CHAPTER 24
PAWNBROKERS

§ 24-1    Definitions.

§ 24-2.    Business License Required.

§ 24-3    License Application.

§ 24-4    Approval by Chief of Police.

§ 24-5    Repealed.

§ 24-6    Record of Transactions - Submission to Chief of Police.

§ 24-7    Present Business Excepted.

§ 24-8    Annual Review by Chief of Police.

§ 24-9    Appeal.

§ 24-10    Violations.

Sec. 24-1. Definitions.

For the purpose of this Ordinance “Pawnbroker” includes every person who keeps a place of business where personal property is received, on which money is advanced, with the right or privilege granted to the person to whom the money is advanced to reclaim such property upon the repayment of said money so advanced, together with all legal charges incident thereto. The term includes every person, other than banks, savings and loan institutions, and similar organizations otherwise regulated by law, who keeps a loan or pawn office or who engages in the business of receiving jewelry, watches, precious stones, valuables, firearms, clothing or personal property, or any other article or in pledge for loans, or as security, or in pawn for the repayment of moneys, and exacts interest for such loans.

Sec. 24-2. Business License Required.

No person, firm or corporation shall carry on the business of a pawnbroker, unless he has a valid and subsisting business license issued by the City pursuant to Monterey City Ordinance No. 692 C.S., entitled in part “Business License Ordinance,” as the same exists at the time of enactment of this ordinance or as may be hereinafter amended, and for which all required fees have been paid.

Sec. 24-3. License Application.

Before any license to engage in or carry on any business as pawnbroker is granted, the applicant desiring such a license shall file a written application with the Finance Director setting forth the following information:

A.    The exact nature of the business to be carried on;

B.    The type of ownership of the business or establishment, i.e., whether individual, partnership, or corporation, etc.;

C.    The names, complete residence addresses and residence telephone numbers of all owners of the business; and, if any such owner is a corporation, of the principal officers of such corporation;

D.    The name under which the business is to be conducted;

E.    The location of the proposed business for which the license is sought, the business mailing address if different than the location of business, and the telephone number of the establishment where the business is to be conducted; and

F.    Whether any license or permit to engage in the type of business for which the license hereunder is sought has previously been denied to the applicant or suspended or revoked; and if so, the circumstances of said denial, suspension or revocation. (Ord. 3424 § 10, 2009)

Sec. 24-4. Approval by Chief of Police.

Upon receiving an application for a license to engage in business as a pawnbroker, the Finance Director shall refer the application to the Chief of Police for investigation. The Chief of Police shall thereupon conduct an investigation into the applicant’s criminal record, which investigation shall include obtaining fingerprints from the applicant.

The Chief of Police may, in his discretion, require a personal interview of the applicant, and may request further relevant information.

No license shall be issued by the Finance Director unless the Chief of Police has first approved its issuance. The Chief of Police may refuse to approve the issuance of such license on any of the following grounds:

A.    That the applicant, based on his or her criminal record, would be a poor risk in that particular business;

B.    That the applicant has had a previous license to engage in such business revoked or suspended by the City of Monterey or some other jurisdiction; or

C.    That the conduct of the business at the location in question would not be in the interest of the public health, safety or welfare.

The Chief of Police shall notify the Finance Director and the applicant of his approval or denial of said license in writing within thirty (30) days of the date of application. (Ord. 3424 § 10, 2009)

Sec. 24-5. Residence Requirement - Pawnbrokers.

Repealed by Ord. 3424.

Sec. 24-6. Record of Transactions - Submission to Chief of Police.

Every person managing, maintaining or conducting the business of a pawnbroker, in the City shall keep at the place of business, a permanent record of each transaction which shall reflect the date of every purchase, sale, exchange, pledge, pawn or other transfer of possession of any article or loan thereon, a description of such article received or delivered in such transaction sufficient to identify the same, including all particular or prominent marks of identification that may be found on such property, the signature, residence of the person from whom received, the amount of money paid or received in such transaction, the rate of interest, if any, any the date of the transaction. All entries shall be made in ink and in the English language.

All pawn tickets shall be made out in triplicate on a form approved as to content and the size by the Chief of Police. All pawn tickets issued in the City shall be of uniform size.

On every business day, every person licensed pursuant to this ordinance shall deliver to the Chief of Police of his duly authorized agent, a record describing the goods, articles or things pledged, pawned, bought or received during the preceding day and the signature of the person pledging, pawning, selling or giving the same.

All records required by this Section shall be retained at the licensee’s place of business for at least twenty-four (24) months succeeding the transaction to which they pertain.

The Chief of Police or his authorized representative, shall have the right to inspect any records upon request.

Sec. 24-7. Present Business Excepted.

Any business as defined in Section 1 herein, which have been in business within the City of Monterey for twenty-four (24) consecutive months prior to the effective date of this ordinance, shall be exempt from the provisions of Sections 3 and 4 herein.

Sec. 24-8. Annual Review by Chief of Police.

The Collector shall not renew the license of any Pawnbroker, unless and until said renewal has been referred to and received the approval of the Chief of Police, The Chief of Police shall review each application for renewal in the same manner as set forth in Section 4 herein and may refuse to approve renewal on the same grounds as set forth therein for denial of an original application.

Sec. 24-9. Appeal.

Any denial of a license by the Chief of Police may be appealed by the applicant for said license pursuant to this section, The granting of any license by the Chief of Police may be appealed by any resident of the City of Monterey or any person holding a valid, subsisting business license issued by the City of Monterey.

A person wishing to appeal the decision of the Chief of Police shall file a notice in writing with the Clerk of the City of Monterey within ten (10) days after the Chief of Police has notified the Collector of his decision. The Clerk shall set the matter for hearing before the Council of the City of Monterey not less than ten (10) nor more than thirty-five (35) days after receiving notice of appeal.

The notice of appeal shall contain the name and address of the party appealing, and the grounds of appeal, The Clerk shall send notice of the date of appeal to the party appealing not less than five (5) days prior to the time set for hearing, by placing said notice in the United States Mail, properly addressed, postage prepaid.

At the time set for appeal, the Council shall take evidence for and against said appeal and may uphold, reverse or modify the determination of the Chief of Police, The Council may continue said hearing from time to time, providing, however, they shall make final determination within forty-five (45) days with the express consent of the party appealing. The decision of the City Council shall be final.

Sec. 24-10. Violations.

Any person, firm or corporation who shall violate any provision of this Ordinance shall be guilty of a misdemeanor and upon conviction thereof, shall be punished by a fine not exceeding five hundred dollars ($500.00) or by imprisonment in the County .Jail not exceeding six (6) months or by both such fine and imprisonment.