Chapter 5.01
BUSINESS AND SPECIAL LICENSE CODE

Sections:

5.01.010    Definitions.

5.01.020    License required.

5.01.030    Term of license.

5.01.040    Computation of time.

5.01.050    Exemptions.

5.01.060    Transferability.

5.01.070    Disclaimer.

5.01.080    Prohibited use.

5.01.090    General qualifications.

5.01.100    Application procedures.

5.01.110    License fees.

5.01.120    Businesses outside city limits.

5.01.130    License renewal.

5.01.140    License approval or denial.

5.01.150    License suspension or revocation.

5.01.155    Notice of suspension or revocation.

5.01.160    Inspections – Right of entry.

5.01.170    Notice and order – Contents.

5.01.180    Exercise of power.

5.01.190    Repealed.

5.01.200    Criminal penalties.

5.01.210    Additional relief.

5.01.010 Definitions.

For the purpose of this chapter the following terms, phrases, words and their derivations shall have the meanings given herein:

A. “Business” includes all activities, occupations, pursuits or professions located and/or engaged in within the city with the object of gain, benefit or advantage to the licensee or another person or class, directly or indirectly, and shall include not-for-profit organizations. Each business location and each business name shall be deemed a separate business. The term “business” shall include the letting for rent or lease for residential occupancy four or more residential dwelling units within the city.

B. “Business Licensing Service” means the office within the State Department of Revenue that administers the application and renewal of the Fife business licensing requirement.

C. “Employee” means anyone employed by a person engaged in business within the city regardless of the amount of wage paid or the number of hours worked. It shall include the owner or owners of the business if they perform any work within the city.

D. Engaging in Business.

1. The term “engaging in business” means commencing, conducting, or continuing in business, and also the exercise of corporate or franchise powers, as well as liquidating a business when the liquidators thereof hold themselves out to the public as conducting such business.

2. This section sets forth examples of activities that constitute engaging in business in the city, and establishes safe harbors for certain of those activities so that a person who meets the criteria may engage in de minimis business activities in the city without having to pay a business license fee. The activities listed in this section are illustrative only and are not intended to narrow the definition of “engaging in business” in subsection (D)(1) of this section. If an activity is not listed, whether it constitutes engaging in business in the city shall be determined by considering all the facts and circumstances and applicable law.

3. Without being all-inclusive, any one of the following activities conducted within the city by a person, or its employee, agent, representative, independent contractor, broker or another acting on its behalf, constitutes engaging in business and requires a person to register and obtain a business license:

a. Owning, renting, leasing, maintaining, or having the right to use, or using, tangible personal property, intangible personal property, or real property permanently or temporarily located in the city.

b. Owning, renting, leasing, using, or maintaining an office, place of business, or other establishment in the city.

c. Soliciting sales.

d. Making repairs or providing maintenance or service to real or tangible personal property, including warranty work and property maintenance.

e. Providing technical assistance or service, including quality control, product inspections, warranty work, or similar services on or in connection with tangible personal property sold by the person or on its behalf.

f. Installing, constructing, or supervising installation or construction of real or tangible personal property.

g. Soliciting, negotiating, or approving franchise, license, or other similar agreements.

h. Collecting current or delinquent accounts.

i. Picking up and transporting tangible personal property, solid waste, construction debris, or excavated materials.

j. Providing disinfecting and pest control services, employment and labor pool services, home nursing care, janitorial services, appraising, landscape architectural services, security system services, surveying, and real estate services including the listing of homes and managing real property.

k. Rendering professional services such as those provided by accountants, architects, attorneys, auctioneers, consultants, engineers, professional athletes, barbers, baseball clubs and other sports organizations, chemists, consultants, psychologists, court reporters, dentists, doctors, detectives, laboratory operators, teachers, veterinarians.

l. Meeting with customers or potential customers, even when no sales or orders are solicited at the meetings.

m. Training or recruiting agents, representatives, independent contractors, brokers or others, domiciled or operating on a job in the city, acting on its behalf, or for customers or potential customers.

n. Investigating, resolving, or otherwise assisting in resolving customer complaints.

o. In-store stocking or manipulating products or goods, sold to and owned by a customer, regardless of where sale and delivery of the goods took place.

p. Delivering goods in vehicles owned, rented, leased, used, or maintained by the person or another acting on its behalf.

4. If a person, or its employee, agent, representative, independent contractor, broker or another acting on the person’s behalf, engages in no other activities in or with the city but the following, it need not register and obtain a business license:

a. Meeting with suppliers of goods and services as a customer.

b. Meeting with government representatives in their official capacity, other than those performing contracting or purchasing functions.

c. Attending meetings, such as board meetings, retreats, seminars, and conferences, or other meetings wherein the person does not provide training in connection with tangible personal property sold by the person or on its behalf. This provision does not apply to any board of director member or attendee engaging in business such as a member of a board of directors who attends a board meeting.

d. Renting tangible or intangible property as a customer when the property is not used in the city.

e. Attending, but not participating in, a “trade show” or “multiple vendor events.” Persons participating at a trade show shall review the city’s trade show or multiple vendor event ordinances.

f. Conducting advertising through the mail.

g. Soliciting sales by phone from a location outside the city.

5. A seller located outside the city merely delivering goods into the city by means of common carrier is not required to register and obtain a business license; provided, that it engages in no other business activities in the city. Such activities do not include those in subsection (D)(4) of this section.

6. The city expressly intends that engaging in business include any activity sufficient to establish nexus for purposes of applying the license fee under the law and the Constitutions of the United States and the state of Washington. Nexus is presumed to continue as long as the taxpayer benefits from the activity that constituted the original nexus generating contact or subsequent contacts.

E. “License officer” is the city clerk of the city or his/her designee, who shall administer this code and is hereby authorized to adopt, publish and enforce, from time to time, such rules and regulations for the proper administration of this code as may be necessary. It shall be a violation of this code to fail to comply with any such rule or regulation lawfully promulgated hereunder.

F. “Licensee” includes any person who is engaged in business or who is required to have or is granted a license under this title.

G. “Nonprofit” means an exemption from federal taxation as evidenced by a letter from the Internal Revenue Service showing a current tax exempt status pursuant to the Internal Revenue Code section as most recently amended.

H. “Person” or “company,” herein used interchangeably, means any individual, receiver, administrator, executor, assignee, trustee in bankruptcy, trust, estate, firm, co-partnership, joint venture, club, company, joint stock company, business trust, municipal corporation, political subdivision of the state of Washington, corporation, association, society, or any group of individuals acting as a unit, whether mutual, cooperative, fraternal, nonprofit or otherwise, and the United States or any instrumentality thereof.

I. “Premises” means any location within the city in, at, or upon which a person engages in business.

J. “Residential dwelling unit” means any structure or part of a structure which is used as a home, residence or sleeping place by one or more persons, including but not limited to single-family residences and units of multiplexes, apartment buildings and mobile homes and similar living accommodations.

K. “Year” means the calendar year. (Ord. 1991 § 1, 2018; Ord. 1880 § 1, 2014; Ord. 1784 § 1, 2012; Ord. 1751 § 1 (Exh. A), 2011; Ord. 1255 § 1, 1996; Ord. 1217 § 2, 1996).

5.01.020 License required.

It is unlawful for any person to engage in business within the city without first procuring a license therefor from the city and paying the fees prescribed in this code. All licenses issued pursuant to the provisions of this title shall be displayed in a prominent and conspicuous location at the premises. If the person is engaged in business within the city and does not conduct it upon premises, then he/she shall carry the license upon his/her person.

Owners of four or more residential dwelling units, as defined in FMC 5.01.010, offered for rent inside city limits are considered to be in the rental property business and must comply with the licensing requirements of this chapter.

Persons are deemed to be the owner of a residential dwelling unit if they have an ownership interest, however small, in a residential dwelling unit, or are members, partners, shareholders, or otherwise have a financial interest in a legal entity having an ownership interest in a residential dwelling unit. (Ord. 1880 § 2, 2014; Ord. 1784 § 2, 2012; Ord. 1217 § 3, 1996).

5.01.030 Term of license.

All licenses issued under the provisions of this title are effective upon approval by the city, and expire on the date established by the Business Licensing Service. (Ord. 1880 § 3, 2014; Ord. 1255 § 2, 1996; Ord. 1217 § 4, 1996).

5.01.040 Computation of time.

In computing any period of time prescribed by this title, the day of the act or event from which the designated period of time begins to run shall not be included. The last day of the period shall be included unless it is a Saturday, Sunday or legal holiday, in which event the last day of such period shall be the next succeeding day which is neither a Saturday, Sunday or legal holiday. (Ord. 1217 § 5, 1996).

5.01.050 Exemptions.

The following persons and businesses shall be exempt from the registration, license and/or license fee requirements as outlined in this chapter:

A. Any person or business whose annual value of products, gross proceeds of sales, or gross income of the business in the city is equal to or less than $2,000 and who does not maintain a place of business within the city shall be exempt from the general business license requirements in this chapter. The exemption does not apply to regulatory license requirements or activities that require a specialized permit.

B. Any business qualifying as nonprofit shall be exempt from paying a business license fee; provided, however, an application shall be required and an exempt business license must still be obtained. In order to qualify for nonprofit fee exemption, proof of such nonprofit status must be provided at time of application to the license officer. The only acceptable proof is the tax exempt letter referenced in FMC 5.01.010 under the definition of “nonprofit.”

C. No business license shall be required of vendors not otherwise engaged in business in the city who rent a booth or space, or are otherwise a participant, at a city-sponsored event with a duration of less than 24 hours or a city-operated farmers’ market.

D. Pursuant to RCW 36.71.090, no business license shall be required of any farmer, gardener or other person to sell, deliver or peddle any fruits, vegetables, berries, eggs or any farm produce or edibles raised, gathered, produced or manufactured by such person.

E. No business license shall be required of minors (persons under 18) doing business or operating a business concern where no other person is employed by the minor, such as babysitting, lawn mowing, car washing, and similar activities.

F. No business license shall be required for casual or isolated sales or services made by persons who are not engaged in the ongoing business of selling the type of property involved. “Casual or isolated” is defined as not more than four such sales, not exceeding four consecutive days each, made during any calendar year. Examples include garage sales, yard sales, rummage sales, and bake sales by residents of a household where the exempt activity is taking place. Unless otherwise provided for in this section, vendors at flea markets, swap meets or other similar activities shall not be exempt.

G. Any independent contractor that provides instruction or teaches classes in a parks, recreation and aquatics department sponsored program, and who is not otherwise engaged in business in the city, shall be exempt from paying a business license fee; provided, however, an application shall be required and an exempt business license must still be obtained. (Ord. 1991 § 2, 2018; Ord. 1962 § 9, 2017; Ord. 1917 § 2, 2015; Ord. 1861 § 1, 2014; Ord. 1843 § 1, 2013; Ord. 1749 § 1, 2011; Ord. 1217 § 6, 1996).

5.01.060 Transferability.

No license issued under the provisions of this title shall be transferable or assignable. When a business changes ownership, or upon substantial change in the type of business operated, a new business or special license and fee shall be required. (Ord. 1880 § 4, 2014; Ord. 1217 § 7, 1996).

5.01.070 Disclaimer.

Issuance of a license pursuant to this title does not constitute the creation of a duty by the city to indemnify the licensee for any wrongful acts against the public, or to guarantee the quality of goods, services or expertise of a licensee. The issuance of a license does not shift responsibility from the licensee to the city for proper training, conduct or equipment of the licensee or its agents, employees or representatives, even if specific regulations require standards of training, conduct or inspection. (Ord. 1217 § 8, 1996).

5.01.080 Prohibited use.

A license issued pursuant to this title shall not be issued to any person who uses or occupies or proposes to use or occupy any real property or otherwise conducts or proposes to conduct any business in violation of the provisions of any ordinance of the city or of the statutes of the state of Washington. The granting of a license or special license shall in no way be construed as permission or acquiescence in a prohibited activity or other violation of the law. (Ord. 1217 § 9, 1996).

5.01.090 General qualifications.

No license or special license shall be issued, nor shall any license be renewed, pursuant to the provisions of this title to:

A. An applicant who is not 18 years of age at the time of the application, unless the applicant’s parent or other lawful guardian is a co-applicant;

B. An applicant who has had a similar Fife business license revoked within the previous two-year period;

C. An applicant who seeks such a license in order to practice some illegal act or some act injurious to the public health and/or safety;

D. Any person who is not qualified under any provision of this title for any particular license for which application is made. (Ord. 1917 § 3, 2015; Ord. 1843 § 2, 2013; Ord. 1217 § 10, 1996).

5.01.100 Application procedures.

A. Application for a license is by submitting a completed business license application, along with the appropriate addenda and full fees due, to the business licensing service. The complete application will include, but is not limited to:

1. The appropriate license fee (FMC 5.01.110);

2. Employee count (FMC 5.01.110);

3. Nonprofit exemption status (FMC 5.01.010 and 5.01.050) if claimed;

4. Number of residential dwelling units offered for rent inside the city limits.

B. No license shall be issued until the application has been fully completed and all applicable ordinances and regulations of the city of Fife have been fully complied with, including, but not limited to, the city’s zoning and critical areas ordinances.

C. No license shall be issued for activities requiring a license within an apartment complex unit, address or location, or within a motel/hotel without providing the license officer with the written consent of the property owner and/or property manager. (Ord. 1917 § 4, 2015; Ord. 1880 § 5, 2014; Ord. 1843 § 3, 2013; Ord. 1255 § 3, 1996; Ord. 1217 § 11, 1996).

5.01.110 License fees.

A. The annual license fee is determined by the greatest number of employees of the business, employed at any time during the previous 12 months. The number of employees is determined by the employer’s highest numerical count as reported on the employer’s unemployment compensation quarterly report filed with the Washington State Employment Security Department. A new business that has not yet established or reported employee information to the state must establish the maximum number of employees to be employed at any one time during the coming 12 months following the date of application. Businesses located inside Fife city limits must include in the employee count all employees of the business and the business owner(s).

B. License Fee Schedule – Classification. Unless a set fee is listed for a particular type of business, the license fee shall be based on the number of employees as set forth in the current fee schedule.

C. The license fee due per this section may be prorated as necessary to synchronize a license expiration date with the Business Licensing Service.

D. The current fee schedule relating to this section is available at Fife City Hall and at the city of Fife’s website: www.cityoffife.org.

E. All application or renewal filings must include the Business License Service handling fee authorized under RCW 19.02.085. (Ord. 1880 § 6, 2014; Ord. 1783 § 1 (Exh. A), 2012; Ord. 1749 § 2, 2011; Ord. 1305 § 1, 1998; Ord. 1255 § 4, 1996; Ord. 1217 § 12, 1996).

5.01.120 Businesses outside city limits.

Businesses located outside the Fife city limits that engage in business within the city limits must apply and pay for a license per the license fee classification set forth in FMC 5.01.110. (Ord. 1880 § 7, 2014; Ord. 1217 § 13, 1996).

5.01.130 License renewal.

A. Licenses must be renewed on or before the expiration date established by the Business Licensing Service.

B. The business will be sent a notice to renew prior to the expiration date of the license. The notice will be sent to the last address provided by the business. Failure of the licensee to receive any such notice does not excuse the licensee from making application for and securing the required renewal license, or from payment of the license fee.

C. A renewal submitted after the expiration date of the license is considered delinquent and may be assessed the late fee listed in RCW 19.02.085.

D. The renewal fee is determined as provided in FMC 5.01.110.

E. Any person engaged in business in Fife whose business license has not been renewed within 90 days after the expiration date shall be guilty of a misdemeanor.

F. The current fee schedule relating to this section of the Fife Municipal Code is available at Fife City Hall and at the city of Fife’s website: www.cityoffife.org. (Ord. 1880 § 8, 2014; Ord. 1783 § 1 (Exh. A), 2012; Ord. 1777 § 1 (Exh. A), 2012; Ord. 1567-05 § 1, 2005; Ord. 1217 § 14, 1996).

5.01.140 License approval or denial.

A. The license officer is responsible for receiving applications and license fees collected by the business licensing officer and approving the issuance of licenses.

B. Prior to issuing a license, the license officer shall route all applications to the community development department for its endorsement as to compliance by the applicant with all city regulations which it has the duty of enforcing.

C. Upon approval of the application, the Business Licensing Service will be instructed to issue the license.

D. No license shall be issued or renewed if any of the conditions listed in FMC 5.01.150 exist or apply to the license applicant or premises proposed to be licensed or if the applicant fails to meet the requirements of FMC 5.01.090.

E. Upon denial of the application, the fees paid are forfeited by the applicant. The city will provide prompt notice that the application has been denied.

F. The license officer shall approve or deny all applications for licenses required hereunder. Any applicant denied a license, or any person objecting to the issuance of any such license, may, within 10 days after the issuance or denial of such license, appeal said ruling by filing a written notice of appeal with the license officer and paying an appeal fee. The appeal fee shall be refunded if the appellant is successful. The notice of appeal shall state the action being appealed and all grounds upon which the appeal is based. The license officer shall forward the appeal to the hearing examiner who shall set a date for the hearing of such appeal, which appeal shall be governed by Chapter 2.92 FMC. The hearing examiner shall notify the applicant and any person having filed written request for notice as to the date and time of hearing. If an application for a license is denied, and the applicant has filed a timely appeal of such denial, the applicant shall not conduct any business for which a license was denied, during the pendency of the appeal.

The current fee schedule relating to this section of the Fife Municipal Code is available at Fife City Hall and at the city of Fife’s website: www.cityoffife.org. (Ord. 1917 § 5, 2015; Ord. 1880 § 9, 2014; Ord. 1783 § 1 (Exh. A), 2012; Ord. 1593-06 § 24, 2006; Ord. 1305 § 2, 1998; Ord. 1255 § 5, 1996; Ord. 1217 § 15, 1996).

5.01.150 License suspension or revocation.

In addition to the other penalties provided herein or by law, any license issued under the provisions of this title may be revoked or suspended, should any or all of the following apply:

A. The license was procured by fraud, false representation, or material omission of fact; or

B. The licensee or any of its employees, officers, agents or servants, while acting within the scope of their employment, violates or fails to comply with any of the provisions of this title; or

C. The licensee’s continued operation of the business for which the license was issued has or will result in a danger to the public health, safety or welfare, or the violation of any federal or state law or any ordinance or regulation of the city; or

D. The operation of the business for which the license was issued has resulted in the creation of a public nuisance as defined in the FMC, or state statute or common law; or

E. The licensee, or any of its employees, officers, agents or servants, has been convicted of a crime which relates directly to the specific occupation, trade, vocation, or business for which the license was issued; or

F. The location at which the business is being conducted does not conform to city ordinances, including, but not limited to, the city’s zoning and critical areas ordinances; or

G. The license is being used for a purpose different from that for which it was issued; or

H. The property at which the business is located has been determined by a court to be a chronic nuisance property as provided in Chapter 8.06 FMC. (Ord. 2035 § 16, 2020; Ord. 1917 § 6, 2015; Ord. 1879 § 2, 2014; Ord. 1876 § 1, 2014; Ord. 1217 § 16, 1996).

5.01.155 Notice of suspension or revocation.

A. If the license officer determines that any of the conditions listed in FMC 5.01.150 have occurred or exist with respect to any existing license, licensee or licensed premises, the license officer shall notify the licensee, in writing, by personal service or by certified mail, postage prepaid, return receipt requested, addressed to such licensee at his address as it appears on the most recently issued license of the suspension or revocation of his license and shall list the grounds for the revocation or suspension pursuant to FMC 5.01.170.

B. Any licensee may, within 10 days after mailing of such notice of suspension or revocation, appeal from such suspension or revocation by filing a written notice of appeal setting forth specifically the grounds therefor with the license officer. The notice of appeal shall be accompanied by a license appeal fee. The license officer shall forward the appeal to the hearing examiner who shall set a date for the hearing of such appeal pursuant to Chapter 2.92 FMC. The hearing examiner shall notify the licensee by mail of the time and place of the hearing. After the hearing upon the appeal, the hearing examiner shall prepare appropriate findings of fact and conclusions of law and either affirm or modify the suspension or revocation or overrule the suspension or revocation and thereby reinstate the license. The hearing examiner may impose any terms upon the continuance of the license which the hearing examiner deems advisable.

C. No suspension or revocation of a license issued pursuant to the provisions of this title shall take effect until 10 days after the license officer has mailed the notice thereof to the licensee. If the licensee appeals pursuant to this section, the suspension or revocation shall be stayed pending final action by the hearing examiner pursuant to Chapter 2.92 FMC.

D. Upon finalization of the revocation or suspension of any license as provided in this chapter, no portion of the license fee shall be returned to the licensee. It is unlawful for any person whose license has been revoked or suspended to continue doing business in the city of Fife, or refuse to surrender the license to the license officer upon the effective date of the suspension or revocation.

E. When a license is revoked, the license officer shall cancel the license and file the same in the official records of the city. When the license is suspended, the license officer shall retain the license until the end of the suspension and return the same to the business owner if all conditions of the suspension have been met.

The current fee schedule relating to this section of the Fife Municipal Code is available at Fife City Hall and at the city of Fife’s website: www.cityoffife.org. (Ord. 1783 § 1 (Exh. A), 2012; Ord. 1593-06 §§ 25, 26, 2006; Ord. 1255 § 6, 1996; Ord. 1217 § 17, 1996).

5.01.160 Inspections – Right of entry.

The license officer, or his/her designee, is authorized to make or have made such inspections and take such action as may be required to enforce the provisions of this title. Any inspector must present his or her credentials and ask permission to enter the premises. If permission is denied, the inspector shall have recourse to the Fife municipal court to seek an administrative search warrant for gaining entry. Neither permission nor warrant are necessary if a public safety emergency justifies entry. (Ord. 1917 § 7, 2015; Ord. 1805 § 1, 2012; Ord. 1217 § 18, 1996).

5.01.170 Notice and order – Contents.

A. Issuance. The license officer shall issue a notice and order, directed to the licensee or owner of the premises determined to be in violation of any of the terms and provisions of this title. The notice and order shall contain:

1. The street address (site location), when available, and a description sufficient for identification of the premises upon which the violation has occurred;

2. A statement that the license officer has found the conduct of the licensee or condition of the premises to be in violation of this title, with a concise description of the conditions found to render such licensee or premises in violation;

3. A statement of any action required to be taken to comply with this title, as determined by the license officer. If the license officer has determined to assess a civil penalty, the order shall require that the penalty shall be paid within a time certain from the date of order;

4. A statement setting forth any official action taken by the license officer;

5. Statements advising:

a. That the person may appeal from the notice and order to the hearing examiner; provided, that the appeal is made in writing as provided in this chapter and filed with the city clerk within 10 calendar days from the date of mailing of such notice and order; and

b. The failure to timely appeal will constitute a waiver of all rights to a hearing.

B. Method of Service. The notice and order shall be served upon the licensee either personally or by mailing a copy of such notice and order by certified mail, postage prepaid, return receipt requested, to such licensee at his/her address as it appears on the most recently issued license. The failure of any person to receive such notice shall not affect the validity of any proceedings taken under this chapter. Service by certified mail in the manner herein provided shall be effective on the date of mailing. (Ord. 1751 § 1 (Exh. A), 2011; Ord. 1593-06 § 27, 2006; Ord. 1217 § 19, 1996).

5.01.180 Exercise of power.

This title shall be deemed an exercise of the power of the city to license for revenue and regulation, and nothing in this title shall be construed to repeal or affect any other ordinance of the city which purports to regulate some business or activity pursuant to the general police power of the city, notwithstanding the fact that such ordinance may or might contain provisions relating to the licensing of such activity. (Ord. 1217 § 20, 1996).

5.01.190 Civil penalties.

Repealed by Ord. 1255. (Ord. 1217 § 21, 1996).

5.01.200 Criminal penalties.

Any person violating or failing to comply with any of the provisions of this code shall be guilty of a misdemeanor. Each day of noncompliance with any of the provisions of this code shall constitute a separate offense. (Ord. 1255 § 8, 1996; Ord. 1217 § 22, 1996).

5.01.210 Additional relief.

The criminal penalty shall not be deemed a limitation upon the city’s right to seek injunctive relief in the superior court in order to enjoin any person or business from conducting business in violation of this title or from committing or creating a public nuisance or a condition that is dangerous to the public health, safety or general welfare. (Ord. 1255 § 9, 1996; Ord. 1217 § 23, 1996).