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ORD 244 ORDINANCE NO. 244 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF LA QUINTA, CALIFORNIA, AMENDING CHAPTER 2.20 OF THE LA QUINTA MUNICIPAL CODE TO ADD SECTION 2.20.150 TO PROVIDE FOR THE REGULATION OF PRICE HIKES OF FOOD AND CONSUMER SERVICES IN TIMES OF A STATE OF EMERGENCY. The City Council of the City of La Quinta, California does hereby ordain as follows: SECTION 1. Section 2.20.150 is hereby added to the La Quinta Municipal Code to read as follows: EXCESSIVE PRICE INCREASES DURING A STATE OF EMERGENCY A. Findings. As a result of the recent disasters throughout the State of California, such as the October 1993 fire storms and the Northridge earthquake on January 17, 1994, and the resulting states of emergency, consumers have sought to purchase emergency supplies, food and other consumer goods necessary for their health and safety. Though no general shortage of consumer goods is evident, numerous consumers have reported cases of excessive price increases for consumer items, such as gasoline and food items, many times above the prices in effect prior to the disasters. Though price increases may be necessary where a merchant has incurred higher expenses, the reported price increases clearly exceed those that would be reasonable and just to recapture any increase of operation expenses. B. Legislative Intent. It is the intention of the City Council, in adopting this ordinance, to protect citizens from excessive and unjustified increases in the prices charged during any abnormal disruption of the marketplace for consumer goods and services vital and necessary for the health, safety and welfare of consumers resulting from emergency or major disaster for which a state of emergency for the City of La Quinta is proclaimed pursuant to Section 2.20.080 of the La Quinta Municipal Code or for which a local disaster or emergency is declared by the President of the United States or Governor of California. C. Excessive Price Increases prohibited. Upon proclamation of public emergency involving or threatening the lives, property or welfare of the citizens, pursuant to Section 2.20.080 of the La Quinta Municipal Code or for which a local disaster or emergency is declared by the President of the United States or Governor of California and for a period of thirty days from the date such declaration is terminated, it shall be unlawful for any person, contractor, business or other entity to sell or offer to sell any consumer food items, repair or reconstruction services, emergency or medical supplies, or gasoline for an amount which exceeds ten percent of the price charged by such person, contractor, business or other entity for said goods or services on the day prior to the proclamation of emergency, unless said person, business contractor or other entity can prove that an increase in price was directly attributable to additional costs imposed on it by the supplier of the goods or for labor and materials used to provide the service. D. Definitions. For the purposes of this section, the following definitions shall apply: 1. A consumer food items is any article which is used or intended for use for food, drink, confection or condiment by man or other animal. 2. Repair or reconstruction services are those contractor services for repairs to residential and commercial property of any type which are damaged as a result of a disaster. Contractor services are services as defined by Business and Professions Code Sections 7025, 7026, 7026.1 and 7026.3. 3. Emergency supplies shall include, but are not limited to, water, water purification devices or tablets, flashlights, lanterns, radios, batteries, candles, blankets, soaps, tents, cooking and heating fuels and diapers. 4. Medical supplies shall include but are not limited to prescription and non-prescription drugs, bandages, gauze, splints and isopropyl alcohol. 5. Gasoline shall include all octane levels of unleaded, leaded, diesel and alternative fuels. E. Hearing. If there is reasonable cause to believe that a person has violated the provisions of this section, the City Manager shall, prior to authorizing the filing of a criminal complaint, conduct a hearing upon due notice and an opportunity to be heard. At the conclusion of such hearing, the City manager may, in his discretion, order a criminal complaint to be filed. The City Manager may for good cause, disperse with the requirement of conducting a hearing prior to the filing of a criminal complaint. SECTION 2. The City Clerk shall certify to the passage and adoption of this ordinance and shall cause it to be posted or published in a manner required by law. PASSED, APPROVED AND ADOPTED by the City Council of the City of La Quinta on this 15th day of March 1994 by the following vote, to wit: Ordinance No. 244 AYES: Council Members Bangerter, McCarmey, Perkins, Sniff, Mayor Pena NOES: None ABSENT: None ABSTAIN: None ~ JO l~X.,~.~aybr City of La Quinta, California AT EST: A DRA L. JU ity Clerk City of La Quinta, California APPROVED AS TO FORM: STRADLING, YOCCf(,,C~ON & ~UTH City ARomey NOTE FOR THE RECORD When this ordinance was codified it was discovered that Subsection C in -- which ten percent was referred to should have read "one hundred and ten percent" This change which was a clerical error was approved by the City Attorney for codification. November 23, 1994. ~ STATE OF CALIFORNIA ) COUNTY OF RIVERSIDE ) ss. CITY OF LA QUINTA ) I, SAUNDRA L. JUHOLA, City Clerk of the City of La Quinta, California, do hereby certify the foregoing to be a full, tree and correct copy of Ordinance No. 244 which was introduced on the 1st day of March, 1994 and was adopted at a regular meeting held on the 15th day of March, 1994 not being less than 5 days after date of introduction thereof. I further certify that the foregoing ordinance was posted in three (3) places within the City of ..... of the City Council.  ta s sa~napec~f~ City of La Quinta, California DECLARATION OF POSTING I, SAUNDRA L. JUHOLA, City Clerk of the City of La Quinta, California, do hereby certify th he fore '~ted on April 12, 1994 pursuant to City Council Resolution. SAUNDRA L. JUHOLA, City Clerk uinta, California