Chapter 5.64
SOLICITING FOR CHARITABLE PURPOSES

Sections:

5.64.010    Legislative findings and statement of purpose.

5.64.020    Definitions.

5.64.030    Applicability of chapter.

5.64.040    Finance director – Powers.

5.64.050    Charitable solicitations permit required.

5.64.060    Application for permit.

5.64.070    Application by parent organization for its subsidiary organizations.

5.64.080    Investigation of applications.

5.64.090    Standards for action in granting or denying permits.

5.64.100    Form of permit, time limit and renewal.

5.64.110    Credentials for solicitors – Exemption.

5.64.120    Revocation of permits.

5.64.130    Appeal – City manager.

5.64.140    Permit nontransferable – Return upon expiration.

5.64.150    Written receipts required – Exceptions.

5.64.160    Books and records.

5.64.170    Report required.

5.64.180    Promoters – Permit and bond required.

5.64.190    Use of telephone prohibited – Exemptions.

5.64.200    Deception, misrepresentation prohibited.

5.64.010 Legislative findings and statement of purpose.

The city council finds that persons and organizations have been and are soliciting funds and property in the city on the representation that such funds and property are to be used for charitable or religious purposes, when in truth and in fact such funds and property may be and often are used wholly or in large part for the private profit of the individuals promoting such solicitations; that a variety of misrepresentations and other frauds are at times employed in such solicitations; that as the result of such activities, responsible and needed charitable and religious solicitations suffer from the suspicion engendered by these practices, and the residents of the city have in many cases been defrauded and otherwise imposed upon for lack of adequate protection; and that the public safety and convenience necessitates the exercise of the police power of the city through the enactment and enforcement of this chapter for the purpose of preventing such practices, and promoting an atmosphere conducive to the scrupulous solicitation efforts of bona fide charities and religious groups within the city.

The city council further determines that these interests of the residents of the city can be best served by providing for procedures for the control of charitable solicitations in the city. [Ord. 38-2007 § 1 (Exh. 1(D)); Ord. 21-2003 §§ 2, 4; Ord. 20-2003 §§ 2, 4].

5.64.020 Definitions.

“Bona fide membership” means membership in an organization entitling the member to an equal voice with every other member, official and other agent thereof in the election of officers and the determination of activities and policies of the organization, such organization being one that conducts its activities in Rancho Cordova on a continuing basis, such as, but not limited to, parent-teacher associations and homeowners’ and neighborhood improvement organizations.

“Charitable purposes” means and includes the use, actual or represented, of money or property for the benefit in any manner of poor, impoverished, destitute, underprivileged, needy, sick, refugee, or crippled persons; the use, actual or represented, of money or property for the benefit of any church, congregation, religious society or any other religious sect, group or order; the use, actual or represented, of money or property for the relief or assistance of any veteran, or the benefit of any veterans organization or association, or any purpose purporting to aid the general welfare of any state or nation or for the relief of any race or group of people; the use, actual or represented, of money or property for civic purposes, such as social or cultural functions or the improvement or beautification of any state, city or other community; the use, actual or represented, of money or property for the benefit of any fraternal or social organization or association; the use, actual or represented, of money or property for the benefit of educational institutions or for the education of any person or group of persons; and the use, actual or represented, of money or property for the benefit of youth service organizations.

“Organization” means and includes any partnership, corporation, joint venture, association, society, church, or religious sect, denomination, society, organization or league, and includes any trustee, receiver, assignee, agent or other representative thereof.

“Parent organization” means any organization having under its jurisdiction and control one or more subsidiary organizations which exist solely by virtue of a charter or other written authorization issued by it.

“Person” means any individual or organization, and includes any trustee, receiver, assignee, agent or other representative thereof.

“Promoter” means any person who is employed or engaged by any other person, on a salary, commission or percentage basis, to promote, organize or conduct a solicitation for any charitable purpose for or on behalf of such other person; except, however, no person who holds a permanent salaried office or position with the applicant charitable organization or its parent or subsidiary charitable organization shall be deemed to be a promoter hereunder.

“Solicit” and “solicitation” mean and include the request, directly or indirectly, for money, credit, property, financial assistance, or other thing of value on the plea or representation that such money, credit, property, financial assistance or other thing of value will be used for charitable purposes (as the term “charitable purposes” is herein defined), except that it does not include the act of recruiting volunteers to solicit for charitable purposes. “Solicit” and “solicitation” also mean and include the following methods of securing money, credit, property, financial assistance or other thing of value on the plea or representation that it will be used for charitable purposes as herein defined:

1. Any oral or written request;

2. The distribution, circulation, mailing, posting or publishing of any handbill, written advertisement, or publication;

3. The making of any announcement to the press, over radio or television, or by telephone or telegraph concerning an appeal, assemblage, athletic or sports event, bazaar, benefit, campaign, contest, dance, drive, entertainment, exhibition, exposition, party, performance, picnic, sale or social gathering which the public is requested to patronize or to which the public is requested to make a contribution for any charitable purposes connected therewith;

4. The sale of, offer or attempt to sell any advertisement, advertising space, book, chance, coupon, device, magazine, merchandise, subscription, tax, ticket, membership other than a “bona fide membership” as defined in this section, or other thing in connection with which any appeal is made for any charitable purpose, or where the name of any organization for charitable purpose is used or referred to in any such appeal as an inducement or reason for making any such sale, or where in connection with any such sale any statement is made that the whole or any part of the proceeds of any such sale will go to or be donated by any charitable purpose.

A “solicitation” as defined herein shall be deemed completed when communicated to any person then located within the limits of the city of Rancho Cordova whether or not the person making the solicitation is located within the limits of the city of Rancho Cordova, and whether or not the person making the solicitation receives any contribution or makes any sale referred to herein.

“Subsidiary organization” means any organization or organized group which exists solely by authority of a charter or other written authorization issued by a parent organization. [Ord. 38-2007 § 1 (Exh. 1(A), (D)); Ord. 21-2003 §§ 2, 4; Ord. 20-2003 §§ 2, 4; SCC 34 § 2 (part), 1971; SCC 34 § 2 (part), 1971].

5.64.030 Applicability of chapter.

Persons soliciting contributions for any charitable purpose within this city of Rancho Cordova shall comply with the provisions of this chapter; provided, however, that the provisions of this chapter shall not apply to:

A. Any person organized and operated for charitable purposes and not operated for the pecuniary profit of any person to the extent that the solicitations by such person are conducted exclusively among the members thereof by other members or officers thereof, voluntarily and without remuneration for making solicitations;

B. The extent the solicitations are conducted voluntarily and without remuneration by an employer solely among its employees;

C. The extent that the solicitations are in the form of and limited to collections or contributions at the regular assemblies or services of such person. [Ord. 38-2007 § 1 (Exh. 1(A)); Ord. 21-2003 §§ 2, 4; Ord. 20-2003 §§ 2, 4; SCC 34 § 2 (part), 1971].

5.64.040 Finance director – Powers.

The finance director is authorized, empowered and directed to undertake the administration of the provisions of this chapter. It shall be the duty of the finance director to cause to be investigated each application for a permit required by the provisions of RCMC 5.64.050, and to maintain each application on file, together with its recommendation thereon, all of which shall be subject to public inspection at any reasonable time. The finance director shall have the power to issue and revoke permits as hereinafter provided, to direct investigations and to do and perform all other acts which may be necessary or proper within the scope of the director’s duties and functions. [Ord. 38-2007 § 1 (Exh. 1(D)); Ord. 21-2003 §§ 2, 4; Ord. 20-2003 §§ 2, 4].

5.64.050 Charitable solicitations permit required.

No person shall solicit contributions for any charitable purpose in the city of Rancho Cordova without a permit from the finance director authorizing such solicitation. [Ord. 38-2007 § 1 (Exh. 1(A), (D)); Ord. 21-2003 §§ 2, 4; Ord. 20-2003 §§ 2, 4; SCC 34 § 2 (part), 1971].

5.64.060 Application for permit.

A. An application for a permit to solicit for charitable purposes shall be made to the finance director by or on behalf of the person for whose benefit and in whose name the solicitation is to be made. Such application shall be made upon a form prescribed by the finance director, and sworn to or affirmed and submitted to and filed with the finance director at least 30 days prior to the time on which the permit applied for is to become effective. The finance director may, for good cause shown, allow the filing of an application less than 30 days prior to the effective date of such permit. The finance director may grant to persons actively engaged in charitable solicitations activities upon the adoption and effective date of the ordinance codified in this chapter the authority to continue such activities pending the finance director’s action on such person’s application.

B. The application herein required shall contain the information prescribed in the following subsections, or in lieu thereof, a statement, satisfactory to the finance director, of the reasons why such information, or any item thereof, is not furnished:

1. The applicant’s name and address, including national, state, regional and local headquarters, if any;

2. If the applicant is not an individual, the names and addresses of the applicant’s principal officers and managers;

3. If the applicant is a subsidiary organization, the name and address, including national, state, regional and local headquarters, of the parent organization;

4. If the individual making the application is doing so for or on behalf of the applicant, the nature of the relationship between such individual and the applicant, and verification in form acceptable to the finance director that such individual has been duly authorized by the applicant to make the application on the applicant’s behalf;

5. The purpose or purposes for which such solicitation is to be made, an outline of the method or methods to be used in conducting the solicitations, the total amount of funds proposed to be raised thereby, and the use and disposition to be made of the receipts therefrom;

6. The names and addresses of the person or persons by whom the receipts of such solicitation shall be disbursed;

7. The names and addresses of the person or persons who will be in direct charge of conducting the solicitation, and the names and addresses of all promoters connected or to be connected with the proposed solicitation, together with true copies of contracts between the applicant and such persons covering their said services;

8. The amount of any wages, fees, commissions, expenses, or emoluments to be expended or paid to any person in connection with such solicitations, and the names and addresses of all such persons;

9. A statement that the actual cost of the solicitation will not exceed 20 percent of the total amount to be raised in the case of direct gifts, or 75 percent in the case of sales of salvageable and other property, and special events and benefit affairs, or, if the cost of solicitation is expected to exceed these percentages, a statement of what these maximum costs are expected to be, together with a statement of any special facts tending to show that there are peculiar reasons which in the particular case make such higher costs reasonable;

10. Copies of any certification issued by federal, state and city taxing authorities indicating a tax exempt status;

11. A statement to the effect that if a permit is granted it will not be used or represented in any way as an endorsement by the city or by any department or officer thereof;

12. Such other information as may be reasonably required by the finance director in order to determine the kind and character of the proposed solicitation and that such solicitation is not contrary to the public welfare.

C. If, while any application is pending, or during the term of any permit granted thereby, there is any change in fact, policy, or method that would alter the information given in the application, the applicant shall so advise the finance director by notifying the finance director in writing thereof within 72 hours after such change, exclusive of Saturdays, Sundays and holidays. [Ord. 38-2007 § 1 (Exh. 1(D)); Ord. 21-2003 §§ 2, 4; Ord. 20-2003 §§ 2, 4; SCC 34 § 2 (part), 1971].

5.64.070 Application by parent organization for its subsidiary organizations.

A. Any parent organization may apply for a charitable solicitations permit for the conduct of charitable solicitations by itself and by any or all of its subsidiary organizations. Permits for solicitations by more than one subsidiary organization may be requested in the same application.

B. The application shall be subject to the same requirements and shall contain the same information regarding the proposed solicitation as if the parent organization were applying for a permit for itself only, and, in addition, shall contain the names and addresses of all subsidiary organizations to which the permit will be applicable and a statement by the parent organization that it has jurisdiction and control of each subsidiary organization with respect to the conduct of the proposed solicitation and the reports required in conjunction therewith.

C. One permit only shall be issued to the parent organization, and such permit shall be sufficient for the use of each subsidiary organization named in the application.

D. If a parent organization is qualified for a continuing permit, such a permit may be issued under this section even though the subsidiary organization would not be so qualified if it were applying on its own behalf.

E. Permits issued under this section shall be subject to the report requirements of this chapter, and it shall be the duty of the parent organization as a permit holder to file, or cause to be filed, a final or annual report for each of its subsidiary organizations conducting charitable solicitations pursuant to the permit. [Ord. 21-2003 §§ 2, 4; Ord. 20-2003 §§ 2, 4; SCC 34 § 2 (part), 1971].

5.64.080 Investigation of applications.

The finance director shall examine all applications filed pursuant to this chapter, and shall make, or cause to be made, such further investigation of the application and the applicant as the finance director shall deem necessary in order to perform his duties under this chapter. Upon request by the finance director, the applicant shall make available for inspection by the finance director, or any person authorized by him as his representative for such purposes, all of the applicant’s books, records and papers at any reasonable time before the application is granted, during the time a permit is in effect, or after a permit has expired, as well as any other information requested by the finance director relating to the charitable operations of the applicant as its agents. [Ord. 38-2007 § 1 (Exh. 1(D)); Ord. 21-2003 §§ 2, 4; Ord. 20-2003 §§ 2, 4; SCC 34 § 2 (part), 1971].

5.64.090 Standards for action in granting or denying permits.

The finance director shall issue the permit, with or without conditions, whenever it appears to the finance director that the following facts exist:

A. That all of the statements made in the application are true;

B. That the applicant, and every director, officer, manager, promoter, consultant, and other agent of the applicant, has a good reputation for integrity and responsibility;

C. That the applicant, and the persons who are to control, supervise and promote the solicitation on behalf of the applicant, have not knowingly violated the provisions of this chapter in the conduct of any prior solicitation;

D. That the applicant has not engaged in any fraudulent transactions or enterprises which the finance director deems relevant to the application;

E. That the solicitation will not be a fraud on the public;

F. That the solicitation is prompted solely by the desire to finance the charitable cause described in the application, and will not be conducted for private profit;

G. That the cost of raising funds will be reasonable;

H. That, if a promoter or promoters will conduct all or any part of the solicitation, the provisions of RCMC 5.64.180 have been complied with;

I. That the proposed method or methods of soliciting will not be contrary to the provisions of this chapter; and

J. That the applicant is maintaining an adequate system of recordkeeping and accounting, and has agreed to make such available to the finance director or his designees for inspection. [Ord. 38-2007 § 1 (Exh. 1(D)); Ord. 21-2003 §§ 2, 4; Ord. 20-2003 §§ 2, 4; SCC 34 § 2 (part), 1971].

5.64.100 Form of permit, time limit and renewal.

Permits issued pursuant to this chapter shall bear the name and address of the person to whom the permit is issued, the number of the permit, the date issued, the dates within which the permit holder may solicit, and a statement that the permit does not constitute an endorsement by the finance director or the city.

A permit granted upon the authority hereof shall expire at the termination of the solicitation period specified on the permit. The finance director may renew any such permit upon its expiration for additional periods, if he is satisfied that the requirements of this chapter are being met and that no violation of the provisions of this chapter has been committed; and alternatively, he may require a new application, and his action upon such application shall be governed by the standards applicable to an original application.

The period for which a permit is granted shall not exceed 90 days from its effective date; provided, however, that the finance director may, upon the request of an applicant, issue an annual permit whenever such applicant shall have maintained an office or a fixed place of business or meeting place in the city continuously for not less than one year immediately preceding the date of filing the application with the finance director, and shall have regularly conducted charitable solicitations within such period within the city; provided further, that the finance director may, upon the request of an applicant, issue a continuing permit whenever such applicant shall have maintained an office or a fixed place of business or meeting place in the city continuously for not less than three years immediately preceding the date of filing the application with the finance director, and shall have regularly conducted charitable solicitations during such period within the city. [Ord. 38-2007 § 1 (Exh. 1(D)); Ord. 21-2003 §§ 2, 4; Ord. 20-2003 §§ 2, 4; SCC 34 § 2 (part), 1971].

5.64.110 Credentials for solicitors – Exemption.

All persons to whom permits have been issued pursuant to this chapter shall furnish to each of their individual solicitors, as credentials, a copy of the permit, upon which the permit holder shall cause to be indicated the name and signature of the solicitor to whom such credentials are issued. Copies of the permit for this purpose shall, upon request, be provided to the permit holder at a fee to cover the costs thereof, as shall be determined by the finance director. Reproductions of the permit for this purpose made by the applicant must be clearly legible, shall be not less than wallet size in dimension (two and one-fourth inches by three and one-half inches), and may be reproduced onto and incorporated in other material made available to solicitors for use in their solicitation activities.

No person shall solicit in person under any permit granted pursuant to this chapter without the credential required by this section in his possession. Said credential must be shown to all persons solicited, and upon request, to any police officer of the city.

The foregoing provisions of this section shall not apply to the extent that all of the activities of the solicitor are conducted at one fixed location, not involving going from place to place, and a copy of the permit is conspicuously posted at such fixed location to facilitate its inspection by persons solicited and by law enforcement officers of the city.

No person shall use a credential if the permit to which such credential relates has expired or has been suspended or revoked. [Ord. 38-2007 § 1 (Exh. 1(A), (D)); Ord. 21-2003 §§ 2, 4; Ord. 20-2003 §§ 2, 4; SCC 34 § 2 (part), 1971].

5.64.120 Revocation of permits.

Whenever it is shown, or whenever the finance director has reason to believe, that any person to whom a permit has been issued, or its agents or employees, or those acting in concert with such persons, has violated any of the provisions of this chapter, or that any promoter, solicitor, or other agent of a permit holder has failed to comply with any provisions hereof or has misrepresented the purpose of the solicitation, or does any act contrary to any statement in his application or, in the case of an annual or a continuing permit holder, the permit holder has ceased to maintain a bona fide office or place of business or meeting place in the city or has failed to submit an annual report as required by this chapter, the finance director shall immediately suspend the permit and give the permit holder a written notice in person or by mail of the suspension and of a hearing to be held by the finance director within three days of such suspension, excluding Saturdays, Sundays and holidays, to determine whether or not the permit should be revoked. This notice must contain a statement of the facts upon which the finance director has acted in suspending the permit. [Ord. 38-2007 § 1 (Exh. 1(D)); Ord. 21-2003 §§ 2, 4; Ord. 20-2003 §§ 2, 4; SCC 34 § 2 (part), 1971].

5.64.130 Appeal – City manager.

Any applicant who is denied a permit hereunder or whose application therefor has been neither granted or denied within 30 days from the date of filing the application, or whose permit has been revoked, may appeal in writing by filing his appeal with the city finance department within 10 days after receiving notification that his application for a permit has been denied, or that his permit has been revoked, or, if not so notified, within 40 days after filing of his application.

The city manager, or the city manager’s designee, shall consider and determine the appeal. The city manager shall have the power to summon witnesses, to take testimony and other evidence to conduct hearings and to do and perform all other acts which may be necessary or proper within the scope of his or her duties and powers.

The city manager, after hearing at a time and place to be set by the city manager, within 30 days from the date of filing such appeal, shall, conditionally or otherwise, either grant, deny, reinstate or refuse to reinstate such permit. [Ord. 38-2007 § 1 (Exh. 1(D)); Ord. 21-2003 §§ 2, 4; Ord. 20-2003 §§ 2, 4].

5.64.140 Permit nontransferable – Return upon expiration.

Any permit issued under the provisions of this chapter shall be nontransferable and shall be returned to the finance director within seven days of its date of expiration. [Ord. 38-2007 § 1 (Exh. 1(D)); Ord. 21-2003 §§ 2, 4; Ord. 20-2003 §§ 2, 4; SCC 34 § 2 (part), 1971].

5.64.150 Written receipts required – Exceptions.

Any person receiving money in the amount of $5.00 or more from any contributor under a solicitation made pursuant to a permit granted under the provisions of this chapter shall give to the contributor a written receipt signed by the solicitor showing plainly the name and permit number of the person under whose permit this solicitation is conducted, the date, and the amount received; except, however, the provisions of this section shall not apply to:

A. Contributions collected by means of a closed receptacle used with the prior written consent of the finance director;

B. Contributions in connection with special events, where the contributor is given a printed, press numbered coupon, ticket or similar printed evidence of the donation, on which appears the name of the permit holder, the amount of the contribution evidenced thereby, and the date and a description of the special event to which it relates;

C. Contributions involving the same of merchandise, where there is affixed on the merchandise, or on the container thereof, the name of the permit holder and the price paid for the merchandise;

D. Contributions in the form of personal checks mailed to the permit holder. [Ord. 38-2007 § 1 (Exh. 1(D)); Ord. 21-2003 §§ 2, 4; Ord. 20-2003 §§ 2, 4; SCC 34 § 2 (part), 1971].

5.64.160 Books and records.

No person shall solicit any contributions for any charitable purpose without maintaining an adequate system of accounting, whereby all contributions to it, costs and expenses, and all disbursements are entered upon the books or records of such person’s treasurer or other financial officer. [Ord. 21-2003 §§ 2, 4; Ord. 20-2003 §§ 2, 4; SCC 34 § 2 (part), 1971].

5.64.170 Report required.

It shall be the duty of all persons issued permits under the provisions of this chapter to furnish to the finance director within 30 days after the expiration of such permit, on a form provided by or acceptable to the finance director, a detailed report and financial statement showing the total amount raised by the solicitation, an itemization of amounts expended in collecting such funds, including a detailed report of the wages, fees, commissions, emoluments and expenses paid to any person in connection with such solicitation, indicating the name, address, amount paid to and services rendered by each such person; and the specific disposition that will be or has been made, itemized by amount, of the balance of the funds collected by the solicitation. In the case of a continuing permit holder, the report shall be furnished to the finance director within 30 days following the close of an actual reporting period to be selected and disclosed on the initial application by the permit holder and shall concern all charitable solicitations for the preceding year. This report shall be available for public inspection at the office of the finance director at any reasonable time; provided, however, that the finance director may extend the time for the filing of the report required by this section for an additional period of 30 days upon proof that the filing of the report within the time specified will work unnecessary hardship on the permit holder. The permit holder shall make available for such purpose all books, records, and papers whereby the accuracy of the report required by this chapter may be verified.

If the total expenses incurred for all activities related to the solicitation or solicitations, including but not limited to costs for products, facilities, services, compensation, fees and administration, do not exceed 10 percent of the gross receipts of the solicitation or solicitations, then, in that event, such permit holder may, subject to the approval of the finance director, make and file a declaration under penalty of perjury to that effect in lieu of furnishing the detailed report provided for hereunder.

However, in such case the committee shall reserve the right to verify the accuracy of such declaration in accordance with the provisions of RCMC 5.64.090(J). [Ord. 38-2007 § 1 (Exh. 1(D)); Ord. 21-2003 §§ 2, 4; Ord. 20-2003 §§ 2, 4; SCC 34 § 2 (part), 1971].

5.64.180 Promoters – Permit and bond required.

A. No promoter, or employee or agent of any promoter, shall conduct, manage or carry on any solicitation for contributions for charitable purposes, or represented to be for charitable purposes, unless such promoter shall first have obtained a promoter’s permit from the finance director. Applications for promoters’ permits shall be sworn to or affirmed by the promoter and filed at the same time and in the same manner as the application for the charitable solicitations permit under RCMC 5.64.060; except that in the case of an application for an annual or a continuing permit, applications for promoters’ permits shall be filed at least 30 days prior to the proposed effective date of the promoter’s permit. The promoter’s permit application shall contain the following information and documentation: the applicant’s personal and business name or names; applicant’s address or addresses, including principal office and local headquarters, if any; the name of the person for whom the solicitation will be conducted; a true copy of the contract between the promoter and such person, or, if no written contract has been entered into, the terms and conditions, including basis for compensation, under which the promoter will conduct the solicitation for such person; the period during which the permit is to be effective; and such other information as may be reasonably requested by the finance director to determine that the solicitation activities by the promoter will not be contrary to the public welfare.

B. At such time as an application for a promoter’s permit is filed, the promoter shall file with the finance director the bond of a corporate surety in the penal sum of $5,000 conditioned as follows:

1. Such bond shall be executed by the promoter and a corporate surety duly authorized to transact business in the state and acceptable to the finance director. The total aggregate liability on such bond shall be limited to the sum of $5,000. The bond shall be conditioned upon the strict compliance by the principal with each and all of the provisions of this chapter, and to the payment of any pecuniary loss sustained by any donor or by any other person or organization on whose behalf any funds or personal property were solicited or received by the principal. The bond shall remain in full force and effect for the entire period of the promoter’s permit and any extension thereof and final disposition of all funds solicited;

2. The surety may cancel such bond and be relieved of further liability thereunder by filing a 30 days’ written notice of such cancellation in the office of the finance director. Such cancellation shall not discharge any liability incurred or accrued thereunder prior to the termination of such 30-day period. Failure of the promoter to file a new bond on or before the effective date of cancellation of any bond so cancelled shall automatically suspend the permit until a new bond has been filed;

3. Any donor or person or organization who sustains any loss covered by such bond may, in addition to any other available remedy, bring an action in the name of such person or organization upon such bond for the recovery of any damage sustained. Upon any such action being commenced, such bond shall not be void upon a first recovery thereon, but may be sued upon from time to time until the whole of such penalty shall have been exhausted. The time within which any action may be brought against a surety upon any bond filed hereunder shall, by express provision of the bond to that effect, be limited to a period of two years from and after the discovery by the person aggrieved of the act or default complained of.

C. Within 30 days after the promoter has faithfully complied with all of the provisions of this section, and if the finance director finds that all the statements made in the application are true, and unless each of the members of the finance director find that the issuance of a promoter’s permit to promoter would be contrary to the public interest, the finance director shall issue a promoter’s permit to the applicant if the finance director has issued a corresponding charitable solicitations permit hereunder to the person engaging or employing such promoter. The promoter’s permit shall be effective only during the period of time that the corresponding charitable solicitations permit is effective, or such shorter period of time as shall be designated by the finance director and endorsed upon the promoter’s permit; except that in the case of a promoter’s permit issued after the issuance of an annual or a continuing charitable solicitations permit, the promoter’s permit shall be effective only during the period of time not to exceed 90 days as shall be designated by the finance director and endorsed upon the promoter’s permit. No promoter shall conduct, manage or carry on any solicitation for charitable purposes for any person except during the time such person holds a valid and effective charitable solicitations permit issued pursuant to this chapter, and subject to the conditions of such permit. The promoter’s permit shall not remain in effect for any period of time during which the corresponding charitable solicitations permit is invalid or ineffective.

D. In addition to the requirements imposed by this chapter, every promoter and every agent or representative of a promoter who engages in soliciting contributions under the provisions of this chapter shall pay to the city any applicable license fees prescribed in other provisions of this code. [Ord. 38-2007 § 1 (Exh. 1(D)); Ord. 21-2003 §§ 2, 4; Ord. 20-2003 §§ 2, 4; SCC 34 § 2 (part), 1971].

5.64.190 Use of telephone prohibited – Exemptions.

No person shall for pecuniary compensation or consideration conduct or make any solicitations by telephone for or on behalf of the applicant; except, however, that the provisions of this section shall not apply to:

A. Any communications by telephone between persons well known to each other through personal contact;

B. Solicitations by telephone for salvageable personal property as that term is defined in Section 148 of the California Welfare and Institutions Code. [Ord. 21-2003 §§ 2, 4; Ord. 20-2003 §§ 2, 4; SCC 34 § 2 (part), 1971].

5.64.200 Deception, misrepresentation prohibited.

No person shall directly or indirectly solicit contributions for any purpose by misrepresentation of his name, occupation, financial condition, social condition or residence, and no person shall make or perpetrate any other misstatement, deception or fraud in connection with any solicitation of any contribution for any purpose or in any application or report filed under the provisions of this chapter. [Ord. 21-2003 §§ 2, 4; Ord. 20-2003 §§ 2, 4; SCC 34 § 2 (part), 1971].