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HomeMy WebLinkAbout2026ORDINANCE NO. 2026 AN URGENCY ORDINANCE OF THE CITY COUNCIL OF THE CITY OF PALM SPRINGS, CALIFORNIA, AMENDING CERTAIN PROVISIONS OF THE CITY OF PALM SPRINGS MUNICIPAL CODE (PSMC), REGARDING ENFORCEMENT OF THE PALM SPRINGS MUNICIPAL CODE AND EMERGENCY ORDERS ISSUED BY THE CITY OF PALM SPRINGS, INCLUDING REVOCATION OF BUSINESS LICENSES (four -fifths (415) vote required) City Attorney Summary The City's current business license provisions are for revenue generating purposes only. The Council finds that these provisions should include a regulatory purpose for the promotion of public health, safety, and welfare by requiring businesses to comply with all Palm Springs Municipal Code provisions and other applicable laws and regulations, including Emergency Orders issued pursuant to the Palm Springs Municipal Code. This Urgency Ordinance provides for such regulations, including enforcement mechanisms for failure to comply with such laws and orders. WHEREAS, the City of Palm Springs is a charter city organized pursuant to Article XI of the California Constitution and pursuant to the authority so granted, the City has the power to make and enforce within its limits all ordinances and regulations with respect to municipal affairs not in conflict with its own charter. Such police powers include without limitation the ability to adopt regulations pertaining generally to the protection and promotion of the public health, safety, and welfare; and WHEREAS, with that purpose and intent, the City Manager acting as Director of Emergency Services issued a Proclamation of Local Emergency regarding COVID-19 on March 14, 2020 that was ratified by City Council on March 19, 2020. Over the last ten weeks, the Director of Emergency Services has issued several supplemental orders, including one adopted on May 9, 2020 that protects employees and customers of grocery stores, drug stores, and other in -person shopping establishments, and one most recently amended on June 5, 2020 generally requiring persons to wear face coverings and practice social distancing in public settings; and WHEREAS, as retail stores, restaurants, and other businesses begin to open, the City desires to ensure that these businesses operate in compliance with all emergency orders, especially those dealing with social distancing and face coverings, by including business license revocation as an available remedy for noncompliance. The proposed Urgency Ordinance includes business license regulatory provisions that require businesses operating within the City of Palm Springs to comply with all provisions of the Palm Springs Municipal Code, including any emergency orders issued pursuant to the Municipal Code; and WHEREAS, in compliance with Government Code Section 37101, which allows cities to issue business licenses for revenue and regulation, it is the intent of the City Council to Ordinance No. 2026 Page 2 maintain a strong and effective regulatory business license and tax program protecting residents, employees, and businesses by adding business license regulatory provisions to the Municipal Code; and WHEREAS, the City Council has carefully reviewed and considered all of the evidence presented in connection with the hearing on this proposed Urgency Ordinance, including, but not limited to, the staff report, and all written and oral testimony presented; and WHEREAS, the City Council finds that approval of this Urgency Ordinance would accomplish the following: Update the City's business licensing and tax provisions to include both regulatory and revenue measures. 2. Reduce the current and immediate threat of COVID-19 on City residents' health, peace, and safety by enhancing the enforcement of emergency orders that are aimed at reducing the spread of COVID-19. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF PALM SPRINGS DOES ORDAIN AS FOLLOWS: SECTION 1. Incorporation of Recitals. That the findings and determinations reflected above are true and correct and are incorporated by this reference herein as the cause and foundation for the action taken by and through this Urgency Ordinance. The City Council hereby finds that this Urgency Ordinance is necessary for the current and immediate protection of the public health, safety and welfare of the City and its residents, in that the City is receiving reports on a daily basis that businesses are not adequately enforcing the face covering and social distancing rules established by the City and recommended by the California Department of Public Health and the federal Center for Disease Control. SECTION 2. Amendment to PSMC. PSMC Chapter 1.01 Code Adopted, Section 1.01.110 Definitions is hereby amended to include the following definition: "Emergency order" means any rule or regulation that is made by the Director of Emer-gency Services Director, ursuant to Palm Springs Municipal Code section 2.20.050(a)(6)(A)." SECTION 3. Amendment to PSMC. PSMC Chapter 1.01 Code Adopted, Section 1.01.140 Violation —Misdemeanors —Infractions is hereby amended to read as follows: 1.01.140 Violation — Misdemeanors —Infractions. It is unlawful for any person to violate any provision or to fail to comply with any of the requirements of the ordinance codified in this section of the Palm Springs Municipal Code, or any Emergency Order. Any person violating any of the provisions or failing to comply with any of the mandatory requirements Ordinance No. 2026 Page 3 of the ordinance codified in this section, er the provisions of the Palm Springs Municipal Code or any Emergency Order.,shall be guilty of a misdemeanor unless: (1) the violation is classified as an infraction in the State Vehicle Code or the Palm Springs Municipal Code in which case the person shall be guilty of an infraction; or (2) the city attorney files a complaint charging the offense as an infraction; or (3) a public safety officer or an enforcement officer, as defined in Chapter 1.06 of the Palm Springs Municipal Code issues a citation charging the offense as an infraction." SECTION 4. Amendment to PSMC. PSMC Chapter 1.01 Code Adopted, Section 1.01.145 Violation —Business License Revocation is hereby added to read as follows: "1.01.145 Violation —Business License Revocation. It is unlawful for any business to violate any provision or to fail to comply, with any of the requirements of the ordinance codified in this section, or the Palm Springs Municipal Code, or any Emergency Order. Any business violating any of the provisions or failing to comply with any of the mandatory requirements of the ordinance codified in this section, or the provisions of the Palm Springs Municipal Code, or any Emergency Order shall be subject to business license revocation proceedings, pursuant to Chapter 3.64 of this code." SECTION 5. Amendment to PSMC. PSMC Chapter 1.01 Code Adopted, Section 1.01.170 Abatement of nuisance is hereby amended to include the underlined text as follows: "1.01.170 Abatement of nuisance. The city manager and all other code enforcement officials or officers of the city have the authority and powers necessary to abate public nuisances and gain compliance with the provisions of this code and applicable state codes. These powers include but are not limited to the power to enter and inspect public and private property and the authority to use whatever judicial and administrative remedies are available under this code and any applicable state codes, including the issuance of administrative citations pursuant to Chapter 1.06 of this code, the ability to revoke a business license pursuant to the provisions of Section 1.01.145 and Title 3 Division II of this code and in the case of enforcement officers designated pursuant to the provisions of Chapter 1.08 of this code (other than peace officers whose powers are otherwise specified in the Penal Code), the power to arrest and issue criminal citations as provided under Penal Code Section 836.5 with respect to provisions of this code and applicable state codes it is their discretionary duty to enforce." SECTION 6. Amendment to PSMC. PSMC Chapter 2.20 Disaster Council, Section 2.20.100 Violations —Penalties is hereby amended to read as follows: Ordinance No. 2026 Page 4 "2.20.100 Violations —Penalties. A. Violation Unlawful. It is unlawful and declared a public nuisance for any person to: (1) violate any emergency order made by the Governor of the State of California under the Ememency Services Act any order of the State Department of Public Health or Riverside County Health Officer, or any Emergency Order of the City: (2) Wilfully obstruct, hinder or delay any member of the emergency organization in the enforcement of any lawful Emergency Order issued pursuant to this chapter, or in the performance of any duty imposed upon him by virtue of this chapter; or (3) Wear, carry or display, without authority, any means of identification specified by the emergency agency of the state. B. Remedies. The City may enforce this section using any remedy_ available under the law, including: (1) Issuance of an administrative citation under Chapter 1.06 of this Code. (2) Denial, nonrenewal, suspension, or revocation of a business license under Chapter 3.64 of this Code. (3) Misdemeanor criminal prosecution by the city_ prosecutor under Section 1.01.140 of this Code. (4) Filing of a civil or equitable action to seek abatement of any violation. C. Violations Ongoing. Each and every day a violation is maintained, caused, aided, abetted, concealed, suffered, or permitted is a separate offense. D. Remedies Cumulative. The remedies rocedures and venalties provided by this Section are cumulative to each other and to any other available under City, State, or federal law." SECTION 7. Amendment to PSMC. PSMC Title 3 Revenue and Finance, Division II entitled "Division II Business Tax" is hereby renamed as "Division II Business License and Tax Program." SECTION 8. Amendment to PSMC. PSMC Chapter 3.40 General Provisions, Section 3.40.010 Revenue measure is hereby amended to read as follows: " 3.40.010 FneasuFe Purpose. Chapters 3.40 through 3.96 are enacted selely both to raise revenue for municipal purposes, and afe not intended for regulation to protect the health, safety and welfare, by Ordinance No. 2026 Page 5 A. Providing a method of monitoring all businesses operating within the 2i L B. Providing adequate information regarding the ownership and operation of businesses within city limits and facilitating contact between the city and those businesses: C. Regulating the operation of businesses to ensure that their operation does not adversely affect the general welfare; D. Providing for a healthy and stable business community boundaries; E. Collecting business taxes; F. Collecting statistical information regarding businesses within the city; G. Monitoring sales tax registration and compliance." SECTION 9. Amendment to PSMC. PSMC Chapter 3.40 General Provisions, Section 3.40.030 Unlawful manner of operation is hereby amended to read as follows: "3.40.040 Unlawful manner of operation. The granting of a license in connection with carrying on any business, show, exhibition or game shall not be deemed a permit to conduct the same in an unlawful manner or at a place prohibited by law or ordinance. Any business operating in violation of any ordinance, law or Emergency Order shall be subject to revocation proceedings pursuant to Chapter 3.64 of this code." SECTION 10. Amendment to PSMC. PSMC Chapter 3.40 General Provisions, Section 3.40.070 Unexpired licenses heretofore issued is hereby amended to read as follows: "3.40.070 Unexpired licenses heretofore issued. Where a ineense fGF F8Y8F;ue business license has been issued to any business by the city and the tax paid therefor under the provisions of any chapter heretofore enacted and the term of such license has not expired, then the license tax prescribed for said business by this title shall not be payable until the expiration of the term of such unexpired license: provided however, that such business license shall otherwise be subject to the regulatory provisions of this Code." SECTION 11. Amendment to PSMC. PSMC Chapter 3.44 Definitions, Section 3.44.050 Collector is hereby amended to include the underlined text as follows: "3.44.050 Collector. "Collector" means the city manager, or his or her authorized designee or representative charged with the administration of the business license tax and regulatory program." Ordinance No. 2026 Page 6 SECTION 12. Amendment to PSMC. PSMC Chapter 3.48 Requirements — Exemptions, Section 3.48.010 License is hereby amended to read as follows: "3.48.010 License. There are imposed upon the businesses, trades, professions, callings and occupations specified in Chapters 3.40 through 3.96 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 do so and paying the tax hereinafter prescribed or without complying with any and all provisions of the Palm Springs Municipal Code, any Emergency Order, and the applicable provisions of Chapters 3.40 through 3.96. 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 the state. Persons not so required to obtain a license prior to doing business within the city nevertheless shall be liable for payment of the tax imposed hereunder." SECTION 13. Amendment to PSMC. PSMC Chapter 3.64 Enforcement, Section 3.64.010 Cumulative remedies —Punishment --Collection is hereby amended to read as follows: "3.64.010 Cumulative remedies —Punishment —Collection. The conviction and punishment of any person for engaging in any business without first obtaining a license to conduct such business shall not relieve such person from paying the license fee due and unpaid at the time of such conviction, nor shall the payment of any license fee prevent a criminal prosecution for the violation of any of the provisions of this code. Any business violating any of the provisions or failing to comply with any of the provisions of the Palm Springs Municipal Code or any EmergencyErne[gency Order shall be sub'ect to business license revocation proceedings, pursuant to Chapter 3.64 of this code. All remedies prescribed hereunder shall be cumulative and the use of any 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 title, or any other provisions of this code. Nothing contained in this Code shall be deemed to create a mandatory duty on the part of the City or any of its officers or employees to enforce this Division or enforce it in anyparticular manner." Ordinance No. 2026 Page 7 SECTION 14. Amendment to PSMC. PSMC Chapter 3.64 Enforcement, Section 3.64.070 Modification, Suspension, or Revocation is hereby added to read as follows: " 3.64.070 Modification,_ Suspension, or Revocation Any business license issued by the city may be conditioned, modified, suspended, or revoked for cause by the Collector pursuant to this section. A. A hearing to determine whether or not an existing license should be conditioned, modified, suspended, or revoked shall be initiated by a written statement of charges. Such statement may be initiated by any department authorized to regulate the licensed activity for compliance with city laws and regulations. Such statement shall be submitted to the Collector. B. If the Collector determines that a hearing is warranted, notice of said hearing, including the date, time and location, shall be made to the licensee as follows: 1. Notice shall be mailed, postage prepaid, to the business. 2. If the business maintains a physical location within the City, notice of the hearing shall be posted on the site at which the business is located. C. A revocation hearing shall include the following procedure: 1. The hearing shall be heard by the Collector or the Collector's designee. 2. The licensee or legal representative of the licensee shall have the right to bring witnesses to testify on his or her behalf. 3. Hearings need not be conducted according to technical rules relating to evidence and witnesses. Oral evidence shall be taken only on oath or affirmation. 4. The collector shall issue his or her decision by written decision. The decision shall contain a determination of the issues presented. D. The Collector may condition, modify, suspend, or revoke a business license for any business activity required to be licensed under this division if the Collector finds one or more of the following: 1. That 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 City ordinances; 2. That the licensee has knowingly made any false, misleading or fraudulent statement of material fact in the application for a license, or in any report or record to be filed with the City; 3. That the licensee has violated any provision the Palm Springs Municipal Code or any Emergency Order: 4. That the licensee has violated any conditions or restrictions of Ordinance No. 2026 Page 8 the license; 5. That the licensee has been held liable or convicted of any offense involving the maintenance of a nuisance resulting from any act performed in the exercise of any rights permitted by the issuance of the subject license; 6. That the licensee has violated any rule or regulation adopted b}� any governmental agency relating to the licensee's business: 7. That the licensee has conducted the licensed business in a manner contrary to the peace, health safety and the general welfare of the public. E. Business license suspension or revocation shall have the following effects: 1. No business license fee refunds shall be issued to any licensee upon revocation of a business license. 2. Upon revocation of any business license for cause under this chapter, no business license to operate the same business activity shall be __granted to the same person or business within one year after such revocation. 3. Whenever a license is suspended or revoked, the collector shall take into possession the business license for the subject -business activity. The licensee shall surrender the business license, license stickers, or similar evidence of a license to the collector. 4. Upon revocation or suspension of a business license, the licensee shall cease operation of the business activity immediately, and any further operation shall be unlawful. Except as otherwise provided, in the event that the license is suspended, the licensee may resume operation once the suspension period has expired. SECTION 16. Amendment to PSMC. PSMC Chapter 3.68 Appeals, Section 3.68.010 Appeal procedure is hereby amended to read as follows: "3.68.010 Appeal procedure. Any person aggrieved by any decision of the collector with respect to the an aaQplication for issuance, issuance, modification, suspension, or revocation of any license hereunder may appeal to the Administrative Appeals Board Gky seaAs+4 in the manner provided in Chapter 2.0650 of this code. SECTION 16. Amendment to PSMC. PSMC Chapter 3.76 Violations, Section 3.76.010 Penalties is hereby amended to read as follows: "3.76.010 Penalties. Any pemen w14s violations any of " 2ny provisions of Chapters 3.40 through 3.96 is punishable as specified in Chapters 1.01 and 3.64. ." Ordinance No. 2026 Page 9 SECTION 17. Urgency Findings. Pursuant to City Charter Section 312 and California Government Code Section 36937, this Urgency Ordinance is designed to protect the health, safety and welfare of the citizens of the City of Palm Springs and becomes effective immediately up adoption by a four -fifths (4/5) vote of the City Council. The City Council hereby finds that there is an urgent need to adopt these regulations in order to eliminate the current and immediate threats set forth above. SECTION 18. Severability. If any section or provision of this Urgency Ordinance is for any reason held to be invalid or unconstitutional by any court of competent jurisdiction, or contravened by reason of any preemptive legislation, the remaining sections and/or provisions of this Urgency Ordinance shall remain valid. The City Council hereby declares that it would have adopted this Urgency Ordinance, and each section or provision thereof, regardless of the fact that any one or more section(s) or provision(s) may be declared invalid or unconstitutional or contravened via legislation. SECTION 19. CEQA. The City Council determines that the adoption of this Urgency Ordinance is exempt from environmental review under the California Environmental Quality Act ("CEQA") pursuant to the following provisions of the CEQA Guidelines, 14 California Code of Regulations, Chapter 3: the Urgency Ordinance is exempt under CEQA Guidelines Section 15378(b)(5) in that it is not a "project" under CEQA, and is an organization or administrative activity of the City that will not result in direct or indirect physical changes in the environment. SECTION 20. Adoption, Certification, and Publication. The Mayor shall sign and the City Clerk shall certify to the passage and adoption of this Urgency Ordinance and shall cause the same, or the summary thereof, to be published and posted pursuant to the provisions of law. ADOPTED THIS 11TH DAY OF JUNE, 2020. x6L /4 GEOFF KORS MAYOR ATTEST: ANTH NY J. M CITY CLERK Ordinance No. 2026 Page 10 CERTIFICATION STATE OF CALIFORNIA ) COUNTY OF RIVERSIDE } ss. CITY OF PALM SPRINGS) I, ANTHONY J. MEJIA, City Clerk of the City of Palm Springs, California, do hereby certify that Urgency Ordinance No. 2026 is a full, true, and correct copy, and was adopted without introduction at a regular meeting of the City Council held on June 11, 2020 by the following vote: AYES: Councilmembers Garner, Middleton, Woods, Mayor Pro Tem Holstege, and Mayor Kors NOES: None ABSENT: None ABSTAIN: None IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City of Palm Springs, California, this day of •.v zc AN-f!-IOMEJIA, CITY CLE