Chapter 8 - Business Regulations

ARTICLE 8-1
ARTICLE 8-2

ARTICLE 8-1        BUSINESS LICENSE TAX

8-1-1           License Required

8-1-2           Issuance of License

8-1-3           Payment

8-1-4           Posting of License

8-1-5           Exhibition of License Required

8-1-6           License Not Transferable

8-1-7           Exemption

8-1-8           Fees

8-1-9           Revocation

8-1-10         Notice of Hearing and Appeal

Section 8-1-1      License Required

1. It is unlawful for any person to carry on any trade, calling, profession, occupation or business without first having procured a license from the town to do so and without complying with any and all regulations of such trade, calling, profession, occupation or business as specified in this article.
   

2. Every applicant for a license shall submit a written application, under oath, which shall state:

   1.      The character of the business.

   2.      The name, address, and phone number of the principal place of business and any branch office.

   3.      The name address and phone number of the principal residence of the owner.

   4.      Date business began operation in town.

   5.      Number of employees.

Section 8-1-2      Issuance of License

1. It shall be the duty of the clerk to prepare and issue a license under this article for every person, firm, company or corporation liable to pay a license fee hereunder, and to state in each license the amount charged, the period of time covered, the name of the person, firm or corporation for whom issued, the trade, calling, profession, occupation or business licensed and the location or place of business where the trade, calling, profession, occupation or business is to be conducted.
   

2. In no case shall any mistake of the clerk, in stating the amount of a license, prevent or prejudice the collection for the town of what shall be actually due from anyone carrying on a trade, calling, profession, occupation or business, subject to license under this article.

Section 8-1-3      Payment^[1]

1. All business license fees shall be paid at the office of the clerk of the town or in such manner as may be specified by the clerk.  Payment of license fees shall be made for the calendar year, January 1 to December 31.  Fees shall be due and payable on January 1 of each year unless specified otherwise.  Notices shall be sent to each place of business or person at least thirty days before January 1.  Fees shall become delinquent March 1, and the police chief shall be empowered and authorized to collect all delinquent fees together with a ten dollar penalty.
   

2. A separate license must be obtained for each branch establishment or separate place of business in which any trade, calling, profession, occupation or business is conducted.  Each license shall authorize the person obtaining such license to carry on, pursue or conduct, only that trade, calling, profession, occupation or business described in such license and only at the location or place of business which is indicated.

Section 8-1-4      Posting of License

Every person, firm, company or corporation having a license under the provisions of this article, and carrying on a trade, calling, profession, occupation or business at a fixed place of business shall keep such license posted and exhibited, while in force, in some conspicuous part of the place of business.  Every person having such a license, and not having a fixed place of business, shall carry such license with him at all times while carrying on that trade, calling, profession, occupation or business for which the same was granted.  Every person, firm, company or corporation having a license under the provisions of this article shall produce and exhibit the same, when applying for a renewal thereof, and whenever requested to do so by any police officer or by any other officer authorized to issue, inspect or collect licenses.

Section 8-1-5      Exhibition of License Required

The chief of police or any duly authorized official of the town shall have the power to enter free of charge at any time any place of business for which a license is required by this article, and to demand the exhibition of such license for the current term, from any person engaged or employed in the transaction of any such business.  It is unlawful for such person to fail to exhibit such license when requested to do so.

Section 8-1-6      License Not Transferable

No license granted or issued under the provisions of this article shall be in any manner assignable or transferable to any other person, firm, company or corporation other than is therein mentioned or named without first obtaining permission from the council.

Section 8-1-7      Exemption

Any person wishing to sell any form of agricultural products produced by himself shall be exempt from any license tax imposed hereunder for the privilege of selling such products only.  Before receiving the exemption, an affidavit of the facts entitling the seller to an exemption must be filed with the clerk.

Section 8-1-8      Fees

All businesses, occupations, professions, trades or callings shall pay annually a license fee of $20.

Section 8-1-9      Revocation

Licenses issued under the provisions of this article may be revoked by the town clerk after notice of hearing, for any of the following causes:

1. Fraud, misrepresentation or false statement contained in the application  for license.
   

2. Any violation of this article.
   

3. Conducting a trade, business, game or amusement, calling, profession or occupation in violation of the Arizona Revised Statutes.

Section 8-1-10    Notice of Hearing and Appeal

1. Notice of the hearing for revocation of license shall be given, in writing, setting forth specifically the grounds of complaint and the time and place of hearing.  Such notice shall be mailed, postage prepaid, certified mail to the licensee at the address shown on the application for license at least ten days prior to the date set for hearing.
   

2. Any person aggrieved by the denial of an application for license as provided herein or the decision with reference to the revocation of a license shall have the right of appeal to the council.  Such appeal shall be taken by filing with the council, within fourteen days after notice of the action complained of has been mailed to such person's address shown on the application for license, a written statement setting forth fully the grounds for the appeal.  The council shall set a time and place for a hearing on such appeal and notice of such hearing shall be given to the applicant in the same manner as provided for notice of hearing on revocation.  The decision and order of the council in such appeal shall be final and conclusive, except any person aggrieved may pursue any proper judicial proceedings.

ARTICLE 8-2        PEDDLERS

8-2-1           Definitions

8-2-2           License Required; Renewals; Restrictions

8-2-3           Application and Application Fee

8-2-4           Investigation of Applicant; Issuance of License

8-2-5           Fees

8-2-6           Bond Required

8-2-7           License to be Posted

8-2-8           Location Restrictions

8-2-9           Noise; Hours of Operation

8-2-10         Signs to be Observed

8-2-11         Enforcement by Police Department

8-2-12         Suspension and Revocation of License; Appeal

8-2-13         Exemptions

Section 8-2-1      Definitions

In this article, unless the context otherwise requires:

1. "Peddler" means any person, whether a resident of the town or not, traveling by foot, motor vehicle or any other type of conveyance from place to place, from house to house or from street to street, carrying, conveying or transporting goods, wares, merchandise, meat, fish, vegetables, fruits, garden truck farm products or provisions, offering and exposing the same for sale or making sales and delivering articles to purchasers or who, without traveling from place to place, shall sell or offer the same for sale from a motor vehicle, railroad car or other vehicle or conveyance, or from a fixed location on foot, and further provided that one who solicits orders and as a separate transaction makes delivery to purchasers as a part of the scheme or design to evade the provisions of this article shall be deemed a peddler subject to the provisions contained in this article.
   

2. "Solicitor" or "canvasser" means any individual, whether a resident of the town or not, traveling either by foot, motor vehicle or any other type of conveyance, from place to place, from house to house or from street to street, taking or attempting to take orders for sale of goods, wares and merchandise, personal property of any nature whatsoever for future delivery, or for services to be furnished or performed in the future, whether he is collecting advance payments on such sales or not, provided, that such definition shall include any person who, for himself, or for another person, hires, leases, uses or occupies any building, structure, tent, railroad boxcar, boat, hotel room, lodging house, apartment, shop or any other place within the town for the sole purpose of exhibiting samples and taking orders for future delivery.
   

3. "Transient merchant", "itinerant merchant" or "itinerant vendor" means any person whether owner or otherwise, whether a resident of the town or not, who engages in a temporary business of selling and delivering goods, wares and merchandise within the town, and who, in furtherance of such purpose, hires, leases, uses or occupies any building, structure, motor vehicle, tent, railroad boxcar, boat, public room in a hotel, lodging house, apartment, shop or any street or other place within the town, for the exhibition and sale of such goods, wares and merchandise, either privately or at public auction, provided, that such definition shall not be construed to include any person, firm or corporation who, while occupying such temporary location, does not sell from stock, but exhibits samples only for the purpose of securing orders for future delivery only.  The person so engaged shall not be relieved from complying with the provisions of this article merely by reason of associating temporarily with any local dealer, trader, merchant or auctioneer or by conducting such transient business in connection with, as a part of or in the name of any such local dealer, trader, merchant or auctioneer.

Section 8-2-2      License Required; Renewals; Restrictions

1. It is unlawful for any peddler, solicitor, canvasser, transient merchant, itinerant merchant or itinerant vendor as the same is herein defined, to engage in such business within the corporate limits of the town without first obtaining a license therefore in compliance with the provisions of this chapter; provided, however, that the provisions of this chapter shall not apply to the producers of agricultural products as defined in A.R.S. § 3-561 through § 3-563, or to any member of the family or agents or persons in the service of the producer when the agricultural products are sold or disposed of on behalf of and for the benefit of the producer.
   

2. Licenses which are continually renewed shall pay only the applicable fees prescribed in Section 8-2-5.  Licenses which are not continuously renewed, upon application for renewal, shall be treated as an original application.
   

3. If the license of the licensee has been revoked pursuant to provisions of Section 8-2-12, the town clerk shall designate a period of time not exceeding three years, during which time a renewal or a new license may not be issued to the same licensee or to a corporation controlled by that licensee.  Unless otherwise specified by the town clerk, the period of disqualification shall be the maximum three year period.
   

4. No licensee shall knowingly permit a person whose license is under suspension or has been revoked to be employed in any capacity by the licensee during the period of suspension or the period of time that a renewal or new license may not be issued to such person pursuant to provisions of subsection C of this section.
   

5. Every licensee whose license has been revoked may be disqualified from obtaining or retaining a privilege tax license for a period of up to one year from the date of such revocation.

Section 8-2-3      Application and Application Fee

1. A.      Applicants for a license under this article shall file with the town clerk a sworn application in writing on a form to be furnished by the town clerk, which shall contain, but not necessarily be limited to, the following information: 

   1.      Name and description of the applicant.

   2.      Address (legal and local).

   3.      A brief description of the nature of the business and goods to be sold and, in the case of products of farm or orchard, whether produced or grown by the applicant.

   4.      If employed, the name and address of the employer, together with credentials establishing the exact relationship.

   5.      The length of time for which the right to do business is desired.

   6.      If a vehicle is to be used, a description of the same, together with license number or other means of identification.

   7.      A photograph of the applicant, taken within sixty days immediately prior to the date of the filing of the application, which picture shall be two inches by two inches showing the head and shoulders of the applicant in a clear and distinguishing manner.

   8.      The fingerprints of the applicant, the names of at least two reliable property owners of the town, who will certify as to the applicant's good character and business responsibility, or in lieu of the names of references, any other available evidence as to the good character and business responsibility of the applicant as will enable an investigator to properly evaluate such character and business responsibility.

   9.      A statement as to whether or not the applicant has been convicted of any crime, misdemeanor or violation of any municipal laws, the nature of the offense and the punishment or penalty assessed therefore.
   

2. No license issued hereunder shall be transferable.  At the time of filing the application, a fee of ten dollars shall be paid to the town clerk, no part of which shall be refunded.

Section 8-2-4      Investigation of Applicant; Issuance of License

Upon receipt of such application, the town clerk shall cause an investigation of such person's business responsibility or moral character to be made as he deems necessary to the protection of the health, safety and welfare of the public.  If, as a result of such investigation, the applicant's business responsibility and character are found to be unsatisfactory, the application shall be denied.  If, as a result of the investigation, the character and business reputation appear to be satisfactory, and if a privilege license as set forth in the Thatcher Tax Code is required by the nature of the business the applicant desires to carry on, and has been obtained by the applicant, a license shall be issued by the town clerk upon payment of the required fee.

Section 8-2-5      Fees

The license fee for any peddler, solicitor, canvasser or transient merchant shall be thirty dollars per quarter if paid on a quarterly basis, or one hundred dollars per year if paid on an annual basis.  All such fees shall be paid in advance.

Section 8-2-6      Bond Required

1. Before any license as provided in this article shall be issued for engaging in the business of peddler, solicitor, canvasser or transient merchant, as defined in this article, every applicant, plying his trade as an individual, shall file with the town clerk a surety bond running to the town in the amount of one thousand dollars.  Every business, firm, company or corporation, which has employees or agents acting in the capacity of peddler, solicitor, canvasser or transient merchant, shall file with the town clerk a blanket surety bond covering all such employees or agents and running to the town in the amount of five thousand dollars.
   

2. Every bond for those engaging in a transient or an itinerant business or as a peddler, solicitor or canvasser as defined in this article shall be executed by the applicant as principal with at least one surety upon which service of process may be made in the State of Arizona.  The bond shall be approved by the town attorney, conditioned that the applicant and all of the applicant's agents and employees, shall comply fully with all of the provisions of the laws of the town and the state statutes regulating and concerning the sale of goods, wares and merchandise and will pay all judgments rendered against said applicant for any violation, together with all judgments and costs that may be recovered against him by any person for damage arising out of any misrepresentation or deception practiced on any person transacting any such business with such applicant whether said misrepresentations or deceptions were made or practiced by the applicant or its agents or employees, either at the time of making a sale or through any advertising of any nature whatsoever, printed or circulated with reference to the goods, wares, merchandise sold or any part thereof.  In addition, if the applicant is a solicitor or canvasser, the bond shall be conditioned that the applicant and all of the applicant's agents and employees shall comply fully with all of the provisions of the laws of the town and the state statutes regulating and concerning the business of solicitor or canvasser and guaranteeing to any citizen of the town that all money paid as a down payment will be accounted for and applied according to the representations of the solicitor or canvasser and further guaranteeing any citizen of the town, doing business with said solicitor or canvasser, that the property purchased will be delivered according to the representations of said solicitor or canvasser.
   

3. Action on the bond may be brought in the name of the town to the use of the aggrieved person or directly by the aggrieved person.

Section 8-2-7      License to be Posted

The license issued to the licensee pursuant to this article by the town clerk shall be posted in a conspicuous place if the licensee is using a vehicle or building in his business and otherwise must be kept by the person and exhibited at any time upon request.

Section 8-2-8      Location Restrictions

1. No licensee hereunder shall have any exclusive right to any location in a public street, nor shall any be permitted a stationary location thereon, nor within three hundred feet of a public school ground, nor shall any be permitted to operate in any congested area where operations might impede or inconvenience the public.  For the purposes of this article, 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 or inconvenienced.
   

2. No business activity shall be carried on in any area of the town by any licensee who is licensed pursuant to this article, where such business activity is prohibited by the town zoning code.

Section 8-2-9      Noise; Hours of Operation

Licensees, agents and employees of licensees and persons acting on behalf of licensees shall not yell, shout, cry out, blow a horn, ring a bell or use any sound amplifying devices, such as loud speakers, microphones, radios, sound amplifying systems or any other similar devices for the purpose of attracting attention to any goods wares or merchandise if the sound emitted or produced is of sufficient volume that it can be plainly heard upon the public thoroughfares.  Licensees, agents and employees of licensees shall not conduct any business activities between the hour of eight o'clock p.m. of any day and the hour of eight o'clock a.m. of the following day.

Section 8-2-10    Signs to be Observed

It is unlawful for any peddler, solicitor, canvasser or transient merchant in the course of business to ring the doorbell or knock at any building whereon a sign bearing the words "no peddlers or solicitors" or a similar message is exposed to public view.

Section 8-2-11    Enforcement by Police Department

It shall be the duty of any police officer of the town to enforce this article.  The chief of police shall report to the town clerk all violations of this article.

Section 8-2-12    Suspension and Revocation of License; Appeal

1. The town clerk shall immediately suspend the license and give the licensee notice by registered mail of the suspension and of a hearing to be held within ten days to determine whether or not the permit should be revoked, whenever the town clerk has reason to believe that any licensee is guilty of any of the following acts:

   1.      Fraud, misrepresentation or false statement contained in the application for license;

   2.      Fraud, misrepresentation or false statement made in the course of carrying on his business;

   3.      Violation of any of the provisions of this article;

   4.      Conviction of any crime or misdemeanor involving moral turpitude;

   5.      Conducting business in an unlawful manner or in such a manner as to constitute a breach of the peace or to constitute a menace to the health, safety or general welfare of the public;

   6.      Failure to file an additional surety bond as required by Section 8-2-6, within ten days after the liability of the surety on the previous bond has been exhausted.
   

2. The notice shall contain a statement of the purported reason for the suspension.  At the hearing, the licensee shall have the right to be represented by counsel, to introduce witnesses on his behalf and at his own expense, and to have the testimony given at the hearing transcribed.  Within the next three days after the hearing, if the town clerk determines that there is a good and sufficient reason for revocation of the licensee's license, the town clerk shall enter an order revoking the license effective immediately and notify the licensee by registered mail.
   

3. Within five days, excluding weekends and legal holidays, an applicant for a license or a licensee may appeal to the council, from either the refusal of the town clerk to issue a license under this article, or from the revocation of any license granted in accordance with this article.

Section 8-2-13    Exemptions

1. Any person whose activities are regulated exclusively by the State of Arizona shall be exempted from the provisions of this article.
   

2. Any person selling subscriptions for delivery of newspapers to the door of a residence on a regular or weekly schedule shall be exempted from the provisions of this article.
   

3. Any organization operated exclusively for educational, religious, charitable public service, fraternal or other non-profit purposes and having a permanent address within the confines of Graham County may be exempted from the provisions of this article.

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