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Door to Door Sales License OrdinanceTHE CTTY OF Dubuque ---~.. DUB E A~~~~~ t Masterpiece on the Mississippi 2007 TO: The Honorable Mayor and City Council Members FROM: Michael C. Van Milligen, City Manager SUBJECT: Door-to-Door Sales License Ordinance DATE: October 16, 2008 City Attorney Barry Lindahl is recommending adoption of a licensing requirement for door-to-door sales. I concur with the recommendation and respectfully request Mayor and City Council approval. ~v Michae C. Van Milligen MCVM/jh Attachment cc: Barry Lindahl, City Attorney Cindy Steinhauser, Assistant City Manager THE CITY OF DuB E Masterpiece on the Mississippi BARRY LINDA CITY ATTORN To: MEMORANDUM Van Milligen Mich City Manager DATE: October 2, 2008 RE: Door-To-Door Sales License Ordinance In response to recent complaints from citizens to Council Member O'Connor about door- to-door sales, I have been working with Assistant City Attorneys Tim O'Brien and Crenna Brumwell, and Police Chief Kim Wadding and Captain Russ Stecklein to draft a new Door-To-Door Sales License Ordinance. The ordinance requires any person selling or offering to sell goods, merchandise or services door-to-door to obtain a license from the City Clerk. Certain organizations that have a permanent office in Dubuque County, Iowa are exempted from the licensing requirement. The applicant for the license will be required to provide a surety bond in the amount of $5,000. Our intent is that the door-to-door salesperson will be required to display the license at all times while selling or offering to sell the goods, merchandise or services and shall also at the time of selling or offering for sale goods, merchandise or service provide each prospective customer with a copy of the license to be retained by the prospective customer. The license will also include photo identification of the licensee. I recommend that the attached ordinance be submitted to the City Council for consideration. BAL:tIs Attachment cc: Tim O'Brien, Assistant City Attorney Crenna Brumwell, Assistant City Attorney Kim Wadding, Chief of Police Jeanne Schneider, City Clerk Russ Stecklein, Police Captain F:\USERS\tsteckle\Lindahl\MemosWlVM DoorToDoorSalesLicenseOrdinance 100208.doc OFFICE OF THE CITY ATTORNEY DUBUQUE, IOWA SUITE 330, HARBOR VIEW PLACE, 300 MAIN STREET DUBUQUE, IA 52001-6944 TELEPHONE (563) 583-4113 / FAx (563) 583-1040 / EMAIL balesq@cityofdubuque.org Prepared by: Barry A. Lindahl, Esq. 300 Main Street Suite 330 Dubuque IA 52001 563 583-4113 ORDINANCE NO. 71-08 ESTABLISHING THE REQUIREMENT OF A LICENSE FOR ENGAGING IN DOOR-TO-DOOR SALES Section. 1. City of Dubuque Code of Ordinances Chapter is amended by adding the following new article: ARTICLE .DOOR-TO-DOOR SALES Sec. .Definitions. The following words, terms and phrases, when used in this article, shall have the meanings ascribed to them in this section, except where the context clearly indicates a different meaning: Door-To-Door Sales means selling or offering to sell goods, merchandise or services from door-to-door. Sec. .License required. No person shall engage in door-to-door sales in this city without first obtaining a license as provided in this article shall be in violation of this article. Sec. .Exemptions. This article shall not apply to the following: (1) To vendors of goods, merchandise or services delivered or sold to established customers; (2) To nonprofit organizations filed under or authorized by Chapter 504 of the Iowa Code or authorized and organized under statutes or regulations of the United States government, or approved by the Internal Revenue Service, where such organizations have a permanent office in Dubuque County, Iowa; (3) To churches, public and private schools and colleges that have a permanent office in Dubuque County, Iowa: or (4) To nonprofit clubs and lodges not ordinarily conducted as a business and which do not meet the requirements of Chapter 504 of the Iowa Code and that have a permanent office in Dubuque County, Iowa. Sec. .Application for license. Each person engaged in door-to-door sales shall file an application for a license with the city clerk. Such application shall set forth the applicant's name, permanent and local address, business address, if any, and physical description. The application also shall set forth the applicant's employer or sponsor, if any, and the employer's or sponsor's address and telephone number, the nature of the applicant's business, the last three places of such business, and the length of time sought to be covered by the license. At the time of filing the application with the city clerk, the applicant shall also provide two forms of identification, including one form with picture identification. An applicant for a license shall also file with the city clerk a surety bond in the amount of $5,000, conditioned that the applicant shall comply fully with all ordinances of the city and laws regulating door-to-door sales, and guaranteeing to any resident of the city that all money paid will be accounted for and applied according to the representation of the licensee, said bond to continue in force as to such surety for not less than one year from the date of the license. Action on such bond may be brought by any resident of the city. Sec. .Issuance of license; fee. Within five (5) days of the filing of a completed application, payment of the applicable license fee and delivery of a valid surety bond, the city clerk shall issue a license to the applicant valid for a period of sixty (60) days. A schedule of the applicable license fees based upon the duration of the license shall be established by the city clerk. Sec. .Display of license. A door-to-door sales licensee shall at all times while doing business in this city prominently display the license so that it is clearly visible to anyone to whom the person is selling or offering for sale goods, merchandise or services. The licensee shall also at the time of selling or offering for sale goods, merchandise or service provide each prospective customer with a copy of the license to be retained by the prospective customer. Sec. .Transferability of license. No door-to-door sales license shall be sold or transferred. Sec. .Suspension or revocation of license. Any license issued pursuant to this article may be suspended or revoked or its renewal denied for violation of this article or any other chapter of this Code. Section 2. This Ordinance shall take effect upon publication. Passed, approved and adopted the 20th day of October, 2008. Roy D. Buol, Mayor Attest: Jaeanne F. Schneider, City Clerk F:\USERS\tsteckle\Lindahl\Ordinances\DoorToDoorSales 100208Final.doc OERIP;9;4LPl9Efl:?CA'i~fv"' of thelbwa Codeand that' ORDdN64~CE~0.7~-os have a permanent office in ES?C~d3LdSFtdNG r~,? Dubuque County, Iowa :='EC lJI[~iEil~dEdV~' v;.` ~`-': ~~- r.. i .,2fGF~ S61' iiCetlS6. e'er CE€gSE 'D:"~' ~:~tG.~G'i~i~ Each person engaged'ih_ dR.~ r3D~C?_ ~ Q3_~~'.:CtF' door-to-door sales shall SAf_~S file an application lot a'li- Section. 1 City of Dubu- cense witr _he city clerK. quo Code ofyOrd~nanges is Such app~lcatlon shall se± afnended b addiq the 'forth the applicant's name,_ folloe~ing nevi article: permanent and local ad- DOOR-l"O-DOOR SALES dress. business address, if ~ T T T ~ T~j T TILT rye ~R~~ioRS. eny, and physical descrip- ', ~J !.J ~J $'J '~J 1~1 The follow~rn irt~ords„ tion. The application also terms and phrases, when shall set forth the appli- ' used In this article, shallcant's employer or sport- have the meanings ascri_ son, if any, and the errs- bed tq them in mis eee- plovers or Spansor~s ad- CEI~T'IF'IC~~'I~11T ®~ PL1$I,ICA'I'I®TV 1ioh, except where the dress and telephone num- ~ontext clearly indicates a ben, the nature of the ap- different mean'ma. plicant's business, the last Door-To-Door Sales three places of such bUSi- 'means selling or offering to- .Hess, and the length of sell goods, merchand se or tlm sought to be covered services from d°or t°- e, .n. "eense. at the t'r„e I Suzanne Pike, a Billing Clerk for Woodward Conununications hie. an Iowa of filing the application > > > door ~lcer~ e reQ €r_,. ~~~t>; rho pity clerk the a~ coi oration ublisher of the Tele a h Herald a news a er of eneral circulation Nb person shall engage p i ant shall also provide p ~ p ~ p ~ ~ p g in d°er-to-d°nr sales In t~~'° f°' ms of ldentificat"°,,, ublished in the Cit of Dubu ue Count of Dubu ue and State of Iowa herb this city without first ob- including one form with p y ~ ~ y ~ ~ y ~~ihlRg a °°ense as prov;d- pier^re identlficatlon. a° certify that the attached notice was published in said newspaper on the following ed in this article shall be is applicant for a license Shall- violation of this article. also file with the city clerk dates: ~CtObOr 24~ 2~~g~ alld for Wh1Ch the ChaTgO 1S ~J`~0.69. F.xamp£icrs, a surety bond iri the This article shall not ap- amount of S5,000, condi-' ply to the following boned that the applicant (1) To vendors of goods, shall comply fully wtth all merchandise or services ordinances of the city ahd' delivered or sold to estab- yaws regulating door-to- fished customers; door sales, and guarantEe= ~ ~ (2) To nonprofit organiza Ing to any resident of the ,, E ~„/, n, #ions tiled under or author- city that ell money paid will. ized by Chapter 504 of the be accounted for and ap ~ °„s . ~ :. ~ b• ~E i, ~ dowa Code or authorized Piled according to the rep- ~' ~~ ) and organized under stat- resentation of the licensee', ~a/' utes or regulations of the said bond ±o continue iri United States government, force as to such surety rat nr approved by the Internal not less than one year .Revenue Service, where from the date of the li- such organizations have a cense. Action on ueh permanent office In Dubu- bond may be brought by que County, lorn~a; any r ,ident of the city ~s> Tn nhn Ches. pubic ,s~ ~~ a`!•~e~se; ~~e. Subscribed to before me, a Lary Public in and for Dubu ue County, Iowa, 2.nd private schools and y/ithin five (5) days or' the colleges chat have a ,oer- filing of a completed appll- th1S day Of ~ 2~ manent office In Dubuque cation. payment of the ap- County, Iowa: or plicable license fee and (~?) To nonprofit clubs and delivery of a valid surety lodges not ordinarily con- bard the city clerk shall ducted as a business and issue a license to the ap- which do not meet the re- plicant valid for a period of quirements of Chapter 5~4 sixty (60) days A schedule /~ ~ -~~ _,~~ of the applicable license ~~°~ #ees based upon the duta- tion of the "°ense shau ~~ Notary Public in and for Dubuque County, Iowa. established by thz city clerk. adsraEal o-` €ice~se: A door-to-door sAleS ti- censee shall at all times' tvhlle doing business in this city prominently des- i-i r I' -,~ , play the license so that it is - ~ r r ~ E'F clearly visible to anyone to ~ .~ _ i , ~~ f :whom the person, Is selling ~ _ r~ or offering for sale goods,. ~ xw __ X0.1 i merchandise or services. The licensee shall also at the time of selling or offer- ' frig for sale goods, men- cliandlse or service pro- vide each prospective cue- tomer with a copy of the II- cere -n -- ~ _ -_