1991-689
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HENNEPIN COUNTY, MINNESOTA
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ORDINANCE NO. 91-689
AN ORDINANCE REGULATING PAWN SHOPS
WITHIN THE CITY OF HOPKINS
BE IT ORDAINED by the Council of the City of Hopkins as follbws:
SECTION 1. That the Hopkins City Code is amended by adding a new
section 1180 to read as follows:
Section 1180 Pawn Shops
1180.01. Definitions Subdivision 1. For purposes of this section the terms
defined in this subsection have the meanings given them
Subd. 2. "Licensee" means the person to whom a license is issued under this
Section including any agents or employees of the person
Subd 3 .
"Minor" means any natural person under the age of 18 years.
Subd 4 "Pawnbroker" means a person who loans money on deposit or pledge of
personal property or other valuable things or who deals in the purchasing of personal
property or other valuable things on condition of selling the same back again at a
stipulated price or who loans money secured by security interest on personal property
or any part thereof.
Subd. 5 "Chief of Police or Police Officer" means City of Hopkins Police
Chief, police officer or designee.
1180.03. License Reauired. Subdivision 1. No person shall exercise, carryon or be
engaged in the trade or business of pawnbroker without first obtaining a license from
the City as provided in this Section.
Subd. 2. General. Applications for pawnbrokers' licenses to be issued under
this Section shall contain information as required on forms prescribed by the City
Clerk. Applications shall be filed with the City Clerk.
Subd 3 .
applicant is
organization.
Nature of Aoolication. The application shall state whether the
a natural person, corporation, partnership or other form of
Subd 4. Natural Person. If applicant is a natural person, the following
information shall be furnished:
a) True name, place and date of birth and street residence address,
and length of time at that address, of applicant
b) Whether applicant has ever used or been known by a name other than
his true name and, if so, what was such name or names, and information
concerning dates and places where used
.
c) The name
designation, name or
applicant.
of the
style
business if
other than
it
the
is
full
to be conducted
individual name
under a
of the
d) Kind, name and location of every business or occupation applicant
has been engaged in during the preceding five (5) years.
e) Names and addresses of applicant's employers and partners, if any,
for the preceding five (5) years.
f) Whether applicant has ever been convicted of a
misdemeanor or misdemeanor including violation of a municipal
excluding traffic violations, and if so, the date and place of
the nature of the offense
felony, gross
ordinance, but
conviction and
g) If applicant has not resided in the City for three (3) years last
preceding the date of application, at least four (4) character references
Subd. 5. Partnership. If applicant is a partnership, the names and addresses
of all partners and all information concerning each partner as is required of a
single applicant in Subdivision 4 of Section 1180.03. A managing partner, or
partners, shall be designated. The interest of each partner in the business shall be
disclosed.
Subd 6 Corporation. If applicant is a corporation or other association,
the following information shall be required.
a) Name and, if incorporated, the state of incorporation.
b) A true copy of the certificate of incorporation, articles of
incorporation or association agreement and by-laws and, if a foreign
corporation, a certificate of authority as described in Minnesota Statutes.
c) The name of the operating officer or proprietor or other agent in
charge of the premises to be licensed, giving all the information about said
person as is required of a single applicant in Subdivision 4 of Section
1180.03. As used in this Section, the term "operating officer" shall mean the
person responsible for the day-to-day operating decisions of the licensed
premises.
d) A list of all persons who, singly or together with their spouse, or
a parent, brother, sister or child or either of them, own or control an
interest in said corporation or association in excess of five percent (5%) or
who are officers or directors of said corporation or association, together with
their addresses and all information as is required of a single applicant in
Subdivision 4 of Section 1180 03
Subd 7.
Description of premises
a) Legal Description. The exact legal description of the premises to
be licensed, together with a plot plan of the area for which the license is
sought showing dimensions, location of buildings, street access parking
facilities.
b) Street Address. The street address of the premises for which
application is made.
Subd. 8 Other Information Reauired. Such other information as the City
Council shall require.
1180.05. Renewal Applications. Subdivision 1. License Period. Expiration. Each
renewal license shall be issued for a maximum period of one year. All licenses shall
expire on December 31 of each year.
Subd. 2. Time of Making Application. Applications for renewal of an existing
license shall be made at least ninety (90) days prior to the date of the expiration
of the license, and shall state that everything in the prior applications remains
true and correct except as otherwise indicated. The City will mail application forms
to existing licensees approximately one hundred twenty (120) days prior to expiration
of the licenses. If, in the Judgment of the Council, good and sufficient cause is
shown by any applicant for failure to file for a renewal within the time period
provided, the Council may, if the other provisions of this Section are complied with,
grant the application.
1180.07. Execution of Application. If application is by a natural person, it shall
be signed and sworn to by such person; if by a corporation, by an officer thereof; if
by a partnership, by one of the general partners; if by an incorporated association,
by the operating officer or managing officer thereof. If the applicant is a
partnership, the application, license and bond shall be made and issued in the name
of all partners. Any false statement in an application shall result in denial of the
application.
1180.09. Granting Licenses Subdivision 1. Investigation At the time of making
an initial or renewal application, the applicant shall, in writing, authorize the
Hopkins Police Department to investigate all facts set out in the application and do
a personal background and criminal record check on the applicant. The applicant shall
further authorize the Hopkins Police Department to release information received from
such investigation to the City Council The applicant shall have an opportunity to
review such information before it is released to the City Council
Subd. 2. Vote Reauired
or refuse the application.
After such investigation, the Council shall grant
Subd. 3. License Not Transferable. Each license shall be issued to the
applicant only and shall not be transferable, except as allowed in Section 1180.11.
Each license shall be issued only for the premises described in the application and
shall not be transferable to a different location.
1180.11. Corporations. Partnerships or Associations. Subdivision 1. Licenses
issued to corporations shall be valid only so long as there is no change in the
officers or ownership interest of the corporation unless such change is approved by
the Council, in which event said license shall continue in force until the end of the
then current license year.
Subd. 2. Licenses issued to associations or partnerships shall be valid only
so long as there is no change in the partnership or association agreement or in the
ownership of said partnership or association unless such change is approved by the
Council, in which event said licensee shall continue in force until the end of the
then current license year.
.
Subd. 3. Corporation, partnerships or associations shall submit written
notice to the Clerk of any such changes described herein on or before sixty (60) days
prior to the effective date of any such change and pay any fee required for an
amendment to the license. In the case of a corporation, the licensee shall submit
written notice to the Clerk when a person not listed in the initial application will
be acquiring an interest and shall give all information about said person as is
required of a person pursuant to the provisions of this Section.
1180.13. Payment of Fees. Subdivision 1. Fees. The Hopkins City Council shall, by
resolution, set the annual license fee, investigation fee and fee for an amendment to
the license for pawnshops.
Subd. 2. Initial Fees. The annual license and investigation fees for a new
license shall be paid in full before the application for the license is accepted.
Upon rejection of any application for a license or upon withdrawal of an application
before approval of the issuance by the Council, the license fee only shall be
refunded to the applicant except where rejection is for a willful misstatement in the
license application
Subd. 3 Renewal Fees. The annual license fee for renewal of a license shall
be paid in full at the time the renewal application is filed with the Clerk.
1180.15. Bond Required. At the time of filing an application for a license, the
applicant shall file a bond in the amount of Five Thousand Dollars ($5,000) with the
City Clerk. The bond, with a duly licensed surety company as surety thereon, must be
approved as to form by the city attorney. Said bond must be conditioned that the
licensee shall observe the ordinances of the city, in relation to the business of
pawnbroker, and that the licensee will account for and deliver to any person legally
entitled thereto any articles which may have come into the possession of the licensee
as pawnbroker or in lieu thereof such licensee shall pay the person or persons the
reasonable value thereof.
1180.17. Persons and Places Ineligible for License.
shall be granted to or held by any person who:
Subdi vis ion 1.
No license
a) Is a minor at the time the application is filed;
b) Has been convicted of any crime directly related to the occupation
licensed, as prescribed by Minnesota Statute 364.03, Subd 2, and has not shown
competent evidence of sufficient rehabilitation and present fitness to perform
the duties of a pawnbroker as prescribed by Minnesota Statutes 364 03, Subd. 3;
c) Is not a citizen of the United States or a resident alien;
d) Holds an intoxicating liquor license under Chapter XII of this
Code; or
e) In the judgment of the Council, is not the real party in interest
or beneficial owner of the business operated, or to be operated, under the
license
1180.19. Conditions of Licenses Subdivision 1 Records Every licensee, at the
time of receipt of an article deposited, left, sold, purchased, pledged or pawned,
shall immediately record, in a book consisting of ink, computer printout or other
indelible medium, the following information:
a) An accurate description of the article, in English; and any numbers
written, stamped, impressed or engraved thereon together with the name of the
manufacturer if the name is on the article;
b) The amount of money loaned upon or pledged therefor;
c) The date, time and place of receipt of the item;
d) The name, residence address, date of birth and reasonably accurate
description of the person from whom the item was received; and
e) The identification number from one of the following forms of
identification of the person from whom the item was received:
1) A valid Minnesota driver's license;
2) A valid Minnesota identification card; or
3) A valid photo identification issued by the state of residency of
the person from whom the item was received and one other form of
identification
Subd 2 Disposition of Articles. When any article is sold or disposed of by
the licensee, the records shall contain an account of such sale with the date
thereof, interest and charges accrued, the amount for which the article was sold and,
in the case of items sold for more than $75.00, the name, address and telephone
number of the purchaser.
Subd. 3. Ins-pection of Records. The records referred to in this section
shall be open to the inspection of the City police officer at all reasonable times
and shall be retained by the licensee for at least four (4) years.
Subd. 4 Receipt. Every licensee shall deliver to the person pawning,
pledging, selling, leaving or depositing any articles, a certificate numbered to
correspond with the entry in the licensee's records. The certificate shall contain
the substance of the entry.
Subd. 5. Reports to Police. Each licensee shall prepare and deliver to the
Chief of Police, every day before 12:00 noon, on forms prescribed by the City Clerk,
a legible, correct and complete copy from the records hereinbefore required, and a
true and correct account of all personal property or other valuables received,
deposited, purchased, pledged, pawned, sold or otherwise disposed of during the
preceding day. The report and description shall be signed and delivered, in person,
by the person making the report to the Chief of Police unless otherwise directed, in
writing, by the Chief of Police.
Subd 6. Exceptions to Re-ports. No person shall be required to furnish
descriptions of any property purchased from manufacturers and wholesale dealers
having an established place of business or of any goods purchased at an open sale
from any bankrupt stock or from any other person doing business and having an
established place of business. Any goods referred to in this section must be
accompanied by a bill of sale or other evidence of open or legitimate purchase and
must be shown to the City police department when demanded.
.
Subd. 7. Thirty-Day Redemption Period Any person pledging, pawning or
depositing an article for security shall have a minimum of thirty (30) days from the
date when the loan or pledge becomes due and payable to redeem the article before the
article becomes forfeitable.
Subd. 8. Minimum Period Before Redemption or Sale. No personal property on
deposit with any licensee nor property purchased by or sold to, or in any other ways
coming into the possession and under the control of any licensee in the due course of
business, shall be permitted to be redeemed from the place of business of the
licensee for a period of forty-eight (48) hours, nor shall the property be sold
within ten (10) days after the copy and statement required to be delivered to the
Chief of Police has been delivered.
Subd. 9. Police Restrictions on Sale Whenever the Chief of Police shall
notify any licensee not to sell or permit to be redeemed any articles received on
deposit or purchased by the licensee, the articles shall not be permitted to be
redeemed or sold until such time as may be determined by the Chief of Police. Such
time shall in no case exceed the period of six (6) months from the date of such
notification.
Subd. 10. Payment by Check. Payment by licensee for any article deposited,
left, purchased, pledged or pawned shall be made only by a check, draft or other
negotiable or nonnegotiable instrument or order of withdrawal which is drawn against
funds held by a financial institution. The licensee may cash the check
.
Subd. 11. Posting License All licensees shall post their licenses, in a
conspicuous place, in the licensed premises near the licensed activity.
Subd. 12. Responsibility of Licensee. The conduct of agents or employees of a
licensee, while engaged in performance of their duties for their principal or
employer under such license, shall be deemed the conduct of the licensee
Subd. 13. Penalty for Property Owner. It is unlawful for any person who owns
or controls any real property to knowingly permit it to be used for pawnbroking
without a license required by this Section.
Subd. 14 Restricted Hours of Operation. No licensee shall be open for the
transaction of business on any day of the week before 7.00 a.m. or after 10:00 p.m
1180.21. Minors. No licensee shall purchase or receive personal property, of any
nature, on deposit or pledge from any minor.
1180.23. Inspection. Subdivision 1 Stolen Goods Any licensee shall, at all
times during the term of the license, allow any City police officer to enter or
inspect the premises, where the licensee is carrying on business, and all records
pertinent to the operation of the business for the purpose of locating goods
suspected or alleged to have been stolen. No licensee shall conceal any article in
his possession from any City police officer.
Subd. 2. Inspection by Claimed Owner. All goods, wares or merchandise
coming into the possession of any licensee, under the terms hereof, shall at all
tim~s be open to inspection and right of examination of any person claiming to have
been the owner thereof or claiming to have had any interest therein when such person
is accompanied by the City police officer
'"
Subd. 3. Disposition of Stolen Property. Property which is demonstrated by
the Police Department to have been stolen will be turned over to the Police
Department for disposition. No reimbursement shall be made to the pawnshop for this
property.
1180.25. Refusal. Suspension or Revocation. Subdivision 1. False Statements. It
is unlawful for any applicant to make a false statement or omission upon any
application form. Any false statement in such application, or any omission to state
any information called for on such application form, shall, upon discovery of such
falsehood, work an automatic refusal of license, or if already issued, shall render
any license issued pursuant thereto, void. Prior issuance is of no effect to protect
the applicant from prosecution for violation of this section or any part hereof.
Subd. 2. Violation of Laws. The City Council may suspend or revoke a
license issued under this Section upon a finding of a violation of any of the
prov~s~ons of this Section or any state statute regulating pawnbrokers. Any
conviction by the pawnbroker for theft, receiving stolen property or any other crime
or violation involving stolen property shall result in the immediate suspension
pending a hearing on revocation of any license issued hereunder.
Subd. 3. Hearing Required. Except in the case of a suspension pending a
hearing on revocation, a revocation or suspension of a license by the Council shall
be preceded by a public hearing conducted in accordance with Minn. Stat. 15.0418 to
15.0426. The City Council may appoint a hearing examiner or may conduct a hearing
itself The hearing notice shall be given at least ten (10) days prior to the
hearing, include notice of the time and place of the hearing, and shall state the
nature of the charges against the licensee.
First Reading:
July 2, 1991
Second Reading:
October 1, 1991
Date of Publication:
October 9, 1991
Date Ordinance Takes Effect:
Attest:
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