5.58.090 - Suspension or revocation of permit.

An adult business permit or an adult business performer's permit, including temporary permits, may be suspended or revoked prior to its expiration date in accordance with the procedures and standards of this section. (1)

Notice. On determining that grounds for permit suspension or revocation exist, the city administrator shall furnish a written notice of the proposed suspension or revocation to the permittee. Such notice shall:

(A)

Set forth the time and place of the hearing;

(B)

Set forth the ground or grounds upon which the hearing is based and the pertinent statutory authority, if any;

(C)

Set forth a brief statement of the factual matters in support of the proposed suspension or revocation;

(D)

Mail the written notice, certified mail, return receipt requested, addressed to the permittee at the address stated in the application for a permit, or delivered to the permittee personally, at least ten days prior to the hearing date.

(2)

Hearing. Suspension or revocation hearings shall be conducted by the City Administrator in accordance with procedures established in this section which shall include the following:

(A)

All parties involved shall have:

(i)

The right to offer testimonial, documentary, and tangible evidence bearing on the issues;

(ii)

The right to be represented by legal counsel or other representative;

(iii)

The right to confront and cross-examine witnesses.

(B)

Any relevant evidence may be admitted during the hearing that is the sort of evidence upon which reasonable persons are accustomed to rely in the conduct of serious affairs.

(C)

The city administrator may continue any hearing under this section for a reasonable time at the request of a party or a witness.

(3)

Notice of Decision. After notice and hearing, the city administrator shall provide the permittee with written notice of decision. The notice of decision shall set forth in detail the basis for the city administrator's decision. The notice of decision shall be mailed to the permittee certified mail, return receipt requested, or personally delivered to the permittee within ten days of the date of the hearing.

(4)

Grounds for Suspension. The city administrator shall suspend an existing adult business permit or adult business performer's permit, if based upon the evidence, it is found that one or more of the following conditions exist:

(A)

The building, structure, equipment and/or location used by the business fails to comply with the requirements of the health, zoning, fire, building and safety laws of the State of California, or of the ordinances of the city of Commerce, including violations of any provisions of this chapter and a citation is issued for the violation.

(i)

In the event of a violation of such city or state statute, code, ordinance or regulation, the city administrator shall allow the permittee a seven day period in which to correct the violation.

(ii)

If the permittee fails to correct the violation before the expiration of the seven day period, the permit shall be suspended until the violation in question is corrected.

(B)

The permittee is cited for failure to update the original application for a permit with new or changed information within thirty days from the date of the change by supplementing the application on file with the city administrator.

(i)

In the event the permittee fails to update his/her application for a permit with new or changed information within the thirty day deadline, the city administrator shall allow the permittee a seven day period in which to update the original application upon which the permit was issued.

(ii)

If the permittee fails to supplement the application for a permit with new or changed information before the expiration of the seven day period, the permit shall be suspended until the application is updated.

(C)

The permittee is cited for failure to submit to the city administrator quarterly reports of all employees, independent contractors or any other persons providing services to the adult business for any form of compensation.

(i)

In the event the permittee fails to submit his/her quarterly reports, the city administrator shall allow the permittee a seven day period in which to submit said reports.

(ii)

If the permittee fails to submit the quarterly reports before the expiration of the seven day period, the permit shall be suspended until the reports are submitted.

(D)

The permittee, his/her employee, agent, partner, director, officer, stockholder, operator or manager refused to allow the lawful inspection of the premises pursuant to Section 5.58.070 of this chapter. Suspension shall continue until the premises are permitted to be inspected pursuant to Section 5.58.070.

(E)

The permittee, his/her employee, agent, partner, director, officer, stockholder, operator or manager knowingly employed a person who did not have a valid license issued pursuant to this chapter. A suspension of thirty days shall be imposed.

(F)

The permittee engaged in permit transfer in violation of Section 5.58.100(a). The suspension shall remain in effect until the applicable requirements for obtaining an adult business permit as set forth in Section 5.58.050 have been met.

(G)

The permittee, employee, agent, partner, director, officer, stockholder, operator or manager operated the adult business in violation of the hours of operation established in this chapter and a citation is issued for the violation. A suspension of thirty days shall be imposed.

(5)

Grounds for Revocation.

(A)

The permittee, employee, agent, parties, director, officer, stockholder or operator is cited for violating any state or city statute, code, ordinance or regulation pertaining to adult business relating to fire, building and safety, health, zoning or adult businesses on three or more occasions within a twelve month period;

(B)

The permittee, his/her employee, agent, partner, director, officer, stockholder, operator or manager has knowingly made any false, misleading or fraudulent statements of material facts in the application for a permit, or in any report or record required to be filed with the city administrator or other department of the city;

(C)

The permittee fails to supplement the original application with new or changed information on three or more occasions within a twelve month period;

(D)

The permittee, employee, agent, partner, director, officer, stockholder or operator has had any type of adult business permit or performer's permit revoked by any other public entity within two years of the date the permit was issued;

(E)

The permittee has been convicted of one or more misdemeanors or felonies by a court of competent jurisdiction involving sexual crimes against children, sexual abuse, rape, distribution of obscenity or material harmful to minors, prostitution, pandering, pimping, lewd conduct, indecent exposure, or municipal code violations specific to adult businesses;

(F)

The permittee's employee, agent, partner, director, officer, stockholder, operator or manager has been convicted of one or more misdemeanors or felonies in a court of competent jurisdiction involving sexual crimes against children, sexual abuse, rape, distribution of obscenity or material harmful to minors, prostitution, pandering, pimping, lewd conduct, indecent exposure, or municipal code violations specific to adult businesses;

(G)

The permittee, his/her employee, agent, partner, director, officer, stockholder, operator or manager knowingly allowed an adult business to be used as a place where sexual intercourse, sodomy, oral copulation, masturbation, prostitution or other lewd acts occur or have occurred and a conviction resulted from such unlawful conduct;

(H)

The permittee, his/her employee, agent, partner, director, officer, stockholder, operator or manager of the adult business has employed minors or allowed minors to operate in the adult business or admitted minors in or on the premises of the adult business;

(I)

The permittee, his/her employee, agent, partner, director, officer, stockholder, operator or manager permitted the operation of more than one adult business within the same building, structure or portion thereof containing another adult business;

(J)

The permittee, his/her employee, agent, partner, director, officer, stockholder, operator or manager failed to cease operation or otherwise bring into full compliance with the requirements of this chapter a nonconforming adult business within the required period, unless the planning commission has granted the permittee an extension of time;

(K)

The permittee, his/her employee, agent, partner, director, officer, stockholder, operator or manager was cited for failing to properly maintain and provide adequate sanitary controls of the interior or exterior premises of the adult business on three or more occasions within a six month period;

(L)

The permittee, his/her employee, agent, partner, director, officer, stockholder, operator or manager has knowingly allowed possession, use or sale of controlled substances in or on the premises and a conviction resulted from such unlawful conduct;

(M)

The permittee, his/her employee, agent, partner, director, officer, stockholder, operator or manager has knowingly allowed prostitution to occur in or on the premises and a conviction resulted from said unlawful conduct;

(N)

The permittee, his/her employee, agent, partner, director, officer, stockholder, operator or manager has knowingly permitted acts of sexual intercourse, sodomy, oral copulation, masturbation, to occur in or on the premises and a conviction resulted from such unlawful conduct;

(O)

The permittee operated an adult business when the adult business permit had been suspended by the city administrator;

(6)

Period of Revocation. Once a permit is revoked, the revocation shall continue for two years and the permittee shall not qualify for an adult business or performer's permit for two years from the date the revocation became effective.

(7)

Prompt Judicial Review. The decision of the city administrator following a suspension or revocation hearing is considered to be a ministerial act. The decision suspending or revoking a permit issued pursuant to this chapter is not subject to administrative appeal. The decision of the city administrator is final and subject to prompt judicial review by a court of competent jurisdiction in accordance with California Code of Civil Procedure, Section 1094.8.

(Ord. 539 §2(part), 1999).