Ordinance No. 10,780ORDINANCE NO. 10,780
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF BAYTOWN,
TEXAS, REPEALING CHAPTER 82 "SECONDHAND GOODS," ARTICLE II
"METALS, CRAFTED PRECIOUS METALS AND GEMS," DIVISION 2
"METALS" AND DIVISION 3 "CRAFTED PRECIOUS METALS AND
GEMS"; AMENDING CHAPTER 82 "SECONDHAND GOODS," ARTICLE II
"METALS, CRAFTED PRECIOUS METALS AND GEMS" OF THE CODE OF
ORDINANCES, BAYTOWN, TEXAS, TO ADD NEW DIVISIONS TO BE
NUMBERED AND ENTITLED DIVISION 2 "METALS" AND DIVISION 3
"CRAFTED PRECIOUS METALS AND GEMS" TO DECLARE CERTAIN
CONDUCT TO BE UNLAWFUL; CONTAINING A REPEALING CLAUSE;
CONTAINING A SAVINGS CLAUSE; PRESCRIBING A PENALTY OF FIVE
HUNDRED AND NO/100 DOLLARS ($500.00); AND PROVIDING FOR THE
PUBLICATION AND THE EFFECTIVE DATE THEREOF.
WHEREAS, the City of Baytown has an ordinance that governs metal recycling entities,
secondhand metal dealers, and secondhand dealers and precious metals and gems entities or
dealers and operation of their respective businesses; and
WHEREAS, due to the substantial increase in the price of copper, precious and other
metals and gems over the past year, police departments across the country are reporting a
substantial increase in the theft of these materials that are sold to metal recycling entities and
secondhand dealers; and
WHEREAS, thieves of metals are targeting homes, construction sites, public utilities, and
public property for access to metal pipes, tubing and wiring, and other construction materials;
and
WHEREAS, improved, uniform electronic record keeping requirements for metal
recycling entities, secondhand metal dealers, and secondhand dealers will aid law enforcement in
identifying thieves of metal and precious metals and gems and solving metal and precious metals
and gems thefts and related crimes; and
WHEREAS, based upon these findings, the City Council is of the opinion that the
ordinance provisions regulating metal recycling entities, secondhand metal dealers, and
secondhand dealers and provisions relating to metals and precious metals and gems entities and
dealers should be amended; NOW THEREFORE,
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF BAYTOWN,
TEXAS:
Section 1: That the findings contained in the preamble of this Ordinance are
determined to be true and correct and are hereby adopted as a part of this Ordinance.
Section 2: That Chapter 82 "Secondhand Goods," Article II "Metals, Crafted
Precious Metals and Gems," Division 2 "Metals" of the Code of Ordinances, Baytown, Texas, is
hereby repealed in its entirety.
Section 3: That Chapter 82 "Secondhand Goods," Article II "Metals, Crafted
Precious Metals and Gems" of the Code of Ordinances, Baytown, Texas, is hereby amended to
add a new division to be numbered and entitled Division 2 "Metals" , which shall read as
follows:
CHAPTER 82. SECONDHAND GOODS
ARTICLE II. METALS, CRAFTED PRECIOUS METALS AND GEMS
DIVISION 2. METALS
Sec. 82-55. Definitions.
The following words, terms and phrases, when used in this division, shall have the
meanings ascribed to them in this section, except where the context clearly indicates a different
meaning:
Aluminum material means a product made from aluminum, an aluminum alloy or an
aluminum byproduct. The term includes an aluminum beer keg, but does not otherwise include
an aluminum can used to contain a food or beverage.
Building construction materials mean copper pipe, tubing or wiring; aluminum wire;
aluminum siding; plumbing supplies; electrical supplies; window glass; window frames; doors;
door frames; downspouts; gutters; lumber; air conditioning units and other similar materials.
Bronze material means:
(1) A cemetery vase, receptacle or memorial made from bronze;
(2) Bronze statuary; or
(3) Material that is readily identifiable as bronze.
Copper or brass material means insulated or noninsulated copper wire or cable of the
type used by public utilities or common carriers, copper or brass items of a type commonly used
in construction or by public utilities or any combination consisting only of those items.
Chief of police means the chief of police of the city.
Clear thumb print impression means an intentional recording of the friction ridge detail
on the volar pads of the thumb.
Electronic database means an electronic filing system in which data is organized by
fields and records.
Licensee means a person who holds a license to conduct business as a scrap metal
processor or secondhand dealer.
Metal recycling entity means a person, who, from a fixed location, engages in the
business of utilizing machinery or equipment for the processing or manufacturing of iron, steel
or nonferrous metallic scrap and whose principal product is scrap iron, scrap steel or nonferrous
metallic scrap for remelting purposes.
Minor means any person less than 18 years of age.
Personal identification document means:
(a) a driver's license;
(b) a military identification card;
(c) a passport issued by the United States or by another country and
recognized by the United States; or
(d) a personal identification certificate issued by the Texas Department of
Public Safety under V.T.C.A., Transportation Code §521.101 or a
corresponding card or certificate issued by another state.
Regulated material means aluminum material, bronze material or copper or brass
material.
Scrap metal means a direct product or byproduct of any form of a manufactured, shaped,
or processed iron, steel, aluminum, brass, copper, lead, tin, zinc, or other nonferrous metallic
material.
Secondhand metal dealer means an auto wrecker, a scrap metal processor or any other
person purchasing, gathering, collecting, soliciting or traveling about from place to place
procuring regulated material or any person operating, carrying on, conducting or maintaining a
scrap metal yard or other place where scrap metal or cast-off regulated material of any kind is
gathered together or kept for shipment, sale or transfer.
Secondhand dealer means a person who engages in the business of buying, selling,
trading or otherwise dealing in used items, other than metal items.
Show means any display and offering of used items for sale or trade by more than one
dealer at a single location.
Used means any items, goods, products, wares, chattels, or articles of any sort which
have previously been owned by someone other than the manufacturer, or a dealer whose business
it is to sell such items, goods, products, wares, chattels, or articles when new to the consumer.
Sec. 82-56. Penalties for violation.
(a) Failure to comply with any provision of this division shall be grounds for the revocation
of or the refusal to issue or renew any license required in this division, in addition to any
fines imposed upon conviction.
(b) Conviction of any law of the state of Texas, another state, or the United States which
constitutes moral turpitude shall be grounds for the revocation of or the refusal to issue or
renew any license required in this division, in addition to any penalties imposed upon
conviction.
(c) Any person violating any provision of this division shall upon conviction be punished by
a fine as provided in section 1-14.
Sec. 82-57. Exceptions.
This division shall not apply to:
(a) businesses licensed as automotive dealers or pawnshops as defined by state law; or
(b) a purchase of regulated material from a manufacturing, industrial, or other
commercial vendor that sells regulated material in the ordinary course of the
vendor's business.
Sec. 82-58. Administrative rules.
The chief of police shall promulgate rules and regulations to administer the provisions of
this ordinance. Such rules and regulations shall not conflict with any applicable provisions of this
code. All rules and regulations so promulgated shall be kept on file for public inspection at the
office of the city clerk and the office of the chief of police. Failure to comply with any of the
promulgated rules or regulations established under this section shall be grounds for the
revocation of or the refusal to issue or renew any license required of the owner or operator of a
metal recycling, secondhand metal or secondhand business under this Code. The revocation or
suspension of any permit shall not prohibit the imposition of a criminal penalty, and the
imposition of a criminal penalty shall not prevent the revocation or suspension of a license under
this division.
Sec. 82-59. License required; posting of license.
No person shall operate as a metal recycling entity, secondhand metal dealer, or
secondhand dealer or own any such business without a license as herein provided. Any person
who engages in more than one business described herein at the same location must obtain a
license only for his principal business activity and not for the other businesses. The provisions of
section 82-63, requiring that certain records be kept, apply to all businesses carried on at a single
location. A separate license shall be required for each permanent location of any such business.
The license shall be prominently displayed at all times at or near the principal public entrance to
the licensed premises in such a manner that it will be conspicuous to customers who enter the
premises.
Sec. 82-60. Bond.
(a) The city shall require that an applicant for a metal recycling entity or secondhand metal
dealer license file a bond with the application. The bond must be:
(1) Satisfactory to the city;
(2) In the amount of $ 10,000 for each license;
(3) Issued by a surety qualified to do business in this state; and
(4) Valid at the time of the application and remain in effect during the entire term of
the license.
(b) The aggregate liability of the surety may not exceed the amount of the bond.
(c) The bond must be in favor of the city for the use of the city and the use of a person who
has a cause of action under this division against the metal recycling entity or secondhand
metal dealer.
(d) The bond must be conditioned on:
(1) The metal recycling entity's or secondhand metal dealer's compliance with this
division and rules adopted under this division; and
(2) The payment of all amounts that become due to the city or to another person
under this division.
Sec. 82-61. Application for and issuance or refusal of license.
(a) Any person desiring a license required by this division shall make application therefor in
writing to the city clerk on an application form provided for that purpose. On the
application the applicant shall set forth:
(1) The full name, phone number and residential address of the applicant;
(2) A statement indicating whether the applicant is a citizen of the United States or an
alien legally residing in the United States;
(3) The applicant's social security number or business' federal tax identification
number and driver's license number;
(4) The full name and address of each partner if the applicant is a partnership;
(5) The full name and address of each officer and director if the applicant is a
corporation;
(6) The fixed and permanent location where the business is to be conducted and proof
of his ownership of the private property or a written statement including the name,
address and telephone number of the property owner or authorized agent, granting
permission for operation of the business at the proposed location where his
business will be in operation. If the property owner is a partnership or
corporation, the statement shall include the name, address, and telephone number
of one of the partners or one of the principals prior to issuance of any license;
(7) The regular days and hours of operation;
(8) The applicant's date of birth, place of birth, and each address where he has resided
in the five years immediately preceding his application;
(9) A statement of whether the individual applicant, any partner in a partnership, or
any officer or director of a corporation, has been arrested, charged, or convicted
for any criminal offense in this state or any other state or country, exclusive of
class C misdemeanor traffic violations. If he has been arrested or jailed for any
such offense, he shall set out the offense for which he was arrested, jailed, or
imprisoned, the date of the arrest or confinement, and the place, court and case
number of the case.
(10) A statement that neither he nor any business partner, nor, in the case of a
corporation, any corporate officer or director, has had a license under this division
or any preceding city ordinance governing the businesses described herein
revoked;
(11) The signature of the applicant;
(12) A sworn and notarized statement that all matters stated in the application are true
and correct;
(13) Evidence that the applicant is at least 18 years of age by presentation of valid
identification, including a photograph showing the face of the applicant, in the
form of:
a. A current driver's license from Texas or another state within the United
States;
b. An identification card issued by the Texas Department of Public Safety; or
c. A current passport; and
(14) Such other information as the chief of police finds relevant.
(b) The city clerk shall review and approve the application and issue a license unless he/she
finds:
(1) The information provided in the application is incomplete, false or incorrect or the
applicant has failed to comply with this division and applicable rules and
regulations; and
(2) The applicant has had a license issued pursuant to this division revoked during the
preceding one-year period.
(c) In the event that the city clerk rejects or refuses to issue an application, the provisions of
section 82-79 shall apply.
Sec. 82-62. License fees; use of license at shows.
(a) Except as provided in subsection (d) of this section, the nonrefundable license fee for a
metal recycling entity, a secondhand metal dealer or a secondhand dealer with any
permanent place of business within the city shall be $250 yearly, payable prior to the
issuance of the license. Such license, unless revoked as provided herein, shall be valid
for one year from the date of issuance.
(b) Each licensee with a permanent business location in the city may use the license for that
business when attending shows at other locations in the city; provided the same is
displayed at all times at or near the principal public entrance to the area where licensee is
exhibiting and is conspicuous to customers who enter such area.
(c) Any dealer described herein who desires to sell items at shows in the city, but who does
not maintain a permanent place of business in the city, must apply for and secure a
license for each location. License fees for shows shall be $10 per day.
(d) Notwithstanding any other provisions of this division, the license fee shall be $50 yearly
for any secondhand dealer who deals exclusively in:
(1) Used books, magazines and other printed documents;
(2) Used phonographic records, magnetic audio tapes, audio discs or other recordings
of sound which do not include recordings of visual images;
(3) Used items of clothing, except those made in whole or in part from fiir, but not in
any other items, goods, products, wares, clothes or articles which are subject to
regulation under this division; and/or
(4) The said license fee shall be paid prior to the issuance of the nonrefundable
license thereof. A license issued under this subsection shall be conspicuously
marked to indicate that the business is authorized to deal only in the items listed
in this subsection.
Sec. 82-63. Records required to be kept by metal recycling entities and secondhand
metal dealers.
(a) The provisions of this section apply to all businesses carried on at a single location. With
the exception of the sale or transfer of aluminum cans, a metal recycling entity or
secondhand metal dealer shall keep at his place of business a record in an electronic
database, in a form and method approved by the chief of police, in which he shall enter
daily, in English, a full description of each transaction in which personal property is
purchased or otherwise received at his place of business. Such description shall include:
(1) The date and time of receipt of any item;
(2) The full name and current address of the person or place of business from which
each item was received;
(3) A clear thumbprint impression from the person seeking to transfer, sell or
otherwise give the items that are the subject of each transaction;
(4) Evidence that the person transferring, selling or otherwise giving the items is at
least 18 years of age by presentation of valid identification, including a
photograph of the face of person transferring, selling or otherwise giving the item,
in the form of:
a. A current driver's license from Texas or another state within the United
States;
b. An identification card issued by the Texas Department of Public Safety or
another state within the United States; or
c. A current passport;
(5) A description of the motor vehicle and/or trailer or other mode of transportation in
or on which each item received was carried, delivered or transported to the metal
recycling entity, secondhand metal dealer, or secondhand dealer's place of
business, including state and license plate number, if applicable;
(6) The individual transaction number assigned by the licensee to each item received;
(7) A description of the items received as part of the transaction including, where
customary in the business, the size, weight, material, length, capacity, and any
other designations or descriptions customarily employed in the sale and purchase
of such items;
(8) A digital photograph of each item received;
(9) If the item received is a junked, abandoned or wrecked automotive vehicle,
documentation of ownership and any other information required for receipt of
such vehicles as provided in state or federal laws or regulations and any provision
of this code; and
(10) The name, address, phone number, driver's license number and employee number
of the employee who facilitates or conducts the transaction.
(b) The metal recycling entity or secondhand metal dealer shall forward the required record
and descriptions set forth in subsection (a) of this section in an electronic format
compatible with the system designated by the chief of police to the police department
before the close of business on each day on which the metal recycling entity or
secondhand metal dealer is open for business.
(c) The metal recycling entity or secondhand metal dealer, his agents or employees shall
obtain a consecutively numbered receipt from the seller or transferor of the property.
Such receipt shall be dated on the actual date of the transaction and shall list the items
sold or otherwise transferred. A printed version of the record input and transmitted to the
real-time electronic web-based database as described in this section shall satisfy this
requirement. An accurate copy or record of receipts obtained shall be retained for a
period of not less than three years.
(d) A metal recycling entity or secondhand metal dealer shall, upon request, submit and
exhibit the various business records that are required to be maintained under this section
for inspection or copying by any peace officer or authorized inspector of the chief of
police.
(e) Each transaction shall be recorded via digital video device, and each recording medium
shall be maintained for a period of one year from the date of the latest transaction
recorded thereon. A metal recycling entity or secondhand metal dealer shall post a notice
in each place of business regarding the recording of the transaction via video device
pursuant to specifications established by the chief of police. The chief of police shall
specify the information to be set out on the notice, the size of the print, the colors, and the
location where the notice shall be placed.
(0 The City of Baytown may assist those licensed businesses in obtaining digital video and
electronic thumbprint identification equipment or other required identifying equipment as
may become available through advancements in technology by providing assistance to
scrap dealers for equipment through equipment leases, lease/purchase arrangements, or
other similar financial arrangements as the City deems appropriate.
Sec. 82-64. Stock to be open for examination.
The stock or inventory of any metal recycling entity, secondhand metal dealer, or
secondhand dealer that is openly displayed and available to the public shall at any time during
ordinary business hours be accessible for examination by any peace officer or authorized
inspector of the chief of police.
Sec. 82-65. Articles to be retained at least 3 business days; tag; exceptions.
(a) 3 business days hold. No metal recycling entity or secondhand metal dealer shall sell,
dismantle, deface or in any manner alter or dispose of any item purchased or otherwise
received for 3 business days excluding weekends and holidays after receipt, provided that
he is not required to keep aluminum cans for more than 24 hours. During such three (3)
business day period, all items of property shall be stored or displayed at the dealer's
business location, in the exact form received, and in a manner so as to be identifiable
from the description entered in the database. Such property shall not be kept in such a
manner so as to prevent or impede its examination.
(b) Tag. In addition to the requirements set forth in subsection (a) of this section, a metal
recycling entity or secondhand metal dealer shall affix or otherwise attach a tag or label
to each item maintained for a minimum of 72 hours under the provisions of this section
that includes the date of receipt of the item to which the tag or label is attached, the name
and address of the person or place of business from whom such item was received, and
the corresponding individual transaction number from the database maintained under
section 82-63.
(c) Exceptions. A metal recycling entity is not required to comply with the provisions of this
section if:
(1) The metal items arc in their original packaging, in which case the metal recycling
entity must comply with section 82-72 of this code;
(2) The metal recycling entity verifies that the person seeking to sell or otherwise
transfer the metal items has a valid city-issued metal recycling entity or
secondhand metal dealer license, which the metal recycling entity or secondhand
metal dealer shall record by photocopying the license or recording the license
number in connection with the sale and maintain for a period of not less than three
years; or
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(3) The metal recycling entity verifies that the person or entity seeking to sell or
otherwise transfer the metal items has a valid city-issued construction, demolition,
or electrical permit, which the metal recycling entity or secondhand metal dealer
shall record by photocopying the permit or recording the project number located
on the permit in connection with the sale and maintain for a period of not less than
three years.
Sec. 82-66. Purchasing or receiving goods of minors.
(a) No metal recycling entity, secondhand metal dealer, or secondhand dealer shall purchase
or otherwise receive in the course of his business, any item, ownership of which is
claimed by any minor, or which may be in the possession of or under control of a minor,
unless:
(1) The minor is accompanied by his parent or guardian, who shall state in writing,
that such transaction is taking place with such parent's or guardian's full
knowledge and consent; or
(2) The only items offered for sale by the minor are aluminum cans.
(b) It shall be the duty of such metal recycling entity, secondhand metal dealer, or
secondhand dealer to preserve and keep on file, and available for inspection, such written
statements of consent for a period of not less than three years.
Sec. 82-67. Change in business address.
Should any licensee move his place of business from the place designated in such license
to a new address, he shall immediately give written notice to the city clerk and have the change
noted on his license. A fee of $2 payable to the city is hereby levied for such change. Such
notice and fee must be tendered to the city clerk prior to the licensee conducting any business
regulated in this division from the new site.
Sec. 82-68. Revocation of license on verified complaint.
(a) Upon written verified complaint filed by any person with the city clerk or chief of police
setting out facts alleging that any licensee under this division has, since the license was
granted, violated the provisions of this division, or any health regulation of the city or the
state, or any state or federal statute involving the criminal offense of theft, or the
provisions of V.T.C.A., Texas Penal Code §37.09 or §37.10, or that the licensee falsified
his original application for a license, the chief of police shall investigate the allegations.
(b) If the chief of police determines that the licensee has violated the provisions of this
division, or any health regulation of the city or the state, or any state or federal statute
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involving the criminal offense of theft, or the provisions of V.T.C.A., Texas Penal Code
§37.09 or §37.10, or that the licensee falsified his original application for a license, the
chief of police may revoke the license and/or take other appropriate action.
(c) Any license revocation by the chief of police under this section may be appealed in
accordance with section 82-79 (c) and (d).
Sec. 82-69. Acceptance of property suspected stolen; peace officer requested holds;
violation.
(a) It shall be the duty of every metal recycling entity, secondhand metal dealer or
secondhand dealer, his agents or employees to report immediately to the police
department, by filing a formal complaint, any offer to sell to the metal recycling entity,
secondhand metal dealer or secondhand dealer, his agents or employees, property that
such metal recycling entity, secondhand metal dealer or secondhand dealer, his agents or
employees have actual knowledge is stolen or by reasonable diligence should know is
stolen, together with the identity, when known, and description of the person or persons
making such offer. Such metal recycling entity, secondhand metal dealer or secondhand
dealer, his agents, or employees, shall also report any property acquired by the metal
recycling entity, secondhand metal dealer or secondhand dealer that the metal recycling
entity, secondhand metal dealer or secondhand dealer, his agents or employees,
subsequently determine or reasonably suspect to be stolen property, and the metal
recycling entity, secondhand metal dealer or secondhand dealer, his agents or employees,
shall furnish such other information as might be helpful to the police in investigating the
matter.
(b) Notwithstanding the provisions of section 82-65 of this division, it shall be the duty of
every metal recycling entity, secondhand metal dealer or secondhand dealer, his agents or
employees to hold all suspected stolen property in a secure place for 60 days upon
request by a peace officer. The metal recycling entity, secondhand metal dealer or
secondhand dealer, his agents or employees, may not process or remove the property
from the dealer's or entity's premises before the sixtieth day after receipt of the request
from a peace officer to hold the property unless:
(1) The item is released into a peace officer's care, custody and control at an earlier
time;
(2) A peace officer releases in writing the hold on the property upon an earlier date;
(3) A peace officer issues a written extension of the holding period for a period not to
exceed 24 months; or
(4) A court orders release or preservation of the property.
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Sec. 82-70. Acceptance of building construction materials.
It shall be unlawful for any metal recycling entity or secondhand metal dealer to receive,
sell, dismantle, deface or in any manner alter or dispose of any building construction material
received by him unless:
(1) The metal recycling entity or secondhand metal dealer complies with the
provisions of this division; and
(2) Prior to receiving, selling, dismantling, defacing or in any manner altering or
disposing of any building construction material, the metal recycling entity or
secondhand metal dealer,
a. Records, along with the description of the property, and the serial number,
or other identifying characteristics of each part or piece of building
construction material; and
b. Obtains a written, signed statement from the seller attesting by a notary
public to lawful ownership of the property, a receipt from the lawful
owner, or a written, signed statement from the lawful owner of the
property providing that the seller has authorization to sell or otherwise
transfer that property.
Sec. 82-71. Government or utility property.
(a) It shall be unlawful for any metal recycling entity or secondhand metal dealer, his agents
or employees to purchase or receive an item of property, including, but not limited to,
street signs, traffic signals, manhole covers, road and bridge guard rails, street light poles
and fixtures, on which are written or affixed the words "Property of the City of Baytown"
or other words or markings demonstrating ownership by the city except in the following
circumstances:
(1) Where the person offering such property for sale is an employee of the city
authorized by the city to make such a sale and provides the metal recycling entity
or secondhand metal dealer, his agents or employees with a written authorization
from the city's director of finance for the sale of such property; or
(2) Where the person offering such property for sale presents at the time of such offer
a valid receipt from the city evidencing the purchase of such property by the
person offering such property.
(b) It shall be unlawful for any metal recycling entity or secondhand metal dealer, his agents
or employees to purchase or receive an item of property that is marked with any form of
the name or initials of a governmental agency, including, but not limited to, the states and
the United States of America and their agencies and political subdivisions or that the
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metal recycling entity or secondhand metal dealer, his agents or employees know or
should reasonably be expected to know belongs to a governmental agency, including, but
not limited to, street signs, traffic signals, manhole covers, road and bridge guard rails,
street light poles and fixtures, except:
(1) Where the person offering such property for sale is an employee of the
governmental agency authorized by that agency to make such a sale and provides
the metal recycling entity or secondhand metal dealer, his agents or employees
with a written authorization from the agency for the sale of such property; or
(2) Where the person offering such property for sale presents at the time of such offer
a valid receipt from the governmental agency evidencing the purchase of such
property by the person offering such property.
(c) It shall be unlawful for any metal recycling entity or secondhand metal dealer, his agents
or employees to purchase or receive an item of property that is marked with any form of
the name or initials of an electrical, telephone, cable, or other public utility company or
that the metal recycling entity or secondhand metal dealer, his agents or employees know
or should reasonably be expected to know belongs to a public utility unless the person
offering such property for sale presents at the time of such offer a valid receipt from the
public utility company evidencing the purchase of such property by the person offering
such property.
Sec. 82-72. Acceptance of property in original packaging.
It shall be unlawful for any metal recycling entity, secondhand metal dealer or
secondhand dealer, his agents or employees to purchase or receive an item of property in its
original packaging unless the person offering such item presents a receipt or proof of purchase
for that property.
Sec. 82-73. Acceptance of property inscribed with company name.
It shall be unlawful for any metal recycling entity or secondhand metal dealer, or his
agents or employees, to purchase or receive an item of property that is marked with any form of
the name or initials of a private company or that the metal recycling entity or secondhand metal
dealer knows or should reasonably be expected to know belongs to a private company unless the
person offering such property for sale presents at the time of such offer a written, signed
statement from the seller attesting to lawful ownership of the property, a receipt from the lawful
owner, or a written, signed statement from the lawful owner of the property providing that the
seller has authorization to sell or otherwise transfer that property.
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Sec. 82-74. Acceptance of property delivered by shopping cart.
It shall be unlawful for any metal recycling entity, secondhand metal dealer or
secondhand dealer, his agents or employees to purchase or receive an item of property that is
transported to the metal recycling entity, secondhand metal dealer or secondhand dealer's place
of business by a shopping cart that is marked with any form of the name or initials of a private
company or that the metal recycling entity, secondhand metal dealer or secondhand dealer knows
or should reasonably be expected to know belongs to a private company unless the person
operating the shopping cart presents at the time of transportation of property to the metal
recycling entity, secondhand metal dealer or secondhand dealer presents a valid receipt from the
owner of the shopping cart evidencing the purchase of the shopping cart by the person operating
the shopping cart.
Sec. 82-75. Exemptions—From license fee.
An organization engaged in a business described herein, but which has qualified as
nonprofit and which is exempt from taxation under the provisions of Section 501(c)(3) of Title
26 (Internal Revenue Code) of the United States Code, must obtain a license as required herein;
provided, however, that such organization shall be exempt from paying the license fee required
herein. All other provisions of this division apply to such organizations.
Sec. 82-76. Inapplicability of certain chapter provisions.
Notwithstanding any other provision of this division that might be construed to the
contrary, the provisions of sections 82-63 and 82-65 of this code shall not be applicable to the
sale, receipt, transfer or holding of:
(1) Used books, magazines and other printed documents;
(2) Used phonograph records, magnetic audio tapes, audio discs or other recordings
of sound which do not include recordings of visual images; and
(3) Used items of clothing, except those made in whole or in part from fur.
Sec. 82-77. Operation of yards used by secondhand dealers.
(a) Compliance. All lots or tracts of land used for the purpose of carrying on the business or
trade of a secondhand dealer or used for open storage by a secondhand dealer shall
comply with the requirement of this section.
(b) Removal of flammable liquids from vehicles. All gasoline, gasohol and diesel fuel shall be
completely drained and removed from any junked, wrecked or abandoned automotive
vehicle before the vehicle is placed in any yard owned or operated by a secondhand
15
dealer. All flammable liquids drained from any vehicle shall be stored in a safe manner
and in strict accordance with the fire code adopted in section 38-61 of this code.
(c) Fencing, wall requirements. Every yard owned or operated by a secondhand dealer
within the city shall be completely surrounded and enclosed by a solid fence or wall as
follows:
(1) Any side of such yard which extends generally parallel to, and within 100 feet of
any public street right-of-way shall be bounded by a solid fence or wall at least
eight feet in height.
(2) All sides of such yard not included in subsection (c)(l) above shall be bounded by
a solid fence or wall at least six feet in height.
(3) The term "solid" as used herein shall mean constructed and maintained so that the
outer surface thereof is continuous and without interstices, gaps, spaces or holes.
This shall not be construed to prohibit any spaces or gaps left by a properly
constructed and maintained chain link fence with strips or slats as hereinafter
provided.
(d) Construction, maintenance offence or wall. Every fence or wall herein required shall be
constructed and maintained as follows:
(1) All fences shall be constructed of only those materials permitted in Section 18-
1011 of this code.
(2) Chain link fences shall be constructed of galvanized chain link fencing with wood
or metal slats or strips run through all links of the chain link fence.
(3) All fences or walls shall extend downward to within three inches of the ground
and shall test plumb and square at all times.
(4) All fences or walls shall be constructed and maintained in compliance with all
applicable provisions of this code.
(e) Use of wall, door of building as part offence or wall. Any part of a fence or wall required
by subsection (c) hereof may consist, in whole or in part, of a solid wall and door, or
walls and doors of any completely enclosed building on said premises, if such wall or
door meets all construction requirements hereinabove set forth.
(f) Gates at openings in enclosure. Openings in the prescribed enclosure which are
necessary to permit reasonable access to such yards shall be equipped with a solid gate or
gates, constructed and maintained in accordance with the requirements for a fence or wall
hereinabove set forth. Such gates shall be closed and securely locked at all times except
during normal daytime business hours.
16
(g) Use of premises outside enclosure. It shall be unlawful for any owner, operator, his
agents or employees, to display, store or work on any junked or wrecked automotive
vehicle, or the parts, accessories or junk therefrom or any other new or used metal
materials outside of or above the herein required fence or wall.
(h) Arrangement of materials. All automotive vehicles, parts and other materials located in or
on the premises of any yard owned or operated by a secondhand dealer in the city shall be
so arranged to allow reasonable access to, and inspection of, the premises by authorized
fire, neighborhood protection and police officials of the city.
(i) Control of vegetation. It shall be unlawful for the owners or operators of any yard used
by a secondhand dealer to allow grass or other vegetation in violation of Chapter 42 of
the code.
(j) Compliance with regulations and ordinances. All yards used by a secondhand dealer
must at all times be in full compliance with all city ordinances regarding health and
safety, including specifically, without limitation, all requirements of the fire code adopted
in section 38-61.
(k) Improved surface. All lots or tracts of land used as a yard by a secondhand dealer must
have an all-weather surface of concrete, asphalt, black-top, stone, macadam, limestone,
iron ore, gravel, shell, slag or other hard fill surface and appropriate drainage.
(1) Storage of materials. Any materials stored in a yard owned and operated by a secondhand
dealer must be stored at least six inches above the improved surface of the yard. The
requirements of this subsection shall not apply to any materials stored wholly inside a
building.
Sec. 82-78. Operation of yards used by metal recycling entities and secondhand metal
dealers.
(a) Compliance. All lots or tracts of land used for the purpose of carrying on the business or
trade of metal recycling entities or secondhand metal dealers shall comply with the
requirement of this section.
(b) Removal of flammable liquids from vehicles. All gasoline, gasohol and diesel fuel shall be
completely drained and removed from any junked, wrecked or abandoned automotive
vehicle before the vehicle is placed in any yard owned or operated by a metal recycling
entity or secondhand metal dealer in the city. All flammable liquids drained from any
vehicle shall be stored in a safe manner and in strict accordance with the fire code
adopted in section 38-61 of this code.
(c) Fencing, wall requirements. Every equipment and inventory storage and processing yard
owned or operated by a metal recycling entity or secondhand metal dealer within the city
shall be completely surrounded and enclosed by a solid fence or wall as follows:
17
(1) Any side of such yard which extends generally parallel to, and within 100 feet of
any public street right-of-way shall be bounded by a solid fence or wall at least
six feet in height.
(2) All sides of such yard not included in subsection (c)(l) above shall be bounded by
a solid fence or wall at least six feet in height.
(3) The term "solid" as used herein shall mean constructed and maintained so that the
outer surface thereof is continuous and without interstices, gaps, spaces or holes.
This shall not be construed to prohibit any spaces or gaps left by a properly
constructed and maintained chain link fence with strips or slats as hereinafter
provided.
(d) Construction, maintenance offence or wall. Every fence or wall herein required shall be
constructed and maintained in good repair as follows:
(1) All fences shall be constructed of only those materials permitted in Section 18-
1011 of this code.
(2) Chain link fences shall be constructed of galvanized chain link fencing with wood
or metal slats or strips run through all links of the chain link fence.
(3) All fences or walls shall extend downward to within three inches of the ground
and shall test plumb and square at all times.
(4) All fences or walls shall be constructed and maintained in compliance with all
applicable provisions of this code.
(e) Use of wall, door of building as part offence or wall. Any part of a fence or wall required
by subsection (c) hereof may consist, in whole or in part, of a solid wall and door, or
walls and doors of any completely enclosed building on said premises, if such wall or
door meets all construction requirements hereinabovc set forth.
(0 Gates at openings in enclosure. Openings in the prescribed enclosure which are
necessary to permit reasonable access to such yards shall be equipped with a gate or
gates, constructed and maintained in accordance with the requirements for a fence or wall
hereinabove set forth. Such gates shall be closed-and securely locked at all times except
during normal business hours.
(g) Use of premises outside enclosure. It shall be unlawful for an owner, operator, his agents
or employees, to display, store or work on any junked or wrecked automotive vehicle, or
the parts, accessories or junk therefrom or any other new or used metal materials outside
of the herein required fence or wall.
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(h) Arrangement of materials. All automotive vehicles, parts and other materials located in or
on the premises of any yard owned or operated by a metal recycling entity or secondhand
metal dealer in the city shall be so arranged to allow reasonable access to, and inspection
of, the premises by authorized fire, health and police officials and the neighborhood
protection official of the city. No materials shall be stored at a height greater than six feet
within ten feet of the fence required herein.
(i) Control of vegetation. It shall be unlawful for the owners or operators of any yard used
by a metal recycling entity or secondhand metal dealer to allow grass or other vegetation
in violation of Chapter 42 of this code.
(j) Compliance with regulations and ordinances. All yards used by a metal recycling entity
or secondhand metal dealer must at all times be in full compliance with all city
ordinances regarding health and safety, including specifically, without limitation, all
requirements of the fire code adopted in section 38-61.
(k) Improved surface. All lots or tracts of land used as a yard by a metal recycling entity or
secondhand metal dealer must have an all-weather surface of concrete, asphalt, black-top,
stone, macadam, limestone, iron ore, gravel, shell, slag or other hard fill surface designed
and constructed so as to support anticipated loads along with appropriate drainage. This
subsection shall not include those areas of a yard which are utilized for purposes of
inventory storage and processing.
(1) Vector and rodent control. Any materials stored in a yard owned and operated by a metal
recycling entity or secondhand metal dealer must be stored in a manner which will allow
adequate vector and rodent control measures. An owner or operator shall provide for
vector and rodent control at least once within a 90-day period or more frequently as
needed.
Sec. 82-79. Rejection; refusal to renew; revocation; hearing; penalty.
(a) Grounds for rejection, refusal to renew or revocation. The city clerk may reject an
original application, or an application for a renewal of any existing license, if, as a result
of inspections by the police department or other city department, it appears that the
applicant's place of business is not in compliance with or violates any provision of this
division.
(b) Notice. If the city clerk rejects an application, refuses to renew or revokes any license
issued under this division to a metal recycling entity, secondhand metal dealer or
secondhand dealer for failure to comply with any provision of this division, the city clerk
shall give written notice by certified mail to the applicant at the address stated in the
application of the metal recycling entity, secondhand metal dealer or secondhand dealer.
The written notice shall specifically set forth the reasons for the rejection, refusal or
revocation.
19
(c) Appeal. The metal recycling entity, secondhand metal dealer or secondhand dealer shall
have 10 days from the date of the receipt of mailing of the notice of rejection, refusal or
revocation of his license to appeal the rejection, refusal or revocation of the license to the
city manager. Upon receipt of an appeal notice, the city clerk shall notify the metal
recycling entity, secondhand metal dealer or secondhand dealer of the date and time of
the hearing, to be held at the earliest time practicable.
(d) Hearings.
(1) All hearings shall be held before the city manager. The city manager may,
prior to the hearing, receive a copy of the notice given to the applicant or
license holder.
(2) The city attorney may be present at the hearing to advise the city manager
as to procedural matters; however, the attorney shall not participate in any
determination of the facts.
(3) All hearings shall be conducted under rules established by the city
manager that are consistent with the informal nature of the proceedings;
provided, however, the following rules shall apply to all hearings:
a. All parties shall have the right to representation by an attorney
licensed to practice in Texas, though an attorney is not required.
b. Each party may present witnesses in his own behalf.
c. Each party has the right to cross-examine all witnesses.
d. Only evidence presented before the city manager at the hearing
shall be considered in rendering the decision.
(4) The city manager may affirm or reverse a license rejection, refusal to
renew or a license revocation. The decision of the city manager shall be final and
shall be delivered in writing to the applicant or license holder in the same manner
as a notice under subsection (b) of this section.
Sec. 82-80. Abatement of operations for unlawful operation of a metal recycling,
secondhand metal, or secondhand business.
(a) Declaration; notice. The continued ownership and operation of or engaging in a business
that participates in buying, selling, trading or otherwise dealing in new or used metal in
violation of this division is declared to be a public nuisance where (1) the metal recycling
entity, secondhand metal dealer or secondhand dealer is convicted three or more times for
violations under this division in a 24-month period, (2) the city manager finds and
determines that the owner or operator habitually violates the provisions of this division
20
and that issuance of citations and subsequent convictions for violations of this division
are no longer adequate remedies to address unlawful operations or (3) that pursuit of a
civil action will promote preservation and protection of property of the city or its
inhabitants. Whenever the existence of a public nuisance under this section shall come to
the knowledge of the city manager, the city manager shall cause a written notice, as
provided in subsection (b) of this section, to be sent to the owner identifying the business
in violation of this division and directing that the unlawful activity cease within a
reasonable time to be determined by the city manager.
(b) Notice.
(1) The notice under this section must be given:
a. Personally to the owner in writing;
b. By letter addressed to the registered agent of the partnership or
corporation for service of process, or to the individual owner at the
owner's latest address according to the records of the city clerk.
c. If personal service cannot be obtained:
(i) By publication at least once in the Baytown Sun;
(ii) By posting the notice on or near the front door of each building on
the property to which the violation relates; or
(iii) By posting the notice on a placard attached to a stake driven into
the ground on the property to which the violation relates.
(2) If the city clerk mails a notice to a property owner in accordance with subsection
(a) of this section, and the United States Postal Service returns the notice as
"refused" or "unclaimed," the validity of the notice is not affected, and the notice
is considered as delivered.
(3) A notice provided under this section shall state that the owner is entitled to
request a hearing to be held in the manner described in section (c) of this section.
(c) Abatement hearing. The owner subject to abatement under this section may request a
hearing by notifying the city clerk within ten (10) days following the date the city mails
the required notice under subsection (b) of this section. The hearing shall be conducted in
accordance with the procedures set forth in section 82-79(d) of this code by the city
manager for the purpose of determining whether the metal recycling entity, secondhand
metal dealer or secondhand dealer has operated his business in violation of this division
and the criteria set out in subsection (a) of this section are satisfied. At the hearing, the
owner and the city may present any evidence relevant to the proceedings. If the city
manager determines that the metal recycling entity, secondhand metal dealer or
21
secondhand dealer has operated his business in violation of this division or any other
provision of this code, and that the criteria set out in subsection (a) of this section for the
designation of public nuisance have been satisfied, the city manager shall issue an order
so stating and direct that the owner cease the unlawful operations.
(d) Abatement by city; expenses and liens. If the owner fails to timely cease unlawful
operations within 10 business days of the hearing official's order, then the city attorney
shall be authorized to exercise all other remedies available to the city relating to the
subject matter hereof as set out in subsection (e) of this section.
(e) Remedies cumulative, civil enforcement, other action not limited. The remedies set forth
in this section are cumulative of all other remedies available to the city relating to the
subject matter hereof. Exercise of this remedy shall not be a bar against, nor a
prerequisite for, taking any other available actions. Specifically, the city attorney may
institute any legal action to enforce this ordinance or enjoin or otherwise cause the
abatement of any condition described in this division, as well as for the recovery of all
expenses incurred in connection therewith, including without limitation administrative
and legal expenses, attorney's fees and costs, and for civil penalties as provided by law.
The city attorney is hereby authorized to file a civil suit in a court of competent
jurisdiction to prevent the violation of any of the provisions of this division.
Section 4: That Chapter 82 "Secondhand Goods," Article II "Metals, Crafted
Precious Metals and Gems," Division 3 "Crafted Precious Metals and Gems" of the Code of
Ordinances, Baytown, Texas, is hereby amended to read as follows:
CHAPTER 18. SECONDHAND GOODS
ARTICLE II. METALS, CRAFTED PRECIOUS METALS AND GEMS
DIVISION 3. CRAFTED PRECIOUS METALS AND GEMS
Sec. 82-91. Definitions.
The following words, terms and phrases, when used in this division, shall have the
meanings ascribed to them in this section, except where the context clearly indicates a different
meaning:
Chief of police means the chief of police for the City of Baytown and such persons as he
may designate to perform his duties under this division.
Clear thumb print impression means an intentional recording of the friction ridge detail
on the volar pads of the thumb.
Crafted precious metals means jewelry, silverware, art objects or any other thing or
object made, in whole or in part, from gold, silver, platinum, palladium, iridium, rhodium,
osmium, ruthenium or their alloys, excluding coins and commemorative medallions.
22
Dealer means any person who engages in the business of purchasing and selling crafted
precious metals or gems.
Electronic database means an electronic filing system in which data is organized by
fields and records.
Licensee means a person who holds a license to conduct business as a seller or purchaser
of crafted precious metals and gems.
Personal identification document means:
(a) a driver's license;
(b) a military identification card;
(c) a passport issued by the United States or by another country and
recognized by the United States; or
(d) a personal identification certificate issued by the Texas Department of
Public Safety under V.T.C.A., Transportation Code §521.101 or a
corresponding card or certificate issued by another state.
Temporary location means a place where business is conducted for a period shorter than
90 days.
Sec. 82-92. Penalties for violation.
(a) Failure to comply with any provision of this division shall be grounds for the revocation
of or the refusal to issue or renew any license required in this division, in addition to any
penalties or fines on conviction.
(b) Conviction of any law of the state of Texas, another state, or the United States which
constitutes moral turpitude shall be grounds for the revocation of or the refusal to issue or
renew any license required in this division, in addition to any penalties imposed upon
conviction.
(c) Any person violating any of the sections of this division shall upon conviction be
punished by a fine as provided in section 1-14.
23
Sec. 82-93. Exceptions.
This division applies only to the crafted precious metals that have been sold or used primarily for
personal, family or household purposes. The following are exceptions to the requirements of this
division.
(1) Precious metal extracted, recovered, or salvaged from industrial by-products or
industrial waste products. This division does not apply to a person whose
purchase or sale of precious metal or a product made of precious metal is merely
incidental to the person's business of extracting, recovering, or salvaging precious
metal from industrial by-products or industrial waste products.
(2) Dental, pharmaceutical, or medical application of crafted precious metal. This
division does not apply to a dental, pharmaceutical, or medical application of
crafted precious metal.
(3) Crafted precious metal acquired from another dealer who previously made
required reports. This division does not apply to crafted precious metal acquired
in good faith in a transaction involving the stock-in-trade of another dealer who
previously made the reports concerning that metal as required by this division if:
a. the selling dealer delivers to the acquiring dealer a written document
stating that the reports have been made;
b. the acquiring dealer submits a copy of the statement to the chief of police
or the sheriff of the county in which the selling dealer is located; and
c. each dealer involved in the transaction retains a copy of the statement
until the third anniversary of the date of the transaction.
(4) Crafted precious metal acquired in dissolution or liquidation sale. This division
does not apply to crafted precious metal acquired in a nonjudicial sale, transfer,
assignment, assignment for the benefit of creditors, or consignment of the assets
or stock-in-trade, in bulk, or a substantial part of those assets, of an industrial or
commercial enterprise, other than a dealer, for the voluntary dissolution or
liquidation of the seller's business, or for disposing of an excessive quantity of
personal property, or property that has been acquired in a nonjudicial sale or
transfer from an owner other than a dealer, the seller's entire household of
personal property, or a substantial part of that property, if the dealer:
a. gives written notice to the chief of police or the sheriff of the county in
which the dealer's business is located that a reporting exemption is being
claimed under this section;
24
b. retains in the dealer's place of business, until the third anniversary of the
date of the transaction, a copy of the bill of sale, receipt, inventory list, or
other transfer document; and
c. makes the record retained available for inspection by a peace officer.
(5) Crafted precious metal acquired in judicial sale. This division does not apply to
crafted precious metal acquired in a sale made:
a. by any public officer in the officer's official capacity as a trustee in
bankruptcy, executor, administrator, receiver, or public official acting
under judicial process or authority; or
b. on the execution of, or by virtue of, any process issued by a court.
(6) Crafted precious metal acquired as payment for other crafted precious metal by
person in business of selling to consumers. This division does not apply to
crafted precious metal acquired in good faith as part or complete payment for
other crafted precious metal by a person whose principal business is primarily that
of selling directly to the consumer crafted precious metal that has not been subject
to a prior sale.
(7) Crafted precious metal acquired from or reported to governmental agency. This
division does not apply to crafted precious metal:
a. acquired as surplus property from the United States, a state, a subdivision
of a state, or a municipal corporation; or
b. reported by a dealer as an acquisition or a purchase, or reported as
destroyed or otherwise disposed of, to:
1. a state agency under another law of this state; or
2. a municipal or county office or agency under another law of this
state or a municipal ordinance.
(8) Crafted precious metal acquired by person licensed under Texas Pawnshop
Act. This division does not apply to crafted precious metal acquired by a
person licensed under V.T.C.A., Finance Code ch. 371.
Sec. 82-94. Administrative rules.
The chief of police shall promulgate rules and regulations to administer the provisions of
this ordinance. Such rules and regulations shall not conflict with any applicable provisions of this
code. All rules and regulations so promulgated shall be kept on file for public inspection at the
25
office of the city clerk and the office of the chief of police. Failure to comply with any of the
promulgated rules or regulation established under this section shall be grounds for the revocation
of or the refusal to issue or renew any license required of the owner or operator of a crafted
precious metals and gems business under this Code. The revocation or suspension of any permit
shall not prohibit the imposition of a criminal penalty, and the imposition of a criminal penalty
shall not prevent the revocation or suspension of a license under this division.
Sec. 82-95. License required; posting of license.
No person shall operate as a crafted precious metals and gems business or own any such
business without a license as herein provided. Any person who engages in more than one
business described herein at the same location must obtain a license only for his principal
business activity and not for the other businesses. The provisions of section 82-99, requiring that
certain records be kept, apply to all businesses carried on at a single location. A separate license
shall be required for each permanent location of any such business. The license shall be
displayed prominently at all times at or near the principal public entrance to the licensed
premises in such a manner that it will be conspicuous to customers who enter the premises.
Sec. 82-96. Bond.
(a) The city clerk shall require that an applicant for a crafted precious metals and gems
dealer license file a bond with the application. The bond must be:
(1) Satisfactory to the City of Baytown;
(2) In the amount of $ 10,000 for each 1 icense;
(3) Issued by a surety qualified to do business in this state; and
(4) Valid at the time of the application and remain in effect during the entire term of
the license.
(b) The aggregate liability of the surety may not exceed the amount of the bond.
(c) The bond must be in favor of the city for the use of the city and the use of a person who
has a cause of action under this division against the crafted precious metals and gems
dealer.
(d) The bond must be conditioned on:
(1) The crafted precious metals and gems dealer's compliance with this division and
rules adopted under this division; and
(2) The payment of all amounts that become due to the city or to another person
under this division.
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Sec. 82-97. Application for and issuance or refusal of license.
(a) Any person desiring a license required by this division shall make application therefor in
writing to the city clerk on an application form provided for that purpose. On the
application the applicant shall set forth:
(1) The full name and residential address of the applicant;
(2) A statement indicating whether the applicant is a citizen of the United States or an
alien legally residing in the United States;
(3) The applicant's social security number or business1 federal tax identification
number;
(4) The full name and address of each partner if the applicant is a partnership;
(5) The full name and address of each officer and director if the applicant is a
corporation;
(6) The fixed and permanent location where the business is to is to be conducted and
proof of his ownership of the private property or a written statement including the
name, address and telephone number of the property owner or authorized agent,
granting permission for operation of the business at the proposed location where
his business will be in operation. If the property owner is a partnership or
corporation, the statement shall include the name, address, and telephone number
of one of the partners or one of the principals prior to issuance of any license;
(7) The regular days and hours of operation;
(8) The applicant's date of birth, place of birth, and each address where he has resided
in the five years immediately preceding his application;
(9) A statement of whether the individual applicant, any partner in a partnership, or
any officer or director of a corporation, has been arrested, charged, or convicted
for any criminal offense in this state or any other state or country, exclusive of
class C Misdemeanor traffic violations. If he has been arrested or jailed for any
such offense, he shall set out the offense for which he was arrested, jailed, or
imprisoned, the date of the arrest or confinement, and the place, court and case
number of the case;
(10) A statement that neither he nor any business partner, nor, in the case of a
corporation, any corporate officer or director, has had a license under this division
or any preceding city ordinance governing the businesses described herein
revoked;
27
(11) The signature of the applicant;
(12) A sworn and notarized statement that all matters stated in the application are true
and correct;
(13) Evidence that the applicant is at least 18 years of age by presentation of valid
identification, including a photograph showing the face of the applicant, in the
form of:
a. A current driver's license from Texas or another state within the United
States;
b. An identification card issued by the Texas Department of Public Safety; or
c. A current passport; and
(14) Such other information as the chief of police finds relevant.
(b) The city clerk shall review and approve the application and issue a license unless he
finds:
(1) The information provided in the application is incomplete, false or incorrect or the
applicant has failed to comply with this division and applicable rules and
regulations;
(2) The applicant has had a license revoked during the preceding one-year period; and
(3) In the event that the city clerk rejects or refuses to issue an application, the
provisions of section 82-112 shall apply.
Sec. 82-98. License fees; use of license at shows.
(a) The nonrefundable license fee for a dealer with any permanent place of business within
the city shall be S250 yearly, payable prior to the issuance of the license. Such license,
unless revoked as provided herein, shall be valid for one year from the date of issuance
and shall be subject to renewal from year to year.
(b) Each licensee with a permanent business location in the city may use the license for that
business when attending shows at other locations in the city provided the same is
displayed at all times at or near the principal public entrance to the area where licensee is
exhibiting and is conspicuous to customers who enter such area.
28
(c) Any dealer described herein who desires to sell items at shows in the city, but who does
not maintain a permanent place of business in the city, must apply for and secure a
license for each location. License fees for shows shall be $10 per day.
Sec. 82-99. Records required to be kept by crafted precious metals and gems dealers.
(a) The provisions of this section apply to all businesses carried on at a single location. A
crafted precious metals and gems dealer shall keep at his place of business a record in a
real-time electronic web-based database, in a form and method approved by the chief of
police, in which he shall enter daily, in English, a full description of each transaction in
which personal property is purchased or otherwise received at his place of business. Such
description shall include:
(1)
(2)
(3)
(4)
The date and time of receipt of any item;
The full name and current address of the person or place of business from which
each item was received;
A char thumbprint impression from the person seeking to transfer, sell or
otherwise give the items that are the subject of each transaction;
Evidence that the person transferring, selling or otherwise giving the items is at
18 years of age by presentation of valid identification, including a least
photograph of the face of person transferring, selling or otherwise giving the item,
in the form of:
a.
b.
c.
A current driver's license from Texas or another state within the United
States;
An identification card issued by the Texas Department of Public Safety; or
A current passport;
(5) A description of the motor vehicle and/or trailer or other mode of transportation in
or on which each item received was carried, delivered or transported to the crafted
precious metals and gems dealer's place of business, including state and license
plate number, if applicable;
(6) The individual transaction number assigned by the licensee to each item received;
(7) A description of the items received as part of the transaction including, where
customary in the business, the size, weight, material, length, capacity, and any
other designations or descriptions customarily employed in the sale and purchase
of such items;
29
(8) A digital photograph of each item received; and
(9) The name, address, phone number, driver's license number, and employee
number of the employee who facilitates or conducts the transaction.
(b) The real-time electronic web-based database described in subsection (a) of this section
shall be created and maintained by the police department. The precious metals and gems
dealer shall forward the required record and descriptions set forth in subsection (a) of this
section in an electronic format to the designated police department web site before the
close of business on each day on which the crafted precious metals and gems dealer is
open for business.
(c) The crafted precious metals and gems entity or dealer, his agents or employees shall
obtain a consecutively numbered receipt from the seller or transferor of the property.
Such receipt shall be dated on the actual date of the transaction and shall list the items
sold or otherwise transferred. A printed version of the record input and transmitted to the
real-time electronic web-based database as described in this section shall satisfy this
requirement. An accurate copy or record of receipts obtained shall be retained for a
period of not less than three years.
(d) A crafted precious metals and gems entity or dealer shall, upon request, submit and
exhibit the various business records that are required to be maintained under this section
for inspectiob or copying by any peace officer or authorized inspector of the chief of police. Failuj-e to maintain or to so permit the examination or copying of such records
when requested shall be a misdemeanor punishable as provided be section 1-14 of this
Code or as otherwise provided by state law.
(e) Each transaction shall be recorded via digital video device, and each recording medium
shall be maintained for a period of one year from the date of the latest transaction
recorded thereon. A crafted precious metals and gems entity or dealer shall post a notice
in each place of business regarding the recording of the transaction via video device
pursuant to specifications established by the chief of police. The chief of police shall
specify the information to be set out on the notice, the size of the print, the colors, and the
location where the notice shall be placed.
(0 The City of Baytown may assist those licensed businesses in obtaining digital video and
electronic thumbprint identification equipment or other required identifying equipment as
may become available through advancements in technology by providing assistance to
scrap dealers for equipment through equipment leases, lease/purchase arrangements, or
other similar financial arrangements as the City deems appropriate.
Sec. 82-100. Stock to be open for examination.
The stock or inventory of any crafted precious metals and gems dealer that is openly
displayed and available to the public shall at any time during ordinary business hours be
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accessible for examination by any peace officer or authorized inspector of the chief of police.
Failure to comply with any provision of this section shall be grounds for the revocation of or the
refusal to issue or renew any license required of a crafted precious metals and gems dealer under
this code.
Sec. 82-101. Articles to be retained at least 11 days; tag; exceptions.
(a) 11-day hold, No crafted precious metals and gems dealer shall melt, sell, dismantle,
deface or in any manner alter or dispose of any item purchased or otherwise received by
him for 11 days after receipt. During such 11-day period, all items of property shall be
stored or displayed at the dealer's business location, in the exact form received, and in a
manner so as to be identifiable from the description entered in the database. Such
property shall not be kept in such a manner so as to prevent or impede its examination.
(b) Tag. In addition to the requirements set forth in subsection (a) of this section, a crafted
precious metals and gems dealer shall affix or otherwise attach a tag or label to each item
i maintained for a minimum of 11 days under the provisions of this section that includes
the date of receipt of the item to which the tag or label is attached, the name and address
of the person or place of business from whom such item was received, and the
corresponding individual transaction number from the database maintained under section
82-99 of this chapter.
(c) Exceptions. Crafted precious metals and gems dealer is not required to comply with the
provisions of this section if:
(1) The items are not in their original packaging, in which case the crafted precious
metals and gems dealer must comply with section 82-107 of this code; and
(2) A crafted precious metals and gems entity or dealer verifies that the person
seeking to sell or otherwise transfer the metal items has a valid city-issued crafted
precious metals and gems entity or dealer license, which the precious metals and
gems I entity or dealer shall record by photocopying the license or recording the
licensee number in connection with the sale and maintain for a period of not less
than three years
Sec. 82-102. Purchasing or receiving goods of minors.
(a) No precious metals and gems entity or dealer shall purchase or otherwise receive in the
course of his business, any item, ownership of which is claimed by any minor, or which
I may be in the possession of or under control of a minor, unless the minor is accompanied
I by his parent or guardian, who shall state in writing, that such transaction is taking place
| with such parent's or guardian's full knowledge and consent; or
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(b) It shall be the duty of such crafted precious metals and gems dealer to preserve and keep
on file, and available for inspection, such written statements of consent for a period of not
less than three years.
Sec. 82-103. Change in business address.
Should any h"censee move his place of business from the place designated in such license
to a new address, he shall immediately give written notice to the city clerk and have the change
noted on his license! A fee of $2 payable to the city clerk is hereby levied for such change. Such
notice and fee must be tendered to the city clerk prior to the licensee conducing any business
regulated n this division from the new cite.
Sec. 82-104. Revocation of license on verified complaint.
(a) Upon written verified complaint filed by any person with the city clerk or chief of police
setting out facts alleging that any licensee under this division has, since the license was
granted, violated the provisions of this division, or any health regulation of the city or the
state, or any state or federal statute involving the criminal offense of theft, or the
provisions of V.T.C.A., Penal Code § 37.09 or 37.10, or that the licensee falsified his
original application for a license, the chief of police shall investigate the allegations.
(b) If the chief of police determines that the licensee has violated the provisions of this
division, or any health regulation of the city or the state, or any state or federal statute
involving the criminal offense of theft, or the provisions of V.T.C.A., Penal Code §37.09
or 37.10, or that the licensee falsified his original application for a license, the chief of
police may revoke the license and/or take other appropriate action.
Any license revocation by the chief of police under this section may be appealed in
accordance with section 82-112 (c) and (d).
(c)
Sec. 82-105. Acceptance of property suspected stolen; peace officer requested holds;
violation. |
(a) It shall be the duty of every crafted precious metals and gems dealer, his agents or
\ employees tq report immediately to the police department, by filing a formal complaint,
any offer to bell to the crafted precious metals and gems entity or dealer, his agents or
employees, property that such crafted precious metals and gems entity or dealer, his
agents or employees have actual knowledge is stolen or by reasonable diligence should
know is stolen, together with the identity, when known, and description of the person or
i persons making such offer. Such crafted precious metals and gems entity or dealer, his
l agents, or employees, shall also report any property acquired by the crafted precious
| metals and gems entity or dealer that the crafted precious metals and gems entity or
dealer, his agents or employees, subsequently determine or reasonably suspect to be
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(b)
stolen property, and the precious metals and gems entity or dealer, his agents or
employees, shall furnish such other information as might be helpful to the police in
investigating the matter.
Notwithstanding the provisions of section 82-101 of this division, it shall be the duty of
every crafted precious metals and gems entity or dealer, his agents or employees to hold
all suspected stolen property in a secure place for 60 days upon request by a peace
officer. The crafted precious metals and gems entity or dealer, his agents or employees,
may not process or remove the property from the dealer's or entity's premises before the
sixtieth day after receipt of the request from a peace officer to hold the property unless:
(1) The item is released into a peace officer's care, custody and control at an earlier
time;
(2) A peace officer releases in writing the hold on the property upon an earlier date;
(3) A peace officer issues a written extension of the holding period for up to 24
months; or
(4) A court orders release or preservation of the property.
Sec. 82-106. Report of purchasing.
(a) Not later than 48 hours after the time it is received, each dealer shall report in accordance
with section 82-99 all identifiable crafted precious metal that the dealer purchases, takes
in trade, accepts for sale on consignment or accepts for auction.
(b) Each dealer, before the time any crafted precious metal is offered for sale or exchange,
shall notify each person intending to sell or exchange the crafted precious metal that the
person must file with the dealer, before the dealer may accept any of the person's
property, a list describing all of the person's crafted precious metal to be accepted by the
dealer as required in section 82-99.
Sec. 82-107. Acceptance of property in original packaging.
It shall be unlawful for any crafted precious metals and gems dealer, his agents or
employees to purchase or receive an item of property in its original packaging unless the person
offering such item presents a receipt or proof of purchase for that property.
Sec. 82-108. Acceptance of property inscribed with company name.
It shall be unlawful for any crafted precious metals and gems dealer, or his agents or
employees, to purchase or receive an item of property that is marked with any form of the name
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or initials of a private company or that the crafted precious metals and gems entity or dealer
knows or should reasonably be expected to know belongs to a private company unless the person
offering such property for sale presents at the time of such offer a written, signed statement from
the seller attesting to lawful ownership of the property, a receipt from the lawful owner, or a
written, signed statement from the lawful owner of the property providing that the seller has
authorization to sell or otherwise transfer that property.
Sec. 82-109. Acceptance of property delivered by shopping cart.
It shall be unlawful for any crafted precious metals and gems dealer, his agents or
employees to purchase or receive an item of property that is transported to the craned precious
metals and gems dealer's place of business by a shopping cart that is marked with any form of
the name or initials of a private company or that the crafted precious metals and gems dealer
knows or should reasonably be expected to know belongs to a private company unless the person
operating the shopping cart presents at the time of transportation of property to the crafted
precious metals and gems dealer a valid receipt from the owner of the shopping cart evidencing
the purchase of the shopping cart by the person operating the shopping cart.
Sec. 82-110. Exemptions—from license fee.
An organization engaged in a business described herein, but which has qualified as
nonprofit and which is exempt from taxation under the provisions of Section 501(c)(3) of Title
26 (Internal Revenue Code) of the United States Code, must obtain a license as required herein;
provided, however, that such organization shall be exempt from paying the license fee required
herein. All other proyisions of this division apply to such organizations.
Sec. 82-111. Purchases at temporary locations.
(a) Under this division, a dealer who conducts business from a temporary location may not
engage in the business of buying precious metal or gems or used items made of precious
metal or gems unless the person has filed a registration statement with the police
department within a 12-month period at least 30 days preceding the date on which each
purchase is made and the person has filed, within the same period, a copy of the
registration statement with the chief of police. A registration statement must set forth the
following:
(1) The name and address of the person;
(2) The location where business is to be conducted; and
(3) Other relevant information required by the police department.
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(b) If the dealer is an association or corporation, the statement must set forth the name and
address of each member of the association or each officer and director of the corporation,
respectively.
Sec. 82-112. Rejection; refusal to renew; revocation; hearing; penalty.
(a) Grounds for^ rejection, refusal to renew or revocation. The city clerk may reject an
original application as a result of inspections by the police department or other city
department, if it appears that the applicant's place of business is not in compliance with
or violates any provision of this division.
(b) Notice. If the city clerk rejects an application, refuses to renew or revokes any license
issued under! this division to a dealer for failure to comply with any provision of this
division, the city clerk shall give written notice by certified mail to the applicant at the
address stated in the application of the dealer. The written notice shall specifically set
forth the reasons for the rejection, refusal or revocation.
(c) Appeal. The dealer shall have 10 days from the date of the receipt of mailing of the notice
of rejection, refusal or revocation of his license to appeal the rejection, refusal or
revocation of the license to the city manager. Upon receipt of such notice, the city clerk
shall notify the dealer of the date and time of the hearing, to be held at the earliest time
practicable.
(d) Hearings.
(1) All hearings shall be held before the city manager. The city manager shall, prior
to the hearing, receive a copy of the notice given to the applicant or license
holder.
(2) The city attorney or assistant city attorney may be present at the hearing to advise
the city manager as to procedural matters; however, the attorney shall not
participate in any determination of the facts.
(3) All hearings shall be conducted under rules established by the city manager that
are consistent with the informal nature of the proceedings; provided, however, the
following rules shall apply to all hearings:
a. All parties shall have the right to representation by an attorney licensed to
practice in Texas, though an attorney is not required.
b. Each party may present witnesses in his own behalf.
; c. Each party has the right to cross-examine all witnesses.
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d. Only evidence presented before the hearing officer at the hearing shall be
considered in rendering the decision.
(4) The city manager may affirm or reverse a license rejection, refusal to renew or a license
revocation. pe decision of the city manager shall be final and shall be delivered in
writing to the applicant or license holder in the same manner as a notice under subsection
(b) of this section.
Section 5: All ordinances or parts of ordinances inconsistent with the terms of this
ordinance are hereby repealed; provided, however, that such repeal shall be only to the extent of
such inconsistency and in all other respects this ordinance shall be cumulative of other
ordinances regulating and governing the subject matter covered by this ordinance.
Section 6: If any provision, section, exception, subsection, paragraph, sentence, clause or
phrase of the ordinance or the application of same to any person or the set of circumstances shall
tor any reason be held unconstitutional, void or invalid, such invalidity shall not effect the
validity of the remaining provisions of this ordinance or their application to other persons or sets
of circumstances and to this end all provisions of this ordinance are declared to be severable.
Section 7: j Any person who fails to comply with any provision of this ordinance shall
be guilty of a misdemeanor and, upon conviction, shall be punished by a fine in an amount of not
more than FIVE HIJNDRED AND NO/100 DOLLARS ($500.00). Each act of violation and
each day upon which any such violation shall occur shall constitute a separate offense In
addition to the penalty prescribed above, the city may pursue other remedies such as abatement
ot nuisances, mjunctive relief, administrative adjudication and revocation of licenses or permits.
Section 8: This ordinance shall take effect from and after ten (10) days from its
passage by the City Council. The City Clerk is hereby directed to give notice hereof by causing
the caption of this ordinance to be published in the official newspaper of the City of Baytown at
least twice within ten "(10) days after passage of this ordinance. /?
INTRODUCED, READ anc! PASSED by the affirmative vJL of the. City Council of the
Cjty of Baytownrch this the 13* day of December, 2007.
STEPHEN H. DON CARLOS, Mayor
LORM CaODY, City Clerk
APPROVED AS TO FORM:
CIO RAMIREZ, SR./Qty Attorney R:\Karen\Files\City Council\Or<iinances\2W7\Deccmber 13\ScrapMetal&PreciousMelalOrdinanccClean.doc
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