Wednesday, August 22, 2018

Option 1 or Option 2: Adopt your ordinance by Oct. 17

BLS City Partners--

Here's a quick rundown of your next steps for implementing the model ordinance required by Chapter 35.90.080 RCW.
This ordinance impacts non-resident businesses in your city, which means it affects only the businesses that do not have a location in city limits. 
The new rules start in January so non-resident businesses will better understand if they are subject to your city's licensing requirements.

Dates


  • Oct. 17, 2018: Adopt the ordinance and threshold by this deadline (BLS cities only).
  • Jan. 1, 2019: Model ordinance for "engaging in business" and income threshold to require licensing are implemented.

Options


  • Option 1: License Exempt Under Threshold license with a fee charged only to out-of-city businesses that exceed a revenue threshold of $2000 (or greater depending on your city's requirements). Businesses that don't exceed the income threshold won't get your city license.
  • Option 2: No-Fee Under Threshold license for non-resident businesses below a revenue threshold of $2000 or greater depending on your city's requirements. 


By now you know you must adopt the model ordinance language and a revenue threshold at which businesses are required to seek a business license in your city.

If your city will require licenses for businesses outside city limits after January 1, 2019, you may choose from two license types. You may also choose not to license out-of-city businesses.

We recommend contacting Association of Washington Cities (AWC) for guidance on code adoption. See the AWC's White Paper here. AWC Phone: 360.753.4137

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