HomeMy WebLinkAboutG61-12I
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. Ordinance No. G61-12
AN ORDINANCE
AMENDING CHAPTER 6.42 OF THE
ELGIN MUNICIPAL CODE, 1976, AS AMENDED,
ENTITLED "PAWNBROKERS"
WHEREAS, 65 ILCS 5/11-42-5 provides in part that the corporate authorities of each
municipality may license, tax, regulate, or prohibit pawnbrokers; and
WHEREAS, the City of Elgin is a home-rule unit; and
WHEREAS, pursuant to Article 7, Section 6 of the Constitution of the State of Illinois,
the City of Elgin, as a home-rule unit, may exercise any power and perform any function
pertaining to its government and affairs, including, but not limited to, the power to regulate for
the protection of the public health, safety, morals and welfare, and to license; and
WHEREAS, Elgin Municipal Code Chapter 6.42 currently provides that no person, firm
or corporation shall conduct or operate the business of a pawnbroker within the corporate limits
of the city; and
WHEREAS, the city council of the City of Elgin has determined that it is desirable to
• allow a limited number of pawnbrokers in the city subject to licensing and other regulations; and
WHEREAS, the regulation of pawnbrokers through licensing and other regulations is
necessary to deter and detect crime and to otherwise protect the public health, safety, morals and
welfare relating to the operations by pawnbrokers; and
WHEREAS, deterring crime, detecting crime, protecting theft victims and recovering
stolen property relates to the protection of the public health, safety, morals and welfare and
pertains to the government and affairs of the City of Elgin; and
WHEREAS, the city council of the City of Elgin has determined that it is necessary and
desirable to amend the regulations regarding pawnbrokers.
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY
OF ELGIN, ILLINOIS:
Section 1. That Section 6.42.010 of the Elgin Municipal Code, 1976, as amended;
entitled "Definitions" be and is hereby further amended by adding to the listing of definitions
within such section the following additional definitions:
"INDIVIDUALLY IDENTIFIABLE ARTICLES: Articles that are individually
identifiable by a serial number; or other applied numbers, letters, characters or
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markings; or other unique features that serve to distinguish it from any other
. similar article and can be used to establish ownership of the article."
"PRECIOUS METALS: Articles consisting primarily of the elements of gold
(chemical symbol Au), silver (chemical symbol Ag), platinum (chemical symbol
Pt) or palladium (chemical symbol Pd), but not including articles merely plated
with these metals or articles similar in color to these metals but not actually
consisting of them."
Section 2. That Section 6.42.020 of the Elgin Municipal Code, 1976, as amended,
entitled "License Required" be and is hereby further amended by amending subparagraph A
thereof to read as follows:
"A. No person, either as owner, manager, lessee, officer or agent, or in any
other capacity, shall operate or permit to be operated a pawnbroker
establishment without first having obtained a license from the city to do
so. The license fee shall be due and payable on or before February 1 of
each year. The requisite fee shall accompany all original or renewal
applications. Such licenses shall expire on January 31 of the following
year. Failure or neglect to pay the requisite license fee in a timely manner
shall be cause for denial of issuance or nonrenewal or revocation as the
case may be."
• Section 3. That Section 6.42.130 of the Elgin Municipal Code, 1976, as amended,
entitled "Prohibited Purchases" be and is hereby further amended by amending subparagraph C
thereof to read as follows:
"C. Where the seller fails to present at least one form of approved
identification that contains the seller's full legal name, residence address
and a photograph, as required in subsection 6.42.160 of this chapter."
Section 4. That Section 6.42.160 of the Elgin Municipal Code, 1976, as amended,
entitled "Records of Purchases" be and is hereby amended to read as follows:
"6.42.160: RECORD OF TRANSACTIONS:
Throughout the term of the license, every pawnbroker shall report/upload to
LeadsOnline, or the city's current electronic reporting system, the below listed
information for each and every transaction conducted during each day they were
open for business by the end of that business day. All information shall be
recorded in the English language.
A transaction shall consist of all articles brought into a pawnbroker for sale,
barter, trade, pledge or pawn by an individual (pawner/seller) at the same time
and date, and includes the sale of non-junk/scrap articles by a pawnbroker or
• secondhand dealer to another person. Non-junk/scrap articles purchased by a
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pawnbroker from another business shall not be considered to be transactions for
• the purposes of this section, and are exempt from the reporting requirements of
this section, and are also exempt from the waiting period established under
Section 25-118. Articles brought into a pawnbroker by an individual
(pawner/seller) for sale, barter, trade, pledge or pawn at different times on the
same date by the same person shall be considered as separate transactions,
regardless of how short the difference in time is between those transactions.
Separate transactions, either from the same person or different persons, shall not
be combined and reported collectively.
A. Transactions involving individually identifiable articles.
1. Purchases/receipts by licensees. Each individually identifiable
article brought in to a pawnbroker by an individual (pawner/seller) for sale, barter,
or trade during a single transaction shall be itemized separately. Licensees shall
not lump such articles together, but must provide a complete and thorough
description of each item to include the following:
a. Type of article
b. Brand name/make/manufacturer(if applicable).
c. Model number (if applicable).
d. Serial number (if applicable).
e. Color/finish.
• f. Any other identifying marks, writing, engraving, etc.
2. A digital photograph(s) shall be taken of each individually
identifiable article, sufficiently detailed to allow reasonable identification of the
article. The digital photograph(s) shall capture any identifying numbers, marks,
writing, engraving, etc., or any other distinguishing characteristics.
a. A photographic or scanned image of a photo ID card of the
pawner/seller, sufficiently clear to allow the information on the ID to be
read. The photo ID must be a currently valid (not expired) card issued by
a government entity of the United States, and must include the seller's first
and last name, current address, date of birth, and physical descriptors. If
the seller is selling on behalf of a company or business, the name, address,
and telephone number of such company or business shall also be
recorded/reported.
b. The date and time of the transaction.
C. A signed statement of the person from whom the property was
obtained that he or she is over eighteen (18) years of age and the legal
owner of same clear of all attachments and with the legal right to sell.
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B. Transactions involving non-individually identifiable articles.
• 1. Non-individually identifiable articles may be recorded/reported in bulk,
but must specify the weight, type and form of the bulk material.
2. Each different type and form of non-individually identifiable
articles brought in to a pawnbroker by an individual for sale, barter, or trade
during a transaction shall be associated with the person who brought the material
in.
3. A photographic or scanned image of a photo ID card of the
pawner/seller, sufficiently clear to allow the information on the ID to be read.
The photo ID must be a currently valid (not expired) card issued by a government
entity of the United States, and must include the seller's first and last name,
current address, date of birth, and physical descriptors. If the seller is selling on
behalf of a company or business, the name, address, and telephone number of
such company or business shall also be recorded/reported.
4. A digital photograph or, if the licensee has a video system, video
segment of each individual type & form of bulk material purchased by the
licensee shall be linked to the record of that transaction in LeadsOnline or the
city's current electronic reporting system.
• 5. The date and time of the transaction.
6. A signed statement of the person from whom the property was
obtained that he or she is over eighteen (18) years of age and the legal owner of
same clear of all attachments and with the legal right to sell.
C. Coins and paper money.
1. Purchases/receipts by licensees.
a. Coins have no distinguishing characteristics that separate
them from other coins of the same mintage, and although paper money is
serial numbered, those serial numbers are so seldom known by their last
possessor that paper money is effectively indistinguishable from other
paper money of the same denomination. Furthermore, unlike coins made
of precious metals, paper money seldom carries any value significantly
beyond the face value of the bill, and when stolen is usually used directly
as cash and not sold to a currency dealer. Accordingly, coins or paper
money brought in by an individual (pawner/seller) for sale, barter, or trade
during a single transaction do not need to be itemized individually, but
rather may be recorded/reported in bulk.
b. Coins or paper money brought in to a pawnbroker by an
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individual (pawner/seller) for sale, barter, or trade during a transaction
• shall be associated with the person (pawner/seller) who brought the article
in. The licensee shall record/report the following information for each
such transaction:
i. The name, current address and date of birth of the pawner/seller.
ii. A digital photographic or scanned image of a photo ID card of
the pawner/seller, sufficiently clear to allow the information on the
ID to be read. The photo ID must be a currently valid (not
expired) card issued by a government entity of the United States,
and must include the seller's first and last name, current address,
date of birth, and physical descriptors.
iii. The date and time of the transaction.
iv. The quantities and types of coins or paper money present. If
coins are all of the same type, they shall be reported by either
quantity or weight, and type (e.g., 5 Morgan silver dollars, 25
buffalo nickels, 5 lbs. of wheat pennies, etc.). If coins are from a
collection, a description of the theme of the collection (e.g.,
Bicentennial coins, state quarters, etc.) along with the number of
coins shall be provided. If coins represent an accumulation of
• disparate coins with no overall theme, a generic description of the
type and quantity of coins shall be provided (e.g., approximately
200 U.S. coins of miscellaneous dates & denominations,
approximately 100 foreign coins from various countries, etc.).
Paper money shall be reported by quantity and type (e.g., 25 U.S.
$5 silver certificates, etc.).
v. A signed statement of the person from whom the property was
obtained that he or she is over eighteen (18) years of age and the
legal owner of same clear of all attachments and with the legal
right to sell.
2. As a photograph of coins or paper money conveys no more
information than can be obtained from the written descriptions required by
Paragraph 3 (A)(II)(d) of this section, no photographs of coins or paper money are
required.
In the event the electronic reporting system malfunctions or is otherwise not
operational, the licensee shall, at all times during such malfunction or non-
operation, be required to keep written records of any and all transactions made
during the period of malfunction or non-operation, to include all information
required by this section. These written records shall be reported/uploaded to
• LeadsOnline, or the city's current electronic reporting system, as soon as
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practicable after the electronic reporting system is functional. No such written
• records shall be erased, mutilated or changed. Written records shall be open and
available for review upon request by the city treasurer or any peace officer during
regular business hours."
Section 5. That Section 6.42.170 of the Elgin Municipal Code, 1976, as amended,
entitled "Reports to Chief of Police" be and is hereby further amended to read as follows:
"6.42.170: ELECTRONIC REPORTING OF TRANSACTIONS:
A. The Police Department shall enter into a contract for service and maintain
its contract for service with LeadsOnline, or a similar entity as designated
by the chief of police, in order to enhance its investigative services to
protect resale dealers and members of the general public. In the event of a
change to its electronic reporting system, the city will notify all impacted
licensees of the change within a reasonable time prior to such change.
B. Every pawnbroker shall operate and maintain a computer system with
internet access and photographic or video capability sufficient for the
electronic reporting requirements described in this article. Any failure or
malfunction of such equipment on the part of the licensee shall not exempt
the licensee from the recording/reporting requirements outlined in this
article. The licensee shall immediately notify the police department of any
• such failure or malfunction, and shall have such resolved as soon as
practicable. Failure by the licensee to resolve any failure or malfunction
of equipment in a reasonable amount of time will lead to license
revocation proceedings under Section 6.43.220 of this ordinance.
C. No pawnbroker shall be required to furnish such description of any new
property purchased by the pawnbroker from manufacturers, other retailers
or wholesale dealers having an established place of business, or of any
goods purchased at open sale, or from a bankrupt stock. Such goods must
be accompanied by a bill of sale or other evidence of open and legitimate
purchase and shall at all times during the pawnbroker's business hours be
open to the inspection of members of the city's police department."
Section 6. That Section 6.42.190 of the Elgin Municipal Code, 1976, as amended,
entitled "Waiting Period" be and is hereby further amended to read as follows:
"No pawnbroker shall expose for sale, or sell, trade or barter, or melt,
crush/compact, destroy, or otherwise dispose of, any individually identifiable
article within ten (10) days of the time of purchasing or receiving the same.
No pawnbroker shall expose for sale, or sell, trade or barter, or melt,
crush/compact, destroy or otherwise dispose of any coins, paper money or other
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non-individually identifiable articles within three (3) days of the time of
purchasing or receiving the same."
Section 8. That all ordinances or parts of ordinances in conflict with the provisions of
this ordinance be and are hereby repealed to the extent of any such conflict.
Section 9. That this ordinance shall be in full force and effect upon its passage and
publication in the manner provided by law.
David J. Ka m, ayor
Presented: October 24, 2012
Passed: October 24, 2012
Omnibus Vote: Yeas: 7 Nays: 0
Recorded: October 24, 2012
Published: October 26, 2012 , ,
Attest:
s
Kimberly Dewis, City Clerk
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