(A) Grounds. Pursuant to the procedures set forth in this section, the Sexually Oriented Business Use Commissioner may suspend for not more than 30 days, or revoke, any sexually oriented business establishment license if the commissioner, based on credible and reasonably reliable information and evidence, determines that any one or more of the following has occurred:
(1) The licensee has violated any of the provisions or requirements of this chapter or the sexually oriented business establishment license issued pursuant hereto, or the provisions of the City Zoning Code applicable to the licensed premises or the sexually oriented business establishment.
(2) The licensee (i) knowingly or negligently furnished false or misleading information or withheld information on any application or other document submitted to the city for the issuance or renewal of any sexually oriented business establishment license or (ii) knowingly or negligently caused or suffered any other person to furnish or withhold any such information on the licensee's behalf.
(3) The licensee has committed a felony or specified criminal act on the licensed premises.
(4) The licensee authorizes, approves, or, as a result of the licensee's negligent failure to supervise the licensed premises or the sexually oriented business establishment, allows a sexually oriented business establishment employee, a sexually oriented business establishment patron, or any other person to (i) violate any of the provisions or requirements of this chapter or of the provisions or requirements of the sexually oriented business establishment license issued pursuant hereto, or (ii) commit any felony or specified criminal act on the licensed premises. The licensee, or any person identified in this chapter becomes disqualified for the issuance of a sexually oriented business establishment license at any time during the term of the license at issue.
(B) Procedure. A sexually oriented business establishment license may be suspended for not more than 30 days or revoked pursuant to the terms and conditions set forth in this division.
(1) Notice. Upon determining that one or more of the grounds for suspension or revocation under division (A)(1) of this section may exist, the Sexually Oriented Business Use Commissioner shall serve a written notice on the licensee in person or by certified mail, postage prepaid, return receipt requested, addressed to the licensee's address as set forth in the licensee's application. The written notice shall, at a minimum, (i) state that the Sexually Oriented Business Use Commissioner has determined that the sexually oriented business establishment license may be subject to suspension or revocation pursuant to this chapter; (ii) identify the specific grounds for the commissioner's determination; and (iii) set a date for a hearing regarding the commissioner's determination as to the possibility of suspension or revocation of the sexually oriented business establishment license. The date of the hearing shall be no less than five days after service of the Commissioner's notice, unless an earlier or later date is agreed to by the licensee and the Sexually Oriented Business Use Commissioner.
(2) Hearing. The hearing shall be conducted by the Sexually Oriented Business Use Commissioner. At the hearing, the licensee may present and submit evidence and witnesses to refute the grounds cited by the Sexually Oriented Business Use Commissioner for suspending or revoking the license and the city and any other persons may submit evidence to sustain such grounds. The administrative record compiled on the sexually oriented business establishment pursuant to this chapter shall be made part of the hearing record. Within three days after the close of the hearing, the Sexually Oriented Business Use Commissioner shall, having considered the record made at the hearing, render a decision in writing, setting forth the reasons for the decision. The action taken by the Sexually Oriented Business Use Commissioner shall be final and shall be subject to judicial review.
(3) Notice and Effective Date of Suspension or Revocation. The Sexually Oriented Business Use Commissioner's written decision shall be served on the licensee in person or by certified U.S. mail, postage prepaid, return receipt requested, addressed to the licensee's address as set forth in the licensee's application. Any suspension or revocation, as the case may be, shall take effect on the day that the Sexually Oriented Business Use Commissioner's written decision is delivered in person or three days after it is placed in the U.S. mail as provided in this subsection.
(4) Surrender of License. Upon the suspension or revocation of sexually oriented business establishment license pursuant to this chapter, the Sexually Oriented Business Use Commissioner shall take custody of the suspended or revoked license.