CITY OF UNION, KENTUCKY

                                                  ORDINANCE NO. 2026 – 11

AN ORDINANCE ESTABLISHING AUTHORITY FOR THE CITY TO SUSPEND AND/OR REVOKE CITY ISSUED LICENSES FOR THE FAILURE TO PAY ANY OF THE FOLLOWING: ANY LICENSE FEE FOR THE CITY OF UNION; TAXES FOR REAL PROPERTY; TAXES FOR TANGIBLE PROPERTY; OCCUPATIONAL TAX; CODE ENFORCEMENT FINES AND/OR FEES; AND FRANCHISE FEES THAT HAVE BEEN ESTABLISHED BY ORDINANCE WITHIN THE CITY OF UNION, KY AND FOR ANY ADDITIONAL FEES AND/OR TAXES ENACTED IN THE FUTURE BY ORDINANCE

THIS ORDINANCE IS TO BE CODIFIED IN SECTION 110(B) OF THE CITY OF UION CODE OF ORDINANCES

WHEREAS, the City of Union has the authority and ability to collect all taxes, fees, and fines due and owing to the City by its residents; and

WHEREAS, the City of Union has the authority to regulate all business activity within the City and to establish reasonable requirements for the issuance, renewal, suspension, and revocation of municipal licenses and permits; and

            WHEREAS, certain businesses and individuals conducting business within the City of Union are required to obtain licenses, permits, pay occupational fees and/or taxes, property taxes, franchise fees, other regulatory fees and satisfy other financial obligations imposed by the City; and

WHEREAS, the City of Union has a duty to its residents to collect all taxes, fees, and fines due and owing to the City or otherwise has an interest in ensuring that persons and entities receiving the privilege of operating within the City remain current on all lawful municipal obligations; and

WHEREAS, the City of Union finds that allowing a business entity to maintain or renew one municipal license while remaining delinquent on other City imposed obligations undermines the City’s ability to fairly administer its licensing and revenue systems; and

WHEREAS, the City of Union is dependent upon the money generated by said taxes, fees, and fines for the administration work needed to monitor the issuance and/or payment of said taxes, fees, and fines and otherwise for the day-to-day operation of the City; and

NOW, THEREFORE, BE IT ORDAINED BY THE CITY OF UNION, KENTUCKY, AS FOLLOWS:

Section 1.0 – PURPOSE

            The City Commission of the City of Union states that it is the purpose of this Ordinance to establish a system of cross-collateralization for all City issued licenses, permits, fees, taxes, assessments, liens, and other lawful charges owed to the City of Union by businesses, persons conducting businesses or other responsible parties to remain current on all lawful municipal obligations.

Section 2.0 – DEFINITIONS

            For the purposes of this Ordinance, the following definitions are provided:

  1. “Business Entity” means any person, corporation, limited liability company,

partnership, sole proprietorship, association, organization, or other entity conducting business or commercial activity within the City of Union, Kentucky.

  • “City” means the City of Union, Kentucky
  • “License” means any business license, occupational license, permit, registration, or any other authorization issued by the City.

Section 3.0 – CROSS-COLLATERALIZATION OF OBLIGATIONS

That the City of Union is hereby authorized to revoke any license that it is authorized to issue by ordinance for any license holder’s failure to pay the following:

  1. ANY LICENSE FEE FOR THE CITY OF UNION, KY;
  2. TAX(ES) FOR REAL PROPERTY;
  3. TAX(ES) FOR TANGIBLE PROPERTY;
  4. OCCUPATIONAL TAX(ES);
  5. CODE ENFORCEMENT FINES AND/OR FEES;
  6. FRANCHISE FEES THAT HAVE BEEN ESTABLISHED BY ORDINANCE WITHIN THE CITY OF UNION, KY
  7. FOR ANY ADDITIONAL FEES AND/OR TAXES ENACTED IN THE FUTURE BY ORDINANCE

Section 4.0 – NOTICE AND OPPORTUNITY TO CURE

The Union City Commission hereby states that before suspending, denying renewal of, or revoking a license(s) pursuant to this ordinance that the City shall provide notice either by email and/or regular U.S. Mail to the affected business entity setting forth the following before any adverse action is taken:

  1. THE AMOUNT OF THE DELINQUENT OBLIGATION
  2. THE LICENSE OR PERMIT AFFECTED;
  3. THE ACTION THE CITY INTENDS TO TAKE; AND
  4. ADDITIONAL NOTICE THAT ANY DELINQUENT AMOUNT DUE AND OWING TO THE CITY BE PAID WITHIN 30 DAYS.

Section 5.0 – POWERS AND AUTHORITY OF CITY AND CITY CLERK OR

DESIGNEE OF THE CITY, RECORD KEEPING AND INSPECTION

The powers and duties of the City Administrative Officer or any person that he or she may designate, including the City Clerk, Code Enforcement Officers, assistants, staff or employees to assist with the enforcement of this Ordinance to do the following:

            1.         To conduct research, investigations, or engage in data compilation of any business entity the city to determine compliance with this chapter or other ordinances he or she is empowered to enforce;

            2.         To investigate all complaints made about business entities and their respective licenses, payment of fees and/or taxes within the city, whether they be verbal, or written;

3.         To administer oaths and affirmations, to examine witnesses, and receive evidence at any appeal hearing held herein;

4.         To appoint and fix the duties of such officers, agents and employees of the City as he or she deems necessary to carry out the purposes of this Ordinance;

5.         To delegate any of his or her functions and powers under this Ordinance and other ordinances to such officers, agents and employees as he or she designates;

            6.         To keep records of all complaints received, inspection reports, orders and of other actions taken. The records shall be made available for public inspection upon request within a reasonable amount of time pursuant to the Kentucky Open Records Act;

Section 6.0 (A) – REVOCATION OR SUSPENSION, APPEALS

            Upon the failure to cure a delinquency within the 30 day time period provided in Section 4.0 immediately above, the City, by and through its chosen designee and/or agent may suspend, deny renewal of, or revoke any City-issued license or permit held by the Business Entity subject to an appeal that may be made by the Business Entity or any lawful representative of the Business Entity to the City Administrative Officer for the City of Union whom shall set said appeal for an administrative hearing before the City Commission within a reasonable amount of time.  Any appeal filed pursuant to this section shall be made within seven (7) days of the adverse action taken by the City.

Section 6.0 (B) – POWERS AND AUTHORITY OF CITY COMMISSION

REGARDING APPEAL(S) OF LICENSE SUSPENSION, REVOCATION, OR

NON-RENEWAL OF LICENSE

1.         The City Commission of the City of Union is the legislative body designated by this Ordinance to hear all administrative appeals for the suspension, revocation, and renewal or non-renewal of all license(s) decisions for business entities within the City.

2.         Upon the hearing of appeal(s), the City Commission shall issue findings of fact, conclusions of law and orders.

3.         Meetings of the City Commission for all appeals shall convene at a time and place to be designated by the City.

4.         All notices of appeals hearings shall be in writing and signed by the Mayor or his or her designee.

5.         The presence of three (3) or more Commissioners (including the Mayor) shall constitute a quorum on the City Commission. The affirmative vote of a majority of the members of the City Commission quorum shall be necessary, for any official action to be taken. Any member of the City Commission who has any direct or indirect financial or personal interest in any matter to be decided shall disclose the nature of the interest and shall disqualify himself or herself from voting on the matter and shall not be counted for purposes of establishing a quorum.

6.         Minutes of all appeals shall be kept for all proceedings of the City Commission and the vote of each member on any issue decided by the Commissioner and/or Mayor shall be recorded in the minutes.

7.         All appeals regarding this Ordinance and hearings before the City Commission shall be open to the public.

8.         The City, by and through the City Clerk, or his or her designee, shall provide clerical and administrative personnel reasonably needed by the Commission for the proper conduct of its duties under this Ordinance.

9.         The City Commission shall have the power to impose any reasonable order as a method of enforcing any ordinance.

            10.       The City Commission shall have the power to subpoena alleged violators, witnesses and evidence to hearings. Subpoenas issued by the City Commission may be served by any agent or employee of the City; to take testimony of witnesses under oath; The Mayor or City Clerk or any other designee shall have the authority to administer oaths to witnesses prior to their testimony before the City Commission on all matters pertaining to this Ordinance; to make findings and issue orders necessary to remedy all  violation(s) of this Ordinance; and to suspend, revoke, and/or deny a non-renewal of any license subject to this Ordinance as well as reverse any prior decision to suspend, revoke, and/or a denial of a renewal of a license.

Section 7.0 – HEARING(S) AND PROCEDURE

            At any appeal hearing before the City Commission all parties shall be afforded due process of law.  Any business entity appealing to the City Commission will be afforded every opportunity to present evidence, produce witness testimony, present exhibits, or any other evidence on its own behalf to the City Commission.  Additional procedures are as follows:

1.         When an appeal hearing before the City Commission has been requested, the Commission, through its clerical and administrative staff, shall schedule a hearing. Not less than seven days before the date set for the hearing, the Commission, by and through the City Clerk and/or staff, shall notify the person who requested the hearing of the date, time and place of the hearing. The notice of hearing may be given by:

      a)   Regular first-class mail;

      b)   Certified mail, return receipt requested;

      c)   Personal delivery; or

      d)    By leaving the notice at the person’s usual place of residence with any person residing therein who is 18 years of age or older and who is informed of the contents of the notice.

2.         Each case before the City Commission may be prosecuted by an attorney selected by the city, or by any other person designated by the City Clerk or his or her designee.

3.         All testimony at all hearing shall be under oath and shall be recorded. The City Commission shall take testimony from a designated agent of the City, the alleged offender and any witnesses regarding the alleged violation (if any) offered by the prosecutor or the alleged offender. Formal rules of evidence shall not apply, but fundamental due process shall be observed and shall govern the proceedings.

4.         At the appeal hearing, the City Commission shall determine, based on the evidence presented, whether a violation of this Ordinance was committed.  If the City Commission determines that no violation was committed, the matter shall be dismissed and if necessary remedial action taken by the City.  If the City Commission determines that a violation of this Ordinance has been committed, it shall issue an order upholding the suspension, revocation, and/or the non-renewal of all licenses subject to this Ordinance.

5.         Every final order of the City Commission shall be reduced to writing and include findings and conclusions reached and the date the order was issued. A copy of the order shall be furnished to the business entity subject to the hearing. If the business entity and/or any of its agent(s) is not present at the time a final order is issued, the order shall be delivered to that person by regular first-class mail; certified mail, return receipt requested; by personal delivery; or by leaving a copy of the order at that person’s usual place of residence with any person residing therein who is 18 years of age or older and who is informed of the contents of the order.

            6.         Any business entity or agent thereof requesting a hearing before the City Commission who fails to appear at the time and place set for the hearing shall be deemed to have waived the right to a hearing to contest the order(s) of the City.  In this event, the action(s) of the City shall be deemed a final order determining that the violation was committed and imposing the remedy available to the City pursuant to this Ordinance.

7.         Notice of a final order shall be provided to the violator, or any agent thereof, by regular first-class mail; certified mail, return receipt requested; personal delivery; or by leaving the notice at the person’s usual place of residence with any individual residing therein who is 18 years of age or older and who is informed of the contents of the notice.

            8.         The business entity subject to a final order of the City Commission shall have the right to appeal any decision to any jurisdiction authorized by statute within thirty (30) days of any adverse decision made by the City Commission. 

Section 8.0 – RESPONSIBLE PARTIES

            A Business Entity’s obligation under this ordinance shall extend to all licenses and permits issued to the same Business Entity, regardless of the department or office responsible for the administration of the affected license.

Section 9.0 – PAYMENT AGREEMENTS

            The City may establish procedures allowing delinquent Business Entities to enter into payment agreements with the City.  Compliance with an approved payment agreement may prevent suspension or revocation of the affected license so long as the Business Entity remains current with all required payments.

Section 10.0 – ALL OTHER REMEDIES AT LAW

            This Ordinance, or any portion thereof shall not limit any other lawful collection remedies available to the City for the collection of any delinquent municipal obligation.      

Section 11.0 – Construction

            This Ordinance shall not be construed in a manner which would create an obligation, requirement or duty on any party which in any way inconsistent with Kentucky law.

Section 12.0 – Provisions Severable

The provisions of this ordinance are severable; and the invalidity of any provision of this ordinance shall not affect the validity of any other provisions thereof; and such other provisions shall remain in full force and effect as long as they remain valid in the absence of those provisions determined to be invalid.

Section 13.0 – Conflicting Ordinances Repealed

All ordinances or parts of ordinances in conflict with the provisions of this ordinance are hereby repealed to the extent of such conflict.

Section 14.0 – Effective Date

This ordinance shall be effective as soon as possible according to law.

Section 15.0 – Publication

This ordinance shall be published in summary pursuant to KRS 83A.060.

Passed by the City Commission this 20TH day of  JULY , 2026.

                                                                        CITY OF UNION, KENTUCKY,

                                                                        A Municipal Corporation

                                                                        Larry K Solomon, Mayor

FIRST READING: July 6, 2026

SECOND READING: July 20, 2026

ATTEST:                                                                   

                 Tammy Wilhoite, City Clerk

Published: ___________________

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