(a) 
It is unlawful for a person to operate a sexually oriented business without a valid license issued by the city for the particular type of business.
(b) 
An application for a license must be made on a form provided by the building inspector. 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 (6) inches. Applicants who must comply with section 4.05.039 shall submit a diagram meeting the requirements of that section.
(c) 
The applicant must be qualified according to this article and the premises must be inspected and found to be in compliance with the various laws enforced by the city/county health department, the city fire department and the city building official. All inspections shall be completed within thirty (30) days of the filing of the application.
(d) 
If a person who wishes to operate a sexually oriented business is an individual, the person must sign the application for a license as applicant. If a person who wishes to operate a sexually oriented business is other than an individual, each individual who has a ten-percent or greater interest in the business must sign the application for a license as applicant. If the person who wishes to operate a sexually oriented business is not the owner of the property where the business is or will be located, the owner of the property must also sign the application for a license as an applicant. If a corporation owns the property, all of the officers of the corporation must sign for a license as applicants. Each applicant must be qualified under section 4.05.073, and each applicant shall be considered a licensee if a license is granted.
(e) 
The building inspector may request any information necessary to verify the actual ownership interest of the applicant or the actual ownership of the business seeking to be licensed, including but not limited to certified copies of assumed name certificates, verified copies of partnership agreements and similar documents that will assist him in verifying ownership.
(1987 Code, sec. 18.5-81)
The annual fee for a sexually oriented business license is established by the city council.
(1987 Code, sec. 18.5-82)
(a) 
The building inspector shall issue a license required under this division to the applicant within sixty (60) days after receipt of an application, unless he finds one (1) or more of the following to be true:
(1) 
An applicant is under eighteen (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 the applicant or applicant’s spouse or imposed upon the applicant or applicant’s spouse in relation to a sexually oriented business.
(3) 
An applicant has failed to provide information reasonably necessary for issuance of the license 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 section of this article, other than the offense of operating a sexually oriented business without a license, within two (2) years immediately proceeding the application. The fact that a conviction is being appealed has no effect.
(5) 
The premises to be used for the sexually oriented business have not been approved by the city/county health department, the city fire department, and the city building official as being in compliance with applicable laws and ordinances.
(6) 
The license fee has not been paid.
(7) 
An applicant or the proposed establishment is in violation of or is not in compliance with section 4.05.039, 4.05.040, 4.05.041, [25-29] or 4.05.074.
Editor’s note–Ord. No. 607, sec. 5, contained a scrivener’s error citing nonexistent section 25-29, as indicated above in brackets.
(8) 
An applicant has been convicted of a crime:
(A) 
Involving any of the following offenses:
(i) 
Prostitution;
(ii) 
Promotion of prostitution;
(iii) 
Aggravated promotion of prostitution;
(iv) 
Compelling prostitution;
(v) 
Obscenity;
(vi) 
Sale, distribution or display or harmful material to a minor;
(vii) 
Public lewdness;
(viii) 
Indecent exposure;
(ix) 
Indecency with a child;
(x) 
Sexual assault or aggravated sexual assault;
(xi) 
Incest, solicitation of a child or harboring a runaway child;
(xii) 
Criminal attempt, conspiracy or solicitation to commit any of the offenses described in subsection (a)(8)(A) of this section; and
(B) 
For which:
(i) 
Less than two (2) 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 (5) 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 (5) 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 combinations 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.
(c) 
The license, if granted, shall state on its face the name of the person to whom it is granted, the expiration date and the address of the sexually oriented business. The license shall be posted in a conspicuous place at or near the entrance to the sexually oriented business so that it may be easily read by a visitor to the premises at any time.
(1987 Code, sec. 18.5-83)
Under this division, a licensee shall not transfer his license to another, nor shall a licensee operate a sexually oriented business under the authority of a license at any place other than the address designated in the application.
(1987 Code, sec. 18.5-84)
(a) 
Each license issued under this division expires one (1) year from the date of issuance and may be renewed only by making application as provided in section 4.05.071. Application for renewal should be made at least sixty (60) days before the expiration date; however, when made less than sixty (60) days before the expiration date, the expiration of the license will not be affected.
(b) 
When the building inspector denies renewal of a license, the applicant should not be issued a license unless the code enforcement officer finds that the basis for denial of the license renewal has been corrected or abated and a new public hearing is then held as provided in this division.
(1987 Code, sec. 18.5-85)
Under this division, the building inspector shall suspend a license for a period not to exceed thirty (30) days if he determines that a licensee or an employee of a license has:
(1) 
Violated or is not in compliance with 4.05.040, 4.05.041, [25-29, 25-35] or 4.05.074;
Editor’s note–Ord. No. 607, sec. 5, contained scrivener’s errors citing nonexistent sections 25-29 and 25-35, as indicated above in brackets.
(2) 
Been intoxicated or under the influence of a controlled substance while on the premises of the sexually oriented business;
(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 premises of the sexually oriented business; or
(5) 
Demonstrated inability to operate or manage a sexually oriented business in a peaceful and law-abiding manner resulting in law enforcement actions at, on or around the premises.
(1987 Code, sec. 18.5-86)
(a) 
The building inspector shall revoke a sexually oriented business license if a cause of suspension in section 4.05.076 occurs and the license has been suspended within the preceding twelve (12) months.
(b) 
The building inspector shall revoke a license if he/she determines that:
(1) 
A licensee gave false or misleading information on the material submitted during the application process;
(2) 
A licensee or an employee has knowingly allowed possession, use or sale of a controlled substance on the premises;
(3) 
A licensee or an employee has knowingly allowed prostitution on the premises;
(4) 
A licensee or an employee knowingly operated the sexually oriented business during a period of time when the license was suspended;
(5) 
A licensee has been convicted of an offense listed in section 4.05.073(a)(8)(A) for which the time period required in section 4.05.073(a)(8)(B) has not elapsed;
(6) 
On two (2) or more occasions within a 12-month period, a person committed a criminal offense in or on the licensed premises and the criminal offense is listed in section 4.05.073(a)(8)(A), for which a conviction has been obtained, and the person was an employee of the sexually oriented business at the time the offense committed;
(7) 
A licensee or an employee has knowingly allowed any act of sexual intercourse, sodomy, oral copulation, masturbation or sexual contact to occur in or on the licensed premises. The term “sexual contact” has the same meaning as defined in V.T.C.A., Penal Code 21.01; 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. The fact that a conviction is being appealed has no effect on the revocation of the license.
(c) 
Subsection (b)(7) of this section does not apply to adult motels as a ground for revoking the license, unless the licensee 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.
(d) 
When the building inspector revokes a license, the revocation shall continue for one (1) year, and the licensee shall not be issued a sexually oriented business license for one (1) year from the date revocation became effective. If, subsequent to revocation, the building inspector finds that, for a violation of subsection (b)(1) or (8) of this section, the basis for the revocation has been corrected or abated, the applicant may be granted a license if at least ninety (90) days have elapsed since the date the revocation became effective. If the license was revoked under subsection (b)(5) of this section, an applicant may not be granted another license until the appropriate number of years required under section 4.05.073(a)(8)(B).
(1987 Code, sec. 18.5-87)
(a) 
An applicant for a license who is denied a license may appeal the denial to district court as authorized by law.
(b) 
A licensee whose license is suspended or revoked may abate the suspension or revocation by filing an appeal with a district court as authorized by law and obtaining a temporary restraining order.
(1987 Code, sec. 18.5-88)