HomeMy WebLinkAboutCOUNCIL - AGENDA ITEM - 11/16/1999 - ITEMS RELATING TO AMENDING CHAPTER 15 OF THE CITY ITEM AGENDA ITEM SUMMARYTEM NUMBER: 27 A-
DATE: November 16, 1999
• FORT COLLINS CITY COUNCIL STAFF: Deryle O'Dell
SUBJECT:
Items Relating to Amending Chapter 15 of the City Code Pertaining to Secondhand Dealers and
Pawnbrokers.
RECOMMENDATION:
Staff recommends adoption of the Ordinances on First Reading.
EXECUTIVE SUMMARY:
A. First Reading of Ordinance No. 184, 1999 Amending Chapter 15 of the City Code Relating
to Pawnbrokers.
B. First Reading of Ordinance No. 185, 1999,Amending Chapter 15 of the City Code Relating
to Secondhand Dealers.
The first major re-codification of the current ordinances regulating the pawn and secondhand dealer
industries was completed in 1972, with some minor changes made in 1986. A City staff team
(Police, Finance and City Attorney) began working on changes to the Code provisions in June of
1997 in order to address some issues that have arisen in the past 13 years regarding implementation
and enforcement.
The costs associated with monitoring,enforcing and regulating the industry,as required by the Code
and state law,have increased dramatically over the last 13 years. The different types of secondhand
property involved in transactions have also changed dramatically.
The proposed Code amendments have been made in order to increase consistency in reporting and
monitoring procedures,provide those regulated with a clear understanding what is required of them,
and allow the City(Police Services)to recover some amount for the costs associated with monitoring
these establishments.
Throughout the process, staff asked for and received much input from both pawnbrokers and
secondhand dealers. Staff held several meetings inviting all pawnbrokers licensed within the City
and two meetings to which all secondhand dealers currently licensed,and also those who would be
. required to be licensed if the amendments were to be adopted, were invited. Staff also contacted
communities along the front range which regulate these two industries to determine the current costs
and practices in those communities. Changes are being recommended considering input from all
these sources.
DATE: November 16, 1999 2 ITEM NUMBER: 27 A-B
The major changes to the pawnbroker regulations are as follows: raising the license fee from$55
to$1000,requiring a transaction fee to be set by the City Manager to cover the costs of monitoring,
requiring a single fingerprint from all persons pawning items, and requiring a work permit which
allows Police Services to run a background check and investigation of both employees and
pawnbrokers. Further, the time period for holds on property suspected to be stolen has increased
from 30 to 90 days in order to allow a more thorough investigation, as well as changing the hold
order procedure to allow the pawnbroker to return the item to the floor within a time certain should
no criminal prosecution result.
With the secondhand dealers, the proposed changes include increasing the licensing fee from $55
to$100,establishing a hold order procedure and requiring a declaration of ownership from the seller
of secondhand property, and inspection of the premises.
• ORDINANCE NO. 184, 1999
OF THE COUNCIL OF THE CITY OF FORT COLLINS
AMENDING CHAPTER 15, ARTICLE VIII OF THE CODE OF THE
CITY OF FORT COLLINS RELATING TO
PAWNBROKERS
WHEREAS,Chapter 15,Article VIII of the City Code contains various provisions regulating
the operation of pawnbrokers in the City in the interest of the public health,safety and welfare; and
WHEREAS, pawnbroker establishments in the City report a large number of purchase
transactions and contracts for purchase to the Fort Collins Police Services on a weekly basis; and
WHEREAS, a uniform and clear record keeping process needs to be established for
consistent use by all such businesses to promote compliance with both state and local regulations;
and
WHEREAS, there is also a need to clarify when,how and under what circumstances a police
officer may hold property of pawnbrokers believed to have been stolen; and
WHEREAS, Fort Collins Police Services is incurring substantial costs specifically related
. to monitoring the operation of, processing data from, and entering data into the NCIC and CCIC
systems from pawnbroker establishments in the City; and
WHEREAS, the Council believes it to be in the best interests of the City to allow the City
Manager to establish a transaction fee to help defray these costs.
NOW,THEREFORE,BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT
COLLINS that Article VIII of Chapter 15 of the Code of the City of Fort Collins is hereby amended
to read as follows:
ARTICLE VIII.PAWNBROKERS
Sec. 15-261. Definitions.
The following words,terms and hrases,when used in this Article,shall have the
meanings ascribed to them in this is
r Section:
Contract for purchase shall mean a contract entered into between a pawnbroker
and a customer pursuant to which money is advanced to the customer by the
pawnbroker ion the delivery of tangible personal ro ert by,the customer, for a
fixed price=d within a fixed period of tim on dierooc ition
that the customer; has the option to cancel the
• contract.
Customer shall mean a person who delivers personal property into the possession
of a pawnbroker for the purpose of entering into a contract for purchase or a purchase
transaction.
Fixed price shall mean the amount agreed upon to cancel a contract for purchase
during the option period. The fixed F6�1 shall not exmed the fOHOWilL6.
Fixe time shall mean that period of time not to exceed nine 90)days
as set forth in a contract for purchase foram tp $t �malQhseoption
to cancel the contract.
but does not ham to be, mminded b.Y the .
Pawnbroker shall mean a person regularly engaged in the business of making
a
W�ntractsfor urchase cluM
n e
Purchase transaction shall mean the purchase by a pawnbrokeq in the course of
i of tangible personal property for resale, other than newly
manufactured tangible personal property which has not previously been sold at retail,
when such purchase does not constitute a contract for purchase.
Tangible personal property shall meanall personal property other than choses in
action, securities or printed evidence of indebtedness, which property is deposited
with or otherwise actually delivered into the possession of a pawnbroker, in the
course of business; in connection with a contract for purchase or purchase
transaction.
2
. See. 15-262. License required.
It shall be unlawful for any person to engage in the business of pawnbroking
except as provided in and authorized by this Article and without first having obtained
a license from the Financial Officer. Such license shall be kept current at all times
and the'failure to maintain a current license shall constitute a violation of this Section
Article.
Sec. 15-263. Annual license fee.
The annual license feefor c %in on the business of awnbroking shall be fifty-
five do}1W 3{$555 �, submitted to ether
with an a plication for such license to the Financial Officer.
re�n � n em ®:
Sec. 15-264. Surety bond required.
The licensee or applicant shall furnis a good
and sufficient bond with a surety to be approved by the Financial Officers in the sum
of two thousand five hundred dollars ($2 500.),fu� conditioned
upon the pawnbroker's corn lianc,�with " rovtstons of this Article,
withou tmfau rch
• Sec. 15-265. Investigation and approval of applicants
p ts�required.
(a) No license shall be issued bv the Financial Officer until the application for
a licenseslraiFirnroe - een� , by the Chief of Police. No ficense shall be
business vo ill be o
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re. ��"whe �ol f the permit ende`��rXninedry�i3* e
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(bd) Within forty-five(45) days of receipt of an application to renew a license
isstied, the Financial Officer shall renew such license, provided that the Chief of
Police after investigation shall-lure ha .determined that the a licant has operated
the business in such a manner as to fully eiiectnaie aria oorri i t i the MH,rM
u purposes of this Article.
(ee) Licenses shall be limited to use at the premises specified in the application.
Such license shall not be transferable.
n t[rnn: lBenial of the issuance or renewal of a
license ma be a pealed to the City a � ` F �' .,
• � w
Sec. 15-266. Required books and records.
(a) Every pawnbroker shall keep books and records sufficient to identif each
pled*contract for urchase or purchase transaction b rmaU or su
W b ._.�...�.� ._ _._w_.
(� tT,,he customer's name~ ,
We Current 5k'Cet address or
date-Of'birth
arrd-
die stonis driver's license number or other identification
number from any other form of identification which is obtaineh
to e;§: 0
amp e s n �ii g � vent
1S
• 5
r .
All transactions shall be etrtered m a booirof,� numencal sequence
regts in the order in which the occur " ttl show
the si`. e e i a rintof
tray o ,the date, time and place of the transaction, and an accurate and detailed
account and description of each item of tangible personal property involved;
including but not limited to an ". " trademark', identification numbers, serial
number model numbers,' rand names,or other identifying
marks on such property. The books and records of the licensee shall also reveal the
date on which each extension of credit under a contract for purchase was terminated
and whetherlMilliMthe tangible I=personal property of the customer
was redeemed,renewed,or forfeitedand-soid-upon the expiration of the contract for
purchase.
all W
Will;
s
le(p 'UM
cati' all �'
See. 15-267. Declaration of ownership.
(a) The pawnbroker shall at the time of making the loan contract for purchase
or purchase transaction obtain a written declaration of thecastemecss ownership—MARW firom
s „Iiral}state.
(1) That the ro a is the
o x us w$(a r or shall have attached a
power of y from the artaal owner of the ropert m favor
utll icing of—the customer
Ix' >
(2) How long the customer has owned the property;
6
. (3) Whether the customer or someone else found the property; and
(4) If the property was found, the details of the finding.
(b)ffi The pawnbroker shall require the customer to sign his or her name, tmie
presence of. bro' et on the declaration of ownersh� and in the register to be
kept under this Arttcle=Each�uch d laratran s as "Sign wnir �r
a«
atthe timed e$ chon, The customer shall be given a copy of the contract for
purchase or a receipt for the purchase transaction which shall correspond with the
original in every detail. If it does not correspond,the article referred to or described
in such conflicting entry shall be surrendered by the pawnbroker to the Pffr' 'f
Police
Sec. 15-268. Requirements for records.
(a) All records required to be kept under this Section WRImust be kept in
the English language,in a legible manner and shall be preserved and made accessible
for inspection for a period of three(3)years after the date of redemption or forfeiture
and sale of the property.
(b) A copy of any record required to be kept under this Article, together with
a copy of the record of each contract for purchase or purchase transaction; shall be
made available to the Office of Police Services each day so that laid; they may
maintain a complete record of all business transactions of the pawnbroker. ado
. It shall be the
responsibility of the O .I Mc>h -city to pick up the copies from the
pawnbroker.
been defivexed into the Fawnbroket's possenion by teason of any contract for
Sec. 15-269. MaximumW a 57t m _ aXu,' tim interest rates;
commissions prohibited.
�
(a) inn f uY tM.,M, ' 6e t? .�. .._ e I h K WPAAar
nme "
(b) No pawnbroker shall ask, demand or receive any
CV111ILTibbiUll mid �VIIIPILIS2601L than fixed price as defined in t5-211, greater
than:
7
Q th" r, onth ]us
of e`pm " e
f0i PULCiMl shall be nali mid void.
Sec. 15-270. Intermediate payments upon loans.
Pawnbrokers shall acceptE,intermediate payments s a pon
oans made under a contract for urchase which in not matured.- Q to �;
than ten (10)percent
_ ogether with accrued chazges. A receipt showing the date of the payment and
the amount shall be given to the customer for all monies received on account of or
in payment of loans made under a contract for purchase.
Sec. 15-271. Holding period and sale of tangible personal property.
(a) A pawnbroker shall hold all property purchased by him or her through a
purchase transaction for thirty(30)days following the date of purchase during which
time such property shall be held separate and apart from any other tangible personal
and shall not be changed in form p or altered in an Fo liei wa
property Y $ Y Y•
(b) A pawnbroker shall hold all goods received through a contract for purchase
within his or her jurisdiction for a period often(10)days following the maturity date
of the contract for purchase during which time such goods shall be held separate and
a art from any other tangible personal property and shall not be changed in f r
rA
or altered in any way. If the customer shaf} h`10l or neglected to
redeem such property-upori "``�Wthe maturity aiRof the contract by
repayment of the balance of the principal and payment of all accrued interest charges,
the pawnbroker shall;,immediately upon maturityjof the contract,mail with sufficient
postage a notice of the impending sale of the property delivered under the contract.
Such notice shall be mailed to the customer at the address shown on the contract
pertaining to the transaction. Ten(10)days shall be allowed from the date of mailing
of the notification for the customer to appear and reclaim the property or make
satisfactory payments upon it. The pawnbroker shall not sell or otherwise dispose
of the property prior to the expiration of the ten-day period.
8
• Sec.15-272. Hold ordersiand surrender of property (# `" girls
ana�pero�ses.
(a) Any police pa officer may order a pawnbroker to hold any tangible
personal property deposited with or in custody of any pawnbroker for purposes of
further investigation. No sale or other disposition may be made of such property held
by any pawnbroker while the hold order remains outstanding. Any such hold order
shall be effective for Ni days only,unless a criminal prosecution
is undertaken with regard to any such ro ert within such thirty-day period,
in which event the hold order shall untilthe MoSectItioll
SIM„ ,
ave been I
" as been completed or dismissed.
(b) If any police . officer determines that any article of personal property
held by a the pawnbroker is stolen or illegally obtained property, such officer may
take such property into enstodp ter ivin the_pawnbroker a receipt for it
which sets fo e reason for the
confiscation.
�tPhe ysi
th �PL
. a fP
a 'u.
in TY
.:I IIIfiae'',
1
Sec. 15-273. Prohibited transactions.
(a) It shall be unlawful for any pawnbroker to accept any tangible personal
property under a contract for purchase or purchase transaction from the following:
(1) Any person under eighteen (18) years of age;
(2) Any person under the influence of alcohol or any narcotic drug or
stimulant;
(3) Any person known to such pawnbroker to have been convicted of
larceny, theft or burglary without first notifying the Office of Police
Services.
9
(b) With respect to a contract for purchase, no pawnbroker may permit any
customer to be obligated on the same day in any way under more than one (1)
contract for purchase agreement with the pawnbroker which would result in the
pawnbroker's obtaining a greater amount of money than would be permitted if the
pawnbroker and customer had entered into only one (1) contract for purchase
covering the same tangible personal property.
(c) No pawnbroker shall violate the terms of a contract for purchase.
See. 15-274. Business limited to one location.
A pawnbroker shall conduct his pawnshop business from only one (1)business
location, which shall be the location listed on the pawnbroker's license. This
provision shall not prohibit a pawnbroker from using warehouses or other storage
locations away from the licensed place of business,but such other location shall be
used only if pawnbroker submits notice to the Financial Officer in wntin of such
off-site locations. Such off-site locations shall be o n to an ° officer
for inspection
13
Sec. 15-275. Violations and penalties.
In addition to the revocation, sus nsion or of a license�'
„3- ,. ,�
issued, any person =>iu' - who
shall violate any of the provisions of this Article, shall be guilty of a misdemeanor
punishable in accordance with §1-15.
a .
tt sh !
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4 ted
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inform 6 er an c oncertung ,r 3
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Introduced,considered favorably,and ordered published this 16th day of November,A.D. 1999,
and to be presented for final passage on the 7th day of December, A.D. 1999.
Mayor
ATTEST:
City Clerk
Passed and adopted on final reading this 7th day of December, A.D. 1999.
• Mayor
ATTEST:
City Clerk
• II
PAWNBROKER REGULATIONS COMPARISON
City Transaction License Fee Applic Fee Bond Bckgrd check? Bckgrd check? Other fees Mise
Fee Annual Owner Mgr\employee
Arvada None s5,000 s1,000 s50,000 Yes Yes\No New mgr fee:$500incl.
Fin
303.431-3010
gerprt\photo
Aurora None $500 $2,000 s 1,000 Yes Yes\? Mgr Ice:$50(requires separate licensee tranfer$2,500
303-739-7094 mgr license) -
Colorado Springs None $50 $5 $2,000 no no\no
Denver None $650 $200 $5,000 Yes Yes\yes
303-640-2601
Edgewater None $1000 $200 $25,000 .Yes Yes\yes $2.00 fee per employee
303-238.7803
Englewood .30 per item $1,000 $2,500 $5,000 Yes Yes\? New mgr fee:s200 customer fingerprint req.
303-762-2320 inc.Fingerprt\photo
Lakewood .55 per item $2,500 $500 $10,000 Yes Yes\? Mgr registration fee:$50(incl customer fingerprint and
303-987-7450 Fingerprt\photo) Videotape of transaction req.
Wheat Ridge .60 per $5,000 $500 $10,000 Yes Yes\? s250 to change owner,mgr, customer fingerprint and videotape
303.235-2923 transaction etc. includes fingerprin6pholo of transaction req.
Westminster303- None $1,000 $450 $10,000 Yes Yes\?
430-2400
Federal Ileights not to $5 s50 $10,000 Yes Yes,mgr must
303-428-3526 exceed.60 register
per item
Commerce City .60 per S5,000(new) None $1,t100 Yes Yes
303-289-3612 transaction $500(renew)
Thorton .70 per $1,000 $200 $5,000 Yes Yes\7 Change in mgr req new
303.538-7230 transaction investig.fee and amendment of
license fee
Ft.Collins current None $55 None $2,500 No No\No
Ft,Collins' ;SS per $1000 Nona 32,500 Yes Yes\yes(work customer fingerprint required
proposed transaction permit)
INFORMATION REGARDING THE PROPOSED INCREASE IN LICENSE
FEES AND ADDITION OF TRANSACTION FEE
I. JUSTIFICATION FOR LICENSE FEE INCREASE
The license fees for both Secondhand Dealers and Pawnbrokers have been $55.00 since
1972. There are currently six pawnbrokers licensed within the City and 2,4 licensed
Secondhand Dealers. Since that time, the time needed to license, inspect and monitor
compliance has gone from a small part of one detective's duties to requiring a full time
detective position,utilizing volunteer interns within the Detective Bureau and added data
entry staff.
A. Factors used in determining the increase in the Pawnbroker licensing fee:
1. The increased costs associated with employing a full time detective to
conduct background checks on both licensees and their employees,
monitor compliance with State law and ordinances (failure to comply
can result in loss of license) and also the increased costs of forms.
a. Full-time detective annual benefits and salary divided by the
number of license pawnbrokers: $60,255 /6 = 10,042
B. Factors in determining the increase in the Secondhand Dealer license fee:
1. The increased costs associated with conducting background checks on
licensees,monitoring compliance with State law and ordinances and
the increased cost of forms and postage.
a. Full-time detective annual salary divided by the number of
Secondhand Dealers who would be required to be licensed under
the new ordinances: $60,255 /74 = $814 (includes 24 current
licensees plus 50 currently unlicensed dealers).
In recognition that this is a high cost to both Pawnbrokers and Secondhand Dealers, the
proposed license fees ($1,000 for Pawnbrokers and $100 for Secondhand dealers) were
calculated at roughly 10% of the actual cost.
•
IL JUSTIFICATION FOR AN ADDITIONAL TRANSAC77ONFEE
There has previously been no transaction fee on pawn transactions. The number of pawn
transactions required to be reported to Police Services has increased over time. The
number of transactions has increased to 29,368 in 1998. Further,the taxable sales figures
for the pawn industry reflect the increase in the volume of items and transactions. In
1990,the pawn industry in the City showed$1.6 million in taxable sales which have
steadily increased over the years. In 1998, the pawn industry showed$5.2 million in
taxable sales. (Taxable sales does not include service charge or interest income made on
purchase transactions and contracts for purchases.) This represents an increase of over
300%. However, sales tax is not collected on pawnbrokers purchase transactions and
contracts for purchase. Due to the increase in number of both purchase transactions and
contracts for purchase,it has become necessary to implement a transaction fee to help
defray the costs incurred by the police department in administering and handling matters
that pertain to the operation of Pawnbrokers in Fort Collins.
A. Factors used in determining the transaction fee:
1. The increased cost of employing a half-time Data Technician to enter
data from all transactions and postage required for mailings to other
law enforcement agencies.
a. Half-time salary for a Data Technician position divided by the
number of transactions as reported in 1998:
$19,794/29,368 =$0.67
In recognition that this is a high cost to Pawnbrokers,the committee intends to request
that the City Manager set the transaction fee at$0.55 per transaction, which is less than
the actual cost.
. ORDINANCE NO. 185, 1999
OF THE COUNCIL OF THE CITY OF FORT COLLINS
AMENDING CHAPTER 15, ARTICLE XI, OF THE CODE OF THE
CITY OF FORT COLLINS RELATING TO
SECONDHAND DEALERS
WHEREAS,Chapter 15,Article XI of the City Code contains various provisions regulating
the operation of secondhand dealers in the City in the interests of the public health, safety and
welfare; and
WHEREAS, the current definition of "personal property" contained within the City Code
does not include certain items such as computers,musical instruments and videos that are commonly
pawned,traded and sold, so that such definition should be amended; and
WHEREAS, secondhand dealer establishments in the City report a large number of
transactions to the Fort Collins Police Services on a weekly basis; and
WHEREAS, a uniform and clear record keeping process needs to be established for
consistent use by all such businesses to promote compliance with both state and local regulations;
and
• WHEREAS, there is also a need to clarify when,how and under what circumstances a police
officer may hold property of secondhand dealers believed to have been stolen; and
WHEREAS, Fort Collins Police Services is incurring substantial costs specifically related
to monitoring the operation of secondhand establishments in the City; and
WHEREAS, the Council believes it to be in the best interests of the City to increase the
licensing fee to help defray these costs.
NOW,THEREFORE,BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT
COLLINS that Article XI of Chapter 15 of the Code of the City of Fort Collins is hereby amended
to read as follows:
ARTICLE XI. SECONDHAND DEALERS
Sec. 15-316. Definitions.
The following words, terms and phrases, when used in this Article, shall have
the meanings ascribed to them in this Section:
Z� �eS7 ,
ti
SCCi9Ri "' , ---
the ..,�.W t e on g the
p�rso_"n"aam
Peace officer shall mean any undersheriff-, I deputy sheriff Jother than one
appointed with authority only to receive and serve summons and civil process,
police officer, state patrol officer, town marshal or investigator for a 41-strict
41ttomey or the Attorney General;who is engaged in full-time employment by the
state or a city, county, town or Judicial district within this state.
Secondhand dealer shall mean an erson
ellfflMi ' 1 11 inessistim!
--k—
ingad ing Is. secondhand
property:
secondfimid JJIOI)eLty is offered fo. safe ot trade o, who sells v, tiades secondtimid
PlOpelty i is definition,
however, and the terms of this Article shall not apply to the following:
(1)
no of
y.aH
(2) A person or organization selling or trading secondhand property at an
exhibition or show which is intended to display and advertise a particular
commodity or class of product, including, but not limited to, antique
exhibitions,firearm exhibitions,home and garden shows and recreational
vehicle shows;
(3) A person or organization which is charitable, nonprofit, recreational,
fraternal or political in nature or which is exempt from taxation pursuant
to section 501(c)(3) of the Internal Revenue Code of 1986;
(4) A person selling or trading firewood, Christmas trees, plants, food
products,agricultural products,fungible goods,pets,livestoc4,or arts and
crafts, excluding jewelry and items crafted of gold or silver, if sold or
traded by the artist or craftsman,his or her immediate family or regular
employees;
2
. (5) A person hng s en�selling or tradm secondhand
property w i„ , was not originally purchased by bn for resale;,
.,
and-so long as such person does not accep, tl• o sell or trade
secondhand property more than five (5) weekend periods in one (1)
calendar year as verified by a declaration to be prepared by the seller. For
purposes of this subsection, weekend period means Friday through the
immediately following Monday.
Secondhand roperty shall mean the following items of tangible personal
property saw,sold or traded by a secondhand dealer:
a
(1) ME ,I sit s ... ameras, camera
lenses slide or movie projectors, projector screens, flashguns t `
% NI
yt enlar ers tripods binoculars telescopesl and microscopes
(2) 1�tt yM ut'. - T
��, levisions,
phonographs, tape recordersecorder radios, tuners,
speakers, turntables, amplifie <` ecord chan ers,
citizens' band broadcastin uceivers �, atxl
(3)
poles, ski boots, ski bindings, _ e; , aC " " '_ ,
golf clubs, guns,jewelry, coins, luggage, boots and furs;
(4) o ID ewnters
addm machines calculators, computers,
pbm' portable air conditioners,cash registers,copying machines,
dictating machines automatic honeanswerm in hinesaad sewing
machines hin ' s ;
(5) Bicycles, �' "`'."bicycle frames,bicycle derailleur
assemblies,bicycle hand brake assemblies and other bicycle components;
and
(6) Any item of tangible personal property which is marked with a serial or
identification number and the selling price of which is thirty dollars
($30.) or more, except motor vehicles, ranges, stoves, dishwashers,
refrigerators,garbage disposals,aboats,airplanes,clothes washers,clothes
dryers, freezers, mobile homes and nonprecious scrap metal.
0 3
See. 15-317. License required; annual fee.
(a) It shall be unlawful for any person to engage in the business of
secondhand dealing except as provided in and authorized by this Article and without
first having obtained a license from the Financial Officer. Such license shall be kept
current at all times and failure to maintain a current license shall constitute a
violation of this e e S=tion.
(b) The annual license fee for c in on the business of secondhand dealing
shall be o�teliun 1 ,. submitted
toether with an a lication to the Financial Officer. S�t
on
Sea 15-318. Application for», let license;renewal;limitation on
use; appeals.
(a) No license shall be issued by the Financial Officer until the a lication
for a license shalhhave been filed with the city and approved t y the
Chief of Police.
investigation, it is found that the applicant posansm firmiciaf esponsibility,
ubfic mid to voarrant
. .
-FA
Each s� � wait
5r the. o mutt
..,, -...,_,.-..
ora '_� ucean o �� �_ .moons
. ,
is 1e
t�-
IF
e �
2) a .
(3) tem. n s s...er. ttonorthesecou dhea7esens
(bc) Within forty-five(45)days of receipt of an application to renew a license
4
• issued lierenrtdgr, the Financial Officer shall renew such license;provided that the
Chief of Police;after investigation;shaHthaveA ry as;determined that the applicant has
operated the business in such a manner as to fully _--l�in
with the° is of this Article.
(ed) Licenses shall be limited to use at the premises specified in the
application. o Ssuch license shall not-be transferable.
(rle) ahon sp js ta' -MpA nial of the issuance or renewal of a
license ma be a pealed to the Cit o p �N
i s eta n p e
Sec. 15-319. Sales tax license required.
In` isn � °very secondhand dealer shall
also obtain a separate sales tax license as provided in Section 39-26-103, C.R.S.,
except that secondhand dealers and other persons operating a flea market or similar
facility shall not be required to obtain a sales tax license but theyshall be required
to collect the sales tax and to remit the proceeds ail to the operator of the flea
market or similar facility as provided by this - jle -Section. The operator shall
obtain a sales tax license which is applicable to all sales occurring at the flea market
or similar facility and shall collect the sales tax from each secondhand dealer
operating therein who does not have his or her own sales tax license and shall remit
such proceeds as provided by law for the remittance of sales taxes.
See. 15-320. Keeping of records required.
Every dealer licensed under this Article shall keep at his or her place of business
an accurate detailed record of every article of secondhand pro erty acquired by
purchase„consigtl[�rtt or trade. Such record shall includ e . _ azl
mast � .. �, �, the following:
2) address of the itatir' seller's or trader's
residence;
(23) The date, time and lace of the sale or trade, and the
piuc'6as >a„m '.o ._
er,
rc r
(34) An accurate and detailed account and description of the item consigned;
sold or traded, including, but not limited to any mid a71 trademarks,
• 5
identification numbers, serial numbers, owneCap ednumbes model
numbers,brand names or other identifying marks on such item;
(45) The identification number from any of the following forms of
rr%W—ter
identification of the consignor seller or trader:
a. A valid state driver's license;
b. An identification card issued in accordance with Section 42-2-4302,
C.R.S.;
c. A valid driver's license containing a picture issued by another state;
d. A military identification card; .
e. A valid passport;
f. An alien registration card; or
g. A non-pictured identification document issued bgstatefederal
government entit r ,, and
(n ' er'S,'or
ngei~vs
( � acAUi� ership
x �
tazn .,t. .(RIMI _ _. in the
�sen . ._ e�tin'�dhand deal_ems ..._.
wh s6lely
E '.Q !=gn
Toed,
or<nr
trahovc b ne the
prp'fth s
ne '.
(6 > A declaration by the secondhand dealer that the secondhand dealer is the
rightful owner of the secondhand property and a description of how the
secondhand dealer obtained the property, including the serial number of
such property, if available, or a copy of the bill of sale of such property;
and
(� ) A declaration by the secondhand dealer that the secondhand dealer has
knowledge of the requirement that a record of the sale or trade must be
mailed or delivered to the local law enforcement agency, as required by
§15-321 and by Section 18-13-114(1), C.R.S.
6
Sec. 15-321. Forms to be sent to police and open to inspection.
(a) Every secondhand dealer shall make such record as required by§15-320
upon forms to be delivered to such dealer by the Office of Police Services. A
secondhand dealer shall mail or deliver the record of the li�,�2 i sale or trade
r
to the aOffice of.Po a 6Mc69 within three (3) days of the date of such
co
n iRnment, sale or trade and shall keep a copy, of such record for at least one
- ;
qcm the3}Seazs after the date of the o sale or trade.
(b) Upon request during ordinary business hours,the secondhand dealer shall
submit and exhibit the records required to the inspection of any regular police peace
officer and permit any officer to make a copy. The dealer shall,upon reques4 exhibit
for the inspection of any of the officers any personal property or merchandise that
may be received by the dealer.
Sec. 15-322. Records for sales tax collection for flea market sales.
(a) Every secondhand dealer or any person who is a dealer of new goods who
is a retailer and sells such goods at a flea market or similar facilior any
nonpermanent location shall keep and preserve suitable records of Wsi M." nts"
Lades sales made and such other books or accounts as may be necessary to
determine the amount of tax for the collection of which the dealer is liable under
Title 39, Article 26, Part 1, C.R.S.
(b) It is the duty of every such person to keep and preserve for a period of
three(3)years all invoices of goods and merchandise purchased for resale. All such
books, invoices and other records shall be open for examination at any time by the
Executive Director of the state Department of Revenue, theM Director's duly
authorized agents;or any peace officer.
(c) In the case of flea markets and similar facilities in which secondhand
property is offered for sale, b 6 "" i M I k or trade, the operator thereof shall
inform each secondhand dealer of the requirements of this Article and shall provide
the form for recording the information required by 15-320.
(d) In the case of flea markets and similar facilities in which secondhand
s Mom,, �, ftQ
property is offered for sale, consgnmarit or trade, the operatoshall record
�
the name and address of each secondhand deale sec ndh d
piopetty l'ar sales leonstgnmenW the flea market or similar facility; and the
identification number of such dealer as obtained from any of the forms of
identification enumerated in §15-320(4). Such record shall be mailed or delivered
by the operator to the Office of Police Services within three Q) days„of the date the
secondhand dealer offered secondhand property for sale,P91A giimerif or trade at the
7
flea market or similar facilrt . A copy of such record shall be retained b cacti
secondhand dealer offeredn_- 1g secondhand property for sale; �, or
trade at the flea market or similar facility.
Sec. 15-323. Notice;penalties.
Except in the case of flea markets and similar facilities as provided in this
Article,every secondhand dealer shall conspicuously post a notice to be provided by
the Office of Police Services in a place clearly visible to all buyers and traders which
sets forth theRrovisions of this Article and of ERA 18-13-114 through 18-
13-116KYMk,and which sets forth the penalties for violating such sections and for
violating Section 18-4-410,C.R.S.,concerning theft by receiving. Such notification
shall include information to the effect that stolen property may be confiscated by any
peace officer and returned to the ri htful owner without com ensahon to the buyer,.,
�'aro,�ce.mayal5an #o Pam. it. em the
eG In the case of flea markets and similar facilities, the operator shall post the
notice required by this Section in such a manner as to be obvious to all persons who
enter the flea market or similar facility.
Sec. 15-324. Certain property to be held�an.; e n
(a Every secondhand dealer shall keep all secondhand property a*'� '
y
p,purchase or trade for a enodofter {�jx da s before it is sold
� ov r
alte'6&IM y_othe
ass old
an
teal Iff, 91
pro �_..
IM
Y,
aid
P T
o bti:
s _
haw ecU
nin cm�as
8 -
prosecuhng�agenbYihas notified theg, econdhand dealer;that the_
nzo utlon5gei completed or.dusmtssed
nMand dealerusme s
icy �opert 'loeated,,shalbelublec t
r r ces Rail iness�on s other t"rides
p�c" Tecordsrrd
� x " n estt g�..r � as �tidn .�... � :.���
ed pr�mrseicsists gfloe area such
1 fo on�-ithout eta ,upon 'the quest of any
oIi �" �F,dr, e,p � ses of th s Pcov stop;the tei�
`" 1'�Pn"t�aidence aacent�``the licensee
"on. aence,,a �'t` ,at assed�ur�ie#operat�4,
dh
Sec. 15-325. Purchase from-certain minors prohibited.
No secondhand dealer shall acquire by purchase or trade any secondhand
personal pro ert from an person under the age of eighteen(18)W hots i the+- n
arei o eg--(
Sec. 15-326. Goods stolen or illegally obtained to hereturned;or surrendered.
:.n Any secondhand dealer who dp hasdbtarn property
or merchandise, either
new or secondhand,from any person,not knowmg it to have been stolen or illegally
r , < .
obtained`,shall deliver Saidp> a5 into the hands of the lawful owner when theaid
owner shall haye�' amade a reasonably accurate and certain identification ofi-- d
by means of number, description or otherwise.
sa antis ie i3�tor grvenanylre3ceoffCer
w 'ci';`�� s�tliat�rr" '�trclei� ��onalTope by a�o'ndhan$dealer7s
r y„o o t��evrdenie after�grvmgre
°an erareceaprfor rw1r sforthe Po�rce°dery des'
See. 15-327. Violations and penalties.
In addition to the revocation;or 4� crsuspension of any license issued nrtder
any person who shall violate any of the provisions of this
Article, and any person who trades with a secondhand dealer or any secondhand
dealer who knowingly gives false information with respect to the information
required by§15-320 shall be guilty of a misdemeanor punishable in accordance with
§1-15.
• 9
Introduced,considered favorably,and ordered published this 16th day of November,A.D. 1999,
and to be presented for final passage on the 7th day of December, A.D. 1999.
Mayor
ATTEST:
City Clerk
Passed and adopted on final reading this 7th day of December, A.D. 1999.
Mayor
ATTEST:
City Clerk
10