Council to move business-license appeals to administrative review, clarify bonds and consider fee split

Legal Counsel Heather Schriever and Development Services Director Patrick O’Brien presented proposed updates to Chapters 5.04, 5.42 and 5.44 related to business licensing. The draft would move appeals for denials, suspensions, or revocations from the City Council to an administrative process handled by the city administrator or a designee; the administrator’s decision would be the city-level final decision (further appeal would proceed to court).

Staff also described bond requirements for certain business types (examples in the draft included $1,000 bonds for employment agencies, auctioneers, and similar services, and $2,000 bonds for lending institutions) and said they would add intent language explaining why bonds are required and how forfeiture could be handled. To reduce administrative cost exposure when applicants withdraw or are denied, staff proposed splitting the business-license fee into an application fee to cover review and inspection costs and a final issuance fee paid upon approval.

Council asked whether appeals could be escalated back to Council (staff said no, the administrative decision would be final at the city level) and requested clearer intent language for bond use and standards for forfeiture. Staff will prepare clarified language and a fee-analysis showing administrative cost recovery and comparable fees in neighboring jurisdictions.

Ending: Staff will revise the ordinance to include intent language on bonds, a proposed fee split based on administrative cost analysis, and will bring the revised ordinance forward for Planning Commission input where required and then Council consideration.