or registration authorized by the California Business and Professions Code, as the same now exists or as may hereafter be amended, and who receives remuneration either through commission, or pursuant to any contract of employment not involving the payment of regular wages or salary.

(O) “Manufacture or process” means all activities of a commercial or industrial nature wherein labor or skill is applied to materials, by hand or machinery, so that, as a result thereof, a new, different or useful article of tangible personal property or article of trade or commerce is produced. Said term shall include the production or fabrication of specially made or custom-made articles.

(P) “Manufacturer” means any person who, either directly, or by contracting with others for the necessary labor or mechanical services, manufactures for sale or for commercial or industrial use any articles, substances or commodities.

(Q) “Mobile recycling unit” means an automobile, truck, trailer or van, licensed by the Department of Motor Vehicles, which is used for the collection of recyclable materials. “Mobile recycling unit” also means bins, boxes or containers transported by trucks, vans or trailers, and used for the collection of recyclable materials.

(R) “Person” means any individual, domestic or foreign corporation, firm, association, syndicate, joint-stock company, partnership, joint venture, club, business or common law trust, society, estate, receiver, retirement plan, trustee, or any other group or combination of individuals or entities acting as a unit.

(S) “Professional” means any person, including any professional corporation, wherever located, engaged in or carrying on, within the City, any profession requiring satisfactory compliance with written or oral examination standards adopted by a branch of the state or federal government. Such professions include, but are not limited to, architects, attorneys, accountants, auditors, audiologists, chiropractors, clinical social workers, dentists, electrologists, engineers, geologists, gemologists, herbalists, marriage, family and child counselors, morticians, naturopaths, nurses (registered), oculists, opticians, optometrists, osteopaths, physicians, podiatrists, psychologists, speech pathologists, surveyors and veterinarians.

(T) “Public storage” means the business of renting or leasing storage units or recreational vehicle storage space to the public.

(U) “Race track” means a business establishment that provides a track for vehicles upon which automotive races are held.

(V) “Rental of commercial property” means and includes renting, leasing, providing, exchanging or trading, without loss of ownership, any real property for industrial, commercial, office, warehouse or other entrepreneurial uses or purposes.

(W) “Rental of residential property” means and includes renting, leasing, providing, exchanging or trading, without loss of ownership, any land, dwelling, building, premises or portion thereof for the purpose of occupancy, sleeping, lodging, boarding, or other use.

(X) “Service industries” means the business of providing, maintaining, or performing labor for the benefit of another within the City; or of supplying some general demand for the benefit of another within the City which does not produce a tangible commodity; or all activities in which any person performs any personal service for another and all services in which any real or personal property, stocks or bonds, or other financial instruments, or evidences of debt, or contracts of insurance or any money or credits are exchanged, leased, transferred, or loaned; as well as every business of maintaining, storing, cleaning; improving or repairing tangible commodities within the City whether or not such business is conducted from a premises, a vehicle, or mobile location within or outside the City. Services include recreation services but do not include theatrical performances, exhibitions, or temporary amusements nor do they include professional services, or telephone services within the terms of this chapter.

(Y) “Swap meet” means a business enterprise consisting of multiple booths, concessions, stalls or kiosks at which goods, wares or merchandise are sold or traded to the general public.

(Z) “Taxpayer” means a person required to pay a tax imposed by this chapter.

(AA) “Wholesale business” means the business of selling goods, wares, merchandise or other products for the purpose of resale and not to the ultimate consumer. (Ord. 943 § 2, 1991; Ord. 897 § 1, 1990)

3.44.040 Business license required.

(A) Generally. It is unlawful for any person to commence or conduct, to purport to commence or conduct, or to engage in any business, either directly or indirectly, in the City without first procuring a business license and paying the required tax therefor.

(B) Advertising Businesses. No person shall advertise or announce a business located in the City unless a business license for such business has been obtained pursuant to this chapter. Advertising or announcing includes, but is not limited to, disseminating pamphlets or handbills, publishing newspaper announcements, and purchasing radio or television commercials. (Ord. 897 § 1, 1990)

3.44.050 Business licenses – Duration.

Business licenses shall be valid for a period not to exceed 15 months and shall be issued on a quarterly basis. Therefore, business licenses issued between January 1st through March 31st shall be valid through March 31st of the following year; business licenses issued between April 1st and June 30th shall be valid through June 30th of the following year; business licenses issued between July 1st through September 30th shall be valid through September 30th of the following year; and business licenses issued between October 1st through December 31st shall be valid through December 31st of the following year. (Ord. 897 § 1, 1990)

3.44.060 Business license taxes – Payment.

(A) Method of Payment. Business license taxes shall be paid in advance to the Director in lawful money of the United States or by a check or money order drawn on a bank in the United States. Any license issued upon payment by check shall be void if such check fails to clear the bank.

(B) Due Date. Renewals of business license taxes shall be due and payable, pursuant to PMC 3.44.050, on March 31st, June 30th, September 30th and December 31st, as may be applicable. (Ord. 897 § 1, 1990)

3.44.070 Business license taxes – Delinquencies.

(A) Generally. All business license taxes shall become delinquent if not paid by 5:00 p.m. on the date that the tax becomes due and payable. If the date that the tax becomes due and payable falls on a Saturday, Sunday, a date on which City offices are closed, or a national or state holiday, the tax will be delinquent if not paid by 5:00 p.m. on the next working day.

(B) Penalties. For failure to pay the business license tax when due, the Director shall add a penalty of 25 percent of the entire license tax, or unpaid portion thereof, on the first day of each month commencing after the due date. The aggregate amount of such penalties shall in no event exceed 50 percent of the amount of the original business license tax due and owing.

(C) Collections. The Director may authorize any delinquent account to be assigned to a collection agency. All delinquent accounts assigned to a collection agency shall be subject to the payment of a collection processing fee, in addition to all applicable penalties. Said collection processing fee shall be in an amount established by resolution of the City Council. (Ord. U-1001 § 1, 1992; Ord. 897 § 1, 1990)

3.44.080 Business licenses – Issuance to persons operating under fictitious names.

A business license may be issued to a person operating under a fictitious business name who has complied with all of the applicable provisions of the Business and Professions Code of this state. Otherwise, all licenses shall be issued in the true name of the person applying for a license, and must appear as such on the application for a license. (Ord. 897 § 1, 1990)

3.44.090 Unlawful business.

No business license issued under the provisions of this chapter shall be construed as authorizing any business activity which is prohibited under the laws of the United States, the federal and state Constitutions, this code or any applicable law, ordinance, rule or regulation. Any such business license shall be void. (Ord. 897 § 1, 1990)

3.44.100 Duplicate license.

A licensee shall report to the Director the loss of any license, whether in the form of a sticker, tag, card or paper, or otherwise. The Director shall issue the licensee a duplicate and cancel the lost license upon the payment of the fee established by resolution of the City Council. (Ord. 897 § 1, 1990)

3.44.110 Presentment of license.

(A) Posting. Every person required to have a business license pursuant to the provisions of this chapter and who conducts, manages or carries on a business activity at a fixed location shall keep such license posted in a conspicuous place in the place of business.

(B) Carrying. Every person required to have a business license pursuant to the provisions of this chapter and who does not have a fixed place of business shall carry such license at all times when conducting the business activity for which such license was issued.

(C) Presentation on Demand. Every person required to have a business license pursuant to the provisions of this chapter shall produce the license when requested by any City official who is authorized to issue or collect license taxes, or who is authorized to conduct inspections or otherwise enforce the provisions of this chapter or of this code. (Ord. 897 § 1, 1990)

3.44.120 Substitute for other provisions.

No person required by this chapter to pay license taxes shall be relieved from the payment of any applicable regulatory or permit fees or from compliance with any regulations required by any other provisions of this code. (Ord. 897 § 1, 1990)

3.44.130 Director – Duties.

(A) Generally. The Director shall put in writing all necessary rules and regulations to implement the provisions of this chapter and shall do all things necessary and proper to carry out the purpose and intent of this chapter.

(B) Apportionment of Taxes. The Director, in consultation with the City Attorney, may promulgate guidelines for the apportionment of business license taxes for businesses which operate both inside and outside the City to assist taxpayers in calculating that portion of their activities which are subject to the tax imposed by this chapter. (Ord. 897 § 1, 1990)

3.44.140 No license issued or renewed where applicant is indebted to City.

No business license shall knowingly be issued or renewed when, at the time of making application for any license, or renewal thereof, the applicant is indebted to the City for any unpaid license tax, permit fees, transient occupancy taxes, or unpaid invoices for any rates, fees or charges imposed pursuant to this code. The Director may enter into an agreement with any person so indebted to the City to establish a payment schedule for such indebtedness and any delinquencies and interest thereon. In such agreement, the debtor shall acknowledge such debt to the City and shall agree that if any default occurs in the payment of any installment agreed to be paid thereunder, the entire amount to be paid shall become immediately due and payable, and that, if suit is brought to enforce collection of the amount agreed to be paid under such agreement, the debtor will pay all costs of suit incurred by the City, including reasonable attorneys’ fees.

If such an agreement is executed, and all other provisions of this chapter are complied with, a license for the current or ensuing license period may be issued to such person upon payment of the license tax prescribed for the current or ensuing license period, together with any penalties thereon. (Ord. 897 § 1, 1990)

3.44.150 License not transferable.

No license issued pursuant to this chapter may be transferred; provided, however, that where a license is issued authorizing a person to conduct business at a particular location, the licensee may, upon application and payment of a fee in an amount established by resolution of the City Council, have the previously issued license amended so as to authorize the conduct of such business from a new and different location, except as may otherwise be provided in this chapter. (Ord. 897 § 1, 1990)

3.44.160 Preparation and issuance of licenses.

The Director shall prepare and issue licenses to every person who pays the business license tax required by this chapter. When the required license tax has been paid, the Director shall deliver the original license to the licensee named therein and shall retain a copy thereof on file with the City. Each license shall designate the amount of the tax paid, the date of expiration, the name of the licensee, the business licensed, and, if a fixed or established place of business, the address at which such business is to be conducted. (Ord. 897 § 1, 1990)

3.44.170 Errors in issuance of licenses.

No error or mistake on the part of any person issuing a license, including the determination of the amount of any license tax due shall preclude the collection by or for the City of the amount actually due from anyone commencing or conducting any business subject to such license tax. (Ord. 897 § 1, 1990)

3.44.180 Licenses for each business activity.

Except as otherwise provided in this chapter, a separate license shall be obtained and a separate tax paid for every separate business or branch establishment. Each license shall authorize the licensee named therein to commence and conduct only the business activity described in such license and only at the location designated therein. Any person who operates a separately owned department or concession in a department store or similar retail establishment shall pay a license tax in accordance with the provisions of this chapter for the department or concession so operated by such person. Two or more persons shall not jointly apply for or be issued one business license to cover two or more businesses separately owned. (Ord. 897 § 1, 1990)

3.44.190 Enforcement.

(A) Inspection. The Director may inspect all places of business in the City to ascertain whether there has been compliance with the provisions of this chapter. The Director and any duly authorized employee of the City shall have the power to examine the books and records of all persons licensed to do business for the purpose of ascertaining the amount of license taxes required to be paid and shall have the power and authority to enter, at any reasonable time, any place of business required to be licensed by this chapter and to demand the production of the business license, books, records and other documents.

Every person subject to the provisions of this chapter shall maintain complete records concerning all personnel employed in, or in relation to, the business conducted by such person, including payroll records, personnel records, withholding tax records, and all records and reports as to labor, wages, or personnel made to, or required to be kept by, all regulatory agencies. Such records shall be maintained for a period of at least three years. No person required to keep records under this section shall refuse to allow any authorized representative of the Director to inspect said records at reasonable times and places.

(B) Enforcement Accountant. For the purpose of enforcement of this chapter, the Director may, with the prior consent of the City Council, engage or designate a qualified accountant to examine the books and records of any person doing business in the City. Any failure or refusal on the part of any person licensed or required to be licensed under this chapter to produce documents or to permit their examination by such accountant shall constitute a violation of this code.

(C) Enforcement Remedies. The conviction of any person for violating any provisions of this chapter shall not relieve such person from paying the license tax for a business, nor shall the payment of any license tax preclude a criminal prosecution for the violation of any provisions of this chapter. All remedies prescribed hereunder shall be cumulative, and the use of one or more remedies shall not bar the use of any other remedy for the purpose of enforcing this chapter. (Ord. 897 § 1, 1990)

3.44.200 Evidence of doing business.

The use of signs, circulars, cards, telephone books, directories, newspapers, or other advertising media by which a person represents that such person is doing business in the City, may be used as evidence that the person is doing business in the City. (Ord. 897 § 1, 1990)

3.44.210 Refunds.

No license tax shall be refunded unless it is determined by the Director that the tax has been paid in error, computed incorrectly, overpaid, or collected illegally. No refund shall be made unless a request is received by the Director within one year of the payment of the license tax. (Ord. 897 § 1, 1990)

3.44.220 Permit prerequisite.

The Director shall not issue any license for any business, profession, trade, commercial enterprise or occupation for which a business permit is required pursuant to PMC Title 5 until such permit is obtained. The Director shall not issue a license if any such permit has been revoked or has expired and has not been reinstated or renewed. Any license issued under this chapter for any business, profession, trade, commercial enterprise or occupation for which a business permit is required by PMC Title 5, or by any other provision of this code, shall be void upon the revocation or expiration of any such permit. (Ord. 897 § 1, 1990)

3.44.225 Occupancy review or home occupation permit.

No license shall be issued or renewed by the Director unless and until the applicant submits evidence that an occupancy review of the existing or proposed business premises has been undertaken or that a home occupation permit has been obtained. (Ord. 943 § 3, 1991)

3.44.230 Application.

Every person desiring to conduct, manage, or carry on any business, profession, trade, commercial enterprise or occupation in the City shall file with the Director a form provided by the City, sworn to or made under penalty of perjury, setting forth the following information, as may be applicable:

(A) The name, home address and telephone number, Social Security number, and California driver’s license number of the applicant. If the applicant is a corporation, the name shall be exactly as set forth in its articles of incorporation. Additionally, there shall be included the names, addresses and telephone numbers of all directors, any stockholder holding 10 percent or more of the shares of the corporation, and the name, home address and telephone number of an officer who is duly authorized to accept service of legal process. If the applicant is a partnership, the names, home addresses and telephone numbers of each general partner shall be stated. If one or more of the partners is a corporation, the provisions of this subsection pertaining to a corporate applicant shall apply to that partner;

(B) The exact nature or kind of business for which a license is requested, including each separate and distinct type of business conducted or to be conducted on the premises under the same ownership;

(C) The true address of the intended business. A person may not use a post office box, mailbox, message service or other similar device as the true address of the business for purposes of this chapter. A post office box, mailbox, message service or other similar device may be used as the mailing address of the business for business purposes only. If the business is not to be carried on at any permanent location, the application shall include the residence addresses of the owners of the business;

(D)(1) If the business for which a license is sought has existed for at least one year immediately preceding the date of the application, the total number of employees, each of whom worked 1,800 hours during that one-year period, and the total aggregate number of hours worked by all other employees during that one-year period.

(2) If the business has not existed for at least one year immediately preceding the date of the application, the date on which the business commenced, and the total number of hours worked by all employees during the period from the first day of the first calendar month beginning after commencement of said business to and including the calendar month in which the application is made;

(E) The estimated average number of employees the applicant expects to employ during the year for which the license is to be issued;

(F) Any additional information which the Director deems necessary and appropriate. (Ord. 943 § 4, 1991; Ord. 897 § 1, 1990)

3.44.240 Renewal license application.

In all cases, an applicant for the renewal of a license shall submit to the Director a statement sworn to or made under penalty of perjury setting forth such information concerning the applicant’s business during the preceding year as may be required to enable the Director to ascertain the amount of license tax to be paid by the taxpayer pursuant to the provisions of this chapter. (Ord. 897 § 1, 1990)

3.44.250 Exemptions.

(A) General Exemptions. Except as otherwise provided herein, no license tax shall be required of:

(1) The federal government or the state of California, or any political subdivisions, agencies or instrumentalities thereof;

(2) Any person engaging in any business exempt from the payment of such tax by virtue of the Constitution or laws of the state of California, or the Constitution or laws of the United States; or

(3) Any religious, charitable, fraternal, educational, cultural or civic organization, and any other organization, whether incorporated or not, described in Article 1, Chapter 4, Part II of the Revenue and Taxation Code of the state of California; provided, however, that any such organization shall be required to obtain a license and pay the applicable license taxes if and to the extent it engages in any “unrelated trade or business” as that term is used in Section 23734 of the California Revenue and Taxation Code.

(B) Limited Exemptions. The Director, upon application being made therefor, and upon the applicant presenting evidence of its eligibility therefor, shall issue a business license endorsed as partially or wholly exempt from taxes as follows:

(1) A minor under the age of 18 years engaged in activities requiring a license under this chapter where such minor engages in those activities for no more than 20 hours in any week;

(2) Any veteran or widow of any veteran of any United States war or conflict who is a resident of the City shall be entitled to a credit of $25.00 against the business license tax required by this chapter in any year in which the net income of such person from the business is (or is established to be in the case of an initial license) less than $10,000 per year; and

(3) Notwithstanding the provisions of subsection (B)(2) of this section:

(a) Every honorably discharged or honorably relieved soldier, sailor, or marine of the United States who served in any Indian war, the Spanish-American War, any Philippine insurrection, the Chinese Relief Expedition, the World War of 1914 and years following, or World War II, who is physically unable to obtain a livelihood by manual labor, and who is a voter of this state, may distribute circulars, and hawk, peddle, and vend any goods, wares or merchandise owned by him, except spirituous malt, vinous, or other intoxicating liquor, without payment of any license tax or fee whatsoever; provided, however, that he is registered with the City, and the Director shall issue to such soldier, sailor or marine, without cost, a license therefor.

(b) Every person who was honorably discharged or honorably relieved from the military, naval or air service of the United States who served on or after June 27, 1950, and prior to February 1, 1955, or on or after August 5, 1964, and prior to a future date to be established by the Legislature, who is physically unable to obtain a livelihood by manual labor, and who is a resident of this state may distribute circulars, and hawk, peddle, and vend any goods, wares or merchandise owned by him, except spirituous, malt, vinous, or other intoxicating liquor, without payment of any license tax or fee whatsoever, and the Director shall issue to such person, upon registering with the City, a license therefor without cost.

(C) Exempt Licenses to Be Endorsed. Whenever the Director issues a license which is subject to any exemption provided for in this section, the person to whom such license is issued shall endorse the license in the presence of the Director, and no such license shall be transferable. (Ord. 897 § 1, 1990)

3.44.260 Confidential information.

Information regarding gross receipts furnished or secured pursuant to the provisions of this chapter shall be confidential, shall not be subject to public inspection, and shall be maintained in such a manner that it is not disclosed to anyone who is not charged with the administration of this chapter. Nothing in this section shall be construed to prevent:

(A) The disclosure to, or examination of such information by, a City official, employee, or agent responsible for the collection of license taxes, for the sole purpose of administering or enforcing the provisions of this chapter;

(B) The disclosure of such information to a grand jury or court of law, upon subpoena;

(C) The disclosure of such information to a court of law in a proceeding brought to determine the existence or amount of any license tax liability of the particular person or licensee hereunder;

(D) The disclosure, after the filing by licensee of a written request to that effect, to the licensee or to the licensee’s successors, receivers, trustees, executors, administrators, assignees and guarantors, if directly interested, of information regarding the computation of any paid or unpaid license tax, or amounts of license tax and any penalties required to be collected; provided, however, that the City Attorney shall approve each such disclosure and the Director may refuse to make any disclosure referred to in this subsection when, in the opinion of the Director, the public interest in disclosure is outweighed by the public interest saved by not making the information public; and

(E) The disclosure to the City Council, by way of public meeting or otherwise, of such information as may be necessary to enable the City Council to be fully advised as to the facts when a licensee files a claim for refund of license taxes, or submits an offer of compromise with regard to a claim asserted by the City for license taxes, or when acting upon any other matter in the course of City business. (Ord. 897 § 1, 1990)

3.44.270 Failure to file statement or corrected statement.

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

If such a determination is made, the Director shall give written notice of the amount of license tax so assessed by serving it on the licensee personally or by depositing such notice in the United States mail, postage prepaid, addressed to the person so assessed at such person’s last known address. Such person may, within 15 days after the mailing or serving of such notice, make application in writing to the Director for a hearing on the amount of the license tax. If such application is made, the Director shall cause the matter to be set for hearing by the City Council within 30 days. The Director shall give such person at least 10 days’ written notice of the time and place of hearing in the manner prescribed above for serving notices of assessment. The City Council shall consider all evidence produced at such hearing and shall make findings thereon, which shall be final and conclusive. Notice of such findings shall be served upon the applicant or licensee in the manner prescribed above for serving notices of assessment. (Ord. 897 § 1, 1990)

3.44.280 Appeal.

Any person aggrieved by any decision of the Director may appeal to the City Council by filing a notice of appeal with the City Clerk. The City Clerk shall give written notice to such person of the time and place of hearing by serving such notice personally or by depositing it in the United States mail, postage prepaid, addressed to such person at the address shown on such notice of appeal, or if none, at such person’s last known address. The City Council shall have authority to determine all questions raised on appeal. No such determination shall conflict with any substantive provisions of this chapter. (Ord. 897 § 1, 1990)

3.44.290 Business classifications and license taxes.

(A) Classification A – Services Industries. All persons engaged in service industries shall pay a flat rate tax, plus a flat rate per employee.

(B) Classification B – Retail, Wholesale and Manufacturing. All persons engaging in retail, wholesale, or manufacturing businesses shall be in classification B and shall pay a flat-rate tax, plus a flat tax per employee and per square foot of business floor area.

(C) Classification C – Contractors. All persons engaged as a contractor or subcontractor shall be in classification C and shall pay a flat rate tax.

(D) Classification D – Professions. All persons engaged in a business of a professional nature shall be in classification D, and shall pay a flat rate tax for each professional employee, plus a flat tax for each nonprofessional employee.

(E) Classification E – Residential Property – Renting and Leasing. Every person engaged in the business of leasing residential property shall be in classification E and shall pay a flat rate tax per unit.

(F) Classification F – Commercial Property – Rental and Leasing. Every person engaged in the leasing of commercial property shall be in classification F and shall pay a flat rate tax per unit.

(G) Classification G – Agencies Lenders, Brokerages, and Other Similar Services. Every person engaged in the business of an agency, lender, brokerage, or other similar business shall be in classification G and shall pay a flat rate tax.

(H) Classification H – Home Occupations. Every person engaged in a home occupation shall be in classification H and shall pay a flat rate tax.

(I) Classification I – Swap Meet. Every person operating a swap meet shall be in classification I and shall pay a flat rate tax.

(J) Classification J – Race Track. Every person operating a race track shall be in classification J and shall pay a flat rate tax.

(K) Classification K – Vehicles. Every business which uses vehicles as a regular and substantial part of its business shall be in classification K and shall pay a flat rate tax per vehicle and shall provide proof of insurance for each such vehicle. Further, food truck operators shall provide proof of health permit for each such vehicle.

(L) Classification L – Entertainment and Amusement. Every person operating a business of entertainment or amusement for which an admission fee is charged shall be in classification L and shall pay a flat rate tax.

(M) Classification M – Advertising Medium. Every person who owns an advertising bench, billboard, searchlight or sound truck which are leased, rented or sold for the purpose of advertising a message shall be in classification M and shall pay a flat rate tax.

(N) Classification N – Newsracks. Every person who operates a newsrack shall be in classification N and shall pay a tax based on gross receipts.

(O) Classification O – Amusement Devices and Video Machines. Every person who owns an amusement device or video machine shall be in classification O and shall pay a tax based on gross receipts.

(P) Classification P – Vending Machines. Every person who owns a vending machine shall be in classification P and shall pay a tax based on gross receipts.

(Q) Classification Q – Bowling Alleys. Every person who operates a bowling alley shall be in classification Q and shall pay a flat tax plus a tax per alley.

(R) Classification R – Antique Malls. Every person who operates an antique mall shall be in classification R and shall pay a flat rate tax per booth and per employee.

(S) Classification S – Launderette and Self-Service Dry Cleaners. Every person who owns a launderette or self-service dry cleaners shall be in classification S and shall pay a tax based on gross receipts.

(T) Classification U – Mobile Recycling Units. Every person who engages in the business of operating mobile recycling units shall be in classification U and shall pay a flat rate per unit; provided, however, that residential refuse haulers operating under a franchise with the City shall be excluded from this classification.

(U) Classification V – Laundry Equipment. Every person whose business is limited exclusively to renting, leasing or operating laundry equipment, whether or not coin-operated, shall be in classification V and shall pay a tax based upon the entire gross receipts of such business derived within the City, regardless of the number of business locations or machines of such business within the City; provided, however, that this classification shall not apply to coin-operated laundry equipment owned and operated by a retail establishment which provides coin-operated laundry equipment for general public use. (Ord. U-1001 § 2, 1992; Ord. 978 § 2, 1992; Ord. 943 §§ 5, 6, 1991; Ord. 897 § 1, 1990)

3.44.300 Tax amounts.

The amount of taxes to be paid by each classification of business enterprises shall be established by resolution of the City Council. (Ord. 897 § 1, 1990)

3.44.310 Severability.

If any section, subsection, sentence, clause, phrase or portion of this chapter is for any reason held to be invalid or unconstitutional by the decision of any court of competent jurisdiction, such decision shall not affect the validity of the remainder of this chapter. The City Council hereby declares that it would have adopted this chapter and each section, subsection, sentence, clause, phrase, or portion thereof, irrespective of the fact that any one or more sections, subsections, phrases, or portions be declared invalid or unconstitutional. (Ord. 897 § 1, 1990)