HomeMy WebLinkAbout75-21 Regulating Pawnbrokers/DealersI ORDINANCE NO.
2 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF
COSTA MESA, ADOPTING THE STATE ACT ON PAWNBROKERS
3 AND SECONDHAND DEALERS, MAKING AMENDMENTS THERETO
AND GENERALLY PROVIDING FOR THE REGULATION OF PAT,1N-
4 BROKERS AND SECONDHAND DEALERS.
5 THE CITY COUNCIL OF THE CITY OF COSTA T�LESA DOES HEREBY
6 ORDAIN AS FOLLOWS:
7 SECTION 1: The City Council of the City of Costa Mesa
8 hereby finds and declares, that the State enactments relating to
9 pawnbrokers and secondhand dealers is comprehensive in nature and
7.0 fits the procedures and requirements of the City of Costa Mesa.
11 The City Council further finds and declares that some mod -
12 ification and amendment of the State Act is necessary to fit the
13 special circumstances which exist.within the City of Costa Mesa.
14 The City Council further finds and declares that the public
15 health, safety and welfare require this enactment.
16 Accordingly, Chapter IV relating to pawnbrokers and second -
17 hand dealers is hereby amended to read.as follows:
18 SECTION 2: "Chapter IV Pawnbrokers and Secondhand Dealers:
19 Section 9-209 Adoption - State Acts
20 Pursuant to the authority granted in Section 21625
21 Business and Profession Code, State of California, the definitions,
22 rules, regulations, requirements, exceptions and any limitations
23 relating to pawnbrokers and secondhand dealers, found in Division
24 8, Chapter IX, Section 21500 through and including 21653, Business'
25 and Professions Code of the State of California, and Division 8,
26 Chapter II, Sections 21200 through and including 2.1209 Financial
27 Code of the State of California, are hereby adopted as the law of
28 this City, except as shall of this ordinance be modified., amended 6
29 or otherwise changed.
30 Section 9-210 Permit
31 No person, firm, corporation or other entities shall
32 engage in the business of pawnbroker, without first obtaining a
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permit from the Chief of Police to engage in said activity. Appli
cation for said permit shall be made with the Director of Finance
of the City of Costa Mesa on forms to be provided by his depart-
ment. Applications for permits received by the Director of Fi-
nance shall be immediately forwarded to the Chief of Police.
Section'9-211 Conditions on Permits
The application for permit to engage in the occupation
of pawnbrokers shall be considered by the Chief of Police and if
granted, reasonable conditions may be imposed thereon.
Section 9 -212 -Inactive Permits
Any permit to engage in the business of pawnbroker
which has been granted by the.Chief of Police, pursuant to this
ordinance shall be deemed to have expired within six (6) months of
the granting thereof, if the permittee has not actively engaged in
said occupation. The permittee hereunder.. -Shall not be deemed to
have been actively engaged in the occupation unless he shall have
maintained a licensed place of.business within the corporate
limits of the City, which said premises shall have been opened and
have been in continuous operation for at least ninety (90). days
during said six (6) months period. Any permit to engage in the
occupation of pawnbroker which exists as of the date of the adop-
tion of this ordinance, shall be deemed a valid permit, and shall
not expire.under the terms of'this ordinance as an inactive permit
until six (6) months from the date of the adoption of this ordi-
nance; provided, said permittee is operating or will operate a
licensed premises within the corporate limits of the City of Costa
Mesa, for at least ninety (90) consecutive business days within
said six (6) month period.
Section 9-213 Permit Cancellation
Any permit granted by the Chief of Police of the City
of Costa Mesa may be cancelled if the holder of said permit or any
of his employees or agents, have been finally convicted of a fel
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1 any form of theft, receipt of stolen property, or other crime in -
2 volving the occupation of pawnbroker. In the event of the convic-
3 tion of an employee as heretofore set forth, the owner or licensee
4 may request a hearing before the Chief of Police before.any permit
5 as herein granted has been cancelled because of the final convic-
6 tion of any employee. Said hearing shall be held within ninety (90)
7 days of the time of said conviction, and any pawnbroker may con -
8 tinue to operate pending the outcome of said hearing.
9 Section 9-214 Waiting Periods
10 No pawnbroker or secondhand dealer shall sell or other -
11 wise dispose of any article which he has purchased, taken in trade,
12 accepted for sale on consignment or accepted for auctioning within
13 twenty-one (21) days after such article has.been received or pur-
14 chased by him. The waiting period shall be calculated and shall
15 commence with the day that the report is filed with the Police
16 Department as required by the State Act.
17 The Chief of Police or his designated representative
18 may for good cause shown, authorize a prior disposition of any
19 such property. In no event will the Chief of Police or his re -
20 presentative authorize a disposition prior to the expiration of
21 these waiting periods, unless and until the pawnbroker shows suffi-
22 cient proof of ownership of the person leaving the article in
23 pawn, and unless and until the Police Department has been provided
24 with the name, address and description of the buyer.
25 Section 9-215 Reports
26 Any and all reports required to be filed with the
27 Police Department by the State Act, shall be clearly printed or
28 typed, so as to be completely legible and shall be signed by the
29 owner or employee of the store who actually made the transaction.
30 Any report illegible or unsigned as heretofore set forth may be
31 rejected by the Police Department and treated as an unfiled report
32 and repeated violations of this section shall be deemed a
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misdemeanor.
Section 9-216 Investigation Hold
If the Police Department has probable cause to believe
that any item purchased or taken as security for a loan by a pawn-
broker or secondhand dealer may be stolen, it.may require that
said pawnbroker or secondhand dealer retain -the article on the
store premises for thirty (30) days for the completion of a Police
Department investigation.
Notification to retain said article may be made ver-
bally by a Police officer and said verbal request shall be followe
by written notification within thirty (30) days. No articles shal
be ordered held by the Police Department for any period longer tha
thirty (30) days unless hold is reinstated by Police Department.
Section 9-217 Secondary to Other Business
Every person who shall conduct or manage the business
of secondhand dealer and which business is secondary, minor or
incident to and'is conducted or associated at the same location
with some other business, need not make application and secure a
permit for.such business -in -the manner provided herein nor shall
said businesses be required to file reports as provided for in thi
ordinance."
SECTION 3m Title 13, Chapter II, Article 15, subsection 2
(16) is hereby amended to delete therefrom any reference to pawn-
shops.
SECTION 4: This ordinance shall take effect and be in full
force and effect thirty (30) days from and after its passage, and
before the expiration of fifteen (15) days after -'.its passage,
shall be published once in the Orange Coast Daily Pilot, a news-
paper of general circulation printed and published in the .City of
Costa Mesa, together with the names of the members of the City
Council voting for and against the same.
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