Ord 26-98ORDINANCE NO. 26-98
AN ORDINANCE OF THE CITY COMMISSION OF THE CITY OF
DELRAY BEACH, FLORIDA, AMENDING TITLE 9, "GENERAL
REGULATIONS", CHAPTER 95, "EMERGENCY MANAGEMENT",
OF THE CODE OF ORDINANCES OF THE CITY OF DELRAY
BEACH, BY AMENDING SECTION 95.01, "DEFINITIONS", TO
PROVIDE FOR DEFINITIONS FOR THE TERMS "AVERAGE
RETAIL PRICE", "CONSUMER GOOD", "ENFORCEMENT
OFFICIAL", AND "FUEL PRODUCT"; AMENDING SECTION
95.05, "DECLARATION OF A STATE OF EMERGENCY", TO
PROVIDE FOR A REVISION TO RESOLUTION D RELATING TO
PROHIBITING PRICE GOUGING; ENACTING A PROVISION FOR
PROHIBITION OF PRICE GOUGING; AMENDING "RESOLUTION
D"; PROVIDING A SAVING CLAUSE, A GENERAL REPEALER
CLAUSE, AND AN EFFECTIVE DATE.
WHEREAS, Florida Statutes Chapter 166 (Municipalities)
authorizes the City Commission for the City of Delray Beach to enact
such ordinances as are necessary to protect the health, safety and
welfare of the citizens of Delray Beach; and
WHEREAS, Delray Beach residents face the imposition or
demand of excessive and/or exorbitant prices for consumer goods,
services and lodging essential for their health, safety and welfare
after the occurrence of natural or manmade disasters and emergencies;
and
WHEREAS, Florida Statute, Chapter 252.38(2) and Delray
Beach Ordinance No. 7-92 provide authority for Delray Beach to
declare a state of local emergency and to waive the procedures and
formalities otherwise required of Delray Beach by law in order to
take whatever action is necessary to ensure the health, safety and
welfare of its citizens; and
WHEREAS, Florida Statute, Chapter 252 and Delray Beach
Ordinance No. 7-92 identify the City Manager or his designee to be
the Director of Emergency Management, and to appoint a Coordinator of
Emergency Services who shall act as the coordinator for services,
activities and programs required in the event of an emergency; and
WHEREAS, Part II of Chapter 501, Florida Statutes, the
"Florida Deceptive and Unfair Trade Practices Act", prohibits unfair
methoas of competition and unfair or deceptive acts or practices in
the conduct of any trade or commerce, and authorizes local
governments to enact consistent consumer protection ordinances; and
WHEREAS, the City Commission for the City of Delray Beach
finds and declares that it is necessary to protect the health, safety
and welfare of the citizens of Delray Beach from unscrupulous vendors
or merchants taking advantage of the scarcity of consumer goods,
including the addition of services, rentals or lodging as a
prohibited practice, during a period of emergency.
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COMMISSION OF
THE CITY OF DELRAY BEACH, FLORIDA, AS FOLLOWS:
Section 1. That Title 9, "General Regulations", Chapter
95, "Emergency Management", Section 95.01, "Definitions", of the Code
of Ordinances of the City of Delray Beach, Florida, be, and the same
is hereby amended to read as follows:
(B) "Averaqe Retail Price" shall mean the averaqe
price at which similar merchandise, services, rentals or
lodqinq were beinq sold or rented durinq the thirty days
immediately precedinq the declaration of a local emerqency.
(C) "Consumer Good" shall mean any service, article,
product, merchandise or commodity of any kind or class,
which is customarily produced or distributed for sale or
rental at retail or provided for consumption by or the use
or benefit of individuals, includinq but not limited to
foods, water, ice, clothinq, lumber, hardware, chainsaws,
qenerators, and home improvement materials; fuel products;
and repairs, services, rentals or lodqinq.
(D) "Enforcement Official" shall mean any police or
law enforcement officer, any code compliance official, the
personnel of the Department of Public Safety, Division of
Emerqency Manaqement and the Division of Consumer Affairs,
and any other appropriate municipal official.
(E) "Fuel Product" shall mean home heatinq oil,
kerosene, propane, natural qas, diesel fuel, methanol, and
qasoline.
- 2 - Ord. No. 26-98
Section 2. That Title 9, "General Regulations", Chapter
95, "Emergency Management", of the Code of Ordinances of the City of
Delray Beach, Florida, be, and the same is hereby amended by enacting
a new Section 95.15, "Prohibition on Price Gouging", to read as
follows:
Section 95.15 PROHIBITION ON PRICE GOUGING.
(A) Upon declaration of an emergency pursuant to
Section 95.05, and during the duration of such emergency,
it shall be prima facie evidence that an unlawful method of
competition and an unfair and deceptive trade act or
practice has occurred if any individual or business entity
doing business in Palm Beach County charges more than the
average retail price for any consumer good and such price
exceeds the average price at which the same or similar
consumer good was readily obtainable in Delray Beach during
the thirty days immediately prior to a declaration of a
state of emergency; or the charges represent a gross
d~sparity between the price of the consumer good or
dwelling unit or self-storage facility that is the subject
of the offer or transaction and the average price at which
that commodity or dwelling unit or self-storage facility
was rented, leased, sold, or offered for rent or sale in
the usual course of business during the thirty days
immediately prior to a declaration of a state of emergency,
and the increase in the amount charged is not attributable
to additional costs incurred in connection with the rental
or sale of the commodity or rental or lease of any dwelling
unit or self-storage facility, or national or international
market trends; or for a person or his agent or business
entity or its employee to rent or sell or offer to rent or
sell at an unconscionable price within the area for which
the state of emergency is declared, any consumer good
including, but not limited to, supplies, services,
provisions or equipment that is necessary for consumption
or use as a direct result of the emergency.
(B) This section does not prevent the seller of
consumer goods from charging an amount in excess of the
average retail price, if such higher price is the direct
result of, and limited to, any increased costs due to the
transportation of the consumer good during the state of
emergency or any increased cost for the consumer good from
the manufacturer, distributor or wholesaler to the seller.
In such instances, only the actual cost increase per item
from the manufacturer, distributor or wholesaler can be
added to the average retail price.
- 3 - Ord. No. 26-98
(C) A price increase approved by an appropriate
qovernment aqenc¥ shall not be in violation of this
ordinance.
(D) This ordinance shall not apply to sales by
qrowers, producers or processors of raw or processed food
products, except for retail sales of such products to the
ultimate consumer within the area of the declared state of
emerqenc¥.
Section 3. That should any section or provision of this
ordinance or any portion thereof, any paragraph, sentence, or word be
declared by a court of competent jurisdiction to be invalid, such
decision shall not affect the validity of the remainder hereof as a
whole or part thereof other than the part declared to be invalid.
Section 4. That all ordinances or parts of ordinances in
conflict herewith be, and the same are hereby repealed.
Section 5. That this ordinance shall become effective
immediately upon its passage on second and final reading.
PASSED AND ADOPTED in regular session on second and final
reading on this the 21st day of July , 1998.
ATTEST:
- ~ity Cl~rk'
First Reading July 7, 1998
Second Reading July 21, 1998
- 4 - Ord. No. 26-98
RESOLUTION NO. D
A RESOLUTION OF THE crrY COMMISSION OF THE CITY OF
DELRAY BEACH, FLORIDA, CONFIRMING A DECLARATION OF
A STATE OF EMERGENCY, AND PROHIBITING THE SALE OF
MERCHANDISE, GOODS OR SERVICES AT MORE THAN THE
AVERAGE RETAIL PRICE.
WHEREAS, a State of Emergency in the City of Delray Beach was proclaimed by
on due to
; and
civil order of the City of Delray Beach and its citizens; and
threatens the stability, economy and
WHEREAS, charging more than the average retail price under existing conditions is an attempt
to profit from the misfortune of others and can lead to civil strife, to inequities in the distribution of
essential materials such as foodstuffs, ice, fuel, and other vital necessities, and to a greater loss of the
sense of hope and well being so basic to a speedy recovery and restoration of the community; and
WHEREAS, Chapter 95 of the City of Delray Beach Code of Ordinances authorizes this
prohibition of the sale of memhandise, goods or services at more than the average retail price during a
state of emergency; and
WHEREAS, the City desires to amend Resolution No. D to confom with Florida Statutes
Section 501.160.
NOW, THi=REFORE, BE 1T RESOLVED BY THE CITY COMMISSION OF THE CITY OF
DEl,RAY BEACH, FLORIDA, AS FOLLOWS:
S~tion 1. A declaration of a State of Emergency proclaimed on is
hereby confirmed.
~ction2. has and conditions arising
therefrom threaten to create shortages of essential goods and services which are needed to sustain the
physical well being, economic stability and public order of the City of Delray Beach and its citizens.
S~tion 3. No person or business entity offering goods or services for sale within the City Of
Delray Beach shall charge more than the average retail price as defined by Section 95.01(B), Chapter
95, Code of Ordinances, during the period of the declared emergency.
~. All violations of the provisions of this resolution shall be subject to prosecution
under Section 95.99 of the Delray Beach Code of Ordinances.
~. The regulation and control of retail prices within the City of Delray Beach shall
remain in effect until competent authority declares the state of emergency to be terminated.
S~tion 6. This resolution shall take effect on
(Time) (Day) (Month) (Year)
PASSED AND ADOPTED on this the. day of ,19
ATTEST:
MAYOR
City Clerk
2 RES. NO. D
MEMORANDUM
TO:
FROM:
SUBJECT:
DATE:
MAYOR AND CITY COMMISSIONERS
CITY MANAGER"
AGENDA ITEM #/~- REGULAR MEETING OF JULY 21, 1998
ORDINANCE NO. 26-98 (PRICE GOUGING PREVENTION)
ADOPTION OF ASSOCIATED RESOLUTION NO. D
JULY 15, 1998
This is second reading and a public hearing for Ordinance No.
26-98 which amends Chapter 95 of the City Code to bring our
emergency management ordinance into conformity with Section
501.160, Florida Statutes. The proposed amendments include: (1)
adding definitions for the terms "average retail price", "consumer
good", "enforcement official", and "fuel product"; (2) removing
the term "normal average price"; and (3) adding a prohibition on
price gouging practices upon the declaration of an emergency.
Resolution No. D is also amended to reflect the use of the term
"average retail price"
The proposed amendments are in anticipation of the hurricane
season regarding the difficulties citizens may face in purchasing
basic necessities, leasing dwelling space and obtaining services
during a state of emergency. They will assist in curtailing
"price gouging" practices by expanding the types of consumer
transactions covered under price gouging and the issuance of civil
citations to immediately stop the practice. The ordinance will
only be effective during a declared state of emergency.
At first reading on July 7, 1998, the Commission passed the
ordinance by a vote of 4 to 0.
Recommend approval of Ordinance No. 26-98 on second and final
reading. As an associated item and by separate motion, formally
adopt Resolution No. D as amended to reflect the use of the term
"average retail price"
Om.
ref:agmemolO
[lTV (IF DELta:IV BEI:IgH
CITY ATTORNEY'S OFFICE
DELRAY BEACH
Ali. America City
993
DATE: June 18, 1998
TO: City Commission
MEMORANDUM
FROM:
Susan A. Ruby, City Attorney
SUBJECT: Price Gouging Prevention Ordinance - Revisions to Chapter 95,
"Emergency Management"
The proposed amendments to Chapter 95, "Emergency Management", adds the
following provisions: (1) Adds the definitions for the terms "average retail price,"
"consumer good," "enforcement official," and "fuel product". (2) Removes the term
"normal average price". (3) Adds a prohibition on price gouging practices upon the
declaration of an emergency. The proposed amendment brings the City's Emergency
Management Ordinance into conformity with Section 501.160, Florida Statutes.
Resolution No. D is also amended to reflect the use of the term "average retail price."
The proposed amendments are in anticipation of the hurricane season regarding the
difficulties citizens may face in purchasing basic necessities, leasing dwelling space and
obtaining services during a state of emergency. The proposed amendments will assist in
curtailing "price gouging" practices by expanding the types of consumer transactions
covered under price gouging and the issuance of civil citations to immediately stop the
practice. The ordinance will only be effective during a declared state of emergency, and
is similar to the "price gouging" ordinance being considered by the Palm Beach County
Attachment
CC:
David T. Harden, City Manager
Alison MacGregor Harty, City Clerk
Robert Rehr, Fire Chief
emergl.dnt
~A PUBLIC HEARBIIG w~ll be he~d on
'7:~0 PJA. m NII~Y~ d~.Y ~,
~ (or Il ir~ coflfim~tlon M s~ch
~ing w~ich ~ ~ by ~ C~m~
~), ~ ~ Cl~ ~mi~ C~
~, ~ N.W, I~ A~, ~lroy
~ ~ ~rd w~r~
M ~D~N~NCE OF THE C~TY C~
I~lON OF THE Ci~ OF DELR~Y
B~CH, FLORID~ MENDING
TICLE I J, ~SE AND ~RK IN THE
~BLIC RIGHT OF WA~, SECTION
~ SI~WALK ~FE, OF THE
~ND ~YELOP~ENT REGU~-
TIONS OF THE CITY OF DELRAY
lEACH, BY ~DIgG AN APPLiCA-
'elMTY SECTION; PROVIDING
THAT A SKETCH P~N AS OP-
D TO A SITE P~N ~LL BE
;TTED Wl~ff A PER~T
TI~; ~PANDING THE
RA~IC AREA iN ~ICH A
~I~WALK ~FE WY BE ~RMIT-
TED TO INCLUDE ALL Z~ING
T~ICTS IN WHICH RESTAURANTS
J ~E ~D; ~ENDIHG THE
IEGU~TI~S ~ERNING THE
U~, ~51GN ~D ~INTENANCE
G.A SI~WALK ~FE; PROVI~
FOR AN INCREASE IN THE
~UNT OF INSURANCE COVER.
~E RE~IRED TO tE FUR-
W~SHED IY A PER~TTEE;
~NG A GENERAL REPEALER
C~SE, A ~VING C~USE, AND
AN EFFECTIVE DATE.
~AN~RDmANCE ~ THE Ct~ C~
5 MI~I~ ~ ~HE CITY OF DELRAY
~ACH, FLORDA, MENDING TI.
~E I, ~ENERAL REGU~TI~S',
C~ER ~, ~MERGENCY
AGEMEN~, ~ THE CODE OF OR-
MMNCES ~ THE CITY OF ~L'
RAY BEACH, IY ~ENDING SEC'
VIDE ~ ~FINITIONS F~ THE
TER~ ~AVERAGE RETAI~ PRICE~,
~SUMER ~, ENF~CE'
MENT ~FIOAL~ AND ~UEL
~UC~; MENDING SECTION
~, ~EC~RATION OF A STATE
OF ~ERGENC~, TO PROVIDE
FOR A REVISION TO
D RE~T(NG TO PROHIBITING
PRICE GOUGING; ENACTI~G A
PROVISION FOR PROHIBrTION OF
PRICE ~UGING; MENDING
· E~LUTIOH ~, PROVIDING A
~VI~ C~USE, A GENERAL
~ALER C~USE, AND AN EFFEC-
TIVE ~TE.
~ ~re ~ ~. ~ M
~1~ ~ ~LRAY BEACH
~ ~Gr~ ~
C~ C~
M~
DELRAY BEACH
Ali.America City
1993
DATE:
TO:
200 NW tst AVENUE · DELRAY BEACH, FLORIDA 33444
~ zL,~ HONE 561/243-7090 · FACSIMILE 561/278-4755
Writer's Direct Line: 561/243-7091
MEMORANDUM
June 3, 1998
David Harden, City Manager
FROM:
Susan A. Ruby, City Attorney
SUBJECT: Amendments to Palm Beach County Emergency Management Ordinance
I have reviewed the changes incorporated into the County's Ordinance and agree that our
Ordinance and Resolution "D" should be also modified in like manner.
I w~ ordinance and resolution.
SAR:ci
Attachment
emerg.sar
ORDINANCE NO. 2 6- 9 8
AN ORDINANCE OF THE CITY COMMISSION OF THE CITY OF
DELRAY BEACH, FLORIDA, AMENDING TITLE 9, "GENERAL
REGULATIONS", CHAPTER 95, ``EMERGENCY MANAGEMENT"
OF THE CODE OF ORDINANCES OF THE CITY OF DELRAY
BEACH, FLORIDA; AMENDING SECTION 95.01, "DEFINITIONS",
TO PROVIDE FOR DEFINITIONS FOR THE TERMS, ``AVERAGE
RETAIL PRICE", ``CONSUMER GOOD", ``ENFORCEMENT
OFFICIAL", AND ``FUEL PRODUCT"; AMENDING SECTION 95.05,
"DECLARATION OF A STATE OF EMERGENCY", TO PROVIDE
FOR A REVISION TO RESOLUTION D RELATING TO PROHIBITING
PRICE GOUGING; ENACTING A PROVISION FOR PROKIBITION OF
PRICE GOUGING; AMENDING "RESOLUTION D"; PROVIDING A
SAVING CLAUSE, A GENERAL REPEALER CLAUSE, AND AN
EFFECTIVE DATE.
WHEREAS, Florida Statutes Chapter 166 (Municipalities) authorizes the City Commission for
the City of Delray Beach to enact such ordinances as are necessary to protect the health, safety and
welfare of the citizens of Delray Beach; and
WHEREAS, Delray Beach residents face the imposition or demand of excessive and/or exorbitant
prices for consumer goods, services and lodging essential for their health, safety and welfare after the
occurrence of natural or manmade disasters and emergencies; and
WHEREAS, Florida Statute, Chapter 252.38(2) and Delray Beach Ordinance No. 7-92 provides
authority for Delray Beach to declare a state of local emergency and to waive the procedures and
formalities otherwise required of Delray Beach by law in order to take whatever action is necessary to
ensure the health, safety and welfare of its citizens; and
WHEREAS, Florida Statute, Chapter 252 and Delray Beach Ordinance No. 7-92 identifies the
City Manager or his designee to be the Director of Emergency Management, and to appoint a
Coordinator of Emergency Services who shall act as the coordinator for services, activities and programs
required in the event of an emergency; and
WHEREAS, Part li of Chapter 501, Florida Statutes, the "Florida Deceptive and Unfair Trade
Practices Act,' prohibits unfair methods of competition and unfair or deceptive acts or practices in the
conduct of any trade or commerce, and authorizes local governments to enact consistent consumer
protection ordinances; and
WHEREAS, the City Commission for the City of Delray Beach finds and declares that it is
necessary to protect the health, safety and welfare of the citizens of Delray Beach from unscrupulous
vendors or merchants taking advantage of the scarcity of consumer goods, including the addition of
services, rentals or lodging as a prohibited practice, during a period of emergency.
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COMMISSION OF THE CITY OF
DELRAY BEACH, FLORIDA, AS FOLLOWS:
Section 1. That Title 9, "General Regulations'', Chapter 95, "Emergency Management",
Section 95.01, "Definitions'', be, and the same is hereby amended to read as follows:
~ "Average Retail Price" shall mean the average price at which similar merchandise.
services, rentals or lodging were being sold or rented during the thirty_ days immediately
preceding the declaration of a local emergency.
(C~ "Consumer Good' shall mean any service, article, product, merchandise, or
commodity_ of any kind or class, which is customarily produced or distributed for sale or rental at
retail or provided for consumption by or the use of benefit of individuals, incIuding but not
limited to foods: water: ice: clothing: lumber, hardware, chainsaws, generators, and home
improvement materials: fuel products: and repairs, services, rentals or lodging.
_fl3) "Enforcement Official" shall mean any police or law enforcement officer, any
code compliance official, the personnel of the Department of Public Safety. Division of
Emergency Management and the Division of Consumer .4flairs. and any other appropriate
municipal official.
(E~ "Fuel Product" shall mean home heating oil. kerosene, propane, natural gas. diesel
fuel. methanol, and easoline.
~. That Title 9, "General Regulations", Chapter 95, "Emergency Management", of
the Code of Ordinances of the City of Delray Beach, Florida, be, and the same is hereby amended by
enacting a new Section 95.15, "Prohibition on Price Gouging'' to read as follows:
$¢ction 95.15 Prohibition on Price Gouging.
(al Upon declaration of an emergency pursuant to Section 95.05. and during the
cluration of such emergency, it shall be prima facie evidence that an unlawful method of
2 ORD. NO.
competition and an unfair and deceptive trade act or practice has occurred if any individual or
bll$iness entity_ doing business in Palm Beach Coun.ty charges more than the average retail price
for any consumer good and such price exceeds the average price at which the same or similar
¢0nsumer good was 'readily obtainable in Delray Beach during the thirty_ days immediately prior
to a declaration of a state of emergency: or the charges represent a -moss disparity_ between the
price of the consumer good or dwelling unit or self-storage facility_ that is the subject of the offer
or transaction and the average nrice at which that commodity_ or dwelling unit or self-storage
facility_ was rented, leased, sold. or offered for rent or sale in the usual course of business during
the thirty_ days immediately prior to a declaration of a state of emergency, and the increase in the
amount chareed is not attributable to additional costs incurred in connection with the rental or
sale of the commodity or rental or lease of any dwelling unit or self-storage facility_, or national
or international market trends: or for a person or his agent or business entity_ or its employee to
rent or sell or offer to rent or sell at an unconscionable price within the area for which the state
of emergency is declared, any consumer good including, but not limited to. supplies, services.
provisions, or equipment that is necessary_ for consumption or use as a direct result of the
~) This section does not prevent the seller of consumer goods from charging an
amount in excess of the average retail price, if such higher price is the direct result of. and
limited to. any increase costs due to the transnortation of the consumer good during the state of
emergency or any increased cost for the consumer good from the manufacturer, distributor, or
wholesaler to the seller. In such instances, only the actual cost increase per item from the
manufacturer, distributor, or wholesaler can be added to the average retail price.
(c) A price increase approved by an appropriate government agency shall not be in
violation of this ordinance.
(d) This ordinance shall not apply to sales by _mowers. producers, or processors of
raw or processed food products, except for retail sales of such products to the ultimate consumer
within the area of the declared state of emergency.
~. That should any section or provision of this ordinance, or any portion thereof, or
any paragraph, sentence, or word be declared by a court of competent jurisdiction to be invalid, such
decision shall not affect the validity of the remainder hereof as a whole or part thereof, other than the
part declared to be invalid.
hereby, repealed.
That all ordinances or parts of ordinances in conflict herewith be, and the same are
and final reading.
That this ordinance shall become effective immediately upon its passage on second
3 ORD. NO.
PASSED AND ADOPTED in regular session on second and tmal reading on this the ~
day of ,1998.
ATTEST:
MAYOR
City Clerk
First Reading
Second Reading
emcrgman, ord
4 ORD. NO.