HomeMy WebLinkAboutOrdinance 9175
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ORDINANCE NO. p .,/
AN ORDINANCE AMENDING CHAPTER 22 "JUNK", OF THE CODE OF
THE CITY OF FORT WORTH (1964), AS AMENDED, BY REDESIGNAT-
ING CHAPTER 22 TO BE CHAPTER 22, "SECONDHAND DEALERS"; BY
REPEALING ARTICLE I, "IN GENERAL"; BY ESTABLISHING A NEW
ARTICLE I TO BE DESIGNATED ARTICLE I "SECONDHAND DEALERS
IN GENERAL"; PROVIDING DEFINITIONS; REQUIRING LICENSES FOR
SECONDHAND DEALERS; PROVIDING FOR A LICENSE FEE AND RENEW-
AL OF LICENSES; PROVIDING FOR GROUNDS FOR DENIAL OF A LI-
CENSE; REQUIRING THE LICENSE BE AVAILABLE FOR INSPECTION;
PROHIBITING THE USE OF THE LICENSE BY OTHERS; PROVIDING
FOR REVOCATION OF A LICENSE AND PROCEDURES FOR THE APPEAL
OF A DENIAL OR REVOCATION; REQUIRING SECONDHAND DEALERS TO
REPORT TO THE POLICE DEPARTMENT PURCHASES OR TRADES OF
USED OR SECONDHAND GOODS, WARES, OR MERCHANDISE; REQUIRING
EACH ARTICLE PURCHASED TO BE KEPT INTACT AND TAGGED;
REQUIRING USED OR SECONDHAND ARTICLES TO BE HELD FOR
FOURTEEN (14) DAYS BEFORE RESALE; PROHIBITING THE REMOVAL
OR OBLITERATION OF THE MANUFACTURER'S BRAND NAME OR SERIAL
NUMBER; PROVIDING FOR THE INSPECTION OF SECONDHAND ARTI-
CLES BY ANY POLICE OFFICER; REQUIRING A PARENTS' WRITTEN
CONSENT FOR PURCHASES FROM .ANY PERSON UNDER EIGHTEEN (18)
YEARS OF AGE; PROVIDING FOR EXEMPTIONS; PROVIDING THAT
THIS ORDINANCE SHALL BE CUMULATIVE OF ALL ORDINANCES; PRO-
VIDING A SEVERABILITY CLAUSE; PROVIDING FOR PUBLICATION;
PROVIDING FOR ENGROSSMENT AND ENROLLMENT; PROVIDING A
PENALTY; AND SETTING AN EFFECTIVE DATE.
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF FORT WORTH,
TEXAS:
SECTION 1.
That Chapter 22, "Junk", of the Code of the City of Fort Worth
(1964), as amended, be and the name is hereby redesignated as
Chapter 22, "Secondhand Dealers".
SECTION 2.
That Article I, "In General", of Chapter 22 of the Code of the
City of Fort Worth (1964), as amended, be and the same is hereby
repealed.
SECTION 3.
That a new Article I to Chapter 22 of the Code of the City of
Fort Worth (1964) , as amended, be and the same is hereby establish-
ed, which new Article I shall read and be as follows:
ARTICLE I. SECONDHAND DEALERS IN GENERAL
Sec. 22-1 Definitions.
For the purposes of this Article, the following
words and phrases shall have the meanings respectively
assigned to them by this Section unless their use in the
text of this Article clearly demonstrates a different
meaning:
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(a) "Secondhand Dealer" means any person who, in the
usual and ordinary course of business, engages in the
purchase, sale, barter, or trade of used or second-
hand goods, wares, or merchandise. "Secondhand
Dealer" shall include:
(1) Any business conducted by an established dealer
in a permanent location within the City; or
(2) Any temporary or transient business where the
dealer conducts business within the City for a
period of more than thirty (30) consecutive
days.
(b) "Used or Secondhand Goods, Wares, or Merchandise"
means any item of personal property which is not
purchased or sold by a dealer as new or which is
acquired by a dealer after having been used or pur-
chased by another. "Used or Secondhand Goods, Wares,
or Merchandise" shall include, but not be limited to,
the following:
(1) Wearing apparel or clothing of any kind;
(2) Crafted precious metals, jewelry, precious gems,
and watches;
(3) Furniture, home and kitchen appliances, luggage,
musical instruments, clocks, and photography
equipment;
(4) Weapons and firearms;
(5) Automobile parts and accessories;
(6) Business machines;
(7) Tools, power tools, and toolboxes;
(8) Electronic equipment such as televisions,
radios, and stereo equipment and accessories;
and
(9) Tobacco products.
This term shall not be construed to include goods,
wares, or merchandise which are purchased or sold as
new by the original manufacturer, wholesale distribu-
tors, or retail businesses.
(c) "Crafted Precious Metals" means jewelry, silverware,
art objects, or any other thing or object made, in
whole or in part, from gold silver, platinum, palla-
dium, iridium, rhodium, osmium, ruthenium, or their
alloys, excluding coins, commemorative medallions, or
bullion or bars of such metals.
(d) "Business Machines" means typewriters, adding
machines, check-writing devices, cash registers,
calculators, addressing machines, letter sorting or
folding devices, and recording, copying, and account-
ing equipment.
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(e) "Power Tools" means tools powered by electrical
current or by liquid or gaseous fuels, including but
not limited to, welding equipment and pneumatic
equipment.
(f) "Licensee" means a person in whose name a licensee
has been issued, or a person listed as an applicant
on the application for a license.
(g) "City" means the City of Fort Worth, Texas.
(h) "Person" means any person, partnership, firm,
corporation or other business entity.
Sec. 22-2. License Requirement.
(a) No secondhand dealer shall transact or engage in bus-
iness within the City unless and until said second-
hand dealer has obtained a license as provided
herein:
(1) Any secondhand dealer desiring a license shall
make written application to the Chief of Police
upon forms provided by the police department.
(2) The application must be signed and sworn to by
the applicant before an officer authorized by
law to administer oaths.
(3) Secondhand dealers shall pay an annual license
fee in the amount of Twenty-Five Dollars
($25.00) to the City Tax Assessor-Collector.
(4) Upon approval of the application by the Chief of
Police and the payment of the license fee, the
City Tax Assessor-Collector shall issue a li-
cense to the applicant.
(b) All secondhand dealers licenses shall expire one (1)
year from date of issuance. Upon expiration, licenses
shall be renewed for another year by the payment of
the annual license fee of Twenty-Five Dollars
($25.00) to the City Tax Assessor-Collector.
Sec. 22-3. Grounds for Denial.
The Chief of Police may deny a license on one or more of
the following grounds:
(a) The applicant is under 18 years of age.
(b) The applicant has made a false statement or misrepre-
sentation of a material fact on the sworn application
submitted to the Chief of Police.
(c) The applicant has been convicted of a felony or any
theft offense and three (3) years have not elapsed
since the termination of any sentence, parole, or
probation.
Sec. 22-4. License to be Available for Inspection.
Every secondhand dealer, while engaged in the conduct of
his business, shall at all times have available for inspection
his license to engage in such business.
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Sec. 22-5. Use of License by Others Prohibited.
No secondhand dealer shall assign or transfer his
license to another or knowingly permit his license to be
used by another, and no person shall exhibit or use the
license of any secondhand dealer, except one issued to
him, while engaging in the purchase, sale, or trade of
secondhand goods, wares, and merchandise.
Sec. 22-6. Revocation of License.
The Chief of Police, upon notice and hearing, may
revoke the license of any secondhand dealer on any of the
following grounds:
(a) The licensee has made a false statement or misrepre-
sentation of a material fact on the sworn application
submitted to the Chief of Police.
(b) The licensee has knowingly failed to make a report as
required by Section 22-8 or has knowingly recorded
false information of a material fact on a report
required by said Section.
(c) An employee or agent of a licensee has knowingly
failed to make a report as required by Section 22-8
or has knowingly recorded false information of a
material fact on a report required by said Section
under circumstances which indicate that the licensee
knew or should have known of his employee's or
agent's conduct.
(d) The licensee has refused to allow the Chief of Police
or any police officer of the City to inspect the
records required by Section 22-8 or to inspect any
used or secondhand articles purchased by the licensee
as required by Section 22-12.
(e) The licensee has violated any other provision or re-
quirement of this Article.
(f) The licensee has been convicted of a felony or any
theft offense.
Sec. 22-7. Appeal.
(a) If the Chief of Police denies the issuance of a
license or revokes a license, he shall send to the
licensee by certified mail, return receipt requested,
written notice of his action and the right to an
appeal. The licensee may appeal the decision of the
Chief of Police to the City Council within 10 days
after receipt of the notice from the Chief of
Police. The action of the Chief of Police is final
unless a timely appeal is made. The filing of an
appeal stays the action of the Chief of Police in
revoking a license until the City Council makes its
final decision. The City Council may affirm, reverse,
or modify the action of the Chief of Police, and the
decision of the City Council is final.
(b) When the Chief of Police revokes a license, the
revocation shall continue for one (1) year, and the
licensee shall not be issued a license for one (1)
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year from the date the revocation became final. If,
subsequent to the revocation, the Chief of Police
finds that the basis for the revocation has been cor-
rected or abated, the licensee may again be granted a
license if at least 90 days have elapsed since the
date the revocation became final. If the license was
revoked under Section 22-6 (f) of this Article, the
licensee may not be granted another license within
three (3) years of the termination of any sentence,
parole, or probation.
Sec. 22-8. Records Required of Secondhand Dealers;
Identification of Sellers.
(a) Any secondhand dealer doing business in the City, or
any employee or agent of said dealer, who purchases
or trades for used or secondhand goods, wares, or
merchandise in the City for the purpose of resale to
the public shall, at the time of purchase, record in
a legible manner in duplicate on a sequentially-
numbered report form, approximately 5" by 8" in
dimension, the following information:
(1) An accurate and complete description of the art-
icle purchased;
(2) Date and time of purchase;
(3) The amount of money paid or other consideration
exchanged for the property purchased;
(4) The name, age, sex, race, and place of residence
of the person selling the article;
(5) The license number of the automobile in which
the article was delivered to the secondhand
dealer, and the state that issued the license,
as reported by the seller;
(6) The number of the seller's drivers license,
military identification card, state-issued
identification card, or federally-issued identi-
fication card, except a social security card;
(7) The signatures of the seller and the secondhand
dealer.
(b) Neither the secondhand dealer nor any employee or
agent of said dealer shall purchase or trade for any
used or secondhand property unless the seller of said
property provides one of the forms of identification
required in subsection (a)(6) above.
(c) Any secondhand dealer who trades for or purchases
used or secondhand goods, wares, or merchandise from
another licensed secondhand dealer shall be required
to record upon the report form only the City license
number of the secondhand dealer from whom the used or
secondhand articles were received, in lieu of the
information required by subsection (a).
(d) The report forms described above shall be furnished
by the City to secondhand dealers free of charge. Any
secondhand dealer may, at his own expense, print and
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use his own report forms, provided such forms conform
in dimension and in the information required to the
forms furnished by the City.
(e) One copy of the completed report shall be mailed to
the police department within 48 hours from time of
purchase or trade. The second copy shall be retained
by the secondhand dealer for a period of two years.
The reports required above shall at all reasonable
times be open to inspection by the Chief of Police or
any police officer of the City.
(f) Neither the secondhand dealer nor any employee or
agent of said dealer shall knowingly record false
information of a material fact on a report required
by this Section.
Sec. 22-9. Identification of Articles Purchased; Purchases to
be Kept Intact; Tagging.
Each article purchased by a secondhand dealer shall
be kept intact and separate from property purchased from
other sellers. Each article shall have attached on the
container, or if no container, on the article itself a tag
on which is legibly printed the corresponding number of
the report required in Section 22-8.
Sec. 22-10. Period Articles to be Held Before Resale.
All secondhand articles purchased by secondhand deal-
ers shall be retained by them in their original shape,
form, and condition for a period of fourteen (14) consecu-
tive days after such purchase during which period no part
of such purchase shall be sold or removed from the place
of business of said dealer. Secondhand articles may be
held for less than fourteen (14) days upon the written
authorization of the police department. The aforementioned
holding period is not required for secondhand articles
purchased from other licensed secondhand dealers within
the City.
Sec. 22-11. Removal or Obliteration of Manufacturer's Brand
Name or Serial Number Prohibited.
No secondhand dealer shall remove, alter, or obliter-
ate the manufacturer's brand name, serial number, or other
identifying numbers or marks from any secondhand article
purchased.
Sec. 22-12. Inspection of Purchased Items.
Each article purchased by any secondhand dealer shall
at all reasonable times be open to inspection by the Chief
of Police or any police officer of the City.
Sec. 22-13. Purchases from Minors.
No secondhand dealer shall purchase for any purpose
any used or secondhand article from any person under the
age of 18 years or which may be owned or claimed by or in
the possession or control of such person unless the parent
or guardian of such person shall state in writing that
such transaction took place with such parent's or guard-
ian's full knowledge and consent. The written statement
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shall be signed
the address and
or guardian.
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by a parent or guardian and have thereon
telephone number, if any, of such parent
Sec. 22-14. Implementation of Article; Exemptions.
This Article shall not apply to:
(a) Charitable, philanthropic, religious, fraternal,
civic, patriotic, social, or school-sponsored organi-
zations or associations or to any non-profit corpora-
tions or associations;
(b) Any person dealing solely in the purchase, sale, or
trade of used or secondhand motor vehicles;
(c) The occasional sale to the public of used or second-
hand goods and wares that have been used primarily
for personal, family, or household purposes by the
owner, if the seller, at the time of sale, is not
engaged in the business for profit of selling goods
of that or of a similar nature, which shall include
garage sales conducted at a private residence and
neighborhood garage sales;
(d) Public and private auctions;
(e) Sales made by any public officer in his official
capacity as a trustee in bankruptcy, executor, admin-
istrator, receiver, or public official acting under
judicial process or authority, or sales on the execu-
tion of, or by virtue of, any process issued by a
court;
(f) Sales and purchases made by the United States, the
State of Texas, or the City of Fort Worth, or any
political subdivision, department, or agency thereof;
(g) Used or secondhand articles which are deposited with
or otherwise actually delivered into the possession
of a pawn broker in the course of his business in
connection with a pawn transaction under the provi-
sions of the Texas Pawnshop Act;
(h) Any person dealing in secondhand or used merchandise
whose dealing is limited to the acquiring of such
merchandise through an exchange for new merchandise,
and to the selling of such by sale only incidental to
any part of the main business of dealing in new goods
or merchandise.
(i) Itinerant vendors as defined by Chapter 21 of the
Code of the City of Fort Worth; provided, however,
any itinerant vendor who purchases, barters, or
trades for any used or secondhand good, wares, or
merchandise while doing business in the City shall
comply with the reporting requirements in Sec~cion
22-8 of this Article.
(j) Recyclers and recycling facilities as defined in
Article III of this Chapter.
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SECTION 4.
That this ordinance shall be cumulative of all provisions of
ordinances and of the Code of the City of Fort Worth, Texas (1964),
as amended, except where the provisions of this ordinance are in
direct conflict with the provisions of such ordinances and such
Code, in which event conflicting provisions of such ordinances and
such Code are hereby repealed.
SECTION 5.
That it is hereby declared to be the intention of the City
Council that the sections, paragraphs, sentences, clauses and
phrases of this ordinance are severable, and if any phrase, clause,
sentence, paragraph or section of this ordinance shall be declared
unconstitutional by the valid judgment or decree of any court of
competent jurisdiction, such unconstitutionality shall not affect
any of the remaining phrases, clauses, sentences, paragraphs and
sections of this ordinance, since the same would have been enacted
by the City Council without the incorporation in this ordinance of
any such unconstitutional phrase, clause, sentence, paragraph or
section.
SECTION 6.
That the City Secretary of the City of Fort Worth is hereby
directed to publish the caption and penalty clause of this ordinance
for two (2) days in the official newspaper of the City of Fort
Worth, as authorized By Article 1176b-1, Revised Civil Statutes of
Texas.
SECTION 7.
That the City Secretary of the City of Fort Worth is hereby
directed to engross and enroll this ordinance by copying the caption
and the penalty clause in the minutes of the City Council and by
filing the ordinance in the ordinance records of the City.
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SECTION 8.
That any person violating any of the provisions of this ordi-
nance shall be deemed guilty of a misdemeanor, and each such person
shall be deemed guilty of a separate offense for each day or portion
thereof during which any violation of any of the provisions of this
ordinance is committed, continued or permitted, and each violation
shall be punishable by a fine not to exceed Two Hundred Dollars
($200.00).
SECTION 9.
This ordinance shall be in full force and effect from and after
the date of its passage and publication as required by law, and it
is so ordained.
APPROVED AS TO FORM AND LEGALITY:
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~ity Attorney
Date
ADOPTED:-
EFFECTI VE : ''
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DAVE NUI-iBERC~ susJ~cv Secondhand Dealers Ordinance PAGE
NIS RATI~h•1,
8/7/84 G-6077 1 of 2
Background
In March of 1984, the Police Department attempted to initiate strict enforcement
""" 'of the existing City ordinance relating to secondhand dealers, junk dealers and
scrap metal dealers, in an attempt to reduce trafficking in stolen property
being bought and sold by some of the licenses in the above categories.
As a result of the attempt to initiate strict enforcement of this ordinance, the
Tarrant County Pawnbrokers Association who were subject to the provisions of the
existing ordinance obtained an injunction against the city =and the Police Depart-~
went prohibiting the enforcement of the ordinance. It appeared at that time that
the main objection voiced by> this association was the requirement of a thumbprint
as a means of identificat3_on from all persons selling secondhand merchandise to
these businesses. In addition the association in some instances objected to being
classified as junk dealers.
The Police Department in an attempt to resolve the matter relating to the enforce-
ment of the ordinance began a series of meetings with representatives of the
Tarrant County Pawnbrokers Association and a number of licensees including
representatives from the scrap metal dealers ~_n the city of fort Worth As a
result of the meetings an agreement was re~~hed that the Police and Law
Departments would rewrite the ordinance During these meetings the licensee and/
or their representatives were solicited for suggestions and recommendations as
to the content of the new ordinance. After considerable study by the Department
of Law and the Police Department it was determined that due to the vast differenr_e
existing between secondhand dealers and scrap metal dealers (or junk scrap dealers
that the most appropriate approach would be to write two separate ordinances,one
relating to secondhand dealers and the other relating to scrap metal dealers.
Subsequently, a draft of tine proposed ordinance regulating secondhand dealers was
prepared and sent to the affected parties for review. On June 12, 1984, a final
meeting was held in an attempt to reach an agreement on the provisions of the
ordinance It appears that most of the affected persons who attended the meeting
were in agreement with the provisions of the revised ordinance with the exception
of the Tarrant County Pawnbrokers Association.
After considerable negotiations with legal counsel representing the Tarrant
County Pawnbrokers Association, it appears unlikely that an agreement can be
reached with this organization Some of the reasons for the disagreement are
legal in nature. Zn other areas the desires of the pawnbrokers association go
beyond what is felt to be necessary in the way of regulation desired by this
organization, more specifically the Tarrant County Pawnbrokers Association
.insists on a separate secondhand dealers ordinance relating to pawnshop operators
onl It is the opinion of the. City's legal staff that such is legally unsound
and may be in direct conflict with the current state pawnbrokers law; the Police
Department feels it is unreasonable inasmuch as a separate ordinance cannot be
created regulating the dealing in secondhand goods for each different type of
business currently dealing in secondhand goods in the city In regard to the
other requests by the Tarrant Go;unty Pawnbrokers Association, it was their desire
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that tt}e gr~inanEe striex~.y ~'@gglal:e tt~e ~a~s and hours of business gf operation
parta3.nin.~ tc pa~x-@ho~s. ~~ ~~ t}~e cgntgAtion of the police ~~epartmr3nt that ~~}~.~
is inappropriate and an unnecessar-y regulation of these ~iusinesses. ~Iowever,
~not~ithist~n~ing the ~pregoln~ a Dn~bex of the ~'ecommendatlons subm~.tted ~y the
~ahmbrQ~gxs Association We~'e ~.ncorpQ~'stad lD tt}e net seegnc~hand dealers pr~~~?snce~
~asica].1y, the Qrdinance has begs} changed as follows. ~econdhan~ dealers and
~revieusiy described junk~serap metal dealers are ng~a re,-uiate~ ~y twg separgte
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ordinances, one to be
titled, "Secondhand
Dealers Ardii}anee" (the~or-dinance
regulating dealers in reeyeleable scrap will_ now ~e known as "Reeyclers Ordinance"
and will be submitted at a later date).
The changes occurring in the new Secondhand Dealers Ordinance are as follows:
1. The terms "secondhand dealers," "used" or "secondhand goods, wares or
merchandise" have been more specifically defined so as to eliminate the
doubt and uncertainty which exis!.ed under the old ordinance as to which
businesses or individuals were covered by the ordinance.
2. Specifically exempts pawnbrokers while in the course of a pawn transaction
and eliminates any reference to junk and/or junk dealers.
3. Includes new procedural requirements in regard to due process and establishes
an appeal procedure wherein a license is denied o-- :e~~oked.
4. No longer regulates days and hours in which a secor:uhand dealer must conduct
business.
5. Requires a thumbprint of the seller oni~ ip eases wherein the seller
possesses no reasonably valid I.D. :_.~
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goods but provides an exception to the fourteen day period and provides for
special approval by the Police Department sooner than the fourteen day hold
period.
7. Eliminates the necessity and requirement of a bond prior to licensing.
8. Requires licensees to mail reports to the Police Department within 48 hours
of the transactions.
APPRO ~
Recommendation
CITY C
It is recommended that the City Council approve the attached ordinance
regulating the buying and selling of secondhand goods.
A
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Attachment City Secretary of ha
City of Fort , ,Z
SUBMITTED FOR TH
CITY MANAGER'S
DISPOSITION BY COUNCIL:
PROCESSED BY
OFFICE BY (~ AP ROVED
ORIGWATING Chief Hopkins
DEPARTMENT HEAD: ~~~1yp TMER (DESCRIBE)
{~ a` ~~~~ ~~ ~~ /
CITY SECRETARY
FOR ADDITIONAL INFORMATION
CONTACT Deputy Chief H.L. Clark Ext. 6410 -~"`' -j
~
DATE
,~ BY
JNC.IL
1984
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