(a) Service contracts. In addition to distribution by the city clerk of wheel tax license emblems, the city clerk may enter into contracts ("services contract") with no more than 5 entities to be selected by the city clerk to sell license emblems in any calendar year (each such entity shall be known as a "contractor"). Such contractors may sell such emblems directly or through subcontractors to be selected by the contractors, subject to the approval of the city clerk (each subcontractor that is vending wheel tax license emblems may be known herein as a vendor). Sales of wheel tax license emblems shall be in accordance with the provisions of this Code and with such regulations and rules as are promulgated by the city clerk.
The services contracts may contain such terms as the city clerk deems necessary to effectuate the sale of the emblems, including but not limited to terms obligating the contractors to pick up the emblems from the city, transmit the emblems to the locations at which they will be sold by vendors, verify that the purchasers of the emblems have submitted a complete and correct information, and to provide a detailed accounting of the transactions to enable the city clerk's office to verify that the services have been performed in accordance with legal requirements.
Any contractor or vendor of such contractor shall derive its entire compensation by collecting a fee from those purchasing wheel tax license emblems, which may not exceed $5.50 per emblem ("fee"). All proceeds from the sale of the emblems by any contractor or vendor of such contractor, but not including the fee, shall be deposited by the contractor or its vendor into a city account in a depository designated by the city council as an approved depository; such deposits shall be made no later than four business days after the contractor or its vendors receive payment from the purchaser of the emblem. Contractors may not deduct any costs or fees from the proceeds before depositing them into the city accounts.
(b) Rules governing sale of wheel tax license emblems. Any contractor or any vendor of such contractor shall sell wheel tax license emblems to any person desiring a license for any motor vehicle or other vehicle upon (i) verifying that the purchasers of the emblems have submitted complete and correct information as required by the city clerk; and (ii) payment of a license fee in accordance with Section 3-56-050 of this Code. Any sale of wheel tax license emblems by any contractor or any of its vendors must be conducted in person in a single over-the-counter transaction and any such contractor or vendor shall not sell any such emblems by mail or on the Internet. The city clerk or his designee is authorized to limit the classes and types of wheel tax license emblems that may be sold by any contractor or any of its vendors.
(c) Rules and regulations and fine for violations. The city clerk is authorized to adopt such rules and regulations as he may deem appropriate for the proper administration and enforcement of the provisions of this section. Any contractor or vendor that violates any of the provisions of this section or any rules or regulations promulgated pursuant to this section shall be fined $200.00 for the first offense and $1,000.00 for any second or subsequent offense occurring within a period of one year. Each such violation shall constitute a separate and distinct offense. The fines provided in this subsection are in addition to any sanction or remedy available for the city under the service contract.
The provisions of this section or any rules or regulations promulgated pursuant to this section may be enforced by investigators of the city clerk's office or the members of the police department.
(Added Coun. J. 12-12-07, p. 16793, § 1)