Chapter 5.04
BUSINESS LICENSES GENERALLY

Sections:

5.04.010    Definitions.

5.04.020    License required.

5.04.030    License application.

5.04.040    Background investigation.

5.04.050    General provisions.

5.04.060    Fees.

5.04.070    License duration.

5.04.080    Form – Display.

5.04.090    Exemptions.

5.04.100    Location.

5.04.110    Revocation of business license.

5.04.120    Special licenses – Additional requirements.

5.04.130    Penalty for violation.

5.04.010 Definitions.

The following terms shall have the following meanings, except where the context clearly indicates that a different meaning is intended and except where any section of this chapter concerning a particular business contains a specific provision to the contrary. Terms not defined herein shall have their accepted and usual meaning.

“Business” includes all activities engaged in with the object of gain, benefit, or advantage to the person engaging therein or to another person or class, directly or indirectly, including any activity conducted for the sale of goods or providing of services for a profit.

“Engage in business” means to commence, conduct, or continue in business, or to exercise corporate or franchise powers as well as to liquidate a business when the liquidators thereof hold themselves out to the public as conducting such business. For out-of-city businesses, “engage in business” shall refer to the point of sale, not the point of delivery.

“License” shall include and be used interchangeably with the term “permit” and shall mean the official approval or authorization of the city to engage in business or to carry on or conduct a special event within the corporate limits of the city for which a license or permit is required pursuant to the provisions of this chapter.

“Person” shall include and be used interchangeably with the terms “company,” “corporation,” “individual,” “owner,” “partnership,” “proprietorship,” and “sole proprietorship” and shall mean any individual, receiver, administrator, executor, assignee, trustee in bankruptcy, trust, estate, firm, joint venture, club, business trust, association, society, or group of individuals acting as a unit, whether mutual, cooperative, fraternal, religious, profit, nonprofit, or otherwise.

“Standard business” means to engage in a business in the city for a continuous period of 30 days or more.

“Temporary business” means to engage in business for a period of less than 30 days or to operate a business out of a vehicle, truck, trailer, other mobile unit, or from a building, structure, or leasehold improvement which is not taxed as a part of the real property on which the business is located. [Ord. 847B § 2, 2009; Ord. 701B, 2001.]

5.04.020 License required.

No person shall engage in business in the city without first obtaining a license for such business issued by the city as provided herein. [Ord. 847B § 2, 2009; Ord. 701B, 2001.]

5.04.030 License application.

Applications for a business license in conformance with this chapter shall be made in writing to the city on such form(s) as shall be prescribed and provided. [Ord. 847B § 2, 2009; Ord. 831B, 2007; Ord. 701B, 2001.]

5.04.040 Background investigation.

The chief of police is authorized to conduct background investigations on applicants applying for a special business license under CMC 5.04.120(A), (B) and (C). A fee for said background investigations may be collected from each applicant applying for said special license as established in the city’s development regulations (CMC Title 17) and Appendix Chapter A, Schedule of Fees and Charges. [Ord. 847B § 2, 2009; Ord. 766B, 2004; Ord. 701B, 2001.]

5.04.050 General provisions.

A. The provisions of this chapter shall apply to all business licenses of the city, except where a chapter concerning the particular business contains a specific provision to the contrary, in which case the specific provision shall apply.

B. Nothing in any city ordinance shall be deemed to prohibit the city from using computers or organizing information concerning licenses, or from storing or processing such information. The city shall, however, maintain each license application in a permanent file either manually or electronically.

C. This chapter shall not be interpreted as limiting the number of licenses that may be issued or as limiting the number of businesses of any particular kind that may be operated within the corporate limits of the city. No city officer or employee may refuse to issue a license because of the officer’s or employee’s belief that there are enough of a particular type of business in the city already.

D. Any business in the city, whether or not properly licensed, may be inspected by city officers and employees authorized to enforce provisions of ordinances relating to such business or to the premises upon or within which such business is conducted. In the absence of any emergency and in the absence of sound reasons whereby an inspection cannot be made within regular business hours, inspections shall be made during normal business hours. Immediately upon arriving at a place of business for the purpose of making an inspection, the city officer or employee making the inspection shall identify himself or herself and shall state that the purpose of the visit is to make an inspection. No person having control of any business premises shall refuse to permit a city officer or employee to enter for the purpose of making an inspection. If entry is refused, the city officer or employee shall leave and pursue appropriate legal action relating to the specific circumstance. Refusal by any applicant or licensee to allow inspection of any business premises shall be grounds to deny any related business license application and to revoke any previously issued business license.

E. No city ordinance relating to business licenses shall be interpreted as granting or attempting to grant to any city officer or employee any discretionary authority to issue a license or to refuse to issue a license. The license shall be issued to each applicant complying with all applicable Washington State laws and city ordinances and a license shall be refused for any applicant failing to comply with all such laws and ordinances.

F. No person shall be issued a city business license if the laws and regulations of the state of Washington or the United States government require such person to have a license or permit under state or federal law or regulation and such person does not possess such state or federal license or permit. [Ord. 847B § 2, 2009; Ord. 831B, 2007; Ord. 701B, 2001.]

5.04.060 Fees.

A. The license fees for a business license shall be as provided in the city’s development regulations (CMC Title 17) and Appendix Chapter A, Schedule of Fees and Charges.

B. The fee for a business license for a standard business shall be paid in full at the time the application is submitted to the city, and annually thereafter on or before its anniversary date. The fee for a business license for a temporary business shall be paid in full at the time the application is submitted to the city. No license fee shall be prorated. The city may charge a 10 percent late fee for all license payments not timely made. [Ord. 847B § 2, 2009; Ord. 701B, 2001.]

5.04.070 License duration.

A. The duration of a standard business license shall be one year from its date of issue. Provisions shall be made to stagger the anniversary dates such that the total number of business licenses issued by the city will expire approximately equally throughout the calendar year.

B. The duration of a temporary business license shall be the term designated by the applicant, not to exceed 30 continuous days. [Ord. 847B § 2, 2009; Ord. 701B, 2001.]

5.04.080 Form – Display.

All business licenses issued under this chapter shall be designated “City of Chehalis Business License.” The person to whom said license is issued shall at all times prominently display the license in a conspicuous place accessible by the general public at the location of said business. Any person making contact with the general public in the city of Chehalis outside of the local business location, while representing a licensed business (e.g., contractors, sales representatives, solicitors, etc.), shall have a copy of said valid business license upon their person, and make said copy available for public inspection on request. [Ord. 847B § 2, 2009; Ord. 831B, 2007; Ord. 701B, 2001.]

5.04.090 Exemptions.

The provisions of this chapter shall not apply to nor affect the following persons, sales, or services:

A. Garage sales, lawn sales, attic sales, rummage sales, flea market sales, or any other similar casual sale of tangible personal property conducted on an infrequent basis not to exceed three times per each calendar year and three days per event, and which is advertised by any means whereby the public at large is or can be made aware of said sale;

B. Persons selling personal property or providing a service pursuant to an order or process of a court of competent jurisdiction;

C. Persons acting in accordance with their powers and duties as public officials;

D. Any person selling or advertising for sale an item(s) of personal property which are specifically named or described in the advertisement in which separate items do not exceed five in number;

E. Persons, sales, or services arising out of community promotional events, farmer’s market located within the city, or any other community event determined by the development review committee to be exempt from the requirements of this chapter. [Ord. 847B § 2, 2009; Ord. 831B, 2007; Ord. 701B, 2001.]

5.04.100 Location.

A business license issued pursuant to the provisions of this chapter shall contain the street address of the location of the business for which the license is issued if the primary business office is located within the city limits. Any business having no physical location within the city shall comply with the requirements of CMC 5.04.080. Any business that shall change its business location within the corporate limits of the city or operate its business at an additional business location within the corporate limits of the city shall make separate application for an amended business license for the new business location or additional business location. No fee shall be charged for the amended application. A business terminating or otherwise going out of business within the city shall be required to notify the city. [Ord. 847B § 2, 2009; Ord. 831B, 2007; Ord. 701B, 2001.]

5.04.110 Revocation of business license.

A. A business license may be revoked by the city in the event the licensee shall fail to pay the license renewal fee, or shall fail to comply with any of the terms and provisions of any city ordinance, rule, regulation or condition of approval, including, but not limited to, the Revised Code of Washington (RCW).

B. A business license may be revoked by the development review committee upon a finding that a business constitutes a defined public nuisance (CMC 7.04.130), or has failed or refused to respond to any abatement notice issued to such premises or use.

C. The development review committee is authorized to revoke any business license upon a finding that criminal activity has been perpetrated on or within a business premises by the licensee.

D. Except as provided in subsections (B) and (C) of this section, notice of revocation of a business license shall be mailed by the city to the licensee at the address of the licensee listed on the business license application by certified mail, return receipt requested, not less than 10 days prior to the effective date of such revocation. Said notice shall state the reason for revocation. In the event the reason for revocation shall be cured prior to the effective date of such revocation, the business license shall be reinstated. In the event the reasons stated for revocation are not cured prior to the effective date of revocation, the license shall be deemed revoked.

E. Any business license that has been revoked may only be reinstated by a finding by the development review committee that either:

1. An error in the review process was made causing the revocation to occur initially; or

2. The subject business has demonstrated that the conditions causing the revocation have been corrected.

F. Any licensee that has had a business license revoked may apply for a new business license for substantially the same, or a new, business. The city shall not be required to issue any such license unless the development review committee finds that the application complies with all applicable regulations, and the conditions causing the original revocation have been corrected. [Ord. 847B § 2, 2009; Ord. 701B, 2001.]

5.04.120 Special licenses – Additional requirements.

A. For-Hire Vehicles.

1. Definitions.

a. “For-hire driver” means any person in charge of or driving a taxicab carrying passengers or baggage for hire, as herein defined; provided, however, that the provisions of this chapter shall not apply to drivers of motor vehicles used in interstate commerce nor to drivers of motor vehicles operated by any municipal or privately owned and licensed transit system.

b. “Motor vehicle” means every self-propelled vehicle by or upon which any person may be transported or carried upon a public street, highway, or alley; provided, however, the provisions of this chapter shall not apply to vehicles used exclusively upon stationary tracks or rails or propelled by the use of overhead electric wires, or vehicles used by hotel or motel keepers to convey their guests to and from hotels or motels free of charge or reward and used exclusively for that purpose only.

c. “Taxicab” shall be synonymous with the term “for-hire vehicle” and means and includes every motor vehicle used for the transportation of passengers for hire not operated exclusively over a fixed and definite route and which is under the control of the person(s) transported therein. The term shall include any motor vehicle operated for compensation either wholly within the city or to or from a point outside the city.

2. For-Hire Driver’s Endorsement Required. No person, firm, partnership, or corporation owning, controlling, or engaged in a taxicab business shall employ as the driver of any taxicab or permit any taxicab to be operated by a driver who does not have in his possession a valid and subsisting for-hire driver’s endorsement issued by the police department.

3. For-Hire Driver’s Endorsement Qualifications. Each applicant for a for-hire driver’s endorsement must possess the following qualifications:

a. Be at least 21 years of age;

b. Possess a valid Washington driver’s license with proper endorsement;

c. Have no more than three traffic infraction violations and/or criminal traffic convictions within a five-year period immediately preceding the issuance of a for-hire driver’s endorsement;

d. Have no convictions for any alcohol or controlled substance offense and no addiction to the use of any alcohol or controlled substance;

e. Have no conviction of any offense involving moral turpitude or intent to defraud.

4. For-Hire Driver’s Endorsement Application Investigation. When an application for a for-hire driver’s endorsement, duly signed and sworn to and accompanied by the required certificate of a health officer, has been received, the chief of police shall investigate the statements contained therein and may obtain such other information concerning the applicant’s character, integrity, personal habits, past conduct, and general qualifications as will show the applicant’s ability and skill as a driver of a taxicab, and his honesty, integrity, and character for the purpose of determining whether the applicant is a suitable person to drive a taxicab within the corporate limits of the city. All applications for for-hire driver’s endorsement shall become null and void after 60 days from the date of filing of such application if the applicant for any reason fails or neglects to obtain an endorsement.

5. Display of Licenses and State Permits. Every owner or operator of a taxicab in the city shall at all times carry in such vehicle permits issued by the Washington State Department of Licensing showing such vehicle to be properly bonded for the protection of the public and also the licenses and endorsements issued pursuant to this chapter.

6. Trip Sheets.

a. Every person owning or operating a taxicab licensed by the city shall keep an accurate daily record on a trip sheet, the form and size to be determined and approved by the chief of police, for each shift such equipment is operated. All daily trip sheets shall be kept on file for a period of three years at the address for which the taxicab license is issued, unless otherwise specified or directed by the chief of police. All daily trip sheets shall be open for inspection by the chief of police at any time either while carried in the taxicab or at the address of the licensee. It shall be unlawful for any person to fail to make available any trip sheet for inspection upon request by the chief of police.

b. The following information shall be contained on each trip sheet:

i. The driver’s name, as endorsed, and for-hire driver’s endorsement number;

ii. The driver’s residence address and telephone;

iii. The name of the vehicle’s owner and vehicle number;

iv. The date, time, and place of origin and dismissal of each trip;

v. The fare paid;

vi. The number of passengers paying or not paying and any other items for which a charge was or was not made;

vii. The beginning and ending odometer mileage of the vehicle for each shift worked;

viii. The beginning and ending time for each shift worked.

c. The driver of any taxicab shall, on request of any passenger paying him a fare for any trip, issue a receipt showing such information for the trip. Failure to keep an accurate daily trip sheet or the withholding of a trip sheet or fare moneys collected by a for-hire driver from his employer or his duly authorized agent shall be grounds for suspension or revocation of his for-hire driver’s endorsement.

7. Direct Route of Travel. Any driver of a taxicab employed to carry passengers to a definite point shall take the most direct route possible that will carry the passenger safely and expeditiously to the passenger’s destination.

8. Vehicle Inspection and Insurance. Every licensee shall, before commencing operation, file with the chief of police a certificate of inspection showing all vehicles licensed pursuant to this chapter to have been inspected by a reliable automotive concern approved by the chief of police and to be certified as safe for taxicab operation by the automotive concern. Annually thereafter the vehicle must be reexamined by a reliable automotive concern and recertified as to safety of operation pursuant to the terms and conditions of this chapter. In addition, every taxicab licensee shall, before commencing operation, file with the chief of police a liability and property damage insurance policy issued by an insurance company authorized to transact business in the state of Washington providing for property damage insurance in a sum of not less than $25,000 and for personal liability insurance in a sum of not less than $300,000 for the injury of one person or for injuries resulting from any one accident. In addition to the inspections provided herein, all vehicles operating under the authority of this chapter shall be available for inspection at any time and at any place by the chief of police, who shall order any taxicab to cease operation immediately if, in his determination, the vehicle is in an unsafe condition, and shall notify the operator or driver in writing thereof. No person shall drive or operate any taxicab without complying with the certification and insurance procedures set forth herein or which is in an unsafe condition or without proper equipment, as determined by the chief of police.

9. Endorsement Suspension and Revocation.

a. The chief of police is authorized and directed to enforce the terms and provisions of this section. If it is determined that any licensee has violated or failed to comply with any provision of this section, the chief of police shall make a written record of such findings, specifying therein the particulars of any such violation, and thereupon the endorsement of any such driver may be suspended or revoked for a period to be fixed by the chief of police, in which event the endorsement shall be surrendered to the chief of police. In the event of revocation of an endorsement, such endorsement shall be canceled, and in the event of a suspension, the endorsement shall be returned to the licensee after expiration of the period of suspension. Any revocation or suspension of an endorsement for violation of any of the provisions of this section shall be in addition to penalties otherwise provided for in this chapter.

b. Any applicant for an endorsement hereunder who shall be denied the issuance of an endorsement, or any licensee whose endorsement is revoked or suspended by the chief of police, shall have the right to appeal the denial of an endorsement or the revocation or suspension of an endorsement to the city council by filing with the city clerk a written notice of appeal within 10 days after the determination of denial of the issuance of an endorsement or the determination of a revocation or suspension of an endorsement. The notice of appeal shall specify an address at which the licensee may be given notice of hearing on the appeal.

c. After the filing of such appeal, the city clerk shall set a time and place, not more than 30 days from such notice of appeal, for hearing thereon. At the hearing, the licensee shall be entitled to appear in person and be represented by counsel and offer such evidence pertinent and material to the denial of the issuance of an endorsement or the revocation or suspension of an endorsement. Upon filing notice of appeal, the chief of police shall immediately submit to the city council such records, data, reports, and information as he has in his possession supporting the denial of the issuance of an endorsement or an order of suspension or revocation.

d. Immediately after such hearing, the city council shall determine whether the denial, revocation, or suspension shall be sustained and its action in that respect shall be final and conclusive in all respects. From the time of filing the written notice of appeal by the licensee until the hearing and action thereon by the city council, any order of the chief of police relative to a suspension or revocation shall be stayed.

B. Pawnbrokers and Second-Hand Dealers. Chapter 19.60 RCW, entitled “Pawnbrokers and Second-Hand Dealers,” as the same now appears or may hereafter be amended, is adopted by this reference. The chief of police shall require additional information from persons applying for a license for a pawnbroker or second-hand dealer. Such additional information shall include, but not be limited to, whether the applicant has ever been convicted of a crime, and if so, the time, place, and nature of the crime, and any other information he may deem necessary. The chief of police shall investigate each applicant for said license to determine whether or not he has found the applicant to be of good character. No license will be issued to any person who has been convicted of the offense(s) of burglary, robbery, theft, or of receiving stolen goods. No license granted shall be assignable or transferable.

C. Alarm System Operators and/or Operations, and Locksmiths. No license will be issued to any person who has been convicted of the offense(s) of burglary, robbery, theft, or of receiving stolen goods. No license granted shall be assignable or transferable.

D. Hulk Haulers, Scrap Processors, Motor Vehicle Wreckers, and Tow Truck Operators.

1. Chapter 46.79 RCW, entitled “Hulk Haulers or Scrap Processors Licenses,” enacted by Laws of 1971, Extraordinary Session, Chapter 110, as the same now appears or may hereafter be amended, is adopted by this reference.

2. Chapter 46.80 RCW, entitled “Motor Vehicle Wreckers,” enacted by Laws of 1977, Extraordinary Session, Chapter 253, as the same now appears or may hereafter be amended, is adopted by this reference.

3. Chapter 46.55 RCW, entitled “Abandoned, Unauthorized, and Junk Vehicles ... Tow Truck Operators,” enacted by Laws of 1985, Chapter 377, as the same now appears or may hereafter be amended, is adopted by this reference. [Ord. 847B § 2, 2009; Ord. 766B, 2004; Ord. 701B, 2001.]

5.04.130 Penalty for violation.

Any person engaging in any business activity within the corporate limits of the city without being licensed therefor pursuant to the terms and provisions of this chapter, or, having previously been licensed therefor, conducts a business under a license that has been revoked, or violates any of the other terms and provisions of this chapter, shall, upon conviction, be fined in a sum not to exceed $1,000. [Ord. 847B § 2, 2009; Ord. 701B, 2001.]