HomeMy WebLinkAboutCOW 2018-10-08 Item 3F - Ordinance - TMC Title 5 "Business License" Regulations AmendmentCOUNCIL AGENDA SYNOPSIS
Initials
Meeting Date
Prepared by
Mayor's review
Council review
10/08/18
VC
10/15/18
VC
ITEM INFORMATION
ITEM No.
3. F.
STAFF SPONSOR: VICKY CARLSEN
ORIGINAL AGF:Ni),\ DATF,: 10/08/18
A GI,:N DA ITFA TI'lLIl Amend Title 5 Business Licenses and Regulations and adoption of legislative required
language and minimum threshold
C,\TI:( ;( )RY Discussion
Aii Date 10/8/18
Motion
A lig Date
E] Resolution
1111:gOate
r1 Ordinance
Bid Award
Mtg Date
E Public Hearing
AltgDate
E] Other
ilft,g Date
AllegDate 10/15/18
SP( )NS( )R E Council Mayor DMZ DCD Ill'inance L1Firt ' S JP&R Pollee EPW Court
SPoNSoit'S Amend Title 5 Business Licenses and Regulations and adopt required language changes
Siiimm,\Ry including a minimum threshold for business license fees.
RkvilAvi11) BY E C.O.W. Mtg. E CDN Comm Z Finance Comm. E Public Safety Comm.
111 Trans &Infrastructure Lil Arts Comm. L Parks Comm. E Planning Comm.
DATE: 10/2/2018 COMMFITEE CI -LAIR: QUINN
RECOMMENDATIONS:
spoNs()R/ADmiN.
CommITTF:k
Finance
Unanimous Approval; Forward to Consent on 10/15/2018
COST IMPACT / FUND SOURCE
ExpiNDITuRk REQ1.11RI1) AMOUNT BUDGETED APPROPRIATION REQUIRED
$ $ $
Fund Source:
Comments:
MTG. DATE
RECORD OF COUNCIL ACTION
10/8/18
MTG. DATE
ATTACHMENTS
10/08/18
Informational Memorandum dated 10/2/2018
Ordinance in draft form.
Minutes from the Finance Committee meeting 10/2/2018
10/15/18
191
122
City of Tukwila
Allan Ekberg, Mayor
INFORMATIONAL MEMORANDUM
TO: Finance Committee
FROM: Peggy McCarthy, Director of Finance
BY: Vicky Carlsen, Deputy Finance Director
CC: Mayor Ekberg
DATE: October 2, 2018
SUBJECT: Amend Title 5 Business Licenses and Regulations and adoption of
legislative required language and minimum threshold
ISSUE
In order to be compliant with Business Licenses Services (BLS), the city is required to adopt the
new model licensing ordinance that includes a minimum threshold to require a business be
licensed.
BACKGROUND
Engrossed House Bill 2005 passed unanimously in 2017. The bill, now codified as Chapter
35.90 RCW, requires any city with a general business license, to partner with a combined
licensing service. It has specific deadlines. If the City does not complete partnership with BLS or
another service, it may no longer issue business licenses after December 2022. The legislation
also includes a provision requiring cities, working with Association of Washington Cities, to
develop and implement a model licensing ordinance that includes a minimum income threshold
to require a business be licensed. The ordinance should be adopted by cities with business
licenses by January 1, 2019.
DISCUSSION
The city has agreed in principle to partner with BLS as part of the 2018-19 plan required by the
legislation. To proceed, Tukwila Municipal Code Title 5 needs to be amended with the model
licensing language and minimum threshold.
Summary of changes to the ordinance include:
• Added language to define the effective date/period for new language/process.
• Added required language from model ordinance defining "engaging in business".
• Added required language regarding $2,000 per year threshold for businesses that do not
have a location in the city.
• Combined language where duplicate.
• Added text to definition of employee "or reports from a location within the City's corporate
limits."
• Simplified language "an entity subject to exemption... need not pay a business license fee."
RECOMMENDATION
The Council is being asked to approve the ordinance, and consider this item at the October 8,
2018 Committee of the Whole meeting and subsequent October 15, 2018 Regular Meeting.
ATTACHMENTS
Draft ordinance 123
124
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF
TUKWILA, WASHINGTON, AMENDING VARIOUS ORDINANCES
AS CODIFIED IN TUKWILA MUNICIPAL CODE CHAPTER 5.04,
"LICENSES GENERALLY," TO ADOPT MODEL BUSINESS
LICENSE LANGUAGE AS DIRECTED BY THE STATE;
REPEALING ORDINANCE NO. 2425; PROVIDING FOR
SEVERABILITY; AND ESTABLISHING AN EFFECTIVE DATE.
WHEREAS, in 2017, the Washington State legislature adopted Engrossed House Bill
2005, which directed cities in Washington to adopt model business license language,
including a uniform definition of "engaging in business" and related issues; and
WHEREAS, in June 2018, at the direction of the legislature, the Association of
Washington Cities released draft model language, and staff prepared the requisite
amendments to Tukwila Municipal Code Chapter 5.04; and
WHEREAS, the City Council finds that in the interest of compliance with state law
and to improve the current licensing practice for the public and City staff, the City should
adopt the proposed amendments to its business licensure regulations; and
WHEREAS, the City Council has considered this ordinance, together with all public
comment, and has determined the proposed amendments are in accord with the
Comprehensive Plan; will not adversely affect the public health, safety, or general welfare;
and are in the best interest of the citizens of the City;
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF TUKWILA,
WASHINGTON, HEREBY ORDAINS AS FOLLOWS:
Section 1. No Impact on 2018 Business Licenses. It is the City Council's intention
that the following amendments apply to Business Licenses issued for 2019 and beyond,
and have no impact on Business Licenses issued by the City for 2018.
Section 2. TMC Section 5.04.010 Amended. Ordinance Nos. 2544 §2, 2496 §1,
2381 §1, 2356 §1, 2333 §1 and 2315 §1 (part), as codified at Tukwila Municipal Code
(TMC) Section 5.04.010, are hereby amended to read as follows:
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5.04.010 Definitions
For the purpose of this chapter, the following definitions shall apply:
1. "Business," means and includes all activities, occupations, trades, pursuits,
or professions located or engaged within the City that involves the manufacturing or
processing of materials of any type; the sale of goods, wares or merchandise; the
rendition of services or the repair of goods, wares or merchandise for any consideration
to the person engaging in the same or to any other person or class, directly or indirectly,
whether or not an office or physical location for the business lies within the City limits.
2. "Department," means Finance Department.
3. "Director," means the Finance Director or his or her designee.
4. "Engaging in business" means commencing, conducting, or continuing 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.
a. This section sets forth examples of activities that constitute engaging in
business in the City, and establishes safe harbors for certain of those activities so that a
person who meets the criteria may engage in de minimus business activities in the City
without having to pay a business license fee. The activities listed in this section are
illustrative only and are not intended to narrow the definition of "engaging in business" as
defined above. If an activity is not listed, whether it constitutes engaging in business in
the City shall be determined by considering all the facts and circumstances and applicable
law.
b. Without being all inclusive, any one of the following activities conducted
within the City by a person, or its employee, agent, representative, independent
contractor, broker or another acting on its behalf constitutes engaging in business and
requires a person to register and obtain a business license:
(1) Owning, renting, leasing, maintaining, or having the right to use, or
using, tangible personal property, intangible personal property, or real property
permanently or temporarily located in the City.
(2) Owning, renting, leasing, using, or maintaining, an office, place of
business, or other establishment in the City.
(3) Soliciting sales.
(4) Making repairs or providing maintenance or service to real or
tangible personal property, including warranty work and property maintenance.
(5) Providing technical assistance or service, including quality control,
product inspections, warranty work, or similar services on or in connection with tangible
personal property sold by the person or on its behalf.
(6) Installing, constructing, or supervising installation or construction
of, real or tangible personal property.
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(7) Soliciting, negotiating, or approving franchise, license, or other
similar agreements.
(8) Collecting current or delinquent accounts.
(9) Picking up and transporting tangible personal property, solid waste,
construction debris, or excavated materials.
(10) Providing disinfecting and pest control services, employment and
labor pool services, home nursing care, janitorial services, appraising, landscape
architectural services, security system services, surveying, and real estate services
including the listing of homes and managing real property.
(11) Rendering professional services such as those provided by
accountants, architects, attorneys, auctioneers, consultants, engineers, professional
athletes, barbers, baseball clubs and other sports organizations, chemists, consultants,
psychologists, court reporters, dentists, doctors, detectives, laboratory operators,
teachers, veterinarians.
(12) Meeting with customers or potential customers, even when no
sales or orders are solicited at the meetings.
(13) Training or recruiting agents, representatives, independent
contractors, brokers or others, domiciled or operating on a job in the City, acting on its
behalf, or for customers or potential customers.
(14) Investigating, resolving, or otherwise assisting in resolving
customer complaints.
(15) In-store stocking or manipulating products or goods, sold to and
owned by a customer, regardless of where sale and delivery of the goods took place.
(16) Delivering goods in vehicles owned, rented, leased, used, or
maintained by the person or another acting on its behalf.
c. If a person, or its employee, agent, representative, independent
contractor, broker or another acting on the person's behalf, engages in no other activities
in or with the City but the following, it need not register and obtain a business license.
(1) Meeting with suppliers of goods and services as a customer.
(2) Meeting with government representatives in their official capacity,
other than those performing contracting or purchasing functions.
(3) Attending meetings, such as board meetings, retreats, seminars,
and conferences, or other meetings wherein the person does not provide training in
connection with tangible personal property sold by the person or on its behalf. This
provision does not apply to any board of director member or attendee engaging in
business such as a member of a board of directors who attends a board meeting.
(4) Renting tangible or intangible property as a customer when the
property is not used in the City.
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(5) Attending, but not participating in a "trade show" or "multiple vendor
events". Persons participating at a trade show shall review the City's trade show or
multiple vendor event ordinances.
(6) Conducting advertising through the mail.
(7) Soliciting sales by phone from a location outside the City.
d. A seller located outside the City merely delivering goods into the City by
means of common carrier is not required to register and obtain a business license,
provided that it engages in no other business activities in the City. Such activities do not
include those in subsection 5.04.010(4)(c).
e. The City expressly intends that engaging in business include any activity
sufficient to establish nexus for purposes of applying the license fee under the law and
the constitutions of the United States and the State of Washington. Nexus is presumed
to continue as long as the taxpayer benefits from the activity that constituted the original
nexus generating contact or subsequent contacts.
45. "License or licensee," as used generally in this chapter, means and includes
respectively the words "permit" or "permittee" or the holder for any use or period of time
of any similar privilege, wherever relevant to any provision of this chapter or other law or
ordinance.
56. "Nonprofit organization" includes individual person(s), partnerships, joint
ventures, societies, associations, churches, clubs, trustees, trusts or corporations; or any
officers, agents, employees, factors or any kind of personal representatives of any
thereof, in any capacity, acting either for himself or any other person under either personal
appointment or pursuant to law who qualifies under definition of and certification by the
Internal Revenue Service as nonprofit.
67. "Person," means any individual, receiver, agent, trustee in bankruptcy, trust,
estate, firm, co -partnership, joint venture, company, joint stock company, business trust,
corporation, society, or group of individuals acting as a unit, whether mutual, cooperative,
fraternal, nonprofit or otherwise.
78. "Person engaged in business" means the owner or one primarily beneficially
interested in lawful business for profit and not employees.
89. "Home occupation" means any business conducted in a residence within the
corporate city limits of Tukwila, such business being subject to the requirements set forth
in TMC Chapter 18.06.430, "Definitions," in the section entitled "Home Occupation."
9. "Temporary businecs license" means any busine--s conducted within the
corporate limits of the City for less than 15 consecutive days in a calendar year.
nrefe cional ser„ices nn a contractual basic within Tukwila are not eligible for a temporary
business license.
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10. "Employee" means and includes each of the following persons who are not
required by the City to have his/her/its own separate City of Tukwila business license:
a. Any person employed at any business who performs any part of their
duties within the City of Tukwila or reports from a location within the City's corporate limits;
and
b. Any person who is on the business's payroll, and includes all full-time,
part-time, and temporary employees or workers; and
c. Owners, officers, managers, and partners; and
d. Any other person who performs work, services or labor at the business
including, but not limited to, family members, regardless of whether they receive a wage
from the business.
11. "Employee" means and includes each of the following persons who arc not
a Any person who is on the business's payroll, and includes all full time,
part time, and temporary employees or workers; and
be. Self-employed persons, sole proprietors, owners, officers, managers,
and partners; and
ef. Any other person who performs work, services or labor at the business,
including an independent contractor who may be exempt from requirements to have a
separate City of Tukwila business license.
Employee is a unit of measure used to determine the Business License fee.
Section 3. TMC Section 5.04.015 Amended. Ordinance Nos. 2381 §2, 2333 §2
and 2315 §1 (part), as codified at TMC Section 5.04.015, are hereby amended to read as
follows:
5.04.015 Business License Required
A. No person or persons shall conduct, maintain, operate, or engage in any
business within the City without first applying for and obtaining a business license, or
renewing an existing license, and paying the fee(s) as prescribed herein, unless
exempted in this chapter. the hne-s-s-i-s-exempt The exemption is oni„ from the need
compliance with other requirements of the Tukwila Municipal Code. All businesses
operating or engaging in business within the City are required to submit a business license
application or renewal, as appropriate, unless exempted in this chapter.regardless of
whether a business license foe is duc to the City.
B. This license shall be in addition to any other licenses or permits required by any
other section of this code or by State or Federal laws.
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C. Business licenses are nontransferable and a separate business license shall be
obtained for each location at which a business operates. Licenses shall be displayed at
each business location so as to be viewable by the public.
Section 4. TMC Section 5.04.020 Amended. Ordinance Nos.2544 §3, 2496 §2,
2381 §3, 2356 §2, 2333 §3 and 2315 §1 (part), as codified at TMC Section 5.04.020, are
hereby amended to read as follows:
5.04.020 Applications and fees required
A. Application Required. Any person desiring to establish or conduct any
business enterprise or undertaking within the corporate limits of the City shall first file a
master application through the Washington State Department of Licensing Master
License Service in coordination with the City of Tukwila Finance Department for a license
to conduct such business. The application shall be upon a form furnished by the
Washington State Department of Licensing Master License Service Finance Department
on which the applicant shall state the company name and address; the nature of the
business activity or activities in which he/she desires to engage; the place where the
business will be conducted; the number of employees, whether full or part-time, on the
payroll as of January 1, or, if a new business, the number to be employed on the opening
date; the Washington State Unified Business Identifier (UBI) number; and other
information pertaining to the business as required by the City. The applicant shall be
required to provide all information requested on said form and failure to do so shall be
grounds for refusing to issue the business license. Owners of residential rental property
are not subject to the application requirements in this chapter but shall adhere to the
application requirements in TMC Chapter 5.06.
B. Fee — General.
1. The application must be accompanied by the appropriate application fee in
accordance with the fee schedule adopted by resolution of the City Council, as well as
the Master License Service handling fee. The license fee for the annual license (Business
License fee) issued under this chapter shall be determined based on the total number of
employees,
the City Council. The business license fee shall be determined by multiplying the
appropriate Business License fee by the number of employees working at or reporting
from a location within the City's corporate limits, in accordance with the fee schedule
adopted by resolution of the City Council. In no event shall the Business License fee be
less than the minimum fee set forth in this chapter. If the number of employees is not
known at the time of application or renewal of the license, the business shall estimate the
maximum number of employees they anticipate working any time during the 12-month
period subject to licensure.
2. It will be the responsibility of the business to determine the total number of
employees and, if required, demonstrate to the satisfaction of the Finance Director that
the information pertaining to the Business License fee is accurate. Businesses without a
full year of operating history shall estimate the number of employees that will be employed
in a 12-month period.
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C. Minimum Fee. There shall be an annual minimum fee for a Business License
in accordance with the fee schedule adopted by resolution of the City Council. An entity
fee.
1. A business with less than $12,000.00 of annual gross receipts shall pay thc
minim„m licence fee
1. For purposes of the license 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 and who does not maintain a place of business within
the City, shall submit a business license registration to the Finance Director or designee.
The threshold does not apply to regulatory license requirements or activities that require
a specialized permit.
52. Businesses doing business in the City that have no employees physically
working within the City's corporate limits shall pay the minimum fee required under this
chapter.
/1. The Business License fee for a business required to be licensed under this
chapter and not located within the City's corporate limits shall be determined by
,
the minimum fee set forth in this chapter. If the number of employees is not known at the
time of application or renewal of the license, thc business shall estimate the maximum
during the 12 month period subject to Iicensurc.
23. An entity subject to exemption pursuant to TMC Section 5.04.090 needy
not pay a Business License fee. An entity engaging in some activities or functions that
are exempt from the Business License fee and some that are not exempt shall pay a
Business License fee based on the number of employees involved in the functions or
activities that are not exempt.
3. If a business has more than one location within the corporate limits of the
required under this chapter.
6. Busincces or organizations eligible for a temporary business license
chapter. This section shall not a „t pl cant —is- appl„ing for a liens-e reles to
his/her p
the applicant is required to complete all application requirements and approvals required
by the City's Darks and Recreation Depadmenf
D. New Businesses. The Business License fee for a new business shall be based
on the estimated number of employees that will work in Tukwila for a 12-month period.
If, during the first license year for a new business, the City determines the actual number
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of employees is significantly different than the estimated number identified by the
business owner, the amount of the Business License fee will be recalculated for the new
business. If the revised Business License fee is higher than the original Business License
fee paid by the business owner for the first license year, the business owner must pay the
difference to the City within 30 days after written notice of the amount owed is sent to the
business owner by the City.
E. Over -reporting of Employees. In the event the business owner miscounted the
number of employees by an error factor of more than 15% and paid an excess Business
License fee as a result, a business may request that the City refund the overpayment.
The request must be made in writing to the Finance Department, and the City must
receive the request and all supporting documentation no later than 60 days after the end
of the calendar year in which the error was made. If the City is satisfied the business
owner paid an excess Business License fee, the City will refund the excess amount paid
to the business owner.
F. Under -reporting of Employees. If, at the time of license renewal, the City
determines the business owner under -reported the number of employees for the
preceding year by an error factor of more than 15%, the business shall pay the balance
of the corrected Business License fee (calculated as the difference between the paid
Business License fee and the corrected Business License fee). The Finance Director
shall mail written notice of the balance due to the business owner, and the business shall
pay the balance due to the City within 30 days of the date the written notice is mailed by
the City. A penalty of 20% of the balance due will be applied if payment is not received
within 30 days.
G. Payment by Draft or Check. Payment made by draft or check shall not be
deemed a payment of the Business License fee unless and until the same has been
honored in the usual course of business, nor shall acceptance of any such check or draft
operate as a quittance or discharge of the Business License fee unless and until the check
or draft is honored. Any person who submits a Business License fee payment by check
to the Washington State Department of Licensing Master License Service or City,
pursuant to the provisions of this chapter, shall be assessed an NSF fee set by the
Finance Director if the check is returned unpaid by a bank or other financial institution for
insufficient funds in the account or for any other reason.
Section 5. TMC Section 5.04.030 Amended. Ordinance No. 2315 §1 (part), as
codified at TMC Section 5.04.030, is hereby amended to read as follows:
5.04.030 Issuance of a License and Annual Renewal
A. Upon review and approval of the application, the Washington State Department
of Licensing Master License Service or the Finance Director or designee will -shall issue
a license to the applicant. The license shall grant to the applicant the privilege to conduct
such business at a designated location in the City. Such license may be renewed by
payment of the year's fee prior to January 1.
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B. Persons continuing to engage in business within the City shall renew their
business license(s) each year. Businesses must pay a renewal fee, as well as the Master
License Service handling fee. The annual business license renewal fee shall be in
accordance with the fee schedule adopted by resolution of the City Council. The annual
fee may be prorated in order to conform the license expiration date with the expiration
date established by the Master License Service. Persons not renewing their business
license by the expiration date may be subject to a late renewal penalty charged by the
Master License Service.
Section 6. TMC Section 5.04.090 Amended. Ordinance Nos. 2544 §5, 2356 §6,
2333 §7 and 2315 §1 (part), as codified at TMC Section 5.04.090, are hereby amended
to read as follows:
5.04.090 Exemption
A. Exemptions. The following entities may claim an exemption from the Business
License fee, but if exempt under this subsection such entities shall still register under this
chapter:
1. Certain Organizations Exempt from Federal Income Tax. An
organization that files with the City a copy of its current IRS 501(c)(3) exemption
determination letter certificate issued by the Internal Revenue Service.
2. A governmental entity that engages solely in the exercise of governmental
functions. Activities that are not exclusively governmental, such as some of the activities
of a hospital or medical clinic, are not exempt under this chapter.
3. A nonprofit business operated exclusively for a religious purpose, upon
furnishing proof to the Finance Director of its nonprofit status. For the purposes of this
chapter, the activities that are not part of the core religious functions are not exempt.
4. Civic groups, service clubs, and social organizations that are not engaged in
any profession, trade, or occupation, but are organized to provide civic, service, or social
activities in the City.
a. Examples of such organizations include but are not limited to:
Soroptomists, Kiwanis, Lions' Rotary, American Legion, children's and adults' athletic
leagues and similar types of groups, clubs or organizations.
5. Court interpreters who provide an oral translation between speakers who
speak different languages, and who are either a certified interpreter, qualified interpreter,
or registered interpreter, and who make less than $12,000 in gross annual revenue in
Tukwila, Washington. Certified, qualified and registered interpreters are defined as
follows:
a. "Certified interpreter" means an interpreter who is certified by the
administrative office of the courts.
b. "Qualified interpreter" means a person who is readily able to interpret or
translate spoken and written English for non -English-speaking persons and to interpret or
translate oral or written statements of non -English-speaking persons into spoken English.
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c. "Registered interpreter" means an interpreter who is registered by the
administrative office of the courts.
B. Nothing in this chapter shall be construed to require a license for any farmer,
gardener, or other person to sell, deliver or peddle any fruits, vegetables, berries, butter,
eggs, fish, milk, poultry, meats or any farm produce or edibles raised, caught, produced
or manufactured by such person in any place within the State.
Section 7. TMC Section 5.04.100 Amended. Ordinance No. 2315 §1 (part), as
codified at TMC Section 5.04.100, is hereby amended to read as follows:
5.04.100 Failure to pay fee
If any person engaged in business fails or refuses to pay the license fee for any year
as herein provided, they shall not be granted a license for the current year until such
delinquent license fees in accordance with the fee schedule adopted by resolution of the
City Council as sct forth in TMC 5.01.050 have been paid, in addition to the current years'
required fee(s). Such fees may be collected by the City by proper legal action brought
for that purpose if any person engaged in business fails or refuses to pay the license fee.
This remedy is cumulative and not exclusive.
Section 8. TMC Section 5.04.105 Amended. Ordinance No. 2315 §1 (part), as
codified at TMC Section 5.04.105, is hereby amended to read as follows:
5.04.105 Additional Requirements for Issuance of Business License
A. A business license will only be issued provided the building, structure, operation
or location of the business for which the license is sought complies with the requirements
or standards of the Tukwila Municipal Code.
B. In any case where an applicant seeks a business license for a business to be
located in a building or structure for which a building or land use permit is required to
operate the business as proposed, whether as a newly constructed building or structure
or a remodeled building or structure, the permit process, including final
inspections/issuance of occupancy permits, shall be completed prior to issuance of a
business license.
C. In any case where an applicant seeks a business license for a business to be
located in a building or structure for which no building or land use permit is required to
operate the business as proposed, the building department may require the business
premises to be inspected for compliance with life and safety codes. If the inspection
reveals outstanding code violations, the business license will not be issued until all life
and safety code violations are resolved.
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Section 9. TMC Section 5.04.110 Amended. Ordinance Nos. 2496 §5, 2352 §2,
2333 §8 and 2315 §1 (part), as codified at TMC Section 5.04.110, are hereby amended
to read as follows:
5.04.110 Denial, Suspension, Revocation
A. The Finance Director may deny any business license application pursuant to
TMC Section 5.04.105.
B. The Finance Director may deny, suspend or revoke any license under this
chapter where one or more of the following conditions exist:
1. The licensee is in default of any fee, charges or amounts due and payable
to the City of Tukwila, as outlined in the Tukwila Municipal Code or City policy.
2. The license was procured by fraud or by a false or misleading representation
of fact in the application, or in any report or record required to be filed with the Finance
Department.
3. The building, structure, equipment, operation or location of the business for
which the license was issued does not comply with the requirements or standards of the
Tukwila Municipal Code.
4. The license holder, his or her employee, agent, partner, director, officer or
manager has knowingly violated any provisions of any chapter of the Tukwila Municipal
Code, or has knowingly permitted, failed to prevent, or has otherwise allowed a violation
of any of the provisions of any chapter of the Tukwila Municipal Code to occur on his or
her business premises.
5. The license holder, his or her employee, agent, partner, director, officer or
manager has repeatedly violated any provision of City policies or the Tukwila Municipal
Code after having received notice of such violation.
6. Conduct of the business would be in violation of any local, state or federal
law, rule or regulation prohibiting the conduct of that type of business.
7. The property at which the business is located has been determined by a
court to be a chronic nuisance property, a Violation Notice and Order for a chronic
nuisance property has been issued and not timely remedied or appealed, or the Hearing
Examiner has determined the property to be a chronic nuisance property, as provided in
TMC Chapter 8.27.
C. Upon determination that grounds for denial, suspension or revocation of a license
exist, the Finance Director shall send the applicant or license holder a Notice of Denial,
Suspension or Revocation. The Notice of Denial, Suspension or Revocation shall set
forth the grounds for and terms of the denial, suspension or revocation, and a statement
advising the applicant or license holder that he/she may appeal the Notice of Denial,
Suspension or Revocation in accordance with the provisions of TMC Section 5.04.112.
The filing of such appeal shall stay the action of the Finance Director pending decision on
the appeal by the City Hearing Examiner or other hearing body pursuant to TMC Section
5.04.112(E).
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D. Receipt of the Notice of Denial, Suspension or Revocation. The Notice of
Denial, Suspension or Revocation shall be: (1) sent to the applicant or license holder by
registered mail at the address provided on the license application; (2) hand delivered to
the address provided on the license application; or (3) posted upon the premises where
such applicant or license holder conducts the business that is the subject of the denied,
suspended or revoked license. Notice shall be deemed received by the applicant or
license holder upon posting, hand delivery, or 3 business days after mailing, whichever
occurs first.
Section 10. TMC Section 5.04.130 Adopted. TMC Section 5.04.130, "Disclaimer
of City liability," is hereby established to read as follows:
5.04.130 Disclaimer of City liability
The City of Tukwila expressly finds and requires that responsibility for compliance
with the provisions of this chapter rests with license applicants and their agents and that
no action, inaction, or omission of the City or any of its agents or employees shall serve
to assume or shift responsibility for compliance with the provisions of this chapter to any
other party, including the City. Furthermore, issuance of a license pursuant to this chapter
does not constitute the creation of a duty by the City to indemnify the licensee for any
wrongful acts against the public, or to guarantee the quality of goods, services or expertise
of a licensee. The issuance of a license does not shift responsibility from the licensee to
the City for proper training, conduct or equipment of the licensee or their agents,
employees or representatives, even if specific regulations require standards of training,
conduct or inspection.
Section 11. Repealer. Ordinance No. 2425 is hereby repealed in its entirety.
Section 12. Corrections by City Clerk or Code Reviser. Upon approval of the
City Attorney, the City Clerk and the code reviser are authorized to make necessary
corrections to this ordinance, including the correction of clerical errors; references to other
local, state or federal laws, codes, rules, or regulations; or ordinance numbering and
section/subsection numbering.
Section 13. Severability. If any section, subsection, paragraph, sentence, clause or
phrase of this ordinance or its application to any person or situation should be held to be
invalid or unconstitutional for any reason by a court of competent jurisdiction, such
invalidity or unconstitutionality shall not affect the validity or constitutionality of the
remaining portions of this ordinance or its application to any other person or situation.
Section 14. Effective Date. This ordinance or a summary thereof shall be published
in the official newspaper of the City, and shall take effect and be in full force five days
after passage and publication as provided by law.
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PASSED BY THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON,
a Regular Meeting thereof this day of , 2018.
ATTEST/AUTHENTICATED:
Christy O'Flaherty, MMC, City Clerk
APPROVED AS TO FORM BY:
Rachel B. Turpin, City Attorney
Allan Ekberg, Mayor
Filed with the City Clerk:
Passed by the City Council:
Published:
Effective Date:
Ordinance Number:
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Finance Committee Minutes 0ctober2, 2018
C. Ordinance: Amending Business License Regulations
*Staff is seeking Council approval of a code -amending ordinance that would be compliant with
the new State -required model licensing ordinance that includes a minimum threshold to
require a business license. Legislation passed by the State in 2017 requires cities to partner
with a combined licensing service or no longer issue licenses after December 2022. The City has
agreed in principle to partner with Washington State's Business Licensing Service and now
must amend Tukwila Municipal Code Title 5 with the model licensing language. UNANIMOUS
APPROVAL. FORWARD TO OCTOBER 8, 2018 COMMITTEE OF THE WHOLE.
III. MISCELLANEOUS
Adjourned at 6:48 p.m.
Committee Chair Approval
Minutes by LH
139