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Legislation #: 130056 Introduction Date: 1/24/2013
Type: Ordinance Effective Date: 2/10/2013
Sponsor: COUNCILMEMBER WAGNER AND COUNCILMEMBER SHARP
Title: Amending Chapter 20, Code of Ordinances, relating to cigarettes, by repealing Section 20-8 concerning the issuance, suspension or revocation of the cigarette license and enacting in its place a new section of like number and subject matter; by repealing Section 20-18 concerning penalties for violating cigarette licensing provisions and enacting in its place a new section of like number and subject matter; and enacting a new Section 20-19 authorizing the manager of regulated industries to assist the commissioner of revenue with enforcement of cigarette license requirements.

Legislation History
DateMinutesDescription
1/24/2013 Filed by the Clerk's office
1/24/2013 Referred to Public Safety & Emergency Services Committee
1/30/2013 Advance and Do Pass as a Committee Substitute, Debate
1/31/2013 Passed as Substituted

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130056 Fact Sheet.doc Fact Sheet 45K Fact Sheet
Other 0K Assigned to public safety committee per Councilman Wagner

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COMMITTEE SUBSTITUTE FOR ORDINANCE NO. 130056

 

Amending Chapter 20, Code of Ordinances, relating to cigarettes, by repealing Section 20-8 concerning the issuance, suspension or revocation of the cigarette license and enacting in its place a new section of like number and subject matter; by repealing Section 20-18 concerning penalties for violating cigarette licensing provisions and enacting in its place a new section of like number and subject matter; and enacting a new Section 20-19 authorizing the manager of regulated industries to assist the commissioner of revenue with enforcement of cigarette license requirements.

 

WHEREAS, the Council believes the existing provisions on the suspension or revocation of the license for the privilege of selling cigarettes at retail in the city need to be strengthened to protect the public from illegal activities, including sales of tobacco products to minors, occurring on the premises where cigarettes are sold; and

 

WHEREAS, the Council believes it would improve enforcement of the requirements for holding a cigarette license if the manager of regulated industries were authorized to assist the commissioner of revenue with enforcement; NOW, THEREFORE,

 

BE IT ORDAINED BY THE COUNCIL OF KANSAS CITY:

 

Section 1. That Chapter 20, Code of Ordinances of the City of Kansas City, Missouri is hereby amended by repealing Section 20-8 relating to the issuance, suspension or revocation of cigarette licenses and enacting in its place a new section of like number and subject matter to read as follows:

 

Sec. 20-8. Issuance of license; restrictions on license; suspension or revocation of

license.

 

(a)    Application; issuance. Every application for a cigarette license shall be made upon a form prescribed, prepared and furnished by the commissioner of revenue, and shall set forth such information as he shall require. Upon approval of the application, the commissioner of revenue shall grant and issue to the applicant a cigarette license as provided in this chapter.

(b)   Transfer; display; term. Cigarette licenses shall not be assignable and shall be valid only for the persons in whose names issued, and for the transaction of business in the places designated therein, and shall at all times be conspicuously displayed at the places for which issued. All licenses shall expire on December 31 in each and every year, unless sooner suspended, surrendered or revoked for cause by the commissioner of revenue.

(c) Duplicates. Whenever any license issued under the provisions of this section is defaced, destroyed or lost, the commissioner of revenue shall issue a duplicate license for the defaced, destroyed or lost license upon the payment of a fee of $0.50.

 

(d) Suspension or revocation. The commissioner of revenue shall have the authority to suspend for a period not to exceed 90 days, or to revoke a cigarette license whenever the commissioner finds that the holder of the license or his employee:

 

(1)               Has failed to comply with any of the provisions of this chapter or any rules or regulations of the commissioner of revenue prescribed or promulgated under this chapter;

 

(2)               Has been convicted of an ordinance violation for violating any of the provisions of sections 20-2, 20-3, and 20-6 to 20-13 inclusive of this chapter;

 

(3)               Has sold or distributed tobacco products or rolling papers on the licensed premises to any minor, in violation of section 50-235 of the code of ordinances;

 

(4)               Has permitted or allowed any minor to purchase or obtain tobacco products from vending machines located on the licensed premises, in violation of section 50-235 of the code of ordinances;

 

(5)               Has sold, distributed or displayed drug paraphernalia on the licensed premises in violation of section 50-201 of the code of ordinances;

 

(6)               Has sold, distributed, delivered, manufactured, produced or possessed a controlled substance or controlled substance analogue in violation of Missouri law on the licensed premises;

 

(7)               Has possessed an imitation controlled substance in violation of Missouri law on the licensed premises.

 

Upon suspending or revoking any cigarette license, the commissioner of revenue shall request the holder thereof to surrender to him immediately all license cards or tokens, or duplicates thereof, and the holder shall surrender promptly all such license cards or tokens to the commissioner of revenue as requested, together with all stamps, if any, in his possession which he has not affixed to packages of cigarettes, and the commissioner of revenue is hereby authorized to refund all money paid for such stamps.

 

(e) Notice; hearing. Before suspending or revoking any cigarette license, the commissioner of revenue shall send notice in writing at least ten days before the proposed suspension or revocation date by certified mail to the license holder’s last known address. If the license holder disputes the proposed suspension or revocation, he shall submit a written request for hearing to the commissioner of revenue, which request must be received before the proposed suspension or revocation date. If the license holder fails to make a timely request for a hearing or fails to appear for a requested hearing, the license shall be suspended or revoked. Upon receipt of a timely request for hearing, the commissioner of revenue shall stay the suspension or revocation pending the hearing, and shall hold a hearing without unnecessary delay. The commissioner of revenue shall make a record of the hearing and shall notify the license holder in writing of the decision.

 

(f) Judicial review. Pursuant to Chapter 536 of the Missouri Revised Statutes, the license holder may seek judicial review of a decision by the commissioner of revenue to suspend or revoke the cigarette license.

 

(g) Informal disposition. Nothing contained in this section or in this chapter shall preclude the informal disposition of contested cases by stipulation, consent order or default, or by agreed settlement.

 

Section 2. That Chapter 20, Code of Ordinances of the City of Kansas City, Missouri is hereby amended by repealing Section 20-18, entitled “Penalty for violation of chapter,” and enacting in its place a new section of like number and subject matter to read as follows:

 

Sec. 20-18. Penalty for violation of chapter.

 

Any person violating any of the provisions of sections 20-2, 20-3, and 20-6 to 20-13, inclusive, shall be deemed guilty of an ordinance violation, and upon the first conviction thereof shall be fined not more than $500.00. Upon a second conviction thereof, such person shall be fined not more than $1,000.00. Pursuant to section 20-8 of this chapter, the commissioner of revenue may also suspend for a period not to exceed ninety days or revoke the permit or license of any such person convicted of such an ordinance violation.

 

Section 3. That Chapter 20, Code of Ordinances of the City of Kansas City, Missouri is hereby amended by adding a new Section 20-19, entitled “Manager of regulated industries to assist with enforcement,” to read as follows:

 

Sec. 20-19. Manager of regulated industries to assist with enforcement.

 

The manager of regulated industries shall assist the commissioner of revenue with the enforcement of the provisions of this chapter. In assisting with enforcement, the manager of regulated industries shall be authorized to do any of the following:

 

(a)    To perform investigations to determine that the licensee is complying with the requirements of this chapter, and is not engaging in sales of tobacco products to minors or other illegal activities on the licensed premises;

 

(b)   To inspect, at any reasonable time, the licensed premises, including all portions of the building thereof used in connection with the operations carried on under the cigarette license and which are in the possession and control of the licensee, and all places where the licensee may keep or store cigarettes, including all rooms, cellars, outbuildings, passageways, closets, vaults, yards and attics;

 

(c)    To seize any and all objects, which may appear to be in violation of any provision of this chapter and to hold such objects in custody as evidence until any matter pertaining thereto is finally adjudicated;

 

(d)   To testify and present evidence in hearings before the commissioner of revenue concerning the suspension or revocation of a cigarette license issued under this chapter;

 

(e)    To conduct informal dispositions of contested cases by stipulation, consent order or default, or by agreed settlement.

 

____________________________________

 

Approved as to form and legality:

 

 

________________________

Stephen Walsh

Assistant City Attorney