Chapter 5.04
BUSINESS LICENSES

Sections:

5.04.010    Definitions.

5.04.020    Business license required.

5.04.030    Application procedure.

5.04.040    License issued on annual basis.

5.04.050    Fee schedule.

5.04.060    Resort tax bonds.

5.04.065    Expositions and outdoor sales.

5.04.070    Interstate commerce.

5.04.080    Unlawful activities not licensed.

5.04.090    Business license revocation.

5.04.100    License revocation procedure.

5.04.110    Violations--Penalties.

5.04.010 Definitions.

For purposes of this chapter, the following definitions apply:

A.    "Business" means every trade, occupation, profession, vocation, enterprise, nonprofit enterprise, establishment, or activity that is conducted for private profit or benefit and that is not specifically exempted by state law or this chapter. "Business" also includes the lease or rental of commercial facilities or buildings and the rental of rooms or suites in a lodging facility. "Business" excludes the lease or rental of residential facilities, such as single-family homes, apartments, mobile homes, or condominiums, for a term of thirty days or more. "Business" also excludes a single residential rental of any type and temporary or short-term fund-raising activities conducted by a church or by a nonprofit civic or fraternal organization.

B.    "Lodging facility" means a residential or commercial building that contains individual sleeping rooms or suites and that provides overnight lodging for compensation to the general public for periods less than thirty days. "Lodging facility" includes a hotel, motel, resort, dormitory, inn, condominium inn, dude ranch, guest ranch, hostel, public lodginghouse, time share or bed and breakfast facility. "Lodging facility" also includes any campground, recreational vehicle or trailer park, or similar facility.

C.    "Wholesale merchant" means any person or entity engaged in the business of selling inventory to retailers or otherwise selling for the purpose of resale by another person or entity. (Ord. 220 §1, 2006)

5.04.020 Business license required.

No person, corporation or other entity shall conduct, transact or engage in business of any kind within the town before first submitting an application and obtaining approval for a business license. Failure to obtain a business license prior to operating a business in the corporate limits of the town constitutes a violation of this chapter. (Ord. 220 §2, 2006)

5.04.030 Application procedure.

A.    Every person, corporation, or other entity applying for a business license under this chapter is subject to regulation, inspection, control, and supervision under the general police power of the town, and any business that has not been previously licensed under this chapter is subject to a waiting period of ten business days before the license is approved or denied.

B.    Upon receipt of an application for a new business license, the town clerk shall refer the application to appropriate employees of the town for the purpose of any investigation and inspection of the proposed business. Business license applications must contain all information prescribed or required by the town clerk and must include a site plan delineating parking for the business or certification of parking in-lieu payment. Business license applications must be signed by both the business owner and, if different, the owner of the real property on which the business will operate. The town clerk shall review the results of any investigation and shall make a recommendation to the council. Business licenses shall be approved or denied by the town council as part of the consent agenda at the next regularly scheduled town council meeting.

C.    If one party seeks to transfer a business license to another party and the exact nature and location of the business remains the same, then the town clerk, upon payment of the required fee, shall transfer the business license without further investigation or review. However, if the party seeking to transfer a business license to another party is delinquent on the obligation to report or pay resort tax under Chapter 3.12 for any business owned by the transferring party, the town clerk may not transfer the business license until all delinquent resort tax, interest, and applicable penalties are paid in full.

D.    In lieu of a standard business license, an applicant may seek a contractor’s business license that is reviewed and approved by the town clerk alone. A contractor’s business license is available to any contractor or subcontractor who works exclusively on construction projects involving the improvement of real property, who does not maintain an office or permanent residence in West Yellowstone, and whose business is not required to provide parking spaces or a resort tax bond. Except as modified in this subsection, a contractor’s business license is subject to all other provisions in this chapter concerning a standard business license.

E.    The town council may not approve an application for a new business license sought by a person, corporation, or other entity that owns or operates a separate or unrelated business within the town where the separate business is delinquent on its obligations to report or pay resort tax under Chapter 3.12. (Ord. 233 §1, 2007: Ord. 232 §1, 2007: Ord. 220 §3, 2006)

5.04.040 License issued on annual basis.

The town only issues business licenses on an annual basis and no seasonal licenses are available. The license period is effective from June 1st to May 31st of the following year. Businesses may purchase a business license from the town between March 1st and June 1st for the following license year. (Ord. 220 §4, 2006)

5.04.050 Fee schedule.

The town council shall by resolution set the fee schedule for business licenses, transfers of business licenses, and related matters. (Ord. 220 §5, 2006)

5.04.060 Resort tax bonds.

A.    If an applicant for a business license intends to sell any goods or services that are subject to the town’s resort tax pursuant to Chapter 3.12, then a resort tax bond in the sum of five hundred dollars must accompany the business license application. The resort tax bond shall be executed by a surety company licensed to do business in Montana. In lieu of a surety bond, the applicant may submit a cash bond of equal amount.

B.    The bond must be approved by the town clerk and must be conditioned upon the applicant’s undertaking to collect and remit the town resort tax in accordance with all requirements of Chapter 3.12. The resort tax bond must remain in full force and effect for a term of fifteen months from the issuance date of a business license.

C.    When an existing business that is subject to resort tax collection pursuant to Chapter 3.12 changes ownership, the new owner must provide a resort tax bond to the town clerk in the sum of five hundred dollars in the same manner set forth in this section.

D.    If a business fails to collect, report, and remit the resort tax or otherwise violates the provisions of Chapter 3.12, the town shall have a right of action on the bond in town court for recovery of any unpaid resort tax, as well as interest, civil penalties and attorney’s fees allowed by ordinance or state law. The town may require a business to post a new or additional resort tax bond in the amount of five hundred dollars if the business fails to timely remit resort tax payments for more than two consecutive months or for any three months in a twelve-month period. The town may not renew a business license for any business that has unpaid resort tax outstanding when business licenses must be renewed.

E.    After a business has collected and remitted the resort tax in accordance with all provisions of Chapter 3.12 for the first licensing period of business operation, the business owner must notify the town clerk, who shall then return the resort tax bond to the business three months after the expiration of the original business license. Any failure to remit resort tax during the initial issuance of a town business license shall constitute grounds to retain the bond. (Ord. 220 §6, 2006)

5.04.065 Expositions and outdoor sales.

A.    Notwithstanding the other provisions of this chapter, any person engaged in the business of conducting an exposition, exhibit or sale of any merchandise or product, including artifacts and art objects, at an outdoor exposition or sale, or at an indoor exposition or bazaar, where two or more persons are gathered together for such purpose shall pay a business license fee as follows:

B.    Applicants for expositions shall pay:

1.    Fifty dollars per vendor that does not already hold a business license in the town of West Yellowstone; or

2.    Two hundred fifty dollars for the entire event.

C.    The applicant shall:

1.    Submit an application for an exposition, exhibit or sale of any merchandise or product, including artifacts and art objects, at an outdoor exposition or sale, or at an indoor exposition or bazaar at least four weeks prior to the event. Application forms shall be obtained from the town offices. Exposition licenses shall be issued by the town clerk after consultation with the police department, the fire department, the public services department and the operations manager. It is recommended the entity or person organizing or sponsoring the exposition start the licensing process at least four weeks in advance when time permits. If the submittal is received by town officials at least four weeks in advance of the event, the application may be circulated through intra-departmental mail. However, if it is received less than four weeks prior to the event, the applicant shall be responsible for going individually to the police, fire and public services departments to obtain any necessary approval. Completing those approvals, the applicant must return the application to the town clerk for review at least five business days before the beginning of the event. The request is then forwarded to the operations manager for final consideration. It is unlawful to conduct an exposition regulated by this chapter without a license.

2.    Post a one thousand five hundred dollar resort tax bond. The resort tax bond shall be executed by a surety company licensed to do business in Montana. In lieu of a surety bond, the applicant may submit a cash bond of equal amount. If an applicant fails to collect, report, and remit the resort tax or otherwise violates the provisions of Chapter 3.12, the town shall have a right of action on the bond in town court for recovery of any unpaid resort tax, as well as interest, civil penalties and attorney’s fees allowed by ordinance or state law. After an applicant has collected and remitted the resort tax in accordance with all provisions of Chapter 3.12, the applicant must notify the town clerk, who shall then return the resort tax bond to the applicant within ninety days.

3.    Notify each participant in writing, prior to accepting any application or approving participation in the exposition, bazaar, exhibit or sale, that the participant is responsible for submitting the following on or before the twentieth day of the month following the event:

a.    A completed town of West Yellowstone resort tax form; and

b.    A check payable to the town of West Yellowstone for the three percent resort tax required under the guidelines as specified by Chapter 3.12 of this code.

4.    Acquire and keep on file names, addresses and phone numbers of all participants.

D.    The provisions of this section shall not be deemed to prohibit the sale of merchandise from and upon private property locations properly licensed to do business within the town as a permanent business when such displays of merchandise are sold from or upon the regularly licensed permanent business premises of the person or organization offering the merchandise, goods or wares for sale, nor shall the provisions of this section be deemed to require additional licenses for merchants or vendors participating in such events when all of the participants are regularly licensed under other provisions of this chapter, nor to events sponsored by nonprofit organizations where the merchandise is non-business-related personal property sold by individuals not regularly engaged on a full-time or part-time basis in the business of selling, manufacturing or distributing such merchandise.

E.    It is further declared unlawful for any person to sell merchandise, goods or services of any kind, or solicit orders for merchandise, goods or services of any kind, on any street, alley, sidewalk or other public place in the town, except as permitted in Section 5.20.030. (Ord. 239 §1, 2008)

5.04.070 Interstate commerce.

Nothing contained in this chapter is intended to operate so as to interfere with the power of the Congress of the United States to regulate commerce between states. (Ord. 220 §7, 2006)

5.04.080 Unlawful activities not licensed.

This chapter may not be construed to allow licensing of any business or activity that is prohibited by any law of the United States, the state of Montana or the town. It is unlawful for any person or entity to sell merchandise, goods, or services of any kind, or solicit orders for merchandise, goods, or services, on any street, alley, sidewalk or other public place in the town, except as permitted in Section 5.20.030. (Ord. 220 §8, 2006)

5.04.090 Business license revocation.

The town may revoke a business license under the following circumstances:

A.    Failure to report or remit resort tax by payment deadlines in Section 3.12.060;

B.    The violation of any provision of Chapter 3.12 concerning resort tax;

C.    The violation of any provision of Chapter 3.12 concerning resort tax by a separate or unrelated business within the town that is owned or operated by the same person, corporation, or entity;

D.    The violation of any provision of this chapter concerning business licenses;

E.    Misrepresentation of ownership, nature of business, or any material fact on a business license application;

F.    The violation by the business of any other provision of the West Yellowstone Municipal Code. (Ord. 233 §2, 2007: Ord. 220 §9, 2006)

5.04.100 License revocation procedure.

A.    A business license may be revoked for any violation of this chapter, including those specified in Section 5.04.090. A business license may be revoked either by order of the city judge or by an administrative order of the operations manager.

B.    If the operations manager determines that the town has valid grounds to revoke a business license, he must notify the business in writing of these grounds at least ten days before he issues an administrative order revoking a business license. The notice must also inform the business that it has ten days from the date of the notice to provide the town with any documents or information contesting the stated grounds for revocation. After reviewing all pertinent documents and information, including any submittal by the business contesting the stated grounds, the operations manager may issue an administrative order revoking a business license if he determines that the business has committed any violation of this chapter, including those specified in Section 5.04.090.

C.    A business may appeal an administrative order by the operations manager revoking its business license by filing a written notice of appeal with the town clerk within ten days after the date of the administrative order. The administrative order of revocation is stayed during any appeal to the business license review board. The business license review board shall consist of the financial administrator (or designee), the mayor (or designee) and a member of the town council other than the mayor. The business license review board must conduct an investigation of the circumstances resulting in the administrative order to revoke the business license within a reasonable time. The business may present any relevant evidence contesting the administrative order of revocation by the operations manager as part of the investigation.

D.    After hearing and reviewing all relevant evidence, the business license review board may uphold, overturn, or modify the administrative order of revocation by the operations manager. (Ord. 223 §1, 2007; Ord. 220 §10, 2006)

5.04.110 Violations--Penalties.

Violation of this chapter is a municipal infraction subject to the provisions of Sections 7-1-4150 through 7-1-4152, MCA. In addition to any civil penalty ordered by virtue of a municipal infraction, the town judge may enter a civil judgment against the defendant for the amount of the license found due and unpaid and may issue an order revoking a defendant’s business license. (Ord. 220 §11, 2006)