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HomeMy WebLinkAbout1982-04-20; City Council; 6064; CMC 5.40 adds - Secondhand dealers1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 l8 19 20 21 22 23 24 25 26 27 28 ORDINANCE NO. 6064 I I AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF CARLSBAD, CALIFORNIA, AMENDING TITLE 5 OF THE CARLSBAD MUNICIPAL CODE BY THE ADDITION OF CHAPTER 5.40 TO REGULATE SECONDHAND DEALERS. The City Council of the City of Carlsbad, California does ordain as follows: SECTION 1: That Title 5 of the Carlsbad Municipal Code is amended by the addition of Chapter 5.40 to read as follows: "Chapter 5.40 SECONDHAND DEALERS Sections: 5.40.010 5.40.020 5.40.030 5.40.040 5.40.050 5.40.060 5.40.070 5.40.080 5.40.090 5.40.100 5.40.110 5.40.120 5.40.130 5.40.140 5.40.150 5.40.160 5.40.170 Purpose and intent. Definitions. License required. Application. Investigation and issuance of license. Additional grounds for denial, license suspension or revocation. Application fee. Terms of license renewal. Records of dealer. Records of chief of police. Retention of goods period. Goods not to be altered. Goods released by the chief of police. Hold-order by chief of police. Export. Exceptions. Violations-misdemeanors. 5.40.010 Purpose and intent. The City Council of the , City of Carlsbad finds that secondhand businesses provide a means of disposing of stolen goods. Investigation by police agencies reveals that new, used and stolen property are acquired and sold by secondhand businesses. Because secondhand businesses can be ready vehicles for the disposal of stolen goods, such businesses should be subject to controls which will decrease the potential traffic in such stolen goods. It is the intent of this ordinance to preclude secondhand businesses from being depositories for stolen goods by providing control over the goods purchased and sold by secondhand businesses, especially such goods that are subject to theft and subsequent disposal by way of sale. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 23. 22 23 24 25 26 27 28 5.40.020 Definitions. For the purposes of this (a> A secondhand dealer, as defined, includes any chapter, the following definitions shall apply: person, copartnership, firm, or corporation whose business is buying, selling, trading, taking in pawn, accepting for sale on consignment, accepting for auctioning or auctioning secondhand personal property. For the purposes of this chapter secondhand dealer includes antique dealers and pawnbrokers but does not include any person or other entity who participates in any annual or semi-annual fare sponsored by a non-profit corporation or association and approved by the City Council, unless such person or entity is otherwise a secondhand dealer. (b) Secondhand property means personal property of which prior use has been made. 5.40.030 License required. It shall be unlawful for any person to engage in the business of a secondhand dealer in the City unless such person has been issued a license as provided in this chapter. 5.40.040 Application. An applicant shall submit his application for a license to the chief of police, which application shall be under oath, and shall include, among other things, the true names and addresses of all persons financially interested in the business. The past criminal record, if any,' of all persons financially or otherwise interested in the business shall be shown on such application if such record shows that any such person has been convicted of any offense involving theft, stolen property, or fraud. The term "persons financially interested" shall include the applicant and all persons who share in the profits of the business on the basis of gross or net revenue, including landlords, lessors, lessees and the owner of the building, fixtures or equipment. The application shall also be accompanied by fingerprints of persons financially interested. 5.40.050 Investigation and issuance of license. The chief of police shall make such investigation as is necessary to determine the background of the applicant and other persons financially interested. The police chief shall issue the license unless he finds that the applicant or any person financially interested has been convicted of any theft, related offense or any offense relating to stolen property including but not limited to receiving stolen property or attempt to receive stolen property. 5.40.060 Additional grounds for denial, license (a> The police chief may deny the application for a suspension or revocation. license, suspend the license for thirty days or less, or revoke the license of any secondhand dealer, if the location of the business is contrary to the provisions of this code, if the health, welfare or safety of the community warrant such denial, suspension or revocation or if the applicant or licensee or any employee, agent or representative thereof has: 2. 3 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 (1) Knowingly made any false, misleading or fraudulent statement of a material fact in the application or in any record or report required to be filed under this ordinance; or (2) Violated any provision of this chapter. (b) No suspension or revocation shall be effective until the police chief gives ten days written notice of the basis for the suspension or revocation and provides the licensee with a reasonable opportunity to be heard on the suspension or revocation. 5.40.070 Application fee. A non-refundable license application fee of $100.00 shall be paid at the time the license application is filed. This fee shall be paid to defray the costs of investigation under this chapter. The fee required by this section shall not be required for renewal of the license. The fee shall not be in lieu of, and shall be in addition to the business license tax levied according to Chapters 5.04 and 5.08 of this code. 5.40.080 Terms of license renewal. The license issued pursuant to this chapter shall be valid for one year from the date of issuance. A license may be renewed annually if on or before the thirtieth dag prior to the expiration date of the currently valid license, the licensee applies for renewal of the license. A renewal fee of $50 shall accompany the application. The renewal application shall include any changes on the information contained in the original license application. The chief of police shall grant or deny the renewal on the same basis as an original application. 5.40.090 Records of dealer. At the end of each day every dealer shall file with the chief of police properly completed "buy form" records for all property received during such day by such dealer. Such "buy form" records shall be on forms furnished by the dealer. The "buy form" records shall be made in triplicate, written, printed or typed in a legible manner. The "buy form" shall contain the following information: purchased, together with the address, and description of the person from whom such goods were purchased and the license number and description of the vehicle in which the goods were delivered to the dealer or the driver's license or identification card number of the person. (b) A description of the thing or things purchased by the name of the article, the name of the manufacturer, if known, and serial number or numbers, and initials or identifying marks or inscriptions if the article is one which is identified by such numbers, initials, marks or inscriptions. (c) Such other information deemed necessary by the chief of police to assist in the detection of stolen property. (d) A copy of each "buy form" record shall be kept on file at the place of business of the licensee for a period of one year and shall be available for inspection by any member of the police depart-ment during business hours. (a) The name of the person from whom the goods were 3. c 'I r 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 (e) This section shall not apply to antiques or secondhand property which a dealer has acquired from another person who under applicable state and/or local laws shall have previously reported such antiques or secondhand property to the appropriate police agency. The dealer acquiring such property shall upon demand by the police present satisfactory records of such prior reporting. 5.40.100 Records of chief of police. The chief of police shall maintain a file of all records received pursuant to the terms of this chapter for a period of two years and such records shall be open to inspections by any peace officer of this State. 5.40.110 Retention of goods period. Except as (a) Every dealer shall retain in his possession for a otherwise provided herein: period of thirty days after acquisition by him all secondhand personal property prior to any sale or disposal. (b) The thirty day holding period shall commence with the date that the "buy form" report of its acquisition is filed with the chief of police by the dealer. Under such conditions as he may require, the chief of police or his agents may for good cause authorize prior disposition of any such property in lieu of holding the property for the prescribed thirty days. secondhand property which a dealer has acquired from another person who, under applicable state and/or local laws, shall have previously held such antiques or secondhand property for the period prescribed by such laws. The dealer acquiring such property shall, upon demand by the chief of police or his agents, present satisfactory records that such antiques or secondhand property shall have been held for such required period. (c) This section shall not apply to antiques or 5.40.120 Goods not to be altered. A secondhand dealer shall not allow any secondhand property pledged to or purchased by him to be cleaned, altered, repaired, painted or otherwise changed in appearance until such secondhand property has been held for the time required by this chapter or unless released by the chief of police or his agents. 5.40.130 Goods released by the chief of police. The chief of police or his agents may release any property required to be held by this chapter, if after an inspection he is satisfied that such property is in the lawful possession of the secondhand dealer. 5.40.140 Hold-order by chief of police. The chief of police or his agents may place a hold-order for a period of forty-five days upon any property acquired by the secondhand dealer in the course of his business and upon release of such property the chief of police or his agents may require the secondhand dealer to keep a true record of such property and 4. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 include therewith the true name and address of the person to such property was sold, or a record of any other method of disposition. The secondhand dealer shall keep for one year record required under this section. whom 5.40.150 Export. A secondhand dealer shall not export from this City any secondhand property pledged to or received by such secondhand dealer in his capacity as secondhand dealer until the chief of police or his agents have inspected and released such property. 5.40.160 Exceptions. The following are excluded from (a> Secondhand motor vehicles, the transfer of the operation of this chapter: ownership of which is required to be made a matter of record with the California Motor Vehicle Department pursuant to the Vehicle Code, except that the records of dealers of purchases and sales of such articles made within the County shall be open to the inspection of the chief of police or his agents. person that received such secondhand article as part payment of a new article, if such person is the authorized representative or agent of the manufacturer of or regularly deals in the new article sold. (c> Any person acting as a dealer for the exclusive benefit of any community chest fund, foundation, or corporation organized and operated for religious, hospital, or charitable purposes and not conducted for a profit, where no part of the gross receipts or net earnings inure to the benefit of any private shareholder or person participating in the organization or conduct of the sale or exchange, is exempted from the provisions of this law. secondhand property which a dealer has acquired from another person who, under applicable state or local laws, shall have previously reported such antiques or secondhand property to the appropriate police agency. The dealer acquiring such property shall, upon demand by the chief of police, or his agents, present satisfactory records of such prior reporting. provisions of Business and Professions Code Section 21629. (b) Receipt or sale of a secondhand article by any (d) This section shall not apply to antiques or (e> Tangible personal property acquired pursuant to 5.40.170 Violation-misdemeanor. Any person violating the provisions of this chapter shall be deemed guilty of a - misdemeanor and upon conviction shall be fined in an amount not to exceed Five Hundred Dollars or by imprisonment for a period of not more than six months in the County Jail or by both such fine and imprisonment. EFFECTIVE DATE: This ordinance shall be effective thirty days after its adoption, and the City Clerk shall certify 5. Q 1 2 3 4 5 6 7 € s 1c 11 1; 12 14 If It 1’; 1t 1! 2( 2: 2; 2; 21 21 2( 2’ 24 to the adoption of this ordinance and cause it to be published at least once in the Carlsbad Journal within fifteen days after its adoption. INTRODUCED AND FIRST READ at a regular meeting of the Carlsbad City Council held on the 6th day of April 3 1982, and thereafter PASSED AND ADOPTED at a regular meeting of said Council held on the 20th day of April , 1982, by the following vote, to wit: AYES : NOES: None ABSENT : Council Member Mchh Council Wers Packard, Casler, hear, Lewis /” RONALD C. PACKARD, Mayor ATTEST : (SEAL) 6.