This chapter is adopted pursuant to the powers of the city of Sunnyvale as a charter city as provided in Article IV of the city Charter, and as authorized by Section 6 of Article XI of the Constitution of the state of California, and solely to raise revenue for municipal purposes and is not intended for regulation.
(Prior code § 6-1.102; Ord. 1477 § 1, 1968)
Except where the context otherwise requires, the definitions contained in this section shall govern the construction of this chapter. The word "may" is always directory and discretionary and not mandatory; the word "shall" is always mandatory and not directory or discretionary.
"Auctioneer"
means any person who sells or offers for sale any real or personal property or service at an "auction," "public auction" or "auction sale," or by public outcry as these terms are defined in Section 5.16.010 of this title.
"Business"
means professions, trades and occupations and all and every kind of calling or enterprise, including the rental of real property, and carried on for profit or livelihood.
"Carnival"
means all manner of sideshows, freak or other exhibitions, feats of strength, games of skill, merry-go-rounds, Ferris wheel or any other amusement device (mechanical or otherwise), merchandise booths for the sale of novelties or notions, and all other activities incident to a carnival presented upon the streets, or parking lots or vacant property within the city, and for which a charge of admission is made, either for general entrance or for entrance into or participation in any portion or department thereof.
"Circus"
means any exhibition of a menagerie or collection of animals, feats of horsemanship, acrobatic performances, wire or rope dancing, clowns, singers, or any other show held in a tent or under canvas cover or in a building and for which a charge of admission is made.
"City"
means the city of Sunnyvale, California, including all of the territory and jurisdiction thereof as presently constituted, and any and all of the same which shall later come into existence by any manner or means whatsoever.
"Collector"
means the person designated as the revenue officer of the city of Sunnyvale for the purposes of this chapter.
"Director"
means the director of finance of the city of Sunnyvale.
"Employee"
means any person working in, or engaged in, the operation or conduct of any business, including, but not limited to the owner, a member of the owner's family, partner, officer, agent, manager, servant, or solicitor.
"Fixed place of business"
means a place of business located in the city of Sunnyvale.
"Licensee"
means any person to whom a business license has been issued pursuant to this chapter.
"Pawn broker"
means any person who receives personal property in pledge as security for a loan and includes any person who purchases personal property absolutely but gives the seller a preference right to purchase back the personal property.
"Person"
means all firms; domestic and foreign corporations; associations; syndicates; partnerships; joint ventures; clubs; Massachusetts business or common law trusts; societies; and any officer or agent thereof; and any natural person transacting, engaging in or carrying on any business in the city of Sunnyvale, but excluding an employee who is not also an owner.
"Rental of real property"
means any building or buildings (whether or not connected), in a single ownership, within which three or more separate spaces or units are located which are available for rental and are intended to be used for office or dwelling, lodging or sleeping purposes. This term also shall include three or more contiguous spaces upon any parcel of land available for rental and intended to be used for the parking and maintenance of mobile homes or house trailers.
"Sworn statement"
means an affidavit sworn to before a person authorized to take oaths, or a declaration or certification made under penalty of perjury.
(Prior code § 6-1.03; Ord. 1477 § 1, 1968; Ord. 1793-75 § 1; Ord. 2241-88 § 1; Ord. 2769-04 § 1)
Any person required to pay a business license tax under this chapter shall not be relieved from the payment of any other permit, fees or license tax for the privilege of doing such business required under any other provision of this code, and shall remain subject to the regulatory provisions of other chapters of this code.
(Prior code § 6-1.104; Ord. 1477 § 1, 1968; Ord. 2769-04 § 1)
Nothing contained in this chapter shall be deemed or construed to require the payment of any license tax by any institution or organization which is conducted, managed or carried on wholly for the benefit of charitable purposes and from which profit is not derived, either directly or indirectly, by any person.
(Prior code § 6-1.202; Ord. 1477 § 1, 1968)
Nothing contained in this chapter shall be deemed or construed to require the payment of any fees or license tax by any honorably discharged or relieved veteran described in Section 16001 or 16001.5 of the Business and Professions Code of California, as amended, who is physically unable to earn a livelihood by manual labor and who is a voter or resident of this state, and who desires to hawk, peddle or vend goods, wares or merchandise owned by him, except spirituous malt, or vinous, or other intoxicating liquors, or to distribute circulars.
(Prior code § 6-1.203; Ord. 1477 § 1, 1968; Ord. 2769-04 § 2)
Any public utility possessing a franchise granted by the city of Sunnyvale, and making annual payments under said franchise to the city, shall not be subject to the provisions of this chapter.
(Prior code § 6-1.204; Ord. 1477 § 1, 1968)
No person shall transact, engage in, or carry on any business within the city without first having procured a license from the city to so do and having paid the tax hereinafter prescribed, and having complied with any and all applicable regulations concerning the use and occupancy of the premises from which the business is to be conducted.
(Prior code § 6-1.301; Ord. 1477 § 1, 1968)
There is hereby imposed a yearly license tax upon every person transacting, engaging in, or carrying on any business within the city. The amount of the tax is calculated as follows:
(a) 
(For the tax due January 1, 2007) For businesses based on employees or rental units, twenty dollars for the first employee, thirty dollars for two to five employees or rental units, or portion thereof, and an additional twenty-five dollars for each additional group of five employees or rental units, or portion thereof, up to a maximum of four thousand seven hundred dollars for employees and two thousand five hundred dollars for rental units.
(b) 
(For the tax due January 1, 2008) For businesses based on employees or rental units, thirty dollars for the first employee, fifty dollars for two to five employees or rental units, or portion thereof, and fifty dollars for each additional group of five employees or rental units, or portion thereof, up to a maximum of seven thousand dollars for employees and three thousand five hundred dollars for rental units.
(c) 
(For the tax due January 1, 2009) For businesses based on employees or rental units, thirty dollars for the first employee, fifty dollars for two to five employees or rental units, or portion thereof, and fifty dollars for each additional group of five employees or rental units, or portion thereof, up to a maximum of nine thousand five hundred dollars for employees and four thousand two hundred fifty dollars for rental units.
(d) 
For businesses with both employees and rental units, the tax shall be based on the greater number of employees or rental units.
(e) 
(For the tax due January 1, 2009 and thereafter) The amount of the tax and cap shall be indexed annually, based upon the San Francisco/Oakland/Hayward Consumer Price Index for the September to September period for the preceding year, or comparable successor index established by the Bureau of Labor Statistics of the United States Department of Labor. The indexed amounts shall be set forth each year in the city's master fee resolution.
(Prior code § 6-1.302; Ord. 1477 § 1, 1968; Ord. 1793-75 § 3; Ord. 2241-88 § 2; Ord. 2797-05 § 1; Ord. 3139-18 § 1)
The total number of employees for whom a tax is to be paid shall be determined in the following manner:
(a) 
For any business having a fixed place of business in the city, the total number of employees shall be the greatest number of persons employed or expected to be employed or taking part in the business during any twenty-four-hour period.
(b) 
For any business not having a fixed place of business in the city, the total number of employees shall be the greatest number of persons employed or expected to be employed or taking part in the business within city limits during any twenty-four-hour period.
(Prior code § 6-1.303; Ord. 1477 § 1, 1968; Ord. 2769-04 § 3)
All applications for licenses to be issued hereunder, including first time licenses, licenses for newly established businesses, and renewals of any previously issued license must be accompanied by payment of an application fee at the time of submittal. Pursuant to Section 5.04.130, the amount of the fee shall be fixed by resolution of the city council.
Each person making application for the first license to be issued hereunder, or a license for a newly established business, shall furnish to the collector a sworn statement (upon a form provided by the collector) setting forth the following information:
(a) 
The exact nature or kind of business for which a license is requested;
(b) 
The place where such business is to be carried on;
(c) 
If the license is to be issued to a person doing business under a fictitious name, the application shall set forth the names of the owners of the business;
(d) 
If the license is to be issued to a corporation or a partnership, the application shall set forth the names of the officers or partners thereof;
(e) 
The number of employees employed in the business which is the subject of the application;
(f) 
Any further information which the collector may require.
(Prior code § 6-1.401; Ord. 1477 § 1, 1968; Ord. 1793-75 § 4; Ord. 2727-03 § 1; Ord. 2769-04 § 4)
The collector is authorized to issue licenses required to be obtained under this chapter upon persons making application therefor, furnishing the sworn statement when required, and paying the license tax imposed. Each license issued shall state upon its face:
(a) 
The name of the person to whom issued;
(b) 
The kind of business licensed;
(c) 
The location of such business;
(d) 
The date of expiration of the license;
(e) 
The number of employees; and
(f) 
Such other information as shall be deemed necessary by the collector to enforce this chapter.
(Prior code § 6-1.402; Ord. 1477 § 1, 1968; Ord. 1793-75 § 5)
The payment of a license tax and the issuance of a license to any person by the city shall not entitle the licensee to carry on any business unless he has complied with all the requirements of this code and all other applicable laws, nor to engage in or to carry on any business in any building or in any premises designated in such license in the event such building or premises are situated in an area or locality in which the conduct of such business is in violation of this code, or any ordinance of the city, or any other law.
(Prior code § 6-1.403; Ord. 1477 § 1, 1968)
No license issued to any person shall be transferable to any other person. If a license is issued authorizing a person to transact, engage in and carry on a business at a particular place, such licensee may upon application therefor and payment of a fee have the license amended to authorize the transacting, engaging in and carrying on of such business under the license at another location to which the business has been or is to be moved. A transfer of ownership of any business for which a license has been issued to another person, under such circumstances that the real or ultimate ownership after the transfer is substantially similar to the ownership existing before the transfer, shall not constitute a transfer requiring amendment of the license. For the purpose of this section, stockholders, bondholders, partnerships, or other persons holding an interest in a corporation or other entity herein defined to be a person are regarded as having the real or ultimate ownership of such corporation or other entity.
(Prior code § 6-1.404; Ord. 1477 § 1, 1968)
Upon application therefor and payment of a fee, the collector may issue a duplicate of any unexpired license which has been lost or destroyed.
(Prior code 6-1.405; Ord. 1477 § 1, 1968)
When applying for the renewal of any license previously issued, the licensee shall submit to the collector upon a form to be provided by the collector, a sworn statement setting forth such information concerning the licensee's business during the preceding tax period as may be required to enable the collector to ascertain the amount of the license tax to be paid.
(Prior code § 6-1.406; Ord. 1477 § 1, 1968; Ord. 2769-04 § 5)
Any person transacting, engaging in and carrying on a business at a fixed place of business in the city shall keep the license issued hereunder posted in a conspicuous place upon the premises where such business is carried on.
Any person transacting, engaging in and carrying on a business but not operating at a fixed place of business in the city shall keep the license issued hereunder upon his person at all times while transacting, engaging in and carrying on such business.
(Prior code § 6-1.407; Ord. 1477 § 1, 1968)
It is unlawful for any person to whom a license has been issued to fail or to refuse to produce the same for inspection when required to do so by the collector, or any employee of the city working under the direction of the collector, or by the chief of the department of public safety or any public safety officer.
(Prior code § 6-1.409; Ord. 1477 § 1, 1968)
(a) 
No sworn statement required to be filed shall be conclusive as to the matter set forth therein. The filing of a sworn statement shall not preclude the city from collecting any sum of money actually due and payable under this chapter by appropriate action.
(b) 
The collector shall have the right to examine and audit at all reasonable times the books and records of any licensee, or person making application for a license in order to (1) verify any sworn statement filed and the items contained therein, and (2) verify or ascertain the amount of any business license tax due.
(Prior code § 6-1.410; Ord. 1477 § 1, 1968)
If any person fails to file any required statement within the time prescribed, or if after demand therefor made by the collector he fails to file a corrected statement, or if any person subject to the tax imposed by this chapter fails to apply for a license, the collector shall proceed in such manner as he may deem best to obtain facts and information on which to base his estimate of the tax due. In case such determination is made, the collector shall give a notice of the amount so assessed by serving it personally or by depositing it in the United States mail, postage prepaid, addressed to the person so assessed at his last known place of address.
(Prior code § 6-1.411; Ord. 1477 § 1, 1968)
The person so assessed may within fifteen calendar days after the serving or mailing of the notice referred to in Section 5.04.240 make application in writing to the collector for a hearing on the amount of the license tax assessed. If application for a hearing is not made within the time prescribed, the tax, interest and penalties, if any, determined by the collector shall become final and conclusive and immediately due and payable. If such application is made, the collector shall give not less than ten calendar days' written notice in the manner prescribed herein to the person to show cause at a time and place fixed in the notice (which shall be not more than thirty calendar days after receipt of the application for a hearing) why the amount specified therein should not be fixed for such tax, interest and penalties. At such hearing, the person may appear and offer evidence why such specified tax, interest and penalties should not be so fixed.
(Prior code § 6-1.412; Ord. 1477 § 1, 1968; Ord. 2769-04 § 6)
After a hearing on the amount of tax assessed, the collector shall determine the proper tax to be paid, and shall thereafter give written notice to the person so assessed in the same manner as prescribed in Section 5.04.240 for giving notice of an assessment. The amount determined to be due shall be payable after fifteen days unless an appeal is taken as provided in this chapter.
(Prior code § 6-1.413; Ord. 1477 § 1, 1968)
(a) 
All license taxes shall be due and payable in advance on the first day of January in the year due, and shall become delinquent thirty calendar days thereafter. License taxes covering new business operations, commenced after the first day of January, shall be due and payable on the day such business is commenced, and shall be delinquent thirty calendar days thereafter. The license tax for a new business commenced after the first day of July shall be fifty percent of the license tax for that business specified herein for the first year only.
(b) 
Daily license taxes shall be due and payable on each day in advance. Unless otherwise specifically provided, license taxes shall not be prorated.
(Prior code § 6-1.501; Ord. 1477 § 1, 1968; Ord. 2769-04 § 7)
For failure to pay a license tax when due, the collector shall add to the amount due a penalty of ten percent of the amount of the license tax on the last day of each month after the due date thereof until paid, provided the amount of such penalty to be added shall in no event exceed one hundred percent of the amount of the license tax due.
(Prior code § 6-1.502; Ord. 1477 § 1, 1968)
If the collector determines that the nonpayment of any license tax due under this chapter is due to fraud, a penalty of twenty-five percent of the amount of the tax shall be added thereto in addition to the penalties stated in Section 5.04.280.
(Prior code § 6-1.503; Ord. 1477 § 1, 1968)
In addition to the penalties imposed, any person who fails to pay any tax imposed by this chapter shall pay interest at the rate of one percent per month, or fraction thereof, on the amount of the tax exclusive of penalties, from the date on which the tax first became delinquent until paid.
(Prior code § 6-1.504; Ord. 1477 § 1, 1968)
The collector shall not issue any license or reissue one previously revoked, whether for the same or another business, to any person who at the time of application is indebted to the city for any delinquent license taxes until that person shall have paid any delinquent license taxes, together with any penalty and interest, and shall have furnished to the collector any sworn statement required in this chapter.
(Prior code § 6-1.506; Ord. 1477 § 1, 1968; Ord. 1793-75 § 7)
Whenever the amount of any tax, interest or penalty has been overpaid or paid more than once, or has been erroneously or illegally collected or received by the city under this chapter, it may be refunded provided a claim in writing therefor, stating under penalty of perjury the specific grounds upon which the claim is founded, is filed with the collector within three years from the last day of the calendar month following the period of time for which the amount which is the subject of the claim was paid. The claim shall be on a form furnished by the collector. No refund shall be paid unless the claimant establishes his right thereto by written records showing entitlement thereto.
(Prior code § 6-1.507; Ord. 1477 § 1, 1968)
The amount of any license tax, interest and penalty, and all other fees and charges required to be paid under this chapter, shall be deemed a debt due to the city. The city may maintain a civil action thereon in its own name in any court of competent jurisdiction for the amount thereof, together with its court costs. Such civil action shall not be a bar to any criminal action provided by law or by this chapter.
(Prior code § 6-1.508; Ord. 1477 § 1, 1968)
A license issued under the provisions of this chapter may be revoked by the collector if the licensee shall conduct, engage in or carry on his business in an unlawful manner or fails to comply with the provisions of this chapter, or any other provisions of this code.
(Prior code § 6-1.601; Ord. 1477 § 1, 1968)
Prior to the revocation of any license, the licensee shall be given notice of the proposed action and shall be given an opportunity to be heard. If, within five days after such notice of proposed action has been given to the licensee he requests a hearing on the proposed revocation, a public hearing shall be held within thirty days after such request, upon ten days' notice to the licensee. The collector shall conduct the hearing, and if, as a result thereof such license is ordered revoked, such holder shall have the right, within fifteen days after such order, to appeal such action to the director in the manner specified in Sections 5.04.370 to 5.04.400. Notice of the proposed revocation of any license, of the date of the hearing, and of the decision of the collector shall be given by serving it personally upon the licensee or by depositing it in the United States mail, postage prepaid, addressed to the licensee at the place of business set forth in the license.
(Prior code § 6-1.602; Ord. 1477 § 1, 1968)
Any person aggrieved by any decision of the collector pursuant to this chapter may appeal to the director by filing a notice of appeal with the director within fifteen days of the serving or mailing of the decision.
(Prior code § 6-1.701; Ord. 1477 § 1, 1968)
The director shall fix a time and place for hearing such appeal. The director shall give notice thereof in writing to such person by serving it personally or by depositing it in the United States mail, postage prepaid, addressed to such person at his last known place of address, or in the case of a licensee, to the place of business set forth in the license.
(Prior code § 6-1.702; Ord. 1477 § 1, 1968)
The director shall have authority to determine all questions raised on such appeal at the time of the hearing. No determination so made by the director shall conflict with any substantive provision of this chapter.
(Prior code § 6-1.703; Ord. 1477 § 1, 1968)
No penalty provided for in this chapter shall be imposed after the filing of an appeal, or prior to the completion of the hearing on the appeal and the making of a determination of the subject of the appeal by the director.
(Prior code § 6-1.704; Ord. 1477 § 1, 1968)
(a) 
It shall be the duty of the collector and he is directed to enforce each and all of the provisions of this chapter, and the chief of the department of public safety shall render such assistance in the enforcement hereof as may from time to time be required.
(b) 
The collector in the exercise of the duties imposed upon him hereunder shall examine or cause to be examined all businesses conducted in the city of Sunnyvale to ascertain whether the provisions of this chapter have been complied with.
(Ord. 1477 § 2, 1968)
All remedies prescribed in this chapter are cumulative, and the use of one or more remedies by the city of Sunnyvale shall not bar the use of any other remedy for the purpose of enforcing the provisions hereof.
(Ord. 1477 § 3, 1968)