2011-476 f 1_
ORDINANCE NO. 2011 - 476
An ordinance amending JGO Chapter 5.52 and Section 5.04.010 N. regulating junk dealers,
second hand dealers, second hand jewelry dealers, and pawnbrokers in the City of Janesville
with penalties as set forth in JGO 5.52.090 and 5.04.180.
THE COMMON COUNCIL OF THE CITY OF JANESVILLE DO ORDAIN AS
FOLLOWS:
SECTION I. Chapter 5.52 of the Code of General Ordinances of the City of Janesville is hereby
amended to read as follows:
Chapter 5.52
JUNK DEALER, SECONDHAND DEALER, SECONDHAND JEWELRY DEALER,
PAWNBROKER*
Sections:
5.52.010 License — Required
5.52.011 Definitions
5.52.012 Adoption of State Laws – More Stringent Laws Govern
5.52.020 License — Application— Information required —Bond—
Council approval — Fee — Issuance
5.52.030 License —One place of business only— Moving - Reportable
Transaction
5.52.040 License • ' • , . . • . • • • .
. •• . • . , • .. ' • . ' : • • . .. Reports to Police- Receipt
Required
5.52.050 Licensee — Record keeping duties — Information required - Digital
Photo Requirement
5.52.060 Licensee — Restricted purchases
5.52.070 Labels Required - Holding Period - Police order to hold property- Police
to seize property when
5.52.080 License — Business area requirements
5.52.090 Violation — Penalty
5.52.010 License — Required No person shall do business as a pawnbroker, junk
dealer, dealer in secondhand goods, secondhand article dealer, secondhand jewelry dealer,
secondhand article dealer mall, flea market, or secondhand dealer in junk, wares or merchandise
et fort" belew t without having first obtained and holding a valid license therefore issued from
the City under this Chapter.
5.52.011 Definitions When used in this chapter the following words shall mean:
A. "Article" means anv of the following articles:
1. Audiovisual equipment.
2. Bicycles.
3. China
4. Computers, laptops, printers, software and computer supplies.
5. Computer toys, gaming systems and games.
6. Crystal.
7. Electronic equipment.
8. Fur coats and other fur clothing
9. Ammunition and knives.
10. Microwave ovens.
11. Office equipment
12. Pianos, organs, guitars and other musical instruments.
13. Compact Discs, Audiotapes, Videotapes, DVDs, GPS Units, and other optical
media recording or replaying devices.
14. Silverware and flatware.
15. Small electrical appliances.
16. Telephones.
17. Power tools and pneumatic tools.
18. Firearms.
19. Paper currency and coins.
20. Sports equipment.
21. Jewelry
B. "Pawn Broker" means any person who engages in the business of lending money on the
deposit or pledge of any article or_purchases any article with an expressed or implied agreement
or understanding to resell the article in the same or substantially similar form at a subsequent
time at a stipulated price.
1. To the extent that a pawnbroker's business includes buying personal property
previously used, rented, or leased the provisions of this chapter shall be applicable.
2. A person is not acting as a pawnbroker when engaging in any of the following:
a. Any transaction at an occasional garage or yard sale or an estate sale.
b. Any transaction between a buyer of a new article and the person
who sold the article when new that involves any of the following:
1. The return of the article.
2. The exchange of the article for a different, new article.
c. Any transaction as a purchaser of a secondhand article from a
charitable organization if the secondhand article was a gift to the charitable organization.
d. Any transaction as a seller of a secondhand article that the person
bought from a charitable organization if the secondhand article was a gift to the charitable
organization.
C. "Second Hand Article Dealer" means any person, other than an auctioneer, who
engages in the business of purchasing or selling second hand articles in the same or substantially
similar form at a subsequent time.
1. To the extent that a secondhand article dealer's business includes buying personal
property previously used, rented, or leased the provisions of this chapter shall be applicable.
2. A person is not acting as a secondhand article dealer when engaging in any of the
following:
a. Any transaction at an occasional garage or yard sale or an estate sale.
b. Any transaction between a buyer of a new article and the person
who sold the article when new that involves any of the following:
1. The return of the article.
2. The exchange of the article for a different, new article.
c. Any transaction as a purchaser of a secondhand article from a
charitable organization if the secondhand article was a gift to the charitable organization.
d. Any transaction as a seller of a secondhand article that the person
bought from a charitable organization if the secondhand article was a gift to the charitable
organization.
D. "Secondhand Jewelry Dealer" means any person, other than an auctioneer, who
engages in the business of any transaction consisting of purchasing, selling, receiving or
exchanging secondhand jewelry.
1. To the extent that a secondhand jewelry dealer's business includes buying
personal property previously used, rented, or leased the provisions of this chapter shall be
applicable.
2. A person is not acting as a secondhand jewelry dealer when engaging in any of
the following:
a. Any transaction at an occasional garage or yard sale or an estate sale.
b. Any transaction between a buyer of a new jewelry and the person
who sold the jewelry when new which involves any of the following:
1. The return of the jewelry.
2. The exchange of the jewelry for different, new jewelry.
c. Any transaction as a purchaser of secondhand jewelry from a
charitable organization if the secondhand jewelry was a gift to the charitable organization.
d. Any transaction as a seller of secondhand jewelry which the person
bought from a charitable organization if the secondhandjewelry was a gift to the charitable
organization.
5.52.012 Adoption of State Laws – More Stringent Laws Govern
A. Incorporated herein by reference and made a part of this chapter as if fully set forth
verbatim are Wis. Stats. §§ 134.71 and 134.695, including but not limited to the fee schedule set
by state law in § 134.71(11), all as from time to time amended or renumbered. Any and all acts
required to be performed or prohibited by any statutes so incorporated by reference is /are
required or prohibited by this chapter. Any future amendments, revisions, or modifications of
the statutes incorporated by this chapter are also adopted and incorporated as a part of this
chapter.
B. The more stringent provision set forth in this chapter or that set forth in the incorporated
state law(s) shall always take precedence and govern, notwithstanding any conflict,
inconsistency or ambiguity to the contrary. The intent is to at all times render this chapter in full
force and effect and in conformity with Wis. Stats.§ 134.71(14), as from time to time amended or
renumbered.
5.52.020 License — Application— Information required— Bond — Council
approval — Fee — Issuance •. . - - - - - . • • - - • _ - - - - - - - -
5.52.010 shall filo with the city clerk his applicatio - - = . -, . - - - _ - - . - - -
A. A person wishing to obtain a license pursuant to Section 5.52.010 shall apply to the city
clerk for a license. The clerk shall furnish application forms that shall require all of the
following:
1. The applicant's name, place and date of birth, residence address, residence
addresses for the 5 -year period prior to the date of the application, and all states where the
applicant has previously resided.
2. The name and addresses of the business and of the owner of the business
premises.
3. Whether the applicant is a natural person, corporation, limited liability company
or partnership, and:
a. If the applicant is a corporation, the state where incorporated and the
names and addresses of all officers and directors.
b. If the applicant is a partnership, the names and addresses of all partners.
c. If the applicant is a limited liability company, the names and addresses of
all members.
4. The name of the manager or proprietor of the business.
5. Any other information that the clerk may reasonably require.
6. A statement as to whether the applicant, including an individual, manager or
proprietor, has been convicted of any crime, statutory violation punishable by forfeiture, or
county or municipal ordinance violation. If so, the applicant must furnish information as to the
time, place, and offense of all such convictions.
7. Whether the applicant or any other person listed above has ever used or been
known by a name other than the applicant, individual, manager or proprietor's name, and if so
the name or names used and information concerning dates and places used.
8. Whether the applicant or any other person listed has previously been denied or
had revoked or suspended as a pawnbroker, second hand article dealer or second hand jewelry
dealer license from any governmental unit. If so, the applicant must furnish information as to the
date, location, and reason for the action.
B. The police department shall investigate each applicant and any other person listed. The
department shall furnish the information derived from that investigation in writing to the city
clerk. The investigation shall include each applicant and manager or proprietor.
C. The city may grant a license if all of the following apply:
1. The applicant or proprietor does not have a significant arrest or conviction record,
subject to ss. 111.321, 111.322 and 111.335 of the Wisconsin Statutes.
2. The applicant provides to the city clerk a bond of $1,000.00 with not less than 2
sureties for the observation of all municipal ordinances or state or federal laws relating to
pawnbrokers and secondhand article and secondhand jewelry dealers. The bond must be in full
force and effect at all times during the term of the license.
D. The following requirements apply to licenses issued under this chapter:
1. No license may be transferred.
2. Each license is valid from July 1st until the following June 30th.
3. Each license issued under this chapter shall be displayed in a conspicuous place
visible to anyone entering a licensed premise.
4. Annual license fees as set forth in 5.04.010 shall apply to licenses under this
chapter.
Upon license application the licensee shall also filo thcrewith a .: - : = - . -• - • -- - •• -
this chapter relating to the business which such applicant intends to carry on. Upon tho approval
of such bond and application by tho council and filing with the city clerk tho tr asuror's receipt •
.. .. - • - - - - - - ._ .., . .
5.52.030 License —One place of business only— Moving allowed when -
Reportable Transaction
A. No person licensed as a pawnbroker, junk dealer or dealer in secondhand goods, wares
and merchandise shall, by virtue of one license, keep more than one store or place for the
carrying on of such business; provided, however, that such person may remove from one place of
business to another by giving to the police department immediate written notice of such removal.
B. Every transaction conducted by a pawnbroker, secondhand article dealer, or secondhand
jewelry dealer in which an article or articles are obtained through a pawn, purchase, receipt or
trade, or in which a pawn is renewed, extended, voided, or redeemed, or for which a unique
transaction number or identifier is generated by their point -of -sale software is reportable except:
The bulk purchase of new or used articles from a merchant, manufacturer, or wholesaler having
an established permanent place of business, and the retail sale of said articles, provided the
pawnbroker must maintain a record of such purchase that describes each item, and must mark
each item in a manner that relates it to that transaction record.
5.52.040 Licensee- Reports to Police- Receipt Required Pawahreker and
licensed as a pawnbroker or junk dealer undcr this - chapter shall kocp a book in which shall be
written legibly in ink and, at tho time of the purchase or taking of any goods, article or thing, an
accurate account and description in the English language of the goods, article or thi
name, residence, and description of the person selling -or pledging the same. When any watch iJ
purchased or taken, tho person so licensed shall also write in such book the name of tho maker • -. .. . • .- . . I. -. _ - - - - - . _ . ., . . . . - . -
taken, such person shall note in said book all letters and marks inscribed, engraved or cut
A. Pawnbrokers, secondhand article dealers, and secondhand jewelry dealers must submit
every reportable transaction to the police department within 48 hours, excluding legal holidays,
in the following manner, except for all consignment transactions, which must be reported as
required by Section 134.71(8)(e) of the Wisconsin statutes as from time to time amended or
renumbered. Pawnbrokers, secondhand article dealers, and secondhand jewelry dealers must
provide to the police department all required information pursuant to State Statute and this
chapter, by transferring the required information from their computer to the web server via
modem designated by the Janesville Police Department. All required records must be
transmitted completely and accurately in accordance with standards and procedures established
by thepolice department using procedures that address security concerns of thepawnbroker or
secondhand article and jewelry dealer and the police department. Each pawnbroker, secondhand
article dealer, and secondhand jewelry dealer must display a sign of sufficient size in a
conspicuous place on the premises which informs all patrons that all transactions are reported to
the police department.
B. If a pawnbroker, or secondhand article dealer, or secondhand jewelry dealer is unable to
successfully transfer the required reports by modem within 48 hours, excluding legal holidays,
the pawnbroker or secondhand article and jewelry dealer must provide the police department
with printed copies of all reportable transactions by 12:00 noon the next business day.
C. If the problem is determined to be in the pawnbroker, secondhand article, or secondhand
jewelry dealer's system and is not corrected by the close of the first business day following the
failure, the pawnbroker, secondhand article, or secondhand jewelry dealer must provide the
required reports as detailed in State Statute and this chapter, and shall be charged a daily
reporting failure fee of $10.00 until the error is corrected or, if the problem is determined to be
outside the pawnbroker, secondhand article dealer, or secondhand jewelry dealer's system, the
pawnbroker, secondhand article dealer, or secondhand jewelry dealer must provide the required
reports pursuant to State Statute and resubmit all such transactions via modem when the error is
corrected.
D. Regardless of the cause or origin of the technical problems that prevented the
pawnbroker, secondhand article dealer, or secondhand jewelry dealer from uploading the
reportable transactions, upon correction of the problem, the pawnbroker, secondhand article
dealer, and secondhand jewelry dealer shall upload every reportable transaction from every
business day the problem has existed.
E. The provisions of this section notwithstanding, the police department may, upon
presentation of extenuating circumstances, delay the implementation of the daily reporting
penalty.
F. Every licensee must provide a receipt to the customer identified in every reportable
transaction and must maintain a duplicate of that receipt for three (3) years. The receipt must
include at least the following information:
1. The name, address, and telephone number of the licensed business.
2. The date and time the item was received by the licensee.
3. Whether the item was pawned or sold, or the nature of the transaction.
4. An accurate description of each item received including, but not limited to, any
trademark, identification number, serial number, model number, brand name, or other identifying
mark on such an item.
5. The signature or unique identifier of the licensee or employee that conducted the
transaction.
6. The amount advanced or paid.
7. The monthly and annual interest rates, including all pawn and second hand article
dealers fees and charges.
8. The last regular day of business by which the item must be redeemed by the
customer without risk that the item will be sold, and the amount necessary to redeem the item on
that date.
9. The full name, current residence address, current residence telephone number, and
date of birth of the pledger or seller.
10. The identification number and state of issue from any of the following forms of
identification of the seller:
a. Current valid Wisconsin driver's license.
b. Current valid Wisconsin identification card.
c. Current valid photo driver's license or identification card issued by another
state or government entity.
11. Description of the customer or seller including approximate sex, height, weight,
race, color of eyes and color of hair.
12. The signature of the customer or seller.
5.52.050 Licensee — Record keeping duties - Information required - Digital photo
requirement It shall be the duty of every person licensed under this chapter to keep a book, at
• = - • - - - ' - - • - . •• - • = - - - .. -.- Records required.
A. At the time of any reportable transaction other than renewals, extensions, redemptions or
confiscations, every licensee must immediately record, in English, the following information in a
computerized record approved by the police department, except for all consignment transactions,
which must be recorded as required by Section 134.71(8)(c) of the Wisconsin statutes as from
time to time amended or renumbered:
1. A complete and accurate description of each item including, but not limited to,
any trademark, identification number, serial number, model number, brand name, or other
identifying mark or such an item.
2. Date, time and place the item of property was received by the licensee, and the
unique alpha and/or numeric transaction identifier that distinguishes it from all other transactions
in the licensee's records.
3. Full name, current residence address, current residence telephone number, date of
birth and accurate description of the person from whom the item of the property was received,
including: sex, height, weight, race, color of eyes and color of hair.
4. The identification number and state of issue from any of the following forms of
identification of the seller:
a. Current Wisconsin driver's license.
b. Current Wisconsin identification card.
c. Current valid photo identification card issued by another state or
government entity.
5. The signature of the person identified in the transaction.
B. The licensee must also take a color, digitized photograph of every item pawned or sold
that does not have a unique serial or identification number permanently engraved or affixed,
excluding only electronic media. One group photo shall suffice for mass items such as several
coins acquired in one transaction. If q photogr ph is taken, it must be at least two inches in length
by two inches in width and must be maintained in such a manner that the photograph can be
readily matched and correlated with all other records of the transaction to which they relate. Such
photographs must be available to the chief of police, or the chief's designee, upon request. Items
photographed must be accurately depicted and submitted as digital images, in a format specified
by the issuing authority, electronically cross - referenced to the reportable transaction they are
associated with. Consignment transactions shall be exempt from this requirement.
5.52.060 Licensee — Restricted purchases No person or firm licensed under this
chapter shall purchase or take any goods, article or thing from any person under cixtecn eighteen
years of age or from any intoxicated person.
5.52.070 Labels Required - Holding Period - Police order to hold property - Police to
seize property when The chief of police may cause any goods, article or thing purchased or
time as he may dcem necessary_ . .
A. Licensees must attach a label to every item at the time it is pawned, purchased or
received in inventory from any reportable transaction. Permanently recorded on this label must
be the number or name that identifies the transaction in the shop's records, the transaction date,
the name of the item and the description or the model and serial number of the item as reported
to the police department, whichever is applicable. Labels shall not be re -used.
B. Any item deposited for security shall be kept on the premises for safe keeping for not less
than 30 days after the date of purchase or receipt unless the person known by the pawnbroker to
be the lawful owner of the article redeems it. Any item purchased or received by a secondhand
article dealer or secondhand jewelry dealer shall be kept on the premises of safekeeping for not
less than 14 days after the date of purchase or receipt. Consignment transactions shall be exempt
from this requirement.
C. During the period the article shall be held separate from saleable inventory and may not
be altered in any manner. The pawnbroker, second hand article dealer, or secondhand jewelry
dealer shall permit any law enforcement officer to inspect the article during this period.
D. An investigative hold may be placed on an item when a law enforcement official from
any law enforcement agency notifies a licensee not to sell an item. The item must not be sold or
removed from the premises. The investigative hold shall be confirmed in writing by the
originating agency within seventy -two (72) hours and will remain in effect for fifteen (15) days
from the date of initial notification, or until the investigative order is canceled, or until an order
to hold/confiscate is issued, whichever comes first.
E. An order to hold may be placed on an item whenever the chief ofpolice, or the chiefs
designee, notifies a licensee not to sell an item, the item must not be sold or removed from the
licensed premises until authorized to be released by the chief or the chiefs designee. The order to
hold shall expire ninety (90) days from the date it is placed unless the chief of police or the
chiefs designee determines the hold is still necessary and notifies the licensee in writing.
F. An order to confiscate may be placed on an item if the item is identified as stolen or
evidence in a criminal case, the chief or chiefs designee may physically confiscate and remove it
from the shop, pursuant to a written order from the chief or the chiefs designee, or place the item
on hold or extend the hold and leave it in the shop.
G. When an item is confiscated, the person doing so shall provide identification upon
request of the licensee, and shall provide the licensee the name and phone number of the
confiscating agency and investigator, and the case number related to the confiscation.
H. When an order to hold/confiscate is no longer necessary, the chief of police or chiefs
designee shall so notify the licensee.
5.52.080 License — Business area requirements No application for a license
pursuant to this chapter shall be issued and no person, firm or corporation shall operate any
business for which a license is required by this chapter unless the area used in such business,
including any storage area, is enclosed by a fence, wall or other structure which shall block from
view all activities of said business that could be viewed by a person standing on the ground near
the property on which such business is located; however, windows may be placed in said fence,
wall or other structure. In any event, every such fence, wall or other structure shall be at least
seven feet in height.
5.52.090 Violation — Penalty Any person, firm or corporation violating any of the
provisions of this chapter shall may, upon conviction therefore in court, have his their license
revoked and shall further be punished by a fine of not less than ten dollars nor more than one
hundred dollars and costs. In default of the payment of the fine and costs, the violator shall be
imprisoned in the county jail until such fine and costs are paid, not to exceed sixty days. Each
day's violation constitutes a separate offense. This penalty shall be independent and exclusive of
the right of the council to revoke any license or permit.
SECTION II. Section 5.04.010 N. of the Code of General Ordinances of the City of Janesville
is hereby amended to read as follows:
N. Junk dealer, secondhand dealer, secondhand jewelry dealer, pawnbroker, flea market,
secondhand article dealer mall or related activity as defined in applicable state law (Sections
5.52.010 - 5.52.080) (See s. 134.71 for definitions and s. 134.71(11) for fees) (For bond see s.
134.71(7), et al.)
1. Pawnbroker's license $210.00 per year with $5001,000 bond
2. Secondhand article dealer's license $27.50 per year with $540 $1,000 bond
3. Secondhand jewelry dealer's license $30.00 per year with $5901,000 bond
4. Secondhand article dealer mall license $165 per year with required bond
5. Flea Market license $165 per year with required bond
6. All other secondhand dealers $27.50 per year with $500 bond
7. Junk dealers (City definition) $27.50 per year with $500 bond
Such fee shall not be apportioned, regardless of the date on which such license may be issued.
e
ADOPTED: February 28, 2011 Motion by: Brunner
Second by: Steeber
APPROVED: Councilmember Aye Nay Pass Absent
� / / Brunner X
�� /V %� .(. McDonald X
Eric J. L;> F it)/ Manager Perrotto X
Rashkin X
ATTES : Steeber X
Truman X
�C��� 4-77 ‘(--// Voskuil X
Je Wulf, City Clerk- Treasur
APPROVED AS TO FORM:
Assistant City Attorney _'~
Proposed by Council Member Brunner `:.
Prepared by Police Department & Assistant City
Attorney