ORDINANCE NO. __________



The city of Duluth does ordain:

Section 1. That Section 47-43 of the Duluth City Code, 1959, as amended, be amended to read as follows:

Sec. 47-43. Insurance required.

No license pursuant to this Article shall be issued until the applicant obtains and files with the city clerk a policy of liability insurance by an insurance company authorized to do business under the laws of the state of Minnesota, to be kept in force during the term of the license. The policy shall insure the applicant, his renters and lessees, and persons operating such rental vehicles against liability for loss in the sum of $25,000 $100,000 for injury or death of any one person in any one accident, $50,000 $150,000 for injury to or death of more than one person in any one accident, and $5,000 $25,000 because of damage to or destruction of property in any one accident resulting from the negligent operation, use, or defective condition of any rental vehicle belonging to or under the control of the applicant, or such greater amount of coverage required by any other law. The policy shall contain a provision continuing liability thereunder for the full term of the license to the full amount thereof, notwithstanding any recovery thereon. The policy also shall contain an endorsement to the effect that the liability under the policy is not affected by reason of any rental vehicle having been furnished to, or rented or leased to a minor, and further that the city shall be notified in writing at least ten days before the cancellation of the insurance policy. Cancellation of the insurance required by this Article shall void and render inoperable any license issued pursuant to this Article unless another approved insurance policy is filed in lieu of the cancelled one.

Section 2. That Duluth City Code 1959, as amended, be amended to add a new Section 47-47 to read as follows:

Sec. 47-47. Motor bicycle/motor scooter rentals.

The provisions of Chapter 47 apply to the business of motorcycle, motor bicycle/motor scooter rental. This section is authorized by Minnesota Statutes Sec. 168.836.
(a) Motor bicycle/scooter. A motor bicycle/scooter is a motorcycle as defined in Minnesota Statutes Sec. 169.01, subd. 4 and 4(a), and Sec. 168.831, or the amended or successor statute of either;
(b) License required. No person shall engage in the motor bicycle or motor scooter rental business within the city without first obtaining any required state license therefore, and a license issued under this Code;
(c) Applications; forms; approval by council. Applications for motor bicycle/scooter rental license shall be made to the city clerk on forms furnished by the city. The city council is the authority that issues a license;
(d) Listing of rental vehicles. Each person applying for such a license shall accompany the application with a list of the vehicles which applicant proposes to use for rental or lease, which list shall describe such vehicles by make, year, and serial number. Any replacement of such equipment made by any licensee in the course of the license year shall be reported to the city clerk within five days of such replacement;
(e) Inspection. Each vehicle shall be kept in good operating condition by the licensee. City employees may make periodic inspections of any rental vehicles. Each such vehicle shall be numbered and shall be marked so as to be easily identifiable as a rented vehicle;
(f) Instruction. Prior to the time when a customer is first given control of a rental vehicle, the licensee, his agents or employees, shall explain the operation of the motor bicycle or motor scooter, including the controls, pedals, gears and brakes of the particular vehicle to be used by each person leasing or using it. The licensee shall call the attention of the lessee or bailee to the high degree of maneuverability of a motor bicycle or motor scooter and the lack of protection to the driver thereof if the vehicle is upset;
(g) Hours. No rental of motor scooters and motor bicycles shall be permitted by any licensee between the hours of 9:00 o'clock p.m. and 8:00 o'clock a.m. on any day;
(h) Investigation of business location. Before a license application is considered by the council administrative assistant, the chief of police shall cause an investigation to be made of the traffic conditions prevailing in the immediate vicinity of applicant's proposed place of business and make a report thereof to the council administrative assistant. Particular attention shall be given to such traffic conditions on weekends and holidays;
(i) Regulation of the operation of motor scooters and motor bicycles:
(1) Operation. Any person operating a rented motor bicycle/scooter within the city shall not:
(A) Allow any passenger to ride on such rented vehicle;
(B) Operate any such vehicle while standing on same, or perform any trick riding, or operate in any unsafe manner, or violate any law or ordinance;
(C) Operate any such vehicle upon any sidewalk, pedestrian path, pedestrian trail, place where motorcycles are not allowed, the Duluth Lakewalk;
(D) Operate any such vehicle upon any public street or public highway within the city abreast of any other person riding or propelling a bicycle, motor bicycle or motor scooter;
(2) Traffic rules. Each person operating a motor scooter or motor bicycle within the city shall observe all traffic rules and regulations applicable thereto, shall not make U-turns, shall signal for all turns, ride at the extreme right hand side of the street or highway, and shall pass to the left when overtaking other vehicles and pedestrians that are slower moving.

Section 3. That this ordinance shall take effect 30 days after its passage and publication.

STATEMENT OF PURPOSE:  This ordinance creates regulation of the business of renting motor bicycles or motor scooters and of the operation of the rented machines.