HomeMy WebLinkAboutORD 1987-087 CITY OF GRAPEVINE, TEXAS
ORDINANCE N0. 87-87
AN ORDINANCE OF THE CITY OF GRAPEVINE, TEXAS
AMENDING CHAPTER 14 ENTITLED OCCUPATIONAL
LICENSES, TAXES AND REGULATIONS BY ENACTING
A NEW ARTICLE I ENTITLED "REGULATION OF
COIN-OPERATED MACHINES" BY PROVIDING RULES
REGULATIONS AND LICENSING PROVISIONS
�'"` REGARDING OWNERSHIP OF COIN-OPERATED
MACHINES WITHIN THE CITY; LEVYING AN
OCCUPATION TAX ON COIN-OPERATED MACHINES
� WITHIN THE CITY; PROVIDING A SEVERABILITY
CLAUSE; PROVIDING A PENALTY OF FINE NOT TO
EXCEED THE SUM OF FIVE HUNDRED DOLLARS
($500 . 00) FOR EACH OFFENSE AND PROVIDING
THAT A SEPARATE OFFENSE SHALL BE DEEMED
COMMITTED EACH DAY DURING OR ON WHICH AN
OFFENSE OCCURS OR CONTINUES; DECLARING AN
EMERGENCY AND PROVIDING A EFFECTIVE DATE .
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE
CITY OF GRAPEVINE, TEXAS :
Section 1 . That Chapter 14 , Article I of the Grapevine
City Code shall hereby read as follows :
"Regulation of Coin-Operated Machines
Sec . 14-1 . Definitions .
For the purpose of this Article, the
following terms shall have the respective
,�:,.�
meanings ascribed to them:
Applicant . Any person applying for a
license pursuant to this Article and shall
include each partner of a partnership; each
trustee of a trust; each receiver of a
receivership; each officer and director of a
corporation; and each shareholder owning not
less than 25 percent of the outstanding
shares; any individual applicant or
licensee; each officer, director , and member
of any association or other entity not
specified and, when applicable in context,
the business entity itself .
Coin-operated machine. Any machine or
device of any kind or character which is
operated by or with coins, or metal slugs,
tokens or checks . This definition shall
also include music coin-operated machines
and skill or pleasure coin-operated
machines , as those terms are hereinafter
def ined.
Financial interest . Means any legal or
equitable interest, and specifically
includes the ownership of shares or bonds of
a corporation.
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General business license. A license issued
by the city which authorizes the licensee to
engage in the business of manufacturing,
owning, buying, selling, renting, leasing,
trading, repairing, maintaining, servicing,
transporting, or exhibiting within the city
and storing music and skill or pleasure
coin-operated machines .
Import license. A license issued by the
city which authorizes the licensee to engage
in the business of importing, transporting,
owning, buying, repairing, selling and
delivering, . music._ and skill _:or �pleasure
coin-operated machines,, for sale or delivery
within._the .city_. ._ : . __ _ . � _ _ . _
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Li��ense._ =T�A� 'i=3cense issued `�-�under this
Article ' which authorizes the holder thereof
�`"� �o -manufacture,� own, buy, sel:l, or rent,
lease, trade, lend, or furnish to another,
or repair, maintain; service; transport
,,,�; within the city, store, or import, a music
coin-operated machine or a skill or pleasure
coin-operated machine.
Licensee. Any person holding a license
pursuant to this Article and shall include
each partner of a partnership; each trustee
of a trust; each receiver of a receivership;
each officer and director of a corporation;
and each shareholder owning not less than 25
percent of the outstanding shares; any
individual applicant or licensee; each
officer, director, and member of any
association or other entity not specified
and, when applicable in context, the
business entity itself .
Music coin-operated machine. Any
coin-operated machine of any kind or
character, which dispenses or vends or which
is used for dispensing or vending music and
which is operated by or with coins or metal
�'`�` slugs, tokens or checks . The following are
expressly included within said term:
phonographs, pianos, graphophones, and all
other coin-operated machines which dispense
or vend music .
Owner . Any person, individual , firm,
company, association or corporation owning
any coin-operated machine in the City.
Person. Any natural person, association of
natural persons, trustee, receiver,
partnership, corporation, organization, or
the manager, agent, servant or employee of
any of them, unless the context requires a
different definition.
Repair license. A license issued by the
city which authorizes the licensee to engage
in the business of repairing, maintaining,
servicing, transporting, or storing music,
skill or pleasure coin-operated machines .
Service coin-operated machine. Any pay
telephone, pay toilet and any other machine
or device which dispenses services only and
not merchandise, music, skill or pleasure.
�
Skill or pleasure coin-operated machine.
Any coin-operated machine of any kind or
character which dispenses or is used or is
capable of being used or operated for
amusement or pleasure or when such machine
is operated for the purpose of dispensing or
affording skill or pleasure, or for any
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other purpose other than the dispensing or
vending of inerchandise,' music or services,
as those terms are defined in this Article.
The. term ski.l�l or : pleasure cain-operated
machine� -sha11 -exclude coin-operated machines
designed- exclusively for children. Provided
that- ever_y _machine or device of any kind or
character which dispenses or vends
merchandise, comictQdities � or =�con£ections or
plays music- in connection with or in
�` addition to '�such � games or dispensing of
skill or pleasure shall be considered as
skill or pleasure machines .
� _ _ .
Sec . 14-2 . License Required.
(a) No person shall engage in business to
manufacture, own, buy, sell or rent, lease,
trade, lend, or furnish to another , or
repair, maintain, service, transport within
the city, store, or import a music
coin-operated _machine or a skill or pleasure
coin-operated machine without a license
under this Article.
(b) A license issued under this Article:
- ( 1) is an annual license which
expires on December 31st of each year,
unless it expires as provided in
subdivision ( 5) of this Section or is
suspended or -cancelled earlier;
(2) is - effective for a single
'�"�" business entity;
_ _ _
,,� (3) vests no property right in the
licensee except to conduct the
licensed business during the period
the license is in effect;
(4) is nontransferable, nonassignable
and not subject to execution; and
(5) expires upon the death of an
individual licensee, or upon the
dissolution of any licensee.
(c) An application for the renewal of a
license must be made to the City Secretary
before December 1 of each year .
(d) An applicant must comply with all of
the provisions contained in Article 8817,
Vernon' s Rev.Civ.Stat .Ann. , prior to the
issuance of a license by the city.
Sec . 14-3 . Application for License
(a) An application for a license to do
,�, business under this Article shall contain a
complete statement regarding the ownership
of the business to be licensed. This
statement of ownership must specify:
( 1) the nature of the business entity
to be licensed;
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(2) - the name and-xesidence address of
every person who has a financial
interest in the business, and the
nature, type and. _ extent: of that
_ -__ f inancial ...interest_, _-.except corporate
- _ applicants may omit. . any shareholder
�.��_ : holding _less than:_30.�� _of-:the. cQrporate
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(�) The application sYiall designate a
�'°'� single individual who - is responsible for
keeping a record and reporting to the Chief
of Police the following information
regarding each music or skill or pleasure
coin-operated machine owned, possessed or
controlled by the licensee within the city:
( 1) the make, type and serial number
of the machine;
(2) the date put in operation;
(3) the dates of the first, and the
most recent registration of the
machine;
(4) the specific location of each
machine;
(5) any change in ownership of a
machine .
(c) The _application _ shall - be accompanied
by a sworn written statement executed by the
individual designated to maintain the
"�'' records and make reports that he is aware of
and accepts this responsibility.
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(d) The individual designated to maintain
the records and to make reports must have
the following relationship to the business
to be licensed:
( 1) the owner of a sole
proprietorship;
(2) a partner of the partnership;
� (3) an officer of the corporation;
(4) a trustee of the trust;
( 5) a receiver of the receivership; or
(6) an officer or principal member of
the association, joint venture,
organization, or other entity not
spec if ied.
� (e) The chief of police may require any
other pertinent information to be included
in the application.
(f) The application must contain a
statement that the information contained in
it is true and complete, and this statement
shall be made under oath.
(g) The statement of ownership contained
in the application becomes a public record
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upon issuance- � of a= license. Other
information in the application is
confidential . �
(h) The agpl_ication must be..acca�anied- by
the annual license- fee.
(i) �hev��City �Secretary may not issue a
general business or import license for a
business under this Article if the Chief of
�" Police finds that the applicant; = �
.._
(1) has been finally convicted of a
;;�„ felony in a court of competent
jurisdiction during the five years
preceding the filing of the
application; or
(2) has been on probation or parole
as a result of a felony conviction
during the two years preceding the
filing of the application.
(j ) The City Secretary may not issue or
renew a license for a business under this
Article, and shall suspend for any period of
time, or cancel a license, if she finds that
the applicant or licensee is indebted to the
city by judgment for any fees , costs ,
penalties, or delinquent taxes .
Sec . 14-4 . Records and Reports; Offenses .
(a) The licensee shall keep records and
'�`� make reports to the Chief of Police at
intervals specified by the Chief of Police
�, and upon demand by the Chief of Police.
(b) It is an offense for a person to
willfully fail or refuse to make reports
required by this Section.
(c) It is an offense for a person to
willfully withhold or conceal any
information required to be reported by this
Section from a person who has the duty to
make the report .
Sec . 14-5 . Renewal .
A person must renew an unexpired
license by paying to the city, before the
expiration date of the license, the annual
license fee. If a person' s license has been
expired for not more than 90 days, the
person must renew the license by paying to
the City a fee that is 1 1/2 times the
- annual license fee . If a person' s license
has been expired for more than 90 days but
less than two years , the person must renew
the license by paying to the city a fee that
is two times the annual license fee . If a
person' s license has been expired for two
years or more, the person may not renew the
license. The person must obtain a new
license by complying with the requirements
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and procedures for obtaining an original
license.
Section 14--5. Exemptions .
(a) The licensing and record-keeping
provisfons of�.�thrs=��A�ti��ie �io-�not; _apglp ..to a
gerson who , owns or exhibi:ts ca�n=operated
machines if : --
.�, _ _ . -,_ _ _
( 1) ( i) he operates or exhibits his
machines exclusively on premises
;,,�„ occupied by him, and in
connection with his business, and
( ii) he owns no machine subject
to the occupation tax imposed by
Texas Revised Civil Statutes
Annotated, Article 8802, located
on the business premises of
another person; and
( iii) he has no financial
interest, direct or indirect, in
the coin-operated music, skill ,
or pleasure machine industry,
� - except for the interest he owns
in his machines used exclusively
on premises occupied by him;
(2) Music and skill or pleasure
coin-operated _ machines owned by an
individual and kept in his private
residence for personal use and
�`"` enj oyment .
(3) A corporation or association
organized and operated exclusively for
religious , charitable, educational , or
benevolent purposes, no part of the
net earnings of which inure to the
benefit of any private shareholder or
individual , to own, or lease or rent
from another, a music or skill or
pleasure coin-operated machine for the
corporation' s or assocation' s
exclusive use and in furtherance of
the purposes for which it is
established.
(4) Any person subject to regulation
by the Railroad Commission of Texas to
transport or store in the due course
of business a music or skill or
pleasure coin-operated machine not
owned by him.
(b) The taxation and licensing provisions
of this Article do not apply to gas meters,
pay telephones, pay toilets, food vending
machines , confection vending machines,
beverage vending machines, merchandise
vending machines, and cigarette vending
machines which are now subject to an
occupation or gross receipt tax, stamp
vending machines and service coin-operated
machines .
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(c) No tax is required for an individual
to own a music or skill or pleasure
coin-operated machine for personal use and
amusement in his private residence.
(d) No tax shall be assessed against the
��titiQs _ listed:,_. _i� a(3) above�-�"�f the
as�e�smer�t ��� o�-k��rw�ise_�r-oh-i.�it�ci Y�y�:�law. _. .
_. _ ,. -,;- • - . ;�~ - _- _ _ _ . _
� Sec . 14-7 . Fees .
(a) The annua� license fee for a general
,,�„r, business license shall be as follows :
( 1) For an applicant with
50 or fewer machines $100 . 00
(2) For an applicant with
51 - 200 machines $200 . 00
(3) For an applicant with
over 200 machines $250 . 00
(b) The annual license fee for an import
license is $250 . 00 .
(c) The annual lieense fee for a repair
license is $25 . 00 . -
(d) The City Secretary may not refund any
part of a license -fee after the license is
issued. In the event a license is not
issued, the City may retain $25 to cover
administrative costs and may refund the
balance.
(e) A person licensed to do busi:ness under
this Article shall prominently display his
current license certificate at his place of
business within the city, if his place of
business is located within the City, at all
times .
Sec . 14-8 . License as consent to entry.
Acceptance of a license issued under
this Article constitutes consent by the
licensee that any city police officer may
freely enter upon the licensed business
premises if located within the city during
normal business hours for the purpose of
ensuring compliance with this Article.
Sec . 14-9 . Temporary extension of license.
When a license issued under this
�+ Article expires because of the death of an
individual licensee, or the dissolution of
any other licensee, or upon conditions
�,,, involving receivership or bankruptcy, the
City Secretary, except for good cause shown,
shall permit the successor in interest to
operate the business under the same license
through December 31st of the year . The
extended license is subject to suspension or
cancellation as is any other license issued
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under this Article. : An- original license is
necessary upon expiration of the extension.
Sec. 14-10 . Confide�t�ality of Records .
j_a) - All informatinn derived from books,
-r�c�r�is�:-'-report�:='r�and � a�Pgl�ca�:ans� required
to be made available under this Article is
confidential unless specifically designated
a public record, and may be used only for
the purpose of enforcing the provisions of
this Article:
� (b) Any employee of the city who discloses
confidential information obtained from the
administration of this Article to an
unauthorized person is guilty of a Class C
misdemeanor .
Sec . 14-11 . Grounds for reprimand of a
licensee or suspension or revocation of a
license.
A licensee may be reprimanded or a
license issued pursuant to the authority of
this Article may be suspended or revoked by
the Chief of Police if :
(a) the licensee has intentionally violated
a provision of this Article;
(b) the licensee has intentionally failed
to answer a question, or intentionally made
'��� a false statement in, or in connection with,
his application or renewal;
(c) failure to suspend or revoke the
license would be contrary to the intent and
purpose of this Article.
(d) violation of any of the applicable
provisions of Article 8817, Vernon' s
Rev.Civ. Stat .Ann.
Section 14-12 . Notice and hearing; appeal .
(a) An applicant or licensee is entitled to
at least ten ( 10) days ' notice and a hearing
before the Chief of Police in the following
instances :
( 1) after his original application
for a license has been refused;
(2) before his application for a
renewal of a license may be
refused or his license suspended
or revoked.
;,�,,, (b) Notice may be personally served upon
the applicant or licensee or sent by U. S .
certified mail addressed to the applicant or
licensee at his last known address . The
City Secretary shall publish notice of a
hearing in a newspaper of general
circulation in the city.
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(c) The Chief of Police shal� file an order
upon the conclusion of the hearing, stating
the reasons for his refusal, suspension, or
revocation and shall deliver the order to
the licensee or_ _ ��Iicant as set forth in
(2) above.
Edj_,>-Appea-� ,f\r�om� a�x_�_ac�s�n ;�o�E..:�-he� Ghief: _of
Police shall be to the City- �Manager or his
duly authorized designee. The review shall
� be confined to the record, however, if the
record is found to be incomplete additional
evidence may be taken. The appeal must be
filed with the City Secretary within ten
( 10) days from the date of the Chief of
Police ' s order .
Sec . 14-13 . Tax.
Every owner, except an owner holding an
import license and holding coin-operated
machines solely for resale, who owns ,
controls , possesses, exhibits, displays, or
who permits to be exhibited or displayed in
the city, any coin-operated machine shall
pay, and there is hereby levied on each
coin-operated machine an annual occupation
tax of� $7 . 50 except that the annual tax on
each coin-operated machine that is designed
exclusively for showing motion pictures is
$375 . 00 .
Sec . 14-14 ,_ Sealing of machines .
� The Chief of Police is hereby
authorized to seal any machine licensed
�, hereunder on which the tax has not been
paid. The owner of the machine shall be
charged a fee of five dollars ($5 . 00) for
the release of any machine sealed as
provided for herein for the nonpayment of
tax. Any person who breaks a seal affixed
by . the Chief of Police, or exhibits ,
displays or removes from its location any
machine on which the machine has been
� broken, shall be guilty of a Class C
misdemeanor . "
Section 2 . All applicants shall have until December
31 , 1987 in which to file their applications pursuant to this
ordinance for licenses for the period January 1, 1988 through
December 31 , 1988 .
Section 3 . If any section, Article, paragraph,
sentence, clause, phrase or word in this Ordinance, or
application thereto any person or circumstance is held invalid
or unconstitutional by a Court of competent jurisdiction, such
holding shall not affect the validity of the remaining portions
of this Ordinance; and the City Council hereby declares it
would have passed such remaining portions of this Ordinance
despite such invalidity, which remaining portions shall remain
in full force and effect .
Section 4 . Any person violating any of the provisions
of this Ordinance shall be deemed guilty of a misdemeanor and
upon conviction thereof shall be subject to a fine in a sum not
to exceed Five Hundred Dollars ($500 . 00) for each offense and a
separate offense shall be deemed committed upon each day during
or on which a violation occurs .
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Section- 5 . The fact that the present ordinances and
regulations of the City of Grapevine, Texas are inadequate to
properly safeguard the health, safety, morals, peace and general
welfare of the inhabitants of the City of Grapevine, Texas ,
creates an emergency for the immediate preservation of the public
business, property, health, safety, and general welfare of the
public which requires that this Ordinance become effective from
and after the date of its passage, and it is accordingly so
ordained.
PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF
GRAPEVINE, TEXAS on this the 15th day of D mh r , 1987•
APPROVED:
����
Mayor
ATTEST:
Cit Secre ary
APPROVED AS TO FORM:
�*� �/� -
�'1�.�
�, City Attorney
�
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