City of South San Francisco, CA LICENSE TAXES

“Auctioneer” means a person who, except at court sales, sells or offers for sale any real or personal property at auction.

The license tax is one hundred dollars per day payable in advance for each day an auction is to be conducted (“auction day”).

Ten business days before the auction sale, the applicant for the license shall file with the collector an itemized list identifying and describing the property to be auctioned.

(Ord. 720 § 4.1, 1976; Ord. 1391.1 § 9, 2008)

§ 6.16.030 Business and personal service.

“Business and personal services” means any business providing services, repairs or improvements to or on real property; renting or leasing personal property to businesses or persons; or providing services to persons such as but not limited to, laundries, cleaning and dyeing, shoe repair, barber and beauty shops, and photographic studies.

The license tax is seventy-five dollars per year plus five dollars for each employee with a maximum tax of one thousand dollars unless the business or personal service is specifically taxed by another provision of this chapter in which event such specific tax shall apply.

(Ord. 720 § 4.2, 1976; Ord. 751 § 1, 1977; Ord. 911 § 1, 1982)

§ 6.16.035 Card room.

“Card room” means any building or structure, or any portion of a building or structure or any premises or place, wherein in return for any fee, charge, thing of value or other compensation, any person or persons is or are permitted to play a card game or card games. The term “card room” is synonymous with the term “gaming club” as used in the Gaming Registration Act (commencing at Section 19800 of the Business and Professions Code).

“Card room operator” means any person as defined herein who owns, operates, manages or is otherwise financially interested in a card room as defined in subsection (a).

“Card table” means any table upon which any card game is played in a card room.

“Card table rate” means the twenty-five dollar per card table per year license tax payable by a card room operator.

(Ord. 976 § 1, 1985; Ord. 1391.1 § 10, 2008)

§ 6.16.037 Cannabis business.

“Cannabis business” means a person issued a cannabis operator permit pursuant to Chapter 20.410.

The license tax is as follows and may be adjusted by city council by resolution or ordinance:

One percent of gross receipts and up to two and one-half percent of gross receipts for commercial cannabis testing operations.

One percent of gross receipts and up to four percent of gross receipts for commercial cannabis cultivation operations.

One percent of gross receipts and up to three percent of gross receipts for commercial cannabis distribution operations.

One percent of gross receipts and up to five percent of gross receipts for commercial cannabis manufacturing operations.

One percent of gross receipts and up to five percent of gross receipts for commercial cannabis delivery-only operations.

One percent of gross receipts and up to five percent of gross receipts for a commercial cannabis business not otherwise included in subsection (b) of this section.

The license tax imposed is an excise tax and not a sales and use tax and is in addition to any other fees required under Chapter 20.410.

The payment of a tax required under this section, and its acceptance by the city, shall not entitle any person to engage in any cannabis business unless the person has complied with all of the requirements of Chapter 20.410 and all other applicable state or local laws. No tax paid under this section shall be construed as authorizing the conduct or continuance of any illegal or unlawful business, or any business in violation of any state or local laws.

(f)

Commercial cannabis businesses operating unlawfully in the city are subject to the license taxes under this section, in addition to any applicable penalties or fines under local and state laws.

(Ord. 1556 § 2, 2018)

§ 6.16.040 Coin, token or card-operated machine operator.

“Coin-operated machine” means a machine, device, contrivance or apparatus which upon deposit of a coin, plate, token, disk, card, slug or key into a slot, receptacle or other opening or for payment of a consideration permits participation in a lawful game or offers amusement, information, music, goods or services.

“Distributor” means any person who, as owner, agent, employee or otherwise, distributes, places, installs or delivers a coin-operated machine to any premises in the city or who keeps or stores within the city any such coin-operated machine for the purpose of distributing, placing, installing or delivering the same.

“Operator” means any person who, as owner, lessee, employee, agent or otherwise, operates, installs, keeps, maintains, permits or allows to be operated, installed or maintained, any coin-operated machine in or upon any premises owned, leased, managed, operated or controlled by such person within the city.

“Owner” means any distributor or operator of coin-operated machines who owns the machines in question. Owner does not include an operator who is otherwise licensed to do business in this city and who owns and operates coin-operated machines other than “coin-operated amusement devices” as defined in Chapter 6.44 of this code as an incidental activity in conjunction with said licensed business.

The license tax payable by owner shall be one percent of the gross receipts without deduction therefrom.

(Ord. 720 § 4.5, 1976; Ord. 751 § 1, 1977; Ord. 888 § 1, 1982; Ord. 1391.1 § 11, 2008)

§ 6.16.045 Proof of gross receipts.

In order to determine the dollar figure represented by one percent of gross receipts of a coin-operated amusement device as defined in Chapter 6.44 of this code, the following procedure shall be used:

All amusement devices installed in businesses in South San Francisco shall be equipped with metering devices if technically feasible. Gross receipts for a given year shall be based upon readings of said meters, and shall be evidenced by receipts signed by the distributor and operator each time money is retrieved from the device. Receipts shall be compiled, tabulated and presented to the city finance department each year when a license is renewed.

In case of operators or distributors making an initial application for a license for coin-operated amusement devices in South San Francisco, or in the case of an application to license amusement devices which cannot be made to accept meters, proof of a prior year’s gross receipts shall be given. Said proof shall be in the form of either a declaration under penalty of perjury or a report provided by a certified public accountant acting as an external auditor. Said report shall be funded by the operator or distributor applying for the license and renewal.

In the case of an application by a distributor or operator having no prior experience with coin-operated amusement devices, gross receipts shall be estimated at the rate of thirty dollars for each projected day of operation. For the purpose of this section, a “day of operation” shall include each day in which the machine is physically located in the business and the business is open.

(Ord. 888 § 2, 1982)

§ 6.16.047 Commercial parking facility.

Commercial Parking Facility Defined. “Commercial parking facility” means any privately owned or operated facility which provides, for any form of consideration, parking or storage for motor vehicles, motorcycles, trailers, bicycles or other similar means of conveyance for passengers or property. Privately owned or operated facilities, which would otherwise be within the foregoing definition of “commercial parking facility,” are excluded from that definition when rented appurtenant to the rental of residential-dwelling units which are not otherwise required to be licensed pursuant to this chapter.

“Operator” means any person who, as owner, lessee, employee, agent or otherwise, operates, maintains, manages, keeps, permits or allows to be operated, maintained, managed or keep any commercial parking facility in or upon any premises owned, leased, managed, operated or controlled by such person within the city.

The license tax payable by operator shall be eight percent of the gross receipts received from facilities operated within South San Francisco without deduction therefrom.

This section shall become operative and the tax set forth herein shall be imposed on January 1st, 1983.

(Ord. 904 § 3, 1982; Ord. 918 § 1, 1983; Ord. 1134 § 1, 1993; Ord. 1346 § 2, 2004)

§ 6.16.050 Construction contractor.

“Construction contractor” means a person conducting or carrying on a business and who undertakes to, or offers to undertake to, or purports to have the capacity to undertake to, or submits bids to, or does him or herself or by or through others, construct, alter, repair, add to, subtract from, improve, move, wreck, or demolish any building, highway, road, railroad, excavation or other structure, project, development or improvement, including excavation and moving of earth, rock, sand and similar materials or filling and grading of land, or to do any part thereof, including the erection of scaffolding or other structures or work in connection therewith, acting as a general contractor, prime contractor, subcontractor or specialty contractor.

The license tax is one hundred fifty dollars for a general or prime contractor and one hundred twenty-five dollars for a subcontractor or specialty contractor (“contractor/subcontractor rate”).

(Ord. 720 § 4.6, 1976; Ord. 911 § 2, 1982; Ord. 1391.1 § 12, 2008)

§ 6.16.060 Junk collector/recycler.

Each business or person that operates as a junk collector or recycler within South San Francisco shall pay an annual business license tax equal to the greater of two hundred dollars or four percent of the gross receipts derived from the collection of recyclable/salvageable materials within South San Francisco (“junk collector/recycler rate”). A recyclable/salvageable material shall be as defined in Section 6.56.010 and Section 8.28.020. With the exception of the initial payment, the taxes owed pursuant to this section shall be paid quarterly and shall be due and payable on April 30th, July 31st, October 31st, and January 31st of each year. An initial payment of two hundred dollars shall be required at the time that the business license is requested. The two hundred dollar payment shall be credited against the first quarterly payment thereafter due. This provision shall not apply to a business that operates on a franchise as defined in Section 6.16.130.

All junk collectors who are issued a junk collectors permit to conduct a junk collectors business involving the collection of recyclable/salvageable materials shall submit quarterly reports and an annual report to the city’s finance director for purposes of compliance with this section.

The following information shall be furnished by each junk collector permitted by the city in its quarterly reports:

The number of accounts that the junk collector has in the city;

The total revenue received from charges for the collection of recyclable/salvageable materials from accounts within the city;

A calculation of four percent of gross receipts earned during that quarter from the collection of recyclable/salvageable materials within the city;

Total tonnage of recyclable/salvageable material collected by the junk collector from sources in South San Francisco;

Total tonnage of each type of recyclable/salvageable material collected by the junk collector from sources in South San Francisco.

The quarterly reporting periods shall be from January 1st through March 31st, April 1st through June 30th, July 1st through September 30th, and October 1st through December 31st.

Each junk collector permitted by the city shall furnish the following information in its annual report: the business name, address, telephone number and contact person of each account which is serviced by the junk collector; the date that the account service began and ended as applicable and the total annual charge to the account for service, and total annual revenue derived from service charges for the calendar year.

Failure to produce a quarterly or annual report may result in revocation or suspension of the junk collector’s permit pursuant to Section 6.56.070 of this code.

(Ord. 720 § 4.7, 1976; Ord. 1154 § 1, 1994; Ord. 1391.1 § 13, 2008)

§ 6.16.070 (Reserved)

§ 6.16.080 Manufacturer.

“Manufacturer” means a person who makes, contrives or produces by industrial art or process any goods, wares, merchandise, substance or commodity, including food, food products, or beverages.

The license tax is seventy-five dollars plus fifteen dollars for each employee (“manufacturing rate”).

(Ord. 720 § 4.9, 1976; Ord. 911 § 3, 1982; Ord. 1391.1 § 15, 2008)

§ 6.16.090 (Reserved)

§ 6.16.100 (Reserved)

§ 6.16.110 Peddler or solicitor.

“Peddler” means any person going from house to house, place to place, or in or along the streets within the city selling and making immediate delivery or offering for sale and immediate delivery, any goods, wares, merchandise, or anything of value, in possession of the peddler, except such goods, wares and merchandise to manufacturers, wholesalers, jobbers or retailers, for the purpose of resale.

“Solicitor” means a person who engages in the business of going from house to house, place to place, or in or along the streets within the city selling or taking orders for, or offering to sell or take orders for, goods, wares, merchandise or other things of value for future delivery or for the services to be performed in the future.

The license tax shall be as follows: a fixed fee of seventy-five dollars plus fifteen dollars multiplied by the average number of employees plus two hundred fifty dollars per vehicle used in by the business in the city (“peddler/solicitor rate”).

All peddlers and solicitors shall comply with the requirements set forth under Chapter 6.90 of this code and shall obtain a vending permit issued pursuant to that chapter. Such permit shall be displayed or carried on the permittee’s person at all times as required by Chapter 6.90.

Every person engaged in the business of soliciting shall first pay to the department of finance the license tax specified in this section and, thereafter, prior to receiving such license or permit, or renewal thereof, shall report to the police department of the city and furnish said department with all the following information:

Permanent residence address and telephone number of applicant, together with his or her regular mailing address;

Up-to-date medical certificates (not more than ten days old), issued by a licensed physician and establishing that neither the applicant nor any of the persons intended to be employed by him or her for the purpose of soliciting within the city, including any and all partners, agents, servants, or crew members, is afflicted with a communicable disease of any type or description; each person so afflicted shall be denied a license or permit until such time as he or she shall present a medical certificate showing him or her to be free from any such communicable disease;

Each applicant and all partners, agents, employees, servants, or crew members shall submit to fingerprinting by the police department for identification purposes; it shall be the duty of the police department to check all of said fingerprints with the Federal Bureau of Investigation and the California Criminal Intelligence Bureau. If the police department ascertains that the applicant, or any of said persons, has a criminal record, or is of undesirable character, it shall be the duty of the chief of police to report such matter, at the earliest possible date, to the city council, with his or her recommendation, and, in the meantime, no license or permit, as the case may be, shall be issued to such person, pending action by the city council. If, upon the police report, such person is denied a license or permit, or if he or she withdraws his or her application after the police department has commenced its investigation, he or she shall be entitled to a refund of the tax paid to the collector as specified in this section; provided, however, that there shall be deducted therefrom the sum of fifty dollars to be retained by the city as reimbursement for the cost of making each investigation;

The provisions of this section with respect to fingerprinting, health certificates, and police investigation shall apply to all persons soliciting within the confines of the city whether such person is subject to the payment of a business license fee or not. All persons exempt from the payment of such business license fee shall, nevertheless, be required to carry a card containing the same information and data as specified in this section, and shall pay to the collector the sum of fifty dollars annually for the purpose of defraying the expense of fingerprinting, police investigation, and preparation of license or permit card, which must be renewed each year;

It is unlawful for any person to solicit:

(A)

At any time at any building where there is a posted sign stating “no solicitors,” or words to that effect, unless the occupant has previously granted permission,

(B)

At any time at any building between the hours of nine p.m. and nine a.m.,

(C)

In a congested area where the solicitation impedes the public. For the purpose of this section, the judgment of a police officer, exercised in good faith, shall be deemed conclusive as to whether the area is congested or the public impeded.

(Ord. 720 § 4.12, 1976; Ord. 723 § 1, 1976; Ord. 751 § 1, 1977; Ord. 1391.1 § 18, 2008; Ord. 1582 § 4, 2019)

§ 6.16.120 Professional-semiprofessional related business.

“Business” means a person engaged in each of the following or any combination thereof:

Accountant, acupuncturist, advertising, analyst, appraiser, architect, artist, assayer, attorney;

Bacteriologist, bail bond broker, broker, business opportunity broker, business and safety consultant;

Cemetery broker, chemist, chiropodist, chiropractor, collection agency or mercantile agency, commercial artist, commission merchant;

Dentist, designer or decorator, discount finance company, drugless practitioner (provided, however, that this section shall not apply to persons who treat the sick through prayer or spiritual means);

Electrologist, engineer, entomologist, finance company;

(6)

Geologist;

(7)

Herbalist (prescriber);

(8)

Illustrator or show card writer, insurance adjuster or claims adjuster, insurance broker, investment and investment trust;

(9)

Laboratory, landscape architect, lapidary;

(10)

Map maker or cartographer, mineralogist, moneylender or money broker, mortician;

(11)

Naprapath and naturopath;

(12)

Oculist, oil and gas broker, optometrist, osteopath;

(13)

Physician, psychiatrist, psychologist;

(14)

Real estate broker;

(15)

Stock and bond broker, surveyor;

(16)

Tax counselor, taxidermist;

(17)

Veterinarian;

(18)

Design professional, including computer or graphic design;

(19)

Computer programmer;

(20)

Planner or architect;

(21)

Surveyor, inspector, or map professional.

The license tax is as follows:

One natural person conducting such a business, a tax of one hundred fifty dollars;

Two or more natural persons conducting such a business as an association, partnership, or professional corporation, a tax of one hundred fifty dollars plus one hundred fifty dollars for each natural person participating as an associate, partner or member of the professional corporation (“professional/semi-professional rate”).

(Ord. 720 § 4.14, 1976; Ord. 726 § 1, 1977; Ord. 911 § 4, 1982; Ord. 1391.1 § 19, 2008)

§ 6.16.130 Public utilities.

“Public utilities” means public utilities operating within the city except those which pay a city tax pursuant to a franchise.

Unless otherwise prohibited by law, the license tax is five thousand dollars (“public utility rate”).

(Ord. 720 § 4.16, 1976; Ord. 1391.1 § 20, 2008)

§ 6.16.140 Recreation and entertainment.

“Recreation and entertainment” means bowling alleys, circus or similar exhibition, carnival or similar event, boxing or wrestling exhibition, motion picture exhibitions or any other business providing entertainment, recreation or amusement.

The license taxes (“entertainment rate”) are as follows:

Bowling alley, a tax of fifty dollars for each alley;

Circus or similar exhibition, a tax of five hundred dollars for the first day and one hundred dollars for each additional day;

Carnival or similar event, a tax of five hundred dollars for the first day and one hundred dollars for each additional day;

Boxing or wrestling exhibition, a tax of five hundred dollars for each exhibition;

Motion picture exhibition, a tax of two dollars per seat;

(6)

Other businesses providing entertainment, recreation or amusement not specifically taxed by this section or other provisions of this chapter, a tax of one hundred dollars.

(Ord. 720 § 4.17, 1976; Ord. 1391.1 § 21, 2008)

§ 6.16.150 Rental of residential property.

“Rental of commercial residential property” means a person conducting or operating a hotel, motel or apartment house containing five or more dwelling units, and containing a rental office on site.

The license tax is seventy-five dollars plus five dollars per dwelling unit, whether occupied or vacant (“residential property rental rate”).

(Ord. 720 § 4.18, 1976; Ord. 751 § 1, 1977; Ord. 911 § 5, 1982; Ord. 1391.1 § 22, 2008)

§ 6.16.160 (Reserved)

§ 6.16.170 (Reserved)

§ 6.16.190 Temporary vendor.

“Temporary vendor” means any person who engages in temporary or transient business in the city, selling goods, wares, merchandise or any other thing of value with the intention of conducting such business in the city for a period of less than six months and who, for the purpose of carrying on such business, hires, leases or occupies any room, vacant lot, building or other place for the exhibition or sale of goods, wares, merchandise or other thing of value for a period of less than six months; provided, however, that this section shall not apply to sample rooms for the display and taking orders for goods at wholesale.

The license tax is fifty dollars per day (“temporary vendor rate”).

(Ord. 720 § 4.22, 1976; Ord. 1391.1 § 24, 2008)

§ 6.16.200 Trailer and mobile home parks.

“Trailer and mobile home parks” means a place where trailers or mobile homes are placed or parked for use of occupants for dwelling purposes.

The license tax is seventy-five dollars plus five dollars per space (“trailer park rate”).

(Ord. 720 § 4.23, 1976; Ord. 751 § 1, 1977; Ord. 911 § 7, 1982; Ord. 1391.1 § 25, 2008)

§ 6.16.210 Transportation of persons.

“Transportation of persons” means the carrying of persons in the city by a person not otherwise licensed by this chapter. This section shall not apply to public transit agencies such as SamTrans, BART, their successor agencies, or any other public transit agencies, but shall apply to private carriers who have an office or commercial garage or warehouse in the city and rent out their vehicles for a fee to public transportation companies.

The license tax is two hundred fifty dollars per vehicle plus fifteen dollars multiplied by the average number of employees (“transportation of persons rate”).

(Ord. 720 § 4.24, 1976; Ord. 911 § 8, 1982; Ord. 1391.1 § 26, 2008)

§ 6.16.220 Warehousing.

“Warehousing” means any business operation where the principal business activity involves the storage and warehousing of goods, merchandise, packages, mail, or household furniture or goods in the city. Warehousing includes the temporary storage or processing of mail or packages for purposes of sorting or preparing for redelivery.

A business subject to the Warehousing Activities Rate may be exempt if it is a carrier of household goods or owns or operates motor vehicles in the transportation of property for hire and therefore engages in intercity transportation business within the meaning of Household Goods Carriers Uniform Business License Tax Act (Cal. Pub. Util. Code Sections 5325 et seq.). A business claiming such an exemption must follow the procedure prescribed in Sections 6.04.040 and 6.04.050 of this code.

A business operation that has a warehousing component, but which has retail or wholesale sales, research and development, or manufacturing as its principal business activity within the city, shall be classified as another business type for the purposes of calculating the business license tax, as provided for in Section 6.04.110 of this code. In determining the proper category for a business with a warehousing component, the collector shall consider whether the business uses its warehouse space for any of the following:

The manufacture of products, including food or beverage products at the same location by that same company.

The internal use of a stored commodity to be consumed primarily by that business itself, such as the following items when used by the business in the course of transacting its own business: office supplies, lab equipment, automotive parts or supplies, or chemical or testing products.

Servicing the retail, wholesale, or manufacturing activities of that same business within the city.

Wholesale sales. “Wholesale sales” means sale of goods, wares, or merchandise for the purpose of resale in the regular course of business by a person not otherwise licensed by this chapter.

The license tax for a warehousing business not otherwise excluded in subdivision (C) of this section or elsewhere in this chapter is a seventy-five dollar fixed rate plus fifteen dollars multiplied by the average number of employees (“warehouse activities rate”).

(Ord. 720 § 4.25, 1976; Ord. 911 § 9, 1982; Ord. 1391.1 § 27, 2008)

§ 6.16.230 Wholesale sales.

“Wholesale sales” means sale of goods, wares, or merchandise for the purpose of resale in the regular course of business by a person not otherwise licensed by this chapter.