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A. The business license official shall issue a written intent to revoke a sexually oriented business license or a sexually oriented business employee license if a cause of suspension in Section 5.12.710 occurs and the license has been suspended within the preceding twelve months.

B. The business license official shall issue a written intent to revoke a sexually oriented business license or a sexually oriented business employee license if the official determines that a licensee or an employee, with the knowledge of the licensee:

1. Knowingly gave false or misleading information in the application or in any document or diagram related to the operation of the sexually oriented business.

2. Knowingly allowed possession, use, or sale of controlled substances on the premises.

3. Knowingly allowed prostitution on the premises.

4. Knowingly operated the sexually oriented business during a period of time when the licensee’s license was suspended.

5. A licensee has been convicted, pled guilty, or pled nolo contendere to a specified criminal activity as defined in this chapter.

6. A licensee or an employee has knowingly allowed any specified sexual activity to occur in or on the licensed premises.

7. A licensee is delinquent in payment to the city of taxes or fees related to the sexually oriented business.

C. The fact that any conviction is being appealed shall have no effect on the revocation of the license.

D. For the purposes of this chapter, an act by a sexually oriented business employee that constitutes grounds for revocation of that employee’s license shall be imputed to the sexually oriented business for purposes of denial, suspension, or revocation proceedings only if the hearing officer determines by a preponderance of evidence that an officer, director, or general partner, or an employee who managed, supervised, or controlled the operation of the business, knowingly allowed such act to occur on the sexually oriented business premises.

E. Nature of Revocation. When, after the notice and hearing procedure described in this chapter, the business license official revokes a license, the revocation shall continue for one year and the licensee shall not be issued a sexually oriented business license for one year from the date revocation becomes effective; provided, that if the conditions of Section 5.12.730 are met, a provisional license will be granted pursuant to that section. If, subsequent to revocation, the enforcement officer finds that the basis for the revocation found in subsections (B)(1), (4) and (7) of this section has been corrected or abated, the applicant shall be granted a license if at least ninety days have elapsed since the date the revocation became effective. If the license was revoked under subsections (B)(2), (B)(3), (5) and (6) of this section, an applicant may not be granted another license until the appropriate number of years required under this chapter has elapsed. (Ord. 10/6/2009O-18 § 2 (part))