COMMITTEE SUBSTITUTE
FOR RESOLUTION NO. 061354
Imposing a moratoriam until June 30, 2007 on the issuance of new business and occupation licenses for
signature loan, pay day loan, title loan, and similar small loan companies to
conduct business within the City.
WHEREAS, the number of companies seeking to
conduct signature loan, pay day loan, title loan, and similar small loan
businesses within the City has been increasing; and
WHEREAS, the
United States Congress and Missouri Governor Blunt have expressed concerns
about the operation of such businesses and it is anticipated that legislation
on the Federal and State levels may soon be forthcoming to regulate these
businesses; and
WHEREAS, the
Council is also concerned about accommodating such businesses within the City's
commercial community; and
WHEREAS, the
Council desires to study the impact of such businesses to avoid the
establishment of new small loan businesses within the City that may be located
or operated in a manner that may not conform to new ordinances that the Council
may adopt after the study process and anticipated actions of Congress and the
Missouri General Assembly are completed and that might otherwise undermine the
effect of potential ordinance revisions before they are adopted; and
WHEREAS, to
ensure that the Council successfully, fairly and rationally fulfills its
legislative duty regarding the regulation of small loan businesses, it is
necessary to temporarily preserve the status quo by imposing a moratorium to
administratively delay the issuance of new business and occupation licenses for
the operation of new signature loan, pay day loan, title loan, and similar
small loan businesses pending Council actions; and
WHEREAS, the
Council determines that a reasonable timeframe during which such a moratorium
should be in effect is the period beginning with the date of adoption of this
Resolution and continuing through and including the 30th day of June, 2007; and
WHEREAS, the
Council has determined that it is appropriate and necessary to temporarily
delay the issuance of new business and occupation licenses for the operation of
new signature loan, pay day loan, title loan, and similar small loan businesses
by adoption of a moratorium thereon, for the period beginning on the date of
this resolutions adoption and ending on the 30th day of June, 2007, to provide
the City Council with a reasonable opportunity to study possible legislative
actions associated with the regulation of such businesses; NOW, THEREFORE,
BE IT RESOLVED
BY THE COUNCIL OF KANSAS CITY:
Section 1. That
the Council hereby imposes a moratorium upon the issuance of new business and
occupation licenses for the operation of any new signature loan, pay day loan,
title loan, and similar small loan businesses not currently licensed that are
not subject to charter by the State of Missouri, for the period beginning on the date of adoption of this Resolution and
ending on the 30th day of June, 2007.
Section 2. Further
that, the City Manager is hereby directed to take such administrative
actions as are necessary to effectuate the moratorium declared hereunder.
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