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Memo Peddlers, Solicitors, Transient Merchants � ,, �;` <.;>� :;;;s::,::::� �::�:::;_::;::.;:° <:f.,.. ..'` A ,,, y''.'s :.:::: :.::.�:..•::::::::,; fa �::" y::•.: f `; ! F.+' e: �� �:�� ?� . � ::: .: , :g y.. {/.•:::..: . y. r.; .,.,•,.::•: ''aii%, ti$<:•.:,•:?:>":::.5,+y:•• };;e:•,J;;.iyt.:a.: $i% . t..+ �::�. . . r.N�•:xt:�,o;1; To: , The City Council From: Jim Gene!!ie Date: January 5, 1994 Subject: Peddlers, Solicitors, and Transient Merchants There have been a number of questions raised over the years regarding the licensing of solicitors, peddlers, and transisnt merchants in the City of Hopkins. Gurrently Hopkins City Code, Section 1145 deals with these ficenses. A peddler or solicitor is a person who, without previous invitation goes to any residentia! quarters, dweiiing, apartment, or from house to house. (Section 1145 does not apply to individuals peddting or soliciting to businesses). A transient merchant is an individual who . transacfs any temporary or transient business selling goods, wares and merchandise, and who, for the purpose of carrying on such business, hires or leases or occupies a building or other structure for #he exhibition and sale of such goods, wares and merchandise. • No pedd(er, solicitor, or transient merchant may offer or sell goods or merchandise within the city withou# first obtaining a(icense. Licenses are reviewed by the Police Department and then forwarded to the City Counci( for approval. Peddler, solicitor, or transient merchant licenses would show up in the miscellaneous licenses and permits section of the consent agenda. It can take anywhere from five days to three weeks to issue a peddler, solicitor, or transient merchant license depending upon when if is submitted to the City. Hopkins current licensing ordinance does not apply to: 1. individuals who would be selling grocery, bakery products or other perishable commodit�es and who make an uninvited call on the occupant of a residence as a preliminary step to the establish of a regular route service for the sale and delivery of such commodities to regular customers; 2. a person who se!!s or attempts to sell, or solicits or attempts to solicit orders for goods, wares or merchandise, in behalf of a bonafide charitable, religious, civic, educationa( or politica! organization. 3. a person who sel(s or attempts to sell the product of a farm or garden occupied and cultivated by that person. Finally, any resident who wishes to exclude peddlers or solicitors from their premises may � place upon or near the usual entrance to their premises, a printed sign bearing the following notice, "peddlers and solicitors prohibited". ' a . #. � If the Council wishes there are a variety of changes that could be made: 1. Prohibiting soliciting and peddling. The Cour�cil could pass what is known as a "Green River" ordinance. This ordinance prohibits all soliciting and peddling. The advantage with this approach is that it is easy to enforce. The disadvantages are that it may be unconstitutional as regards to interstate commerce and religious solicitation. It also would prohibit the girl scouts and similar organizations from peddling or soliciting. 2. Adopt a modified "Green River" ordinance. This ordinance leaves it up to the individual homeowner or business owner to control peddling and soliciting. Under this ordinance anyone may place a sign on their premises prohibiting peddling or soliciting. All peddlers and solicitors, including sellers of interstate commerce and solicitors for religious organizations, would have to honor the wishes of the premise's owner and refrain from peddling or solicitin� at that location. The advantages of this approach are that it is constitutional, easily enforced, and easy to administer. The disadvantage is that it allows anyone to peddle or solicit in the CitY• � Assuming that the City does no# want to prohibit all peddling and soliciting or simply allow anyone to peddle and solicit then it is necessary to have an ordinance similar to the one � that the City currently has. Attached is a revised peddler and solicitor licensing ordinance. It is an improvement over the City's current ordinance but there are still some policy questions left for the Council to answer: 1. Should the peddler and solicitor license apply to businesses? The City's current ordinance only applies to peddling and soliciting in residential areas. The Iicense could be expanded to regulate these activities throughout the City. This would require the City to license everyone who peddles or solicits businesses. An alternative might be to apply the ordinance to peddling to businesses and not soliciting. Most individuals who go door to door to businesses are soliciting orders for future delivery, they do not carry their products with them. 2. Should the City license transient merchants? Transient merchants conduct their business on private land. Except for the transient, or temporary, nature of their business, it is similar to any retail business. The City does not license most retail businesses. 3. Should the City Council approve every peddler and solicitor license? Under the revised ordinance approval is automatic as long as the forms are filled out, the fee paid, and the background check is satisfactory. The only time the Council would get involved would be to hear an appeal if a license was denied. Removing the � necessity for Council approval would speed up the process. It is also extremely difficult for the City Council to deny a license to someone who has met all of the City's criteria without being arbitrary and capricious. • �, � The following is a list of peddlers, solicitors and transient merchant licenses that have been issued by the City of Hopkins in 1992 and 1993: (Nonprofit organizations, which do the bulk of the soliciting in Hopkins, are not required to be licensed and therefore would not appear on this list) Peddlers/Solicitors 1992 LIC # Susan Kay Wigfield 92302 1993 Paragon Cable 93122 Snack Attack Delivery Service, Ir� -- 9�60 Sun Ripe Citrus 9341 Transient Merchants 1992 Fashion Rugs 92278 + Handicaps Plus 92220 Midwest Drag Racers Association 92197 Richards Liquor Corporation 92240 S Scevers Sales 92243 1993 Clark Oil Company 93231 Edward D. Jones & Company 93229 Fina Serve 93198 Grocery Hut 93216 Magic Pictures 93222 R. J. Amusements 93232 � �l�.A.FT � PEDDLERS, SOLICITORS. TRANSIENT MERCHANT ORDINANCE 1145.01 PurPose. This Section is not intended to interFere with the legitimate business activities of peddlers as the same are defined herein, whether local or interstate. These provisions are intended only to, as nearly as possible, ferret out all illegitimate or confidence operators and to regulate and control all those who would use their unique presence on property within the City, or their unique proximity to its residents, for purposes of harassment, nuisance, theft, or other unlawful activities. 1145.03 Definitions Subdivision 1. When used in this Section, the following terms have the following meanings: Subd. 2. "Peddler" means any person, whether a resident of the City of Hopkins or not, who goes from house to house, from place to place, or from street to street, conveying or transporting goods, wares or merchandise or offering or ex- posing the same for sale, or making sales where payment is received immediately � for future delivery to purchasers. It does not include vendors of milk, bakery prod- ucts or groceries who distribute their products to regular customers on established routes. This section does not apply to businesses. � Subd 3. "Peddling" means the act of being a peddler. Subd 4. "Solicitor" means any person, whether a resident of the City of Hop- kins or not, who goes from house to house, from place to place, or from street to street with the intention of taking immediate orders for services or goods for future delivery and payment. All solicitors dealing with merchandise of any kind to be delivered to customers directly from points outside the State of Minnesota shall be exempt from payment of the license fee. Tnis section does not app�y to businesses. I tt is unconstitutional to charge a fee on interstate oods Subd 5. "Transient merchant" includes any person, firm or corporation, whether as owner, agent, consignee, or employee, whether a resident of the City of Hopkins or not, who engages in a temporary business of selling and delivery goods, wares and merchandise with�n the City, and who, in furtherance of such purpose, hires, leases, uses or occupies any vacant lot, parking lot, motor vehicle, trailer, tent, boxcar, or any street, alley or other place within the City, for the ex- hibition and sale of such goods, wares and merchandise, either privately or at public auction, provided however that such definition does not include any person, firm or corporation who, while occupying such temporary location, does not sell � from stock, but exhibits samples for the purpose of securing orders for future de- livery only, nor shall such de�nition apply to any person, firm or corporation who sells such goods, wares, or merchandise from within the confines of a IawFully es- tablished and operating permanent retail sales operation. - 01 /Q3/94 ;a ��, :, � � � ',�.' 1145.05. Permit Re uired. It is unlawful for an eddler, solicitor or transient a Yp � merchant to engage in any such business within the City of Hopkins without first ' obtaining a permit therefor in compliance with the provisions of this ordinance. , � 1145.07. Exemptions. The terms of this Section do not include: a) the acts of inerchants or their employees in delivering goods in the regular course I of business; b) to the sale of farm or garden products by the person producing the same; c) children, age eighteen or younger, soliciting for school sponsored ��tivities; d) "garage" or "estate" sales; e) solicifations by any organization for philanthropic, religious or educational causes if the following procedure has been accomplished: the requesting entity must file an application in writing, on a form to be furnished by the City Clerk, which shall give the following information: 1. Name and purpose of the cause for which exemption is sought. � 2. Name of the individual in the organization responsible for the solicitations. 3. Names and addresses of the individuals who will actually be doing the soficitation. 4. Period during which solicitation is to be carried on. 5. Certificate of nonprofit status from the state where organized. �� Upon receipt of the completed application, the City C1erk shall issue a permit without charge to such organization, association or corporation to solicit in the City. Such ; organization, shall fumish all of its members, agents, or representatives conducting ; solicitation credentials, in writing, stating the name of the organization, name of agent i and purpose of solicitation. 1145.09. Application. Applicants of a permit under this Section shall file with the City Clerk a sworn application in writing on a form to be furnished by the City Clerk. The application shall give the following information: a) Name (including last, first and middle), date of birth, driver's license number iden- tification, and written authorization for necessary background checks by the Po- lice Department of the person registering and each individual that will be carrying the activity of a peddler, solicitor, or transient merchant. While only one repre- sentative for a group need apply on behalf of the organization, each individual that will be participating in the peddling or soliciting activity shall be required to ' submit the above information to the Police Department. b) Complete permanent home and local address of the applicant and, in the case of '� transient merchants, the local address from which proposed sales will be made. ' c) A brief description of the nature of the business and the goods to be sold. ,;,--� ' d) The length of time for which the right to do business is desired. �' � � _ i Q 1 /03/94 � � : _ , -- _ � e) A statement as to whether the applicant has been convicted of any crime, misde- meanor, or violation of any municipal ordinance, other than traffic violations, the nature of the offense and the punishment or penalty assessed therefor. fl The last municipalities, not to exceed three, where applicant carried on business immediately preceding the date of application, and the addresses from which such business was conducted in those municipalities. 1145.11. Fee. At the time of filing the application, the person registering shall pay a fee to cover the administrative costs of processing and investigation. The fee shall be for each individual who is registered. The fee shall be set by City Council Resolution 1145.13. Investiqation and Issuance. Subdivision 1. Upon receipt of each application, it shall be referred to the Chief of Police, or his designee, who shall immediately institute an investigation of the applicant including, but not limited, to a criminal history and wanted persons check with the Bureau of Criminal Apprehension, for the protection of the public good and shall endorse the application in the manner prescribed in this Section within seventy-two (72) hours, not including holidays or , weekends, beginning the day after it has been received by the police department. Subd 2. Any applicant may be found to be unsatisfactory for reasons including, but � no# solely limited to: a) Fraud, misrepresentation or incorreet statement contained in the application for permit. b) Past fraud, misrepresentation or incorrect statement made in the course of carrying on a business as a solicitor, canvasser, peddler, transient merchant, itinerant merchant, or itinerant vendor. c) Past conviction of any crime or misdemeanor involving fraud, theft or moral turpitude, or any crime of violence as defined in M.S. 624.713. d) Conducting the business of a peddler, solicitor, transient merchant, itinerant merchant, or itinerant vendor, as the case may have been, in an unlawful manner or in such a manner as to constitute a breach of peace or to constitute a menace to health, safety or general welfare of the public. Subd 3. If, as a result of such investigation, the applicant is found to be unsatisfactory, the Chief of Police shall endorse on such application his or her disapproval and the reasons for the same, and return the application to the City C1erk, who shall notify the applicant that his/her application is disapproved and that no permit will be issued. � 01 /03/94 Subd. 4 If as a result of such investigation, the appiicant is found to be satisfactory, � � the chief of police shall endorse on the application his or her approval and return the application to the city cferk, who shall deliver the permit to the applicant. Such permit shall contain the signature of the city clerk and shall show the name, address and photograph of said permittee, the class of permit issued and the kinds of goods to be sold thereunder, the date of issuance and the length of time that the other identifying description of any vehicle used in such licensed business. Each person issued a permit must carry it on his or her person while conducting or engaging in any activities � regulated hereunder. No permit shall be used at any time by any person other than the j one to whom it is issued. The City C1erk shall keep a permanent record of all permits � issued. ; 1145.15. Practices Prohibited. Subdivision 1. Siqns. Any resident of the City I or business employee who wishes to exclude peddlers or solicitors from premises � occupied by the resident or business may place upon or near the usual entrance to such ; premises a printed placard or sign bearing the notice: "Peddlers and Solicitors Prohibited". Such placard shall be at least 3- 3/4 inches long and 3-314 inches wide ; and the printing thereon shall not be smaller than 48 point type. No peddler or solicitor ' shall enter in or upon any premises or attempt to enter in or upon any premises, where such placard or sign is placed and maintained. No person other than the person � occupying such premises shall remove, injure or deface such placard or sign. ,���, Any resident of the City or business employee who wishes to exclude the deposit of ! advertising handbills, advertising circulars and other advertising materials from the ' j premises occupied by the resident or business may place upon or near the usual '� entrance to such premises a printed placard or sign bearing the notice: "Depositing of � Handbills, Circulars, Advertising Material Prohibited". Such placard shall be at least 3- 3/4 inches long and 3-3/4 inches wide and the printing thereon shall not be smaller than 48 point type. No person shall enter in or upon any premises or attempt to enter in or upon any premises where such placard or sign is placed and deposit any advertising handbills, advertising circulars or other advertising material. No person other than the e in'ure or deface such lacard or si n. erson occu in such remises shall remov p 9 , P PY 9 P J I ', I Subd. 2 Transient Business . a) no part of any transient business may be located upon a public right-of-way; b) the business may not generate noise, light, dust, or odors which reasonably would tend to disturb or annoy occupants of adjacent residential properties; -c) tfie transient business licensee shalC keep the parcel free of trash, litter, and debris; d) any tents, canopies, awnings or similar items and all water, electrical, and lighting facilities shall be in compliance with applicable codes and regulations; e) the transient merchant shall have in possession written evidence of consent of the �;;,� owner or leasee of the parcel to conduet the transient business thereon. � 01 /03/94 I I _ , - . � _ _ - , - --- - - _ � Subd. 3. Hours. No peddler, solicitor, or transient merchant shail enter upon any residential or business premises for the purpose or carrying on his or her trade or business between the hours of 8:00 p.m. and 5:00 a.m. of the following day unless such person has been expressly invited to do so by the owner or occupant thereof. A resident has asked that the City prohibit peddling or solciting after sundown. Subd. 4. Loud Noises and Speakinq Devices. No permittee, nor any person in his/her behalf, shall shout, cry out, blow a horn, ring a bell, or use any sound amplifying device upon any of the streets, alleys, parks or other public places of the City or upon private premises where sound of sufficient volume is emitted or produced therefrom to be capable of being plainly heard upan the ,streets, avenues, alleys, parks, or other public places, for the purpose of attracting attention to any goods, wares, or merchandise which such permittee proposes to selL 1145.17 Reqistration Period. Registration shall be valid only for the calendar year. All registrations shall expire on December 31 after their issue. The registration fee shall remain the same throughout the year. - 1145.19 Reqistration Nontransferable. A registration may not be transferred. Each peddler, solicitor, or transient merchant shall separately register. i 1145.21. Revocation of License. Subdivision 1. Permits issued under the provisions of this Section may be revoked by the Council of the City after notice of a hearing, for any of the following causes: a) Fraud, misrepresentation or incorrect statement contained in the application for permit. b) Fraud, misrepresentation or incorrect statement made in the course of carrying on his business as solicitor, canvasser, peddler, transient merchant, itinerant merchant or itinerant vendor. c) Any violation of this ordinance. d) Conviction of any crime or misdemeanor involving fraud, theft or moral turpitude or any crime of violence as defined in M.S. 624.713. e) Conducting the business of a peddler, solicitor, transient merchant, itinerant merchant, or itinerant vendor, as the case may be, in any unlawful manner or in such a manner as to constitute a breach of peace or to constitute a menace to health, safety or generai welfare of the public. � 01 /03/94 ; Subd. 2. Notice of the hearing for revocation of a permit shall be given by the City � i Clerk in writing, setting forth specifically the grounds of complaint and the time and place ; of hearing. Such notice shall be mailed postage prepaid, to the permittee to his/her last � known address at least five (5) days prior to the date set for hearing, or shall be delivered by a police officer in the same manner as a summons at least three (3) days prior to the date set for hearing. � 1145.23. Appeal. Any person aggrieved by the action of the Chief of Police or the ; City Clerk in the denial of a permit as provided in Section 1145.13 rnay appeal to the City � Council. Such appeal shall be taken by filing with the Council within fourteen (14) days after notice of the action complained of, a written sta#ement setting forth fully the grounds '; for the:,.appeal. The Council shall set a time and place for hearing on suci� appeal, and ; notice of such hearing shall be given to the appellant in the same manner as provided in � Section 1145.21 of this ordinance for notice of hearing on revocation. No individual may � conduct any business regulated hereunder while an appeal is pending. � � � . ,�'� '�+' � I - ._. � 01 J03/94 - , , � � �� , -