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2022-05-18 City Council Item No. 12.2 Business License Ordinance Update Presentation Regular MEETING - Additional Meeting MaterialsBusiness License Ordinance Update ITEM 12.2 (05/18/22) FINANCE DEPARTMENT Margarita Cornejo, Financial Services Manager Edna A. Aguilar, Management Aide MENIFEE PD Captain Dave Gutierrez BUSINESS LICENSE PROGRAM BACKGROUND & OVERVIEW (Chapter 5.01 Menifee Municipal Code) First established in 2008, Chapter 5.01 of the City of Menifee Municipal Code establishes a Regulatory Business License Program and NOT a Business License Tax. The Business License Program ensures that all businesses operating within City jurisdiction follow Federal, State, and Local requirements, including but not limited to Police, Fire, Building and Zoning Codes. Its purpose is to provide necessary regulation and provide a record system of businesses being conducted within the City of Menifee for the purpose of protecting the public health,safety,and welfare of City residents.BUILDING A SAFE, THRIVING & PREMIER PLACE TO BE!-1- •First major ordinance update happened in Summer 2019. •The Business License Program is currently housed in the Finance Department and is administered by: -Edna A. Aguilar, Management Aide -Accounting Tech I, Currently Under Recruitment BUSINESS LICENSE PROGRAM & OVERVIEW CONTINUED Responsive & Transparent Community Government Safe & Attractive Community -2- IN-CITY BUSINESSES OUT-OF-CITYBUSINESSES 1,238 2,741 total active licenses LICENSING AT A GLACE 1,503 01 02 03 04 BUSINESS INQUIRY PERMITS &APPROVALS APPLICATION LICENSE ISSUANCE 05 LICENSE RENEWAL$109 INITIAL COST (prorated quarterly) $39 ANNUAL RENEWAL COST 5 STEPS TO OBTAINING A LICENSE -3- LICENSE REINSTATEMENT PROVISION (Section 5.01.150) -Applicable to business with expired licenses, but continued business operations within the City without major changes. VETERAN FEE EXEMPTION (Section 5.01.050) -(100% fee exempt per AB498) 2021: PROPOSED UPDATES/REVISIONS -4- City staff is recommending the addition of “Special Business Types”be added to Chapter 5.01Section5.01.080 of the Municipal Code,which would require any “Special Business Type”tocompleteabackgroundcheckpriortobusinesslicenseapprovalandissuance. The following enterprises and/or activity types are considered “Special Business Types”: •Adult Businesses•Auctions and Auctioneers•Antique Dealers•Auto Dismantlers (Including Motorcycles)•Bail Bond Enforcement•Bingo Games,Organizations or Parlors•Card Rooms•Dance Facilities•Fortunetellers•Handyman (Unless licensed by the State)•Home tutors or educators (unless otherwise exempt) •Maid,carpet cleaning,janitorial or house cleaning•Massage businesses•Mobile auto repairs•Mobile or itinerate food sales•Pool halls•Private Security Company(Unless licensed by the State)•Purchase or sales of metals,including scrap metals•Repossession or storage of autos•Secondhand stores &Pawnshops•Solicitors•Weapons and arms dealers &sales of gun powder Special Business Types Section -5- LICENSING AS PROPOSED 01 03 04 BUSINESS INQUIRY PERMITS & APPROVALS APPLICATION LICENSE ISSUANCE 05 LICENSE RENEWAL $109 INITIAL COST (prorated quarterly) $39 ANNUAL RENEWAL COST 5 STEPS TO OBTAINING A LICENSE $89 BACKGROUND INVESTIGATION COST $198 TOTAL “SPECIAL BUSINESS TYPE” LICENSE COST -6- PERMITS & APPROVALS 01 03 PLANNING REVIEW (over the counter) COUNTY, STATE & OTHER LOCAL PERMITS (depending on leading agency) 02BACKGROUND INVESTIGATION (2-3 weeks processing time) -7- RECOMMENDED ACTION INTRODUCE AN ORDINANCE AMENDING CHAPTER 5.01 OF THE CITY OF MENIFEE MUNICIPAL CODE (BUSINESS LICENSE REGISTRATION PROGRAM) -7-