This chapter is enacted to raise revenue for municipal purposes
as well as to provide additional authority to regulate businesses.
(Prior code § 110.01)
For the purpose of this chapter, the following definitions shall
apply unless the context clearly indicates or requires a different
meaning.
means and includes professions, trades and occupations and
every kind of calling, whether or not carried on for profit.
means the business of running, driving or operating any vehicle,
automobile truck, automobile tank, wagon or any vehicle used for transportation,
selling, collection or the delivery of goods, wares, merchandise or
other personal property of any kind from a vehicle, either as a principal
business or in connection with any other business or of soliciting
for work, labor or services to be performed upon the public streets
in or from a vehicle, or to be performed on goods, wares, merchandise,
clothes or other personal property to be taken for such purpose to
a plant or establishment inside or outside the City. This definition
shall not be deemed to apply to the delivery of goods to persons operating
such vehicle together and in conjunction with a fixed place of business
within the City for which such a business license tax is paid pursuant
to the provisions of this chapter. This definition shall not be construed
as imposing a tax upon vehicles, but as a method of classification
of businesses and distinguishing between persons maintaining a fixed
place of business in the conduct of which a vehicle is used and persons
maintaining a business in the conduct of which vehicles are used,
but who do not have a fixed place of business in the City.
means the total amount of the sale price of all sales and
the total amount charged or received for the performance of any act
or service, of whatever nature it may be, for which a charge is made
or credit allowed, whether or not such act or service is done as part
of or in connection with the sale of materials, goods, wares or merchandise.
Included in gross receipts shall be all receipts, cash, credits and
property of any kind or nature, without any deduction therefrom on
account of the cost of the property sold, the cost of the materials
used, labor or service costs, interest paid or payable or losses or
other expenses whatsoever. Excluded from gross receipts shall be cash
discounts allowed and taken on sales, credits allowed on property
accepted as part of the purchase price and which property may later
be sold, any tax required by law to be included in or added to the
purchase price and collected from the consumer or purchaser, such
part of the sale price of property returned by purchasers upon recision
of the contract of sale as is refunded either in cash or by credit,
amounts collected for others where the business is acting as an agent
or trustee to the extent that such amounts are paid to those for whom
collected, that portion of the receipts of a general contractor which
represent payments to subcontractors, provided such subcontractors
are licensed under this chapter and the general contractor furnishes
the collector with the names and addresses of the subcontractors and
amounts paid each subcontractor.
mean any person engaged in and carrying on the business of
buying and selling, at either wholesale or retail, or who does business
by vehicle for the purpose of buying and selling any old rags, sacks,
bottles, cans, papers, metals or other articles of junk.
mean any person to whom a license has been issued pursuant
to the provisions of this chapter.
means the business of dealing with medicines, other than
as conducted by a regularly established drugstore, or peddling the
same, or treating diseases of the human body or calling attention
to wares or methods of treatment, or advertising the same by use of
music, entertainment, speech or other devices.
means a person engaged in conducting, managing or carrying
on the business of loaning money for himself or herself or for any
other person upon personal property, personal security, pawns or pledges,
or the business of purchasing articles of personal property and reselling
or agreeing to resell such articles to the vendors or their assignees
at prices agreed upon at or before the time of such purchase.
means any room, store or place in which the business of a
pawnbroker is engaged in, carried on or conducted.
means any person who goes from house to house, place to place
or in or along the streets of the City selling and making immediate
delivery, or offering for sale and immediate delivery, any goods,
wares, merchandise or anything of value in the possession of the peddler
to persons other than manufacturers, whole-salers, jobbers or retailers
in such commodities.
means all domestic and foreign corporations, associations,
syndicates, joint stock corporations, partnerships of every kind,
corporations, Massachusetts business or common law trusts, societies
and individuals engaged in any business in the City.
means any person who engages in the business of going from
house to house, place to place or in or along the streets of the City
selling or taking orders, or demonstrating any goods, wares, merchandise
or other things of value for future delivery, or for service to be
performed in the future.
means a duly sanctioned special event of temporary or limited
duration occurring within the City where, among other things, vendors
are permitted to sell goods or services to members of the public attending
the event.
means any person or other legal entity engaged in the vending
of goods or services at a street fair occurring within the City.
means all streets, avenues, highways, alleys, courts, lanes,
places, squares, curbings, sidewalks and other public ways in the
City which have been, or may hereafter be, dedicated as such, or which,
though not dedicated, are open to public use.
(Prior code § 110.02)
Persons required to pay a license tax for transacting and carrying
on any business under this chapter shall not be relieved from the
payment of any license tax for the privilege of doing such business
required under any other provision of this Code or any other ordinance
of the City, and shall remain subject to the regulatory provisions
of other provisions of this Code and other City ordinances.
(Prior code § 110.03)
A.
There
are imposed, upon the businesses, trades, professions, callings and
occupations specified in this chapter, license taxes in the amounts
hereinafter prescribed. It is unlawful for any person to transact
and carry on any business, trade, profession, calling or occupation
in the City without first having procured a license from the City
to so do or without complying with all applicable provisions of this
chapter.
B.
This
section shall not be construed to require any person to obtain a license
prior to doing business within the City if such requirement conflicts
with applicable statutes of the United States or of this state.
C.
Persons
not required to obtain a license prior to doing business within the
City because of conflict with applicable statutes of the United States
or of this State shall be liable for payment of the tax imposed by
this chapter.
D.
Landscape-Related
Businesses. Effective November 1, 2016, as a prerequisite to the issuance
or renewal of a business license for any entity providing services
or nursery products within the City of Desert Hot Springs related
to or used for landscape installation, maintenance, or design, the
applicant shall present proof that at least one employee has, within
the 12 months immediately preceding the application, completed a minimum
four-hour course developed by the Coachella Valley Association of
Governments, the South Coast Air Quality Management District, the
Coachella Valley Water District, and local stakeholders, on grass
overseeding alternatives to traditional scalping and landscaping water
efficiency.
Prior to November 1, 2016, said educational prerequisite shall
be satisfied by completion of the two-hour course that was in place
prior to the addition of the water efficiency segment of the curriculum.
(Prior code § 110.04; Ord. 599 2-21-17)
A separate license shall be obtained for each branch establishment
or location of the business transacted and carried on and for each
separate type of business at the same location. Each license shall
authorize the licensee to transact and carry on only the business
licensed thereby at the location or in the manner designated in such
license. Warehouses and distributing plants used in connection with
and incidental to a business license under the provisions of this
chapter shall not be deemed to be separate places of business or branch
establishments.
(Prior code § 110.05)
A.
Nothing
in this chapter shall be deemed or construed to apply to any person
transacting and carrying on any business exempt, by virtue of the
Constitution or applicable statutes of the United States or of this
State, from the payment of the taxes prescribed by this chapter.
B.
None
of the license taxes provided for by this chapter shall be applied
so as to occasion an undue burden upon interstate commerce. In any
case where a license tax is believed by a licensee or applicant for
a license to place an undue burden upon such commerce, the licensee
may apply to the Business License Clerk for an adjustment of the tax
so that it shall not be discriminatory or unreasonable as to such
commerce. Such application may be made before, at or within six months
after payment of the prescribed license tax. The applicant shall,
by affidavit and supporting testimony, show his or her method of business
and the gross volume or estimated gross volume of business and such
other information as the Business License Clerk may deem necessary
in order to determine the extent, if any, of such undue burden on
such commerce. The Business License Clerk shall then conduct an investigation,
and, after having first obtained the written approval of the City
Manager and the City Attorney, shall fix as the license tax for the
applicant an amount that is reasonable and nondiscriminatory, or if
the license tax has already been paid, shall order a refund of the
amount over and above the license tax so fixed. In fixing the license
tax to be charged, the Business License Clerk shall have the power
to base the license tax upon a percentage of the gross receipts or
any other measure which will assure that the license assessed shall
be uniform with that assessed on businesses of like nature, so long
as the amount assessed does not exceed the license tax prescribed
by this chapter. Should the Business License Clerk determine the gross
receipts measure of license tax to be the proper basis, the Business
License Clerk may require the applicant to submit, either at the time
of termination of the applicant’s business in the City or at
the end of each three-month period, a sworn statement of the gross
receipts and pay the amount of license tax therefor; provided, that
no additional license tax during any one calendar year shall be required
after the licensee shall have paid an amount equal to the annual license
tax as prescribed in this chapter.
C.
Any
person claiming an exemption pursuant to this section shall file a
verified statement with the Business License Clerk, stating the facts
upon which exemption is claimed.
D.
The
Business License Clerk shall, upon a proper showing contained in the
verified statement, issue a license to such person claiming exemption
under this section without payment to the City of the license tax
required by this chapter.
(Prior code § 110.06; Ord. 695 10-15-19)
Every person required to have a license under the provisions
of this chapter shall make application for the same to the Business
License Clerk of the City. Upon the payment of the prescribed license
tax, the Business License Clerk shall issue to such person a license
which shall contain:
A.
The
business licensed;
B.
The
place where such business is to be transacted and carried on;
C.
The
date of the expiration of such license; and
D.
Such
other information as may be necessary for the enforcement of this
chapter.
(Prior code § 110.07)
A.
Upon
a person making application for the first license to be issued under
this chapter or for a newly established business, in all cases where
the amount of license tax to be paid is measured by gross receipts,
such persons shall furnish to the Business License Clerk for his or
her guidance in ascertaining the amount of license tax to be paid
by the applicant, a written statement upon a form provided by the
Business License Clerk, sworn to before a notary public, setting forth
such information as may be therein required and as may be necessary
to determine the amount of the license tax to be paid by the applicant.
B.
If the
amount of the license tax to be paid by the applicant is measured
by gross receipts, the applicant shall estimate the gross receipts
for the period to be covered by the license to be issued. Such estimate,
if accepted by the Business License Clerk as reasonable, shall be
used in determining the amount of license tax to be paid by the applicant;
provided, that in no event shall the amount paid to the Business License
Clerk be less than $20; provided further, that the amount of the license
tax so determined shall be tentative only, and such person shall,
within 30 days after the expira-tion of the period for which such
license was issued, furnish the Business License Clerk with a sworn
statement upon a form furnished by the Business License Clerk, showing
the gross receipts during the period of such license, and the license
tax for such period shall be finally ascertained and paid in the manner
provided by this chapter for the ascertaining and paying of renewal
license taxes for other businesses, after deducting from the payment
found to be due, the amount paid at the time such first license was
issued.
C.
The
Business License Clerk shall not issue to any such person another
license for the same or any other business, until such person shall
have furnished to him or her the written statement and paid the license
tax as herein required.
(Prior code § 110.08)
In all cases, the applicant for the renewal of a license shall
submit to the Business License Clerk for his or her guidance in ascertaining
the amount of the license tax to be paid by the applicant, a written
statement upon a form to be provided by the Business License Clerk,
written under penalty of perjury, or sworn to before a notary public,
setting forth such information concerning the applicant’s business
during the preceding year as may be required by the Business License
Clerk to enable him or her to ascertain the amount of the license
tax to be paid by the applicant pursuant to the provisions of this
chapter.
(Prior code § 110.09)
A.
No statements
shall be conclusive as to the matters set forth therein, nor shall
the filing of the same preclude the City from collecting by appropriate
action such sums as are actually due and payable hereunder. Such statement
and each of the several items therein contained shall be subject to
audit and verification by the Business License Clerk, his or her deputies
or authorized employees of the City, who are authorized to examine,
audit and inspect such books and records of any licensee or applicant
for license as may be necessary in their judgment to verify or ascertain
the amount of business license fee due.
B.
All
licensees, applicants for licenses and persons engaged in business
in the City are required to permit an examination of such books and
records for the purpose aforesaid.
C.
The information furnished or secured pursuant to this section or Sections 5.04.080 and 5.04.090 shall be confidential. Any unauthorized disclosure or use of such information by any officer or employee of the City shall constitute a misdemeanor, and such officer or employee shall be subject to the penalty provisions of Section 4.04.080, in addition to any other penalties provided by law.
(Prior code § 110.10)
A.
If any
person fails to file any required statement within the time prescribed,
or if, after demand therefor made by the Business License Clerk, he
or she fails to file a corrected statement, the Business License Clerk
may determine the amount of license tax due from such person by means
of such information as he or she may be able to obtain.
B.
If such
determination is made, the Business License Clerk shall give a notice
of the amount so assessed by serving it personally or by depositing
it in the United States post office at Desert Hot Springs, California,
postage prepaid, addressed to the person so assessed at his or her
last known address. Such person may, within 15 days after the mailing,
or serving of such notice, make application in writing to the Business
License Clerk for a hearing on the amount of license tax. If such
application is made, the Business License Clerk shall cause the matter
to be set for hearing within 15 days before the City Council. The
Business License Clerk shall give at least ten days notice to such
person of the time and place of hearing in the manner prescribed above
for serving notices of assessment. The City Council shall consider
all evidence produced, and shall make findings thereon, which shall
be final. Notice of such findings shall be served upon the applicant
in the manner prescribed above for serving notices of assessment.
(Prior code § 110.11)
Any person aggrieved by any decision of the Business License Clerk with respect to the issuance or refusal to issue any license shall have 15 days to appeal by filing a written notice of appeal with the City Clerk. Selection of a Hearing Officer and the conduct of the hearing shall be pursuant to applicable sections of Chapter 4.36 of the Desert Hot Springs Municipal Code, as may be amended. The decision of the Hearing Officer shall be final.
(Prior code § 110.12; Ord. 695 10-15-19)
In addition to all other powers conferred upon him or her, the
Business License Clerk shall have the power, for good cause shown,
to extend the time for filing any required sworn statement for a period
not exceeding 30 days, and in such case to waive any penalty that
would otherwise have accrued. The Business License Clerk shall have
the further power, with the consent of the City Council, to compromise
any claim as to the amount of license tax due.
(Prior code § 110.13)
A.
No license
issued pursuant to this chapter shall be transferable except in those
cases where a business, to be continued in the same location and in
the same form, is sold. In any case where a business is sold and the
license proposed to be transferred, the grantee of such business shall
present himself to the Business License Clerk, and upon payment of
$10, the Business License Clerk shall transfer the business license.
B.
Where
a license is issued authorizing a person to transact and carry on
a business at a particular place, such licensee may, upon application
therefor and paying a fee of $1, have the license amended to authorize
the transacting and carrying on of such business under such license
at some other location to which the business is or is to be moved.
(Prior code § 110.14)
A duplicate license may be issued by the Business License Clerk
to replace any license previously issued under this chapter which
has been lost or destroyed, upon the licensee filing a statement of
such fact, and at the time of filing such statement, paying to the
Business License Clerk a duplicate license fee of $1.
(Prior code § 110.15)
All licenses shall be kept and posted in the following manner:
A.
Any
licensee transacting and carrying on a business at a fixed place of
business in the City shall keep a license posted in a conspicuous
place upon the premises where such business is carried on.
B.
Any
licensee transacting and carrying on business but not operating a
fixed place of business in the City shall keep a license upon his
or her person at all times while transacting and carrying on such
business.
(Prior code § 110.16)
Unless otherwise specifically provided, all annual license taxes
under the provisions of this chapter shall be due and payable in advance
for a period of one year at the time the original license is issued.
Upon license expiration thereafter, annual license renewal taxes shall
be due and payable in advance for a period of one year on the first
of the month in which the original license was issued. All new annual
business licenses issued during a given year shall be valid during
the following year until the first of the month in which the original
license was issued.
(Prior code § 110.17)
For failure to pay a license tax when due, the business license
clerk shall add a penalty of ten percent of such license tax on the
last day of each month after the due dates thereof; provided, that
the amount of such penalty to be added shall in no event exceed 100
percent of the license tax due. Under extraordinary circumstances,
as defined by the City Manager, the City Manager has the authority
to waive penalty fees.
(Prior code § 110.18)
Except where otherwise specifically provided, the license fee
for carrying on any business or operation in the City by any person
not maintaining a bona fide and fixed place of business in the City
for such business shall be double the amount as such license fees
required for the same fixed place of business in the City. This double
fee shall not apply to wholesalers not maintaining fixed places of
business within the City whose only business transacted within the
City is the supplying of merchandise to retailers within the City,
holding licenses under this chapter.
(Prior code § 110.19)
A.
It shall
be the duty of the Business License Clerk to enforce all the provisions
of this chapter. The Chief of Police shall render such assistance
in the enforcement of this chapter as may from time to time be required
by the Business License Clerk or the City Council.
B.
The
Business License Clerk, in the exercise of the duties imposed under
this chapter, and acting through his or her deputies or duly authorized
assistants, shall examine or cause to be examined all places of business
in the City to ascertain whether the provisions of this chapter have
been complied with.
C.
The
Business License Clerk and each of his or her assistants and any police
officer shall have the power and authority to enter, free of charge,
and at any reasonable time, any place of business required to be licensed
under this chapter and demand an exhibition of its license certificate.
It shall be the duty of the Business License Clerk and each of his
or her assistants to cause a complaint to be filed against any person
found to be violating any of the provisions of this chapter.
(Prior code § 110.20)
The amount of any license tax and penalty imposed by the provisions
of this chapter shall be deemed a debt to the City. An action may
be commenced in the name of the City in any court of competent jurisdiction
for the amount of any delinquent license tax and penalties.
(Prior code § 110.21)
All remedies prescribed under this chapter shall be cumulative,
and the use of one or more remedies by the City shall not bar the
use of any other remedy for the purpose of enforcing the provisions
of this chapter.
(Prior code § 110.22)
Every person who engages in business at a fixed place of business
within the City shall pay a license tax in the amount or at the rate
as the City Council shall, from time to time, set by resolution.
(Prior code § 110.23)
Persons doing business exclusively with or for the City shall
be exempt from the requirement of obtaining a City business license.
Gross revenue, for the purpose of computing business tax, shall not
include revenue received from the City.
(Prior code § 110.24)
The City Manager or designee may commence business license modification, suspension or revocation proceedings, in compliance with all due process and hearing requirements pursuant to Chapter 4.36 of this Code, as may be amended.
A.
Any
licensee issued by the City may be revoked, modified, or suspended
if the City Manager or designee finds one or more of the following:
1.
The
licensee violated any provision of this Code, or any applicable state
or federal law governing or regulating the licensed business.
2.
The
licensee violated any condition of the license.
3.
The
licensee has made any false, misleading or fraudulent statement of
material fact, or omitted a material fact, in the application for
a license, or in any report or record to be filed with the City.
4.
The
building, structure, or equipment used in the conduct of the business
does not comply with or fails to meet any health, zoning, fire, and
building and safety laws of the State of California or any similar
provision of this Code.
5.
That
the licensee has conducted the licensed business in a manner contrary
to the peace, health, safety and the general welfare of the public.
B.
Upon making the findings in subsection A, the City Manager or designee shall commence proceedings to revoke, modify, or suspend a license issued pursuant to this chapter. The proceedings shall conform to the procedures of the applicable sections of Chapter 4.36 of this Code, as may be amended. The decision of the hearing officer shall be final.
C.
Upon
revocation or suspension of a business license, the licensee shall
cease operation of the business activity immediately, and any further
operation is unlawful. Except as otherwise provided, in the event
that the license is suspended, the licensee may resume operation once
the suspension period has expired. A person whose license is revoked
may not be issued a license to transact, conduct or carry on the same
or similar kind of business within the City for a period of six months
from the effective date of revocation.
(Prior code § 110.25; Ord. 695 10-15-19; Ord. 736 5-18-21)
A.
In addition
to all permits and certificates required by any ordinance of this
City, no person shall operate, or permit the use of an apartment house,
motel or hotel within the City unless that person shall hold a current
unrevoked permit issued by the Finance Department of the City. Applications
shall be made to the Finance Department upon the forms provided by
the Finance Department, which shall be accompanied by the appropriate
fee. Upon receipt of a completed application, the Finance Department
shall cause an inspection to be made of the facility, and shall issue
a permit therefor if it is found to be in conformity with all applicable
requirements of this Code and of the state.
B.
The
fee for a permit to operate an apartment house, hotel or motel shall
be a sum equal to $2 for each apartment house unit, hotel unit, or
motel unit; provided, that a permit for an apartment house, hotel
or motel shall not be less than $10. All fees shall be paid in advance
and no portion shall be rebated or refunded.
C.
Permits
shall expire automatically upon any transfer of ownership or possession,
or upon the addition of any improvement requiring a building permit
pursuant to the laws of the City, or upon any change of use or occupancy,
and must be renewed within 30 days following such expiration date.
D.
All
persons who fail to apply for the permit within the prescribed time
shall, in addition to the required fee, pay a penalty fee in the amount
of 25 percent of the required fee.
E.
Every
permit shall be kept posted in a conspicuous place in the office of
each apartment house, hotel or motel for which it is issued.
(Prior code § 110.26)
A.
In lieu
of paying a separate “special event” license tax for each
street fair at which a street fair vendor engages in the selling of
goods or services, a street fair vendor may opt to pay to the City
a flat license tax of $60 per year, or such higher amount as may later
be set by resolution of the City Council. A valid street fair business
license issued pursuant to this section shall exempt the licensee
from payment of “special event” license taxes for street
fairs occurring within the City that are sponsored or otherwise specially
approved by the City. Unless otherwise suspended or revoked by the
City, a license issued pursuant to this section shall be valid for
a period of 12 months from the date of its issuance. The City shall
apply toward a street vendor’s payment of an annual license
tax pursuant to this section any prior payments of “special
event” license taxes by the vendor for street fairs sponsored
or otherwise specially approved by the City.
B.
The
City Council finds and declares that the revenue generated by the
license tax imposed by this section is not earmarked for any particular
purpose, rather, the revenue shall be deposited into the City’s
general fund for payment of the usual and current expenses of the
City. Thus, the tax imposed by this section is a general tax.
(Prior code § 110.27)