Ordinance No. 83-26 CITY OF TIGARD, OREGON
ORDINANCE NO. 83- .I 4
AN ORDINANCE LICENSING AND REGULATING ANTIQUE DEALERS, SECONDHAND DEALERS,
SCRAP METAL DEALERS, PRECIOUS METAL OR GEM DEALERS, AND TRANSIENT MERCHANTS;
AND DECLARING AN EMERGENCY.
WHEREAS, in the City of Tigard, thieves and receivers of stolen property
frequently attempt to dispose of stolen property by representing it to be
legitimately acquired; and
WHEREAS, the City finds it necessary to increase the opportunity for police
authorities to intervene in such stolen property transactions, prior to
further shipment or reduction; and
WHEREAS, adequate protection of the public health, safety, and welfare
requires that the business of handling antique, secondhand, or otherwise
discarded, abandoned, or stolen property represented to be legitimately
acquired, requires that the dealing of these items be licensed and regulated;
and
WHEREAS, Chapter 7.70 "Secondhand Dealers and Transient Merchants" should be
added to the Tigard Municipal Code.
NOW, THEREFORE, THE CITY OF TIGARD ORDAINS AS FOLLOWS:
Section 1. Purpose.
The purpose of this ordinance is to provide strict regulation of certain
business activities that the Council finds present an extraordinary risk of
being used as a means of concealing criminal behavior involving the theft of
property. This risk is present despite the best efforts of legitimate dealers
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because of .the large volume of goods and. materials that are. processed in such
businesses. Therefore, this ordinance is intended to reduce this type of
criminal activity by providing more timely police awareness of such business
transactions. The Council finds that the regulations provided herein are
necessary and the need for the regulations outweighs any anticompetitive
effect that may result from theiradoption.
Section 2. Definitions.
(a) "_Antique" means any item of property that is possessed or
valued because of its character, craft, style, rarity, and association with an
earlier period of time, and which is purchased from any persons in any one day
for more than fifty ($50.00) dollars by an antique dealer. As herein defined,
"Antique" does not include vehicles and components.
(b) "Antique Dealer" means any person engaged in, conducting,
managing or carrying on a business primarily or incidentally for the purpose
of purchasing antiques from any person not representing a business which is
required to be issued a business tax receipt ,or special certificate under
Chapter 5.04 of the Tigard Municipal Code, and who appears with such articles
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at the dealer's place of business.
ORDINANCE NO 83-_A4_
(c) "Chief" means the Chief of Police of the City of Tigard, Oregon, or
( the designee of the Chief.
(d) "Person" means any real person; partnership, association or
corporation.
(e) "Precious Metal or Gem" means any metal or gem that is valued for its
character, rarity, beauty or quality, including gold, silver, platinum,
diamonds, rubies, emeralds, sapphires and pearls, and any other such gems,
whether as a separate item or in combination as a piece of jewelry; but
excluding the following items when purchased by a business which is required
to be issued a business tax receipt or special certificate under Chapter 5.04
of the Tigard Municipal Code for investment purposes:
1) Gold bullion bars (0.995 fine or better)
2) Silver bullion bars (0.995 fine or better)
3) All coins, whether actual currency of commemorative, from all
countries.
As used in this section, the term "for investment purposes" means that the
business purchases such items and retains them, in the same form as they were
purchased, for resale to persons who likewise purchase such items and retain
them in `he same form.
(f) "Precious Metal and Gem Dealer" means any person engaged in,
conducting, managing or carrying on a business primarily or incidentally for
the purpose of purchasing precious metals or gems from any person not
representing a business which is required to be issued a business tax receipt
or special certificate under Chapter 5.04 of the Tigard Municipal Code, and
who appears with such articles at the dealer's place of business.
(g) "Purchase" means to transfer property for valuable consideration to
any dealer regulated by this ordinance, from any person not representing a
business which is required to be issued a business tax receipt or special
certificate under Chapter 5.04 of the Tigard Municipal Code. Purchase does
not include a consignment of property for resale,
(h) "Scrap Metal" means the following used, worn out, or discarded
nonferrous metals--brass, copper, lead, aluminum, titanium, zirconium,
tungsten and nickel. It does not include items that contain both ferrous and
nonferrous metals. I
(i) "Scrap Metal Dealer" means any person engaged in, conducting,
managing or carrying on a business primarily or incidentally for the purpose
of purchasing scrap metal from any person not representing a business which is
required to be issued a business tax receipt or special certificate under
Chapter 5.04 of the Tigard Municipal Code, and who appears with such articles
at the dealer's place of business.
(j) "Secondhand Dealer" means any person engaged in, conducting, managing
or carrying on a business primarily or incidentally for the purpose of
purchasing 1) televisions; 2) hi-fi stereos, radios, tape recorders, or
players; 3) amplifiers, video recording equipment and accessories; 4) cameras,
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ORDINANCE NO. 83- _
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projectors and accessories; 5) tools; 6) office equipment including
( typewriters, calculators, recorders, transcribers and computers; 7) guns and
equipment; 8) sewing machines; 9) jewelry; 10) clocks and watches; 11)
silverware; 12) air conditioners; 13) electronic testing, regulating and
repair equipment; 14) citizens band and walkie-talkie equipment; 15) microwave
ovens; 16) telephones; 17) bicycles and bicycle parts; 18) motorcycle and
motorcycle parts; and 19) items of a similar nature, from any person not
representing a business which is required to be issued a business tax receipt
or special certificate under Chapter 5.04 of the Tigard Municipal Code, and
who appears with such articles at the dealer's place of business.
(k) "Transient Merchant" means any person: 1) engaged in the business of
purchasing precious metals of gems in the City; 2) engaged as an itinerant
business or temporary business under the provisions of the Tigard Municipal
Code Chapter 5.04; and 3) engaging in the business of purchasing such precious
metals or gems from any person not representing a business which is required
to be issued a business tax receipt or special certificate under Chapter 5.04
of the Tigard Municipal Code, and who appears with such articles at the
dealer's place of business.
Section 3. Special License Required.
(a) It shall be unlawful to operate as an antique, precious metal or gem,
scrap metal, secondhand dealer, or transient merchant without first obtaining
a special license. Such special license shall be required in addition to a
business tar, receipt or special certificate which is required under Chapter
4 5.04 of the Tigard Municipal Code, or any other City license or permit.
(b) Application for such license shall be made upon standard forms issued
and kept by the Chief. Upon application for a special license, the Chief may
issue an appropriate temporary license to be valid for the period of time
stated on its face, said period of time not to exceed thirty (30) days. The
application or a copy thereof shall be referred to the Chief for investigation
prior to issuance of a permanent special license. If it appears from such
investigation, or otherwise, that a permanent special license should not be
issued to the applicant, the Chief shall notify the City Council to that
effect and shall set forth the reasons why the applicant should be denied a
special license. A copy of the report of the Chief shall be provided to the
applicant. The applicant may appeal the determination of the Chief to the
City Council. A decision by the City Council to grant or deny a permanent
special license may be reviewed further in accordance with ORS 34.010 to
34.100.
(c) The following shall be grounds for denial of the issuance of a
temporary or permanent special license by the Chief and City Council:
1) Conviction of a crime involving moral turpitude; or
2) Evidence that the applicant has not complied with similar '
ordinances or laws in other jurisdictions; or
3) Noncompliance of the business or applicant with state and local
laws; or
4) Misrepresentation of information in the application.
ORDINANCE NO. 83- �
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(d) The fee for such special licenses issued pursuant to this ordinance
shall be $10.00 per annum. Every special license issued shall expire on
January 15 of each year and shall be renewed upon payment of the fee, unless
not renewed for the grounds listed in Section 11(b) of this ordinance. i
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Section 4. Record Forms.
(a) The Chief shall provide a form for recording items purchased by {
antique dealers, precious metal or gem dealers, scrap metal dealers,
secondhand dealers, and transient merchants from any person not representing a
business which is required to be issued a business tax receipt or special
certificate under Chapter 5.04 of the Tigard Municipal Code, and who appears
with such articles at the dealer's place of business. In lig.- „f using forms
provided by the Chief, the dealers may use their own forms if such forms have
been approved by the Chief. The form provided for herein shall be of such
size, shape and color and shall require such information relating to the
regulations of this ordinance as the Chief may direct.
(b) The description of such articles so purchased shall be indicated as
required by the form. The dealer shall fill in all of the blank spaces on
such form with such data as is required by the form, and require the person
undertaking transactions regulated by this ordinance to sign such form. Such
form shall be filled out in clearly legible printing.
(c) Transactions regulated pursuant to this ordinance shall only be
undertaken by the dealer after the seller has presented proper
identification. Identification shall consist of two pieces, one of which must
confirm the person's full name and date of birth. The type of identification
used, such as driver's license, along with its number, shall be listed on the
form.
(d) Because the information that is required to be furnished pursuant to
this section to aid in investigation of the theft of property is of a
confidential nature and related to the personal privacy of persons doing
business with dealers regulated by this ordinance, as well as certain trade
secrets and practices of such dealers, such information shall be considered to
be confidential and privileged from disclosure to the maximum extent possible
under applicable laws, especially ORS 192.500 (2)(c)
(e) The dealer's copy of all required forms shall be retained for a
period of not less that one (1) year.
(f) Every person regulated by the provisions of this ordinance shall mail
or deliver to the Chief, at the close of each business day, all required forms
or legible copies thereof, describing articles purchased during that business
day.
(g) The Chief ivay apply the requirements of Sections 4 to 7 of ilii.&
ordinanceto some or all classes of transactions otherwise regulated by this
oriinance, including dealers who possess City business tax receipts or special
certificates under Chapter 5.04 of the Tigard Municipal Code. Such
requirement shall only be applied upon general notice and an opportunity to be
heard.
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rr Section 5. Property Sales.
(a) No property purchased by any antique dealer, precious metal or gem
dealer, secondhand dealers, or transient merchant, as regulated by this
ordinance, shall be sold less than fifteen (15) days after purchase. Such
property shall be maintained in substantially the same form as purchased and
shall not be commingled so as to preclude identification during such fifteen
(15) day holding period. Notwithstanding this requirement, the Chief may
authorize, in cases where it is shown that extreme financial hardship will
result from holding an item for fifteen (15) days, the sale or transfer of
such item before the expiration of such period.
(b) All such precious metals or gems so purchased by a property licensed
transient merchant shall be kept during this entire fifteen (15) day period,
in a safe deposit box, or its equivalent, at a bank, savings and loan
association, other financial institution approved by the Chief, within the
corporate limits of the City. The expenses of such storage shall be borne by
the merchant. Upon placement of such precious metals or gems in such safe
deposit box, the transient merchant shall, before the end of that business day
in which the items were so placed, mail or deliver written notice to the Chief
of the locations where such items are being kept during this fifteen (15) day
period.
(c) Whenever the Chief, upon reasonable belief that the specific property
is the subject of theft, notifies in writing any antique dealer, precious
metal or gem dealer, scrap metal dealer, secondhand dealer, or transient
merchant not to dispose of any specifically described property purchased, the
` property shall be retained in substantially the same form and shall not be
sold, exchanged, dismantled, or otherwise disposed of for a period of time not
k to exceed thirty(30) days, as determined by the Chief.
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Section 6. Articles to be Tagged.
v iM Any antique dealer, precious metal or gem dealer, secondhand dealer, or
transient merchant purchasing any article in the business regulated by this
ordinance from any person not representing a business which is required to be
issued a business tax •receipt or special certificate under Chapter 5.04 of the
Tigard Municipal Code, and who appears with such articles at the dealer's
place of business, shall affix to the articles a tag upon which shall be
written a number in legible characters, which number shall correspond to the
number on the record forms required to be kept under Section 4 of this
ordinance.
Section 7. Inspection of Articles and Records.
All persons specially licensed by this ordinance to do business as an antique
dealer, precious metal or gem dealer, scrap metal dealer, secondhand dealer,
or transient merchant, and any person employed by such dealer, shall permit
the Chief, upon presentation of official identification to enter such business
premises for the limited purpose of inspecting any articles purchased in the
business regulated by this ordinance, and records required to be maintained
under the provisions of this ordinance, to ensure compliance with the
•.` provisions of this ordinance. Any such inspection shall only be undertaken
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during normal business hours, unless a search warrant is obtained.
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-- Section 8. Surety Bond Required.
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No person shall engage in business as a transient merchant until such person j
has filed with the City Recorder of the. City of a $10,000 bond, with a surety
company licensed to do business in the State of Oregon as surety, for the
benefit of any person damaged by false, fraudulent, or misleading
representations of the transient merchant in the conduct of his business.
Section 9. Advertising to Disclose License and Bond.
Every advertisement, notice, flier, commercial, pamphlet or other advertising
device utilized within the City of Tigard to attract attention to the business
location, presence, or arrival in the City of Tigard of a transient merchant
shall contain the following statement, which shall be conspicuously noticeable
to any person whose attention is attracted by such advertising device: "(name
of merchant) has obtained a special business
license and posted a surety bond, as required by the City of Tigard, Oregon."
Section 10. License to be Conspicuously Posted.
Every transient merchant shall possess and shall post in a conspicuous manner
at any place where the merchant is engaging in business, the special license
required by this ordinance.
Section 11. Penalties.
(a) A violation of this ordinance shall be considered a Class B
misdemeanor and shall be subject to the penalty set forth in Chapters 7.12 and
7.16 of the Tigard Municipal Code.
(b) Failure to comply with any provision of this ordinance shall be cause
for revocation of the special license. The Chief may, for cause, including
noncompliance with the provisions of this ordinance or the grounds set forth
in Section 3(c) of this ordinance, recommend the revocation of any special
license granted under this ordinance. The recommendation, with reasons
therefor, shall be made in writing to the City Council. Upon receipt of the
written recommendation, the City Council shall call for a public hearing on
said matter and notification of the affected licensee. Notice to the licensee
shall be in writing and set forth the Chief's recommendations and reasons, and
shall be provided at least ten (10) days before the hearing. After such
hearing, the City Council may revoke the license after making findings and
reading conclusions in the matter. Any further review of the City Council
decision shall be done in accordance with ORS 34.010 to 34.100.
Section 12. Emergency Clause.
Because the City Council has determined that the public safety of the
residents of Tigard and businesses therein requires more rapid intervention in
attempted property theft and unlawful disposition of stolen property, the City
Council declares an emergency and this or_dirence shall be effective from and
after its passage by the City Council.
ORDINANCE NO. 83-_jj�
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PASSED: By the City Council, by /,h Cd 0 1 rhr,u� vote of all City Council
members present, after being read by number and title only,
this �23r day of At 1983.
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Recorder - City of Td
APPROVED: By the Mayor this -23 I`� day of T 1983.
i n�r
t Mayor - City of Tigard
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(0458A)
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ORDINANCE NO. 83-,
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