(A) Business license exempt businesses. The following exempt businesses shall not be required to submit for or obtain a business license:
(1) Café musicians. Any person meeting the definition of café musician under Cal. Business and Professions Code § 16000.5.
(2) Businesses exempted by federal or state law. The provisions of this chapter shall not be deemed or construed to apply to any person transacting or carrying on any business exempt by virtue of the Constitution or applicable statutes of the United States or of the State of California from the payment of such regulatory business license fees charged pursuant to this chapter or otherwise exempt from the requirements for licensing hereunder.
(3) Garage sales. Including, but not limited to, yard, lawn, attic, patio, moving or rummage sales held to sell, exchange, trade or dispose of surplus household or personal goods belonging to those conducting the garage sale on their own residential premises, which sales may not be conducted during more than four 72-hour periods per year. Any sales proposed to occur more frequently will require land use and zoning approval through a temporary use permit (or other permit) as well as a business license.
(4) Part-time occupants. The provisions of this chapter shall not apply to any natural person under the age of 18 or over the age of 65 engaged in any part-time occupation of less than 400 hours a year.
(5) Sidewalk and roadside vendors. As defined within Chapter 5.70 of the Menifee Municipal Code, vendors are regulated under Chapter 5.70 and, in order to qualify for an exemption hereunder, a vendor must meet each regulation set forth therein.
(6) Teachers or tutors. For the teaching of musical, artistic or educational subjects when the following conditions exist: (1) the teaching is done at the residence of the pupil; and (2) the teacher/tutor employs no assistants, does not display an advertising sign at the residence, and does not make a general practice of selling merchandise in connection with the teaching or tutoring.
(7) Transportation network company (TNC). TNC entities which reside in the City of Menifee but operated less than 30 days in the preceding calendar year and TNCs that do not reside within the City of Menifee are exempt from the business license requirement pursuant to Cal. Business and Professions Code §§ 16550 et seq., "The Passenger Charter-party Carriers' Act."
(B) Fee exempt businesses. The payment of business license fees contained in this chapter shall not be required for the following exempt businesses. However, a city license is still required.
(1) Residential care facilities. Residential care facilities which serve six or fewer persons shall not be subject to local registration fees.
(2) Domestic household help. 1) Any person in the employ of an individual homeowner; or 2) a baby sitter caring for a total of eight or fewer children, including the sitter's own children, at a given address. Persons engaged in domestic household help must still comply with all federal and state requirements regarding applicable registration and certifications.
(C) Business license fee exempt businesses. The payment of business license fees contained in this chapter shall not be required for the following exempt businesses as long as a claim of exemption is filed with the city. Exemption from the business license fee will not exempt the business from the mandatory state CASp annual fee, subject to change per state regulations.
(1) Banks and financial institutions. Any state or national bank which pays an "in lieu" tax provided for in article 13, section 27 of the California Constitution.
(2) Commercial travelers/wholesale salesmen. Any commercial traveler whose business is limited to goods, wares, and merchandise sold or dealt in at wholesale within the State of California, and as defined and described in Cal. Business and Professions Code § 16002.
(3) Churches, temples or other places of worship. Churches, temples or other places of worship, to the extent their use is exclusively for the exercise of religion. This exemption shall not apply to other activities which are not undertaken for the exercise of religion, including, but not limited to, day schools, social service programs, and church-owned or operated business enterprises.
(4) Eligible military personnel. Pursuant to Cal. Business and Professions Code §§ 16000.7, 16001, 16001.5, 16001.7, and 16102, every soldier, sailor or marine of the United States who has received an honorable discharge or a release from active duty under honorable conditions from such service may hawk, peddle and vend any goods, wares or merchandise owned by him, except spirituous, malt, vinous or other intoxicating liquor, and shall be exempted from the business license fee. Every such honorably discharged person claiming exemption under the provisions of this chapter shall exhibit to the city their honorable discharge, or a certified copy thereof, together with a certificate signed by a licensed physician, setting forth the physical disabilities of such honorably discharged or honorably released person, and stating whether, in the opinion of such physician, the disabilities render such person physically unable to obtain a livelihood by manual labor.
(5) Insurance companies. Any insurer which pays an "in lieu" tax provided for in article 13, section 28 of the California Constitution. As used herein, "insurer" does not include insurance brokers.
(6) Non-profit organizations. Non-profit organizations conducting occasional, seasonal, or sporadic sales or other business for fundraising purposes whether or not a temporary use permit is required. This exemption shall not apply to promoters employed by such non-profit institutions, corporations, organizations, or associations.
(7) Real estate auctioneers. Any real estate auctioneer whose permanent place of business is not within the city, and who is defined and described in Cal. Business and Professions Code § 16002.1.
(8) Blind vending facility operator. Any blind vending facility operator who qualifies via registration with the California Business Enterprises Program shall have their business license fee waived pursuant to Cal. Welfare & Institutions Code § 19633.
(D) Claim of exemption.
(1) A claim of exemption shall be filed with the Finance Department by an entity claiming to be exempt on a form provided by the city. There shall not be a fee for filing such a claim of exemption. The claim of exemption shall be filed at the time in which the original application is submitted. The claim of exemption must be submitted annually at the time of business license renewal and must be accompanied by the mandatory State CASp annual fee and renewal application.
(2) The city may revoke the exemption privilege granted pursuant to the provisions of this section upon information that the licensee is not entitled to the exemption or is in violation of any applicable law or regulation related to the business or property upon which the business is located.
(3) No person shall conduct any business activities unless that person is in possession of an effective business license or written approval from the city for an exemption.
(Ord. 2022-343, passed 6-1-2022)