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<br />j . <br /> <br />f <br /> <br />ADMINISTRATIVE ORDER NO. 53-07-02-F <br />of the <br />City Manager <br />City of Eugene, Oregon <br /> <br />AMENDING AND ADOPTING PAYDAY LOANS <br />BUSINESS LICENSE EMERGENCY ADMINISTRATIVE RULE R-3.552 <br />AS A PERMANENT RULE AND REPEALING <br />ADMINISTRATIVE ORDER NO. 53-06-05. <br /> <br />The City Manager of the City of Eugene fmds that: <br /> <br />A. Section 2.019 of the Eugene Code, 1971, authorizes the City Manager to adopt <br />rules for administration and implementation of any provisions of that Code. On July 10, 2006 <br />the City Council adopted Ordinance No. 20372 adding Sections 3.550 through 3.560 to that <br />Code e~tablishing Payday Loans business regulations. Section 3.552 specifically authorizes the <br />City Manager to adopt rules implementing those newly adopted provisions. <br /> <br />B. Pursuant to that authority Payday Loans Business License Emergency <br />Administrative Rule R-3.552 was adopted by Administrative Order No. 53-06-05 on August 11, <br />2006, with an immediate effective date. <br /> <br />C. On January 10, 2007 I issued Administrative Order No. 53-07-02 proposing that <br />Emergency Rule R-3.552 be amended by: (a) amending Rule R-3.552-C-2 and R-3.552-D-l to <br />specify the information to be included in a poster to be displayed by Payday Lenders advising <br />borrowers of their rights under the Eugene Code, 1971; (b) deleting Rule R-3.552-C-4 as being <br />no longer applicable; ( c) amending R -3.552-D-8 to require posting of a Borrower's Rights Poster <br />in a prominent place at the licensed premises; and (d) amend R-3.552-J to add Failure to Post <br />Borrower's Rights Poster to the list of violations for which a penalty may be imposed, and <br />adoption of Emergency Rule R-3.3552 asa permanent rule. <br /> <br />D. Notice of the proposed amendment and adoption was published in the Register <br />Guard, a newspaper of general circulation within the City for five consecutive days, to-wit: <br />January 15, 16, 17, 18 and 19, 2007. The Notice was also made available for persons who had <br />requested such notice and. provided that written comments would be received thereon for a <br />period of 15 days from the first date of publication. Two comments were received from Nathan <br />Peterson, Vice President of Operations for Quik Check Financial, Inc., to which I make the <br />following findings; . <br /> <br />Comment 1: With respect to R-3.515-H - Suspension and Revocation, Mr. <br />Peterson commented that revoking a license for up to 45 days for two violations within a <br />24 month period was excessive and unnecessary, as was revoking a license permanently <br />for a third violation within a 24 month period. He felt no consideration was provided for <br />the seriousness of the violation and that city employees could make arbitrary decisions <br />resulting in a violation. He recommended that a revocation occur only after notification <br />and an opportunity was given to correct the. violation. <br /> <br />Administrative Order -1 <br />