BUSTED !

ColonelCassiusKing · March 25, 2012 6:51AM

MADISON N.O.W. SHOW - BUSTED !
Coin dealers coming to set up tables at the Sheraton Hotel Madison, Wis. MARCH 25, 2012 were met by deputies demanding to see their very recently required annual city precious metals dealers license costing $2,000. It appears that as governments grow larger and larger they are no longer able to do positive things for their citizens, but rather must conjer up new deviant means to fund their ever expanding expenses. About two thirds of the dealers, packed up their wares and went home. The few remaining dealers had a sufficient supply of copper, and nickel coins and paper money to display which was exempted from the local precious metals ordinance declaring that Uncle Sam’s bullion and coin was illegal to transact freely. Remaining dealers had it available on request from their back tables when the deputies were not present. The deputies returned about 1:00 p.m. to check on any possible illicit activity by the criminal money changers.

STONE · March 25, 2012 6:56AM

W.O.W. What a P.I.T.A.

Looks like lovely Madison won't be seeing a lot of coin shows in the immediate future...maybe
not even coin dealers either! That's a large chunk of change for a small B&M!

SeattleSlammer · March 25, 2012 7:10AM

It appears that as governments grow larger and larger they are no longer able to do positive things for their citizens, but rather must conjer up new deviant means to fund their ever expanding expenses.

That's one heck of a generalization.

DrBuster · March 25, 2012 7:16AM

Link?

lasvegasteddy · March 25, 2012 7:18AM

sooooooo sad

you should post a cheer us up post after this one at least

JamesMurray · March 25, 2012 7:26AM

I don't think they are singling out coin dealers/bullion dealers , either you have a license to sell within the city limits or you don't. I used to do the record fairs in the UK and we had to be a license fee annually in order to sell.I'm struggling to see the problem unless the 2k is on top of the venders license fee ? A link would be a good thing , agree with that.

291fifth · March 25, 2012 7:31AM

What was the reason why the license fee was enacted? Is it just a governmental money grab or were local precious metals dealers anxious to eliminate Sunday Bourse dealer competition?

coindeuce · March 25, 2012 7:38AM

As the expenses to municipalities grow exponentially relative to high pension fund payouts of plans that were under-managed, and tax revenues shrink as underwater homeowners surrender their castles to foreclosure because of sub-prime mortgage shenanigans, city and county boards of supervisors are enacting local laws that try to generate new and different sources of revenue. They're going after the businesses that they perceive are under-regulated and are sources of cash flow. Even state governments are getting in on the act. Consider what the Guv of Maryland tried to do recently to repeal the sales tax exemption on bullion, which could have had an even worse impact on the B'more Expo than the dip in the metals market already provided.

TheBigB · March 25, 2012 7:39AM

From the city of Madison ordinance:

<< The license fee for secondhand jewelry dealers is increased from $75.00 to $2,000. The license fee for secondhand textbook dealers remains $75.00. This proposal creates a new license category for precious metal dealers, and a license fee of $2,000 is established for this category. The fees are increased in order to offset the additional city costs for compliance software and a police analyst. >>

A great way to boost government employment. If this keeps up metals will go underground, so to speak.

Coinlearner · March 25, 2012 8:05AM

Was hoping to see a "Bust" Dollar

MsMorrisine · March 25, 2012 8:07AM

annual?

EagleEye · March 25, 2012 8:13AM

After the recall the Legislature will make it right again.

TheBigB · March 25, 2012 8:16AM

<< annual? >>

Yes, luckily they're not using the solar year for the planet Mercury.

ricko · March 25, 2012 8:24AM

<< That's one heck of a generalization. >>

I do not think it is a generalization at all, seems specific enough to me. A $2000 license fee is exorbitant and should be fought.

Cheers, RickO

SeattleSlammer · March 25, 2012 8:28AM

<< 

<< That's one heck of a generalization. >>

I do not think it is a generalization at all, seems specific enough to me. A $2000 license fee is exorbitant and should be fought.

Cheers, RickO >>

I think that if you look again at my post you'll see that I'm clearly not referring to the $2000 license fee.

AMRC · March 25, 2012 8:32AM

Protecting the local trade I am sure. If it was anything else they would have just waited until there was transactions and then write money generating citations.

Caleb · March 25, 2012 8:33AM

<< It appears that as governments grow larger and larger they are no longer able to do positive things for their citizens, but rather must conjer up new deviant means to fund their ever expanding expenses.

That's one heck of a generalization. >>

Someone has to pay for all those “social entitlements”

Too many people want that “free stuff” from government, but it is not free – someone has to pay for it

Wolf359 · March 25, 2012 8:40AM

<< From the city of Madison ordinance:

<< The license fee for secondhand jewelry dealers is increased from $75.00 to $2,000. The license fee for secondhand textbook dealers remains $75.00. This proposal creates a new license category for precious metal dealers, and a license fee of $2,000 is established for this category. The fees are increased in order to offset the additional city costs for compliance software and a police analyst. >>

A great way to boost government employment. If this keeps up metals will go underground, so to speak. >>

True. Most will refuse to pay this ridiculous fee and move away I would think.

EagleEye · March 25, 2012 9:07AM

It was probably designed to get revenue from the hotel buyers. Coins shows should have been handled as a single entity, rather that 50 entities at a single location.

2ndCharter · March 25, 2012 9:16AM

After the recall the Legislature will make it right again.

Sorry Rick, this is a City of Madison statute - not a state law.

EagleEye · March 25, 2012 9:24AM

A new Precious Metals Dealer license is created and the fee is $2,000 per year

Each individual premise requires a license. There are no temporary licenses and a temporary operation must pay the full license fee for the activity. Those businesses that currently hold licenses will see the increases for new licenses issued after June 30, 2012. Businesses without a license, who apply for a new license after February 1, will pay the new, higher license fees. The Precious Metals Dealer license takes effect on February 1, 2012. All of the license fee increases are subject to a "sunset" provision, under which the Common Council must review the increases before June 30, 2013. If the Council does not again approve the new fees, the fees will revert to the levels that existed before February 1, 2012.

It looks to me like the show operator should have paid the $2000, not each dealer.

JCMhouston · March 25, 2012 9:34AM

<< That's one heck of a generalization. >>

It may indeed be a generalization, but that doesn't make it any less true.

PerryHall · March 25, 2012 9:36AM

Sounds like it's time to change the venue to a more business friendly location.

EagleEye · March 25, 2012 10:24AM

This is NOW's 80th anniversary show. It is run by Jim Essence, Jim's Coins. I would think he would know the ordinance provisions. He could have possibly used his license to cover the entire show,rather than have half the dealers leave (if that is actually the case). Also the license is not voted in by the Common Council yet, so there was likely some deal that could have been reached.

MrEureka · March 25, 2012 10:26AM

Protecting the local trade I am sure.

I tend to agree. In fact, it would not surprise me if a big local bullion buyer demanded the raid.

Buzzybest · March 25, 2012 10:45AM

Moving it a little outside the Madison city limits should solve the problem for the next coin show,offereing free shuttle service for dealers staying in a Madison hotel.

DIMEMAN · March 25, 2012 10:50AM

Totally insane!! I would hope no one pays and boycots Madison until they resind this law!

SeattleSlammer · March 25, 2012 10:54AM

<< 

<< That's one heck of a generalization. >>

It may indeed be a generalization, but that doesn't make it any less true. >>

Generalizations often throw out the baby with the bath water. In this case the baby is government in general and the bath water is the understandable upset over an increased fee for doing business.

JRocco · March 25, 2012 11:06AM

<< city and county boards of supervisors are enacting local laws that try to generate new and different sources of revenue. >>

I just love that term...sources of revenue.

People that work are sources of revenue. People that don't are receivers of revenue.
How did we get into this situation ?

Caleb · March 25, 2012 11:12AM

<< 

<< city and county boards of supervisors are enacting local laws that try to generate new and different sources of revenue. >>

I just love that term...sources of revenue.

People that work are sources of revenue. People that don't are receivers of revenue.
How did we get into this situation ? >>

I think it goes back to the “Great Society” of the mid 1960’s

It may also be influenced by the current “Spread the Wealth” attitudes of today

coindeuce · March 25, 2012 11:14AM

I know of a similar situation in New York. There is a show that was scheduled for next weekend inside the City limits of Utica, N.Y. The show promoter was informed that the city would require similar licenses for all dealers registered to participate in the show. So as expected, the show promoter told the City of Utica to pound sand, and he moved the show to a location just outside of the city and even closer to I-90.

secondrepublic · March 25, 2012 11:25AM

another example of government stupidity. they will lose a ton of sales tax revenue, hotel tax, etc. from all the dealers and people who would have otherwise gone to the show.

keets · March 25, 2012 11:26AM

i know a dealer with a B&M that won't hesitate to drop a dime on a competitor who doesn't have a Precious Metal license and it's hard to find fault with what he does. that sort of thing is simply the cost of doing business just like a Vendor Permit. i can't imagine anyone disagreeing with rules that apply equally to everyone, right??

i'd bet that at many/most small shows around the country the majority of dealers set up don't have permits.

hchcoin · March 25, 2012 11:28AM

Wow - That is crazy!

notwilight · March 25, 2012 11:29AM

<< It appears that as governments grow larger and larger they are no longer able to do positive things for their citizens, but rather must conjer up new deviant means to fund their ever expanding expenses.

That's one heck of a generalization. >>

But pretty accurate.

--Jerry

pennyannie · March 25, 2012 12:14PM

In my county the duputies are to busy to enforce silly ordanaces like those, i am surprised they would do it for another county office. Some vendor must have made donuts or something.

It will only get worse.

TwoSides2aCoin · March 25, 2012 2:10PM

Now we see what big government is about. It's not gonna get smaller.

TwoSides2aCoin · March 25, 2012 2:37PM

Seems more than half the country and ALL of the government, including it's many million employees have a union and a pact to protect themselves and their voting consituency. When you eat yourself from the inside out, you starve to death.

BUSTED !

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