(a) 
A person commits an offense if he operates a sexually oriented business without a valid permit, issued by the city for the particular type of business.
(b) 
An application for a permit must be made on a form provided by the chief of police. The application must be accompanied by a sketch or diagram showing the configuration of the premises, including a statement of total floor space occupied by the business. The sketch or diagram need not be professionally prepared but must be drawn to a designated scale or drawn with marked dimensions of the interior of the premises to an accuracy of plus or minus six inches. Applicants who must comply with this article shall submit a diagram meeting these requirements when applying for the period [permit].
(c) 
The applicant must be qualified according to the provisions of this article.
(d) 
If a person who wishes to operate a sexually oriented business is an individual, he must sign the application for a permit as an applicant. If a person who wishes to operate a sexually oriented business is other than an individual, each individual who has a 20 percent or greater interest in the business must sign the application for a permit as applicant. Each applicant must be qualified under section 4.03.032 and each applicant shall be considered a permit holder if a permit is granted.
(e) 
The fact that a person possesses a valid dance hall permit or license does not exempt the person from the requirement of obtaining a sexually oriented business permit. A person who operates a sexually oriented business and possesses a dance hall permit or license shall comply with the requirements and provisions of this section as well as the requirements and provisions of sections 4.03.032 and 4.03.033 when applicable.
(Ordinance 105, sec. 94-1212-B, adopted 9/3/96)
(a) 
The chief of police shall approve the issuance of a permit by the assessor and collector of taxes to an applicant within 30 days after receipt of an application unless the chief of police finds one or more of the following to be true:
(1) 
An applicant is under 18 years of age.
(2) 
An applicant or an applicant’s spouse is overdue in payment to the city of taxes, fees, fines, or penalties assessed against or imposed upon the applicant or the applicant’s spouse in relation to a sexually oriented business.
(3) 
An applicant has failed to provide information reasonably necessary for issuance of the permit or has falsely answered a question or request for information on the application form.
(4) 
An applicant or an applicant’s spouse has been convicted of a violation of a provision of this article, other than the offense of operating a sexually oriented business without a permit, within two years immediately preceding the application.
(5) 
Any fee required by this article has not been paid.
(6) 
An applicant has been employed in a sexually oriented business in a managerial capacity within the preceding 12 months and has demonstrated an inability to operate or manage a sexually oriented business premises in a peaceful and law-abiding manner, thus necessitating action by law enforcement officers.
(7) 
An applicant or the proposed establishment is in violation of or is not in compliance with this article.
(8) 
An applicant or an applicant’s spouse has been convicted of a crime:
(A) 
Involving:
(i) 
Any of the following offenses as described in chapter 43 of the Texas Penal Code:
a. 
Prostitution;
b. 
Promotion of prostitution;
c. 
Aggravated promotion of prostitution;
d. 
Compelling prostitution;
e. 
Obscenity;
f. 
Sale, distribution, or display of harmful material to minor;
g. 
Sexual performance by a child;
h. 
Possession of child pornography;
(ii) 
Any of the following offenses as described in chapter 21 of the Texas Penal Code:
a. 
Public lewdness;
b. 
Indecent exposure;
c. 
Indecency with a child;
(iii) 
Sexual assault or aggravated sexual assault as described in chapter 22 of the Texas Penal Code;
(iv) 
Incest, solicitation of a child, or harboring a runaway child as described in chapter 25 of the Texas Penal Code; or
(v) 
Criminal attempt, conspiracy, or solicitation to commit any of the foregoing offenses;
(B) 
For which:
(i) 
Less than two years have elapsed since the date of conviction or the date of release from confinement imposed for the conviction, whichever is the later date, if the conviction is of a misdemeanor offense;
(ii) 
Less than five years have elapsed since the date of conviction or the date of release from confinement for the conviction, whichever is the later date, if the conviction is of a felony offense; or
(iii) 
Less than five years have elapsed since the date of the last conviction or the date of release from confinement for the last conviction, whichever is the later date, if the convictions are of two or more misdemeanor offenses or combination of misdemeanor offenses occurring within any 24-month period.
(b) 
The fact that a conviction is being appealed has no effect on the disqualification of the applicant or applicant’s spouse under this section.
(c) 
An applicant who has been convicted or whose spouse has been convicted of an offense listed in section 4.03.031 or this section may qualify for a sexually oriented business permit only when the time period required by this section has elapsed.
(d) 
The chief of police, upon approving issuance of a sexually oriented business permit, shall send to the applicant, by certified mail, return receipt requested, written notice of that action and state where the applicant must pay the permit fee and obtain the permit. The chief of police’s approval of the issuance of a permit does not authorize the applicant to operate a sexually oriented business until the applicant has paid all fees required by this article and obtained possession of the permit.
(e) 
The permit holder [sic], if granted, must state on its face the name of the person or persons to whom it is granted, the expiration date and the address of the sexually oriented business. The permit must be posted in a conspicuous place at or near the entrance to the sexually oriented business so that it may be easily read at any time.
(Ordinance 105, sec. 94-1212-C, adopted 9/3/96)
(a) 
The annual fee for a sexually oriented business permit is as set forth in the fee schedule in appendix A of this code.
(b) 
In addition to the fees required by subsection (a), an applicant for an initial sexually oriented business permit shall, at the time of making application, pay a nonrefundable fee as set forth in the fee schedule in appendix A of this code for the city to conduct a survey to ensure that the proposed sexually oriented business is in compliance with the locational restrictions set forth in section 4.03.061.
(c) 
If an applicant is required by this code to also obtain a dance hall permit or license for the business at a single location, payment of the fee for the sexually oriented business permit exempts the applicant from payment of the fees for the dance hall permit or license.
(Ordinance 105, sec. 94-1212-D, adopted 9/3/96; Ordinance adopting Code)
(a) 
An applicant or permit holder shall permit representatives of the police department, health department, fire department, housing and neighborhood services department, and building inspection division to inspect the premises of a sexually oriented business for the purpose of insuring compliance with the law, at any time it is occupied or open for business.
(b) 
A person who operates a sexually oriented business or his agent or employee commits an offense if he refuses to permit a lawful inspection of the premises by a representative of the police department at any time it is occupied or open for business.
(c) 
The provisions of this section do not apply to areas of an adult motel which are currently being rented by a customer for use as a permanent or temporary habitation.
(Ordinance 105, sec. 94-1212-E, adopted 9/3/96)
Each permit expires one year from the date of issuance, except that a permit issued pursuant to a locational restriction expires on the date the exemption expires. A permit may be renewed only by making application as provided in section 4.03.031. Application for renewal should be made at least 30 days before the expiration, and when made less than 30 days before the expiration date, the expiration of the permit will not be affected by the pendency of the application.
(Ordinance 105, sec. 94-1212-F, adopted 9/3/96)
The chief of police shall suspend a permit for a period not to exceed 30 days if he determines that a permit holder or an employee of a permit holder has:
(1) 
Violated or is not in compliance with this article;
(2) 
Engaged in excessive use of alcoholic beverages while on the sexually oriented business premises;
(3) 
Refused to allow an inspection of the sexually oriented business premises as authorized by this article;
(4) 
Knowingly permitted gambling by any person on the sexually oriented business premises;
(5) 
Demonstrated inability to operate or manage a sexually oriented business in a peaceful and law-abiding manner thus necessitating action by law enforcement officers.
(Ordinance 105, sec. 94-1212-G, adopted 9/3/96)
(a) 
The chief of police shall revoke a permit if a cause of suspension in section 4.03.036 occurs and the permit has been suspended within the preceding 12 months.
(b) 
The chief of police shall revoke a permit if the chief of police determines that:
(1) 
A permit holder gave false or misleading information in the material submitted to the chief of police during the application process;
(2) 
A permit holder or an employee has knowingly allowed possession, use, or sale of controlled substances on the premises;
(3) 
A permit holder or an employee has knowingly allowed prostitution on the premises;
(4) 
A permit holder or an employee knowingly operated the sexually oriented business during a period of time when the permit holder’s permit was suspended;
(5) 
A permit holder has been convicted of an offense listed in section 4.03.032 for which the time period required in section 4.03.032 has not elapsed;
(6) 
On two or more occasions within a 12-month period, a person or persons committed an offense occurring in or on a permit holder’s premises of a crime listed in section 4.03.032 for which a conviction has been obtained, and the person or persons were employees of the sexually oriented business at the time the offenses were committed;
(7) 
A permit holder or an employee has knowingly allowed any act of sexual intercourse, sodomy, oral copulation, masturbation, or sexual contact to occur in or on the business premises. The term “sexual contact” shall have the same meaning as it is defined in section 21.01, Texas Penal Code; or
(8) 
A licensee is delinquent in payment to the city for hotel occupancy taxes, ad valorem taxes, or sales taxes related to the sexually oriented business.
(c) 
The fact that a conviction is being appealed shall have no effect on the revocation of the permit.
(d) 
Subsection (b)(7) does not apply to adult motels as a ground for revoking the permit unless the permit holder or employee knowingly allowed the act of sexual intercourse, sodomy, oral copulation, masturbation, or sexual contact to occur in a public place or within public view.
(e) 
When the chief of police revokes a permit, the revocation shall continue for one year and the permit holder shall not be issued a sexually oriented business permit for one year from the date revocation became effective. If, subsequent to revocation, the chief of police finds that the basis for the revocation has been corrected or abated, the applicant may be granted a permit if at least 90 days have elapsed since the date the revocation became effective. If the permit was revoked under subsection (b)(5), an applicant may not be granted another permit until the appropriate number of years required under section 4.03.032 has elapsed.
(Ordinance 105, sec. 94-1212-H, adopted 9/3/96)
If the chief of police denies the issuance or renewal of a permit, or suspends or revokes a permit, the chief of police shall send to the applicant or permit holder, by certified mail, return receipt requested, written notice of the action and the right to an appeal. Upon receipt of written notice of the denial, suspension, or revocation, the applicant or permit holder whose application for a permit has been suspended or revoked has the right to appeal to the state district court. An appeal to the state district court must be filed within 30 days after the receipt of notice of the decision of the chief of police. The applicant or permit holder shall bear the burden of proof in court.
(Ordinance 105, sec. 94-1212-I, adopted 9/3/96)
A permit holder shall not transfer his permit to another, nor shall a permit holder operate a sexually oriented business under the authority of a permit at any place other than the address designated in the application.
(Ordinance 105, sec. 94-1212-J, adopted 9/3/96)