City Extends Freeze on Pawn Shops, Cash for Gold

As the city drafts a new ordinance determining whether secondhand stores have a place in Glendora, the council voted in favor of extending a temporary freeze on such businesses, including pawn shops and Cash for Gold stores.

The city council unanimously approved the extension during Tuesday evening's city council meeting. Thein the city was initially approved during an April 12, 2011 council meeting.

According to city staff reports, the moratorium had been imposed to allow city staff to research “issues surrounding pawnbrokers and second hand dealers” as they draft a new ordinance on these types of businesses.

While the extension would be valid until April 8, 2013, the city will have a public hearing on the new ordinance at the May 1 Planning Commission meeting.  

A Cash for Gold business approached the city’s planning department last year expressing interest in opening a location in the city.

Since the city had no current zoning codes applying to secondhand dealers, the Planning department recommended that a new ordinance on these businesses be drafted.

Secondhand dealers, said Planning Director Jeff Kugel, purchases merchandise and resells them, or takes them for pawn and sells them on a secondary market

However, when the moratorium was initiated, the city expressed concerns the spread of secondhand businesses may be a “potential threat” to the city. A staff report suggested a rash of secondhand dealers such as pawn shops and Cash for Gold stores could contribute to the “potential deteriorating effect on the appearance and integrity of the community.”

However, city officials also emphasized that the moratorium would not completely close the door on all new potential secondhand businesses in the city.

“We are not in the business of turning down anything,” said Councilmember Doug Tessitor when the moratorium was imposed. “We just want to be sure our ordinances are effective.”