Chapter 5.02
BUSINESS LICENSES GENERALLY

Sections:

5.02.010    Definitions.

5.02.020    Business license required – Posting.

5.02.030    Occupational permit.

5.02.035    Home occupation permit.

5.02.040    Application and renewal.

5.02.050    License term or expiration.

5.02.060    Fee.

5.02.070    Exception – Applicability of provisions.

5.02.075    Exemptions.

5.02.080    Violation – Penalty.

5.02.010 Definitions.

The following definitions shall apply in construing the provisions of this chapter, except where otherwise declared or clearly apparent from the context:

A. “Business,” “occupation” or “pursuit” means and includes all home occupations, wholesalers, retailers, service providers, towing operators, peddlers, canvassers, solicitors, for-hire vehicles, limousine services, pawnbrokers, secondhand dealers and junk dealers engaged in business with the object of economic gain, benefit or advantage to the person, firm or corporation, or to another person or class, directly or indirectly, whether part-time or full-time, whether resident or nonresident except those businesses or activities for which licenses of franchises are required by any other chapter or section of the Yelm Municipal Code as now or hereafter enacted or amended.

B. “Canvasser,” “peddler,” or “solicitor” is defined as solicitor.

C. “City” means the city of Yelm.

D. “Corporation.” See “Person.”

E. “Director” means the finance director of the city of Yelm.

F. “Driver” and “operator” mean the person physically engaged in driving a for-hire vehicle, whether or not the person is the owner of or has any financial interest in the vehicle.

G. “Direct fundraising basis” means any organization who collects funds which are directly applied or spent supporting their mission. No funds collected are used to pay employees, shareholders or directors.

H. “Engage in business” means commence, conduct, or continue 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.

I. “Firm.” See “Person.”

J. “For-hire vehicle” includes all vehicles used for the transportation of passengers for compensation, except chartered and scheduled buses, vehicles not for hire by the general public such as vans operated by hotels, employers, churches, schools and retirement facilities and ride share vehicles. The term primarily includes taxicabs and limousines.

K. “Limousine” means a chauffeur-driven, unmetered, unmarked luxury motor vehicle prearranged for transportation meeting the definition in RCW 46.04.274. Limousines differ from “taxis” in that they are for the exclusive use of the person(s) paying the prearranged fare, are unmetered, unmarked, and are not available for spontaneous hire.

L. “Minor” means any person less than 18 years of age, unless otherwise specifically designated.

M. “Occupational permit” is an additional requirement for certain businesses performing occupations, that by their nature present a heightened public safety risk, including: for-hire vehicle driver, locksmith, or solicitor.

N. “Operator.” See “Driver.”

O. “Peddler.” See “Solicitor.”

P. “Person” means any natural person of any gender, firms, corporations, partnerships or associations either acting by themselves or by servant, agent or employee. The singular shall include the plural.

Q. “Person,” “firm,” or “corporation,” used interchangeably in this chapter, means any individual, receiver, assignee, trustee in bankruptcy, trust, estate, firm, copartnership, joint venture, club, company, joint stock company, business trust, corporation, association, canvasser, peddler, solicitor, society, or any group of individuals acting as a unit, whether mutual cooperative, fraternal, nonprofit or otherwise, and includes the United States or any instrumentality thereof for whom a valid business license may be required therefrom under the provisions of this chapter.

R. “Pursuit.” See “Business.”

S. “Solicitor” within the meaning of this chapter is any person who, either as a principal or agent, goes from door to door or from place to place and enters upon any private property within the city and thereon engages in any of the following activities:

1. Sells, takes orders for, or offers to sell or take orders for any goods, wares or merchandise whether or not collecting in advance for such goods, wares or merchandise; and/or

2. Sells, takes orders for, or offers to sell or take orders for services, whether or not collecting in advance for the performance of such services; and/or

3. Sells, takes orders for, or offers to sell or take orders for the making, manufacturing, or repairing of any article or thing whatsoever, whether or not collecting in advance for the performance of such services; and/or

4. Seeks contribution or donations.

T. “Towing operator” is anyone engaged in the business of offering towing service by use of a vehicle wrecker or by a vehicle adapted to that purpose, whereby motor vehicles are towed or are otherwise removed from the place where they are disabled.

U. “Home occupation” means any activity conducted for financial gain or profit in a dwelling unit, and which activity is not generally or customarily characteristic of activities for which dwelling units are intended or designed; such activity is clearly incidental or secondary to the residential use of a dwelling unit; and is conducted only by persons residing in the dwelling unit; provided, however, that neither the conduct of a “garage sale” nor the operation of a “family day-care home” is defined as a home occupation. (Ord. 1109 § 1 (Exh. A), 2023; Ord. 1046 § 1, 2018; Ord. 996 § 2, 2015; Ord. 953 § 1, 2012; Ord. 820 § 3, 2004).

5.02.020 Business license required – Posting.

It is unlawful for any person, firm or corporation to engage in any business, occupation or pursuit, as defined in YMC 5.02.010, in the city, without first having obtained a business license, or special event vendor license as defined below in subsection (A) of this section, therefor, as provided in this chapter. The business license provided for in this chapter shall be posted in a conspicuous location at the place of the business. Such business license is nontransferable.

A. A vendor who is attending an event inside Yelm city limits on a limited basis (example: farmers’ market or seasonal vendor event) may apply for a special event vendor license as long as the following conditions are met:

1. Their gross revenue within Yelm city limits will not exceed $2,000 within a calendar year.

2. Their gross revenue within the state of Washington will not exceed $12,000 within a calendar year.

The vendor may apply for a weekend license which allows for sales on a Friday through Sunday basis, or a seasonal pass which includes the months of May through October of that calendar year. The fee for each license will be at the current rate posted in the city of Yelm fee schedule. Licenses will need to be applied for before each event and posted during the event run-time. A special event vendor license will exempt the vendor from the required Yelm business license, but will not exempt them from filing quarterly B&O taxes to the city of Yelm. Special event vendor licenses can be applied for online or in person at Yelm City Hall. (Ord. 1109 § 1 (Exh. A), 2023; Ord. 820 § 3, 2004).

5.02.030 Occupational permit.

Enacted to regulate the practice of certain occupations that, by their nature, present a heightened public safety risk to the public.

A. For-Hire Vehicle Driver/Operator. No person shall drive a for-hire vehicle, including a limousine, within the city without first obtaining a permit from the city. Owners, sole proprietors will also be required to obtain a city of Yelm business license. Employees hired as drivers must obtain the permit.

B. Locksmith. It is unlawful for any person to act as a locksmith in the city without first obtaining an occupation permit pursuant to the provision of this title. (YMC 5.03.010.)

C. Solicitor. It is unlawful for any person to act as a solicitor, within the meaning and application of this chapter, without first obtaining an occupational permit in the manner provided by this chapter. (Ord. 953 § 1, 2012; Ord. 820 § 3, 2004).

5.02.035 Home occupation permit.

No person shall operate a business in their home within the city without first obtaining a permit from the city. The home occupation permit is in addition to the business license provided for in this chapter. (Ord. 1046 § 2, 2018; Ord. 996 § 2, 2015; Ord. 953 § 1, 2012).

5.02.040 Application and renewal.

Application for a business license shall be made through the Business Licensing Service of the Washington State Department of Revenue.

Application for an occupational permit shall be made directly with the city of Yelm giving such information as is deemed necessary to enable the enforcement of this chapter. The occupational permit is in addition to the business license provided for in this chapter.

Application for a home occupation permit shall be combined with the business license application submitted to the Business Licensing Service. (Ord. 1046 § 3, 2018; Ord. 953 § 1, 2012; Ord. 820 § 3, 2004).

5.02.050 License term or expiration.

A. Licenses are issued on an annual basis but will be set to expire on a date established by the Business Licensing Service and must be renewed on or before that expiration date to continue in business in the city.

B. The license term and respective fee amount may be prorated to synchronize the license expiration date with the expiration date established by the Business Licensing Service. (Ord. 1046 § 4, 2018; Ord. 820 § 3, 2004).

5.02.060 Fee.

A. Initial. The business licensing fee for any business or activity required to be licensed is $35.00 for the first year of operation, or fraction thereof, or for the first year or fraction thereof under a new business license, whether issued for a new business or after a change in business activity requiring relicensing.

B. Renewals. The business licensing renewal fee for any business or activity required to be licensed shall be $25.00 for the second year of such business’s activity, or fraction thereof, and a like amount for each subsequent year or fraction thereof during the continued operation of such business.

C. Occupational permit fee: $70.00 (permit $25.00, background check fee $35.00 and fingerprinting $10.00 fee paid to the city). Applicants must submit driver’s abstract at their expense.

D. In addition to the city license fees, applications submitted through the Business Licensing Service must include the total fees due for all other licenses requested, as well as the application-handling fee authorized by RCW 19.02.075.

E. In addition to the city license fees, renewals submitted through the Business Licensing Service must include the total fees due for all other licenses being renewed, as well as the renewal-handling fee authorized by RCW 19.02.075. Renewals submitted through the Business Licensing Service after the license expiration date will be assessed a late renewal penalty authorized by RCW 19.02.085 in addition to all other fees due. (Ord. 1046 § 5, 2018; Ord. 953 § 1, 2012; Ord. 820 § 3, 2004).

5.02.070 Exception – Applicability of provisions.

Some or all of the requirements of this chapter shall not be applicable as described below:

A. Nonprofit organizations as recognized by the federal government (i.e., Internal Revenue Code Section 501(c)) are exempted from the city business license fee.

B. The sales of daily newspapers, whether subscriptions are taken or not, or the dissemination of news and information, are exempted from all requirements of this chapter.

C. The occupational permit fee for a for-hire or limousine license shall be waived upon showing that the applicant has procured an occupational permit for the time frame in question, with full fee paid, and background check made, from one of the cities listed in YMC 5.03.070.

D. For purposes of the license required by this chapter, 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 (or higher threshold as determined by city), and who does not maintain a place of business within the city, shall submit a business license registration to the director or designee. The threshold does not apply to regulatory license requirements or activities that require a specialized permit. (Ord. 1046 § 6, 2018; Ord. 953 § 1, 2012; Ord. 820 § 3, 2004).

5.02.075 Exemptions.

All licensing requirements of this chapter are not applicable to the following organizations or persons listed below:

A. Nonprofit organizations, clubs or corporations, who benefit fraternal orders, religious organizations, and youth organizations, who collect funds on a direct fundraising basis.

B. Minor-run businesses, either individual or partnerships, looking to work in the community doing yard work, babysitting, newspaper delivery, car washing or similar types of business. (Ord. 1109 § 1 (Exh. A), 2023).

5.02.080 Violation – Penalty.

Any person, firm or corporation violating or failing to comply with any provision of this chapter shall be deemed guilty of a misdemeanor, as prescribed in Chapter 1.12 YMC, General Penalty. (Ord. 820 § 3, 2004).