[HISTORY: Adopted by the City Council of
the City of Roseville 3-26-2013 by Ord. No. 1262.[1] Amendments noted where applicable.]
CHARTER REFERENCES
County and City Health Departments — See Ch. 5, Sec. 5.4.
City Clerk — See Ch. 7, Sec. 7.2.
Director of Buildings and Inspection — See Ch. 7, Sec. 7.13.
This chapter shall be known and cited as the
"Pawnbroker, Secondhand Dealer and Junk Dealer Ordinance of the City
of Roseville" and will be referred to herein as "this chapter."
As used in this chapter, unless the context
requires a different meaning, the following words and phrases shall
have the meanings ascribed by this section:
Any junk dealer engaged substantially in the business of
purchasing or receiving, wrecking or dismantling, and the sale or
exchange of motor vehicles for the purpose of salvaging parts or materials
therefrom.
Any place where an auto salvage dealer purchases, receives,
wrecks, dismantles, sells, or exchanges used motor vehicles, or parts,
or materials salvaged therefrom.
Any owner, person, corporation, limited-liability company, member of a co-partnership, or firm which is regulated pursuant to state law and which is required to maintain and report transactions pursuant to state law on the recommendation of the Police Chief shall be permitted to be exempt from §§ 179-3 through 179-10 and §§ 179-11, 179-13, 179-15, 179-17, and 179-22 other than those regulated by state laws involving secondhand and junk dealers pursuant to MCL § 445.401 et seq., precious metal and gems pursuant to MCL § 445.481 et seq., and pawnbrokers, dealers and junk dealers pursuant to MCL § 445.471 et seq.
Any vehicle used for the collection, transportation, or handling
of junk, or secondhand property, except not including a towing vehicle
used to transport automobiles substantially used other than in transportation
of motor vehicles as part of an auto salvage dealer business.
Any person 18 years of age, or older, who renders any services
in connection with the operation of a pawnbroker, secondhand dealer,
or junk dealer business and who receives compensation from the business,
or patrons thereof.
The propensity on the part of the person to serve the public
in a licensed area in a fair, honest and open manner.
Any item not specifically covered by other definitions contained
in this section.
Any personal property which is, or may be, salvaged for reuse,
resale, reduction, or similar disposition, or which is possessed,
transported, owned, collected, accumulated, dismantled, or assorted
for any of the aforesaid purposes. Without limiting the aforesaid
definition of "junk," terms shall include "used," or "salvaged" rope,
bags, paper, rags, glass, rubber, wood pellets, and similar articles
of property, and used motor vehicles, machinery, or parts thereof,
which are used, owned, or possessed for the purpose of wrecking or
salvaging parts of materials therefrom. Metals available or used as
scrap shall be considered as junk.
Any person whose substantial business is buying, exchanging,
collecting, receiving, storing, accumulating, selling, or otherwise
handling junk.
Any place at which a junk dealer buys, exchanges, collects,
receives, stores, accumulates, sells, or otherwise handles junk.
Any person who owns any part of, or controls, a pawnbroker,
secondhand dealer, or junk dealer business. This includes individuals,
licensees, managers, lessees, sponsors, partnerships, corporations,
societies, organizations, associations, limited-liability companies,
or any combination of individuals, of whatever form or character.
Any person 18 years of age, or older, who does business in
any form with a pawnbroker, secondhand dealer, or junk dealer business.
Any person, corporation, member of a limited-liability company,
member of a partnership, or firm who loans money on deposit, or pledge
personal property, or other valuable thing, other than securities,
or printed evidence of indebtedness, or who deals in the purchasing
of personal property, or other valuable things on condition of selling
the same back again as stipulated price.
Any place where a pawnbroker regularly conducts the business
of being a pawnbroker.
Any junk dealer engaged substantially in the business of
purchasing or receiving scrap iron and metal (except scrap motor vehicles
not purchased from a licensed auto salvage dealer or junk dealer)
and the storing, processing, recycling, and sale or exchange thereof.
Any place where a scrap iron and metal processor or recycler
engages in the business of receiving, storing, processing or recycling
scrap iron or metal.
Any person, corporation, member of a co-partnership, or firm, or limited-liability company whose principal business is that of purchasing, storing, selling, exchanging, and receiving secondhand personal property of any kind or description. Excluded from §§ 179-10, 179-12, 179-13, 179-15, 179-16, 179-17, and 179-22 shall be any business whose primary business is the purchase and resale of clothing.
No owner or operator shall engage in or carry on the operation
of a pawnbroker, secondhand dealer, or junk dealer business without
first obtaining and maintaining a valid business license issued by
the City pursuant to this chapter for each separate office or place
of business conducted by such owner or operator.
Any owner or operator desiring a pawnbroker,
secondhand dealer, or junk dealer business license shall file a written
application with the City on a form to be furnished by the City. A
separate application shall be completed for pawnbroker, secondhand
dealer and junk dealer. The applicant shall accompany the application
with the correct license fee, which fee shall not be refundable, and
shall furnish the following information:
A.
Type of ownership of the business, i.e., whether individual,
partnership, corporation, or otherwise, including copies of the most
recent annual statement and most recent articles of incorporation,
partnership agreement, articles of organization, or other applicable
document.
B.
The name, style and designation under which the business
or practice is to be conducted, including each address at which the
business is to be conducted.
C.
A complete list of the names, resident addresses,
birth dates, and driver's license numbers, if applicable, of all owners,
employees and persons, or entities lending, investing, or giving money
to the business, identifying, where applicable, any employees who
will manage, or be in charge of, the operation of the business at
any time.
D.
The following personal information concerning the
applicant and owners, if an individual; concerning each stockholder,
officer, or director, if a corporation; concerning each member, if
a limited-liability company; concerning the partners, including general
and limited partners, if a partnership; and concerning the manager
or other person principally in charge of the operation of the business:
(1)
Name,
address and telephone number, date of birth and driver's license number,
if applicable;
(2)
Two
previous addresses prior to the present address of the applicant;
(3)
Written
proof showing date of birth;
(4)
Height,
weight, color of hair, eyes and sex;
(5)
Two
front-faced portrait photographs taken within 30 days of the date
of application, at least two inches by two inches in size;
(6)
A full,
accurate and complete business history detailing experience, including,
but not limited to, whether or not such person has previously had
any ownership interest in, or worked at, in this or another city or
state, the same or similar business, including whether any license
or permit was issued, whether any such license or permit was ever
denied, revoked, or suspended, the reason therefor and business activities,
or occupations, including the full name and address of the business
and the name and phone number of any contact persons;
(7)
All
criminal convictions other than misdemeanor traffic violations, fully
disclosing the jurisdiction in which such conviction occurred, the
offense for which conviction, or such conviction and the circumstances
thereof;
(8)
Complete
set of fingerprints taken and to be retained on file by the Chief
of Police, or his or her authorized representative.
E.
Authorization for the City, its agents and employees to seek information
and conduct an investigation to the truth of the statements set forth
in the application and qualifications of the applicant.
F.
The names
and addresses of three adult residents in the county who will serve
as character references, who must be persons other than relatives
and business associates.
G.
A written
declaration by the applicant under penalty of perjury that the information
contained in this application is true and correct with such declaration
dated and signed in the City.
H.
Execution
of any and all necessary documents and a statement indicating that
proper equipment will be installed for the direct electronic entry
into the City of Roseville’s computerized system, or third-party
contractor, transaction information, or recording by electronic transmission
pursuant to this chapter.
A.
Upon receipt of an application for a pawnbroker, secondhand
dealer, or junk dealer business license, the City shall refer the
application to the Chief of Police, or his designee, who shall conduct
an investigation into the applicant’s moral character, personal
and criminal history. A personal interview may be required and such
further information, identification and physical examination of the
person and proposed business premises and records of the applicant
as shall bear on the investigation.
B.
The Chief of Police, or his designee, shall cause
to be conducted an investigation of the premises where the business
is to be carried on for the purpose of insuring that the premises
comply with all requirements set forth in this chapter and with ordinances
of the City relating to public health, safety and welfare. Additionally,
no applicant’s license shall be considered as issued until all
equipment is installed and demonstrated to be operating for the electronic
transmission of information relating to transactions as required pursuant
to this chapter.
C.
An applicant shall submit to lawful inspections by
the City and any of its departments, as well as the county and any
other governmental agencies as necessary to insure that the proposed
business and applicant comply with applicable laws, ordinances and
regulations of the City. An application may be refused for submission
for approval to the City Council until a report from applicable departments
is received and information furnished such that the applicant or proposed
premises complies with all applicable laws, ordinances and regulations.
D.
Before issuance of any license, the Chief of Police,
or his designee, shall submit, within 45 days of receipt of an application
and report of investigations, inspections and a recommendation for
approval or denial.
The City, upon receipt of an application for a license required
by this chapter, and reports and recommendations of the Chief of Police,
or his designee, shall place the application upon the agenda for the
next regularly scheduled Council meeting, provided that such meeting
date is not less than seven days from the date of receipt of such
application by the City Clerk. If it is less than seven days from
such receipt, such application shall be placed upon the agenda for
the following regular meeting of the Council. The Council shall determine
whether or not such license shall be issued, after reviewing the reports
of investigation and inspection and recommendation by the Chief of
Police, or his designee, and other employees of the City.
A.
The Council shall direct that a license be issued
within 14 days, provided, in addition, electronic transmission is
demonstrated to be capable, unless it finds that:
(1)
The
correct fee has not been tendered or any fee in the form of check
or draft has been dishonored.
(2)
The
operation as proposed is not compliant with the applicable laws, including
but not limited to the City’s building, fire, zoning and health
ordinances.
(3)
The
applicant or any person having an ownership interest in any entity
which is the applicant, or a manager, has been convicted of any crime
involving moral turpitude, including but not limited to prostitution
and pandering, gambling, extortion, fraud, criminal usury, controlled
substances, weapons, assault, theft, unless such conviction occurred
at least 15 years prior to the date of application.
(4)
The
applicant has knowingly made any false, misleading or fraudulent statement
of fact in the permit application, or in any document required by
the City.
(5)
The
applicant has had a similar business license, or other similar permit,
or license denied, revoked, or suspended for any of the causes set
forth here and above in this chapter, or any other state or local
agency within the prior 15 years of the date of application.
(6)
The
applicant or any owner is not 18 years of age or older.
B.
The Council, if it denies an application, shall specify the grounds
for denial, notifying the applicant by regular mail, addressed to
the address furnished in the application, which notice shall specify
the grounds for denial.
A.
Within
20 days of the date of denial of an application, the applicant may
request, in the form of a written application to the City, furnished
to the City Clerk, a hearing before the City Council for reconsideration
of the license application denial, or for a variance of any of the
provisions of this chapter, which provision constituted grounds for
the original denial of the application. Such hearings shall be conducted
as follows:
(1)
The
applicant, and his or her attorney, may present and submit evidence
on the applicant’s behalf to show that the grounds for the original
denial do not exist or are inaccurate.
(2)
After
reviewing the evidence, Council shall determine whether to uphold
the denial or grant the application.
(3)
The
applicant and his or her attorney, may present a statement and adequate
evidence, demonstrating that:
(a)
Exceptional or extraordinary circumstances or conditions apply to
the business referred to in the appeal submitted, which circumstances
or conditions do not apply generally to any proposed business, which
warrant the issuance of the application notwithstanding conformity
with this chapter.
(b)
The granting of such license will not materially affect the health,
safety, or welfare of persons residing or working in the neighborhood,
patrons, or the public at large and that such issuance shall not be
a material detriment or injurious to public welfare.
C.
The Council
may impose reasonable conditions, if the license is approved for issuance.
A.
Every licensee shall permit all reasonable inspections
of the business premises, including during regular business hours
and otherwise after regular business hours, and shall at all times
comply with all applicable laws, including after expiration of any
license and during any period the license may be revoked or suspended.
B.
Any licensee shall display the license in an open
and conspicuous place on the premises visible to the patrons of the
premises.
C.
During the pendency of any application, or during
the term of any license, if any information provided in the application
changes, such change of information shall be furnished, in writing,
to the Chief of Police, or his designee, within 72 hours after such
change.
A.
The City shall furnish forms for the taking of fingerprints
and furnishing additional information as required by regulations of
the Roseville Police Department. Every person licensed to conduct,
maintain, or engage in a business of pawnbroker, secondhand dealer,
or junk dealer shall maintain in a form provided by the Chief of Police,
or his designee, records in the manner and form as provided herein,
which shall be subject to inspection by the Roseville Police Department
upon request.
B.
Every licensee, owner and employee shall keep a record
of all persons and/or entities with whom business has transacted and
all property coming into his/her possession. Reports must be electronically
transmitted to the Chief of Police or his designee. Within 48 hours,
a report must be transmitted by means of electronic transmission through
a modem, or similar device, in a format that the data is capable of
direct electronic entry into the City of Roseville’s Police
Department’s computerized system, or third-party contractor,
as approved by the Chief of Police, or his designee, for identifying
property coming into the possession of a licensor, including but not
limited to all pawn property, all transactions in which used goods
have been received the preceding day by pawn, trade, purchase, or
consignment and items received by junk dealers. A transaction report
by electronic transmission under this subsection shall not be reported
on paper forms, unless the Chief of Police, or his designee, so requires.
All secondhand dealers, junk dealers, and pawnbrokers must have the
equipment installed in their place of business no later than May 1,
2013. Information must be reported electronically beginning May 1,
2013. If the volume of transactions does not exceed 10 for a ninety-day
period, transactions taking place at that business may not be reported
electronically, but shall be reported on paper forms approved by the
Chief of Police or his designee.
C.
A fee as adopted and subject to change periodically
by the City Council shall be assessed per transaction. The vendor
will assess the property registration fee for each transaction, the
licensee reports either through batch file upload or directly using
the vendor’s business interface, or on the vendor’s automated
reported service that involves transactions subject to the provisions
of this chapter.
D.
"Transaction" is defined as a single buy, or which
may involve one or more items and does not include contract extensions,
or claims. The per-transaction registration fee is not a per-item
fee included in the transaction. It is within the sole discretion
of the secondhand dealer whether to recover the fee from his/her customers
for registering a transaction.
E.
The licensee will be invoiced on a monthly basis.
The City’s vendor automated reporting service isolates and generates
a list of the billable transactions that will be used for deriving
invoiced amounts. The above fees are assessed for the use of the standard
vendor’s automated recording service. Any custom programming
completed for the secondhand dealer will be negotiated on a contract
basis and may result in additional licensing arrangements between
the vendor and the licensor. Sales tax will be added to the above
amounts where applicable. Failure to timely pay as invoiced is a violation
of this chapter.
No entity or person who is not a licensed pawnbroker, secondhand
dealer, or junk dealer shall sell, offer for sale, advertise for sale,
or represent any article, personal property, or other valuable thing
for sale which is subject to the provisions of this chapter unless
the proper license is in effect. No pawnbroker, secondhand dealer,
or junk dealer shall purchase, or receive in pawn, any item, or other
articles, or keep for sale any such articles, or items unless a current
effective license is in effect.
It is unlawful for any person licensed under
the provisions of this chapter, or otherwise as a pawnbroker, or secondhand
dealer, or used goods dealer, pursuant to state law to transact business,
or to open, or keep open, the place or room where such business is
conducted on any Sunday.
No licensee, employee, or agent of a licensee
shall sell or purchase by sale, barter, exchange, or otherwise any
item under a license issued pursuant to this chapter from or to any
person or entity between the hours of 9:00 p.m. and 7:00 a.m. of the
following day. In addition, no person or entity shall sell or purchase
by sale, barter, exchange, or otherwise any junk between the hours
of 6:00 p.m. and 7:00 a.m. the following day.
A.
No licensee,
or agent, or employee shall conceal or misrepresent the identity by
removing, concealing, defacing, adding to, substituting, or altering
the serial number or manufacturer’s number on any motor vehicle,
motor, appliance, mechanical device, watch, clock, camera, precision
instrument, outboard motor, radio, shotgun, or any other article or
thing where the manufacturer has placed numbers for the purpose of
identification; by altering or replacing any part of such article,
or thing, baring the serial or manufacturer’s number with a
new or replaced part upon which the proper serial number or manufacturer’s
number has not been stamped or placed.
B.
No person
licensed under this chapter, or employee of such licensed person,
shall deal in, or possess, any item as described hereinabove from
which the serial numbers have been removed, concealed, defaced, added,
substituted, altered, or replaced.
C.
In all
prosecutions under this section, possession by any dealer, licensor,
person, or entity of an item from which the serial numbers, or manufacturer’s
number, or identification number has been removed, concealed, defaced,
added, substituted, altered, or replaced shall be prima facie evidence
of violation of the provisions of this section.
No licensee under this chapter shall display merchandise or
articles outside of the building or fail to change a window display
at least twice monthly.
Whenever a law enforcement official from any agency notifies
an auto salvage dealer, junk dealer, pawnbroker, secondhand dealer,
or owner or employee of any of the foregoing, the item must not be
sold or removed from the premises. If the hold was conveyed verbally,
the hold shall be confirmed by the investigating agency within 72
hours, either in writing or by electronic transmission. The order
to hold the item shall expire 60 days from the date it is placed,
unless the holding agency seizes the item of evidence, or obtains
other court order to hold the item, or determines that the hold is
still necessary and notifies the business, in writing or by electronic
transmission, to continue to hold the item for an additional 60 days.
Each licensee and owner shall be jointly and severally liable for
holding such property.
Items, goods, articles and junk purchased or exchanged shall
be retained for not less than 15 days before disposal in an accessible
place in the building where licensed activity occurs. A tag shall
be attached to such item in some visible and conspicuous place with
a number corresponding to the entry in the electronic record or other
record provided. For items not recorded electronically, the purchaser
shall prepare and deliver on Monday of each week, to the Chief of
Police, or his designee, before noon, a legible and correct copy in
the English language containing a description of each item and photograph,
purchased or received during the previous week, including the hour,
day when purchased and a description of the person from whom it was
purchased, including a copy of a photo identification. Such statement
shall be verified by the affidavit of the licensee, employee, or owner
who received the item.
No licensee, owner, or employee shall receive any item, goods,
or junk from any person who at the time is intoxicated, or appears
to be under the influence of a controlled substance, or is known to
be a thief, or receiver of stolen property, or from any person who
is suspected not to be the owner of the property, or from any minor
under the age of 18 years.
No licensee shall maintain a junkyard, junk shop, auto salvage
yard, or scrap metal yard, or any other business unless the business
is carried on entirely inside a building, or unless the premises is
conducted within an enclosed area, except for gates, or doors for
ingress and egress by a suitable enclosure such as a fence, or wall
as approved by the Planning Commission for the City of Roseville.
A.
All fences
and enclosures shall be maintained in a neat and substantial manner,
including but not limited to painting, removal, or replacement of
dilapidated areas and maintenance of a continuous, uninterrupted,
even perimeter of the same materials.
B.
No items,
goods, or junk shall be permitted to lean on or touch any such enclosure,
or be in front of or suspended on any such enclosure. Items may not
be piled higher than two feet below the top of such enclosure, and
items must be arranged so that safety aisles, driveways and uniform
passageways are provided, allowing reasonable access to all parts
of the premises by law enforcement and fire-fighting operations.
C.
All premises
shall be maintained in a clean, sanitary and neat condition, and no
fire shall be permitted unless a permit from the Fire Marshal and
any other regulatory agency has been obtained and is in full force.
Scrap tires may only be stored after special land use approval
by the Planning Commission under the standards for special land use
approval and the Zoning Ordinance.[1]
A.
Prior
to any license being issued, the applicant shall furnish a corporate
security bond, best A rated, or better, and the penal sum of $10,000,
with sufficient sureties to be approved by the City, which bond shall
be conditioned that the owner, operator shall, during the time of
the license, comply with all the laws of the State of Michigan and
City pursuant to this chapter and in regard to pawnbrokers, secondhand
dealers, junk dealers, the Precious Metal and Gem Dealer Act[1] of the state, as set forth, and the sale of secondhand
watches act of the state,[2] as set forth, including any amendments to the foregoing
state laws. Any person aggrieved by the action of the licensee shall
have a right of action on the bond for recovery of money damages.
Such bond shall remain in full force and effect for 90 days after
the expiration or cancellation of any license, or after the termination
of any action upon such bond.
B.
On the
recommendation of the Building Inspector, City Manager, or Chief of
Police, an additional bond may be required in order to assure that
the conditions at the site of the business are maintained, from which
the costs of any enforcement action shall be repaid to the City in
the event of any enforcement action for compliance with this chapter.
Each licensee and employees must comply with the terms of state
laws, including but not limited to MCL §§ 445.471 through
445.476, and any amendments thereto, the state act regulating pawnbrokers,
where applicable, §§ MCL 446.201 through 446.219, and
any amendments thereto. Full compliance with the Precious Metal and
Gem Dealer Act as set forth in MCL §§ 445.481 through
445.492, and any amendments thereto, is required. Compliance with
the sale of secondhand watches act, MCL §§ 445.551
through 445.555, and any amendments thereto, is required.
Every licensee and employee shall comply with all requirements
for business location at which work, pursuant to any license issued
under this chapter, occurs as provided in any applicable zoning ordinances
of the City.
No licensee, dealer, employee, person or entity shall purchase
or receive any item or property on the premises, or otherwise off
premises associated with the business conducted on the premises, from
any person under the age of 18 years. Minors shall only be permitted
upon the premises in the company of a parent or legal guardian.
Any licensee, dealer, employee, person, or entity who violates
the terms and provisions of this chapter shall be guilty of a misdemeanor,
punishable by imprisonment for not more than 93 days or a fine of
not more than $500, or both, plus costs. Any violation may also result
in a suspension or revocation of such license as prescribed by statute
and as otherwise imposed by the Chief of Police after notice of such
proposed action at least seven days beforehand. The licensee shall
be permitted a hearing before the Chief of Police and a right of appeal
as prescribed for denial of the issuance of a license.
