After hearing complaints Thursday from several small-business owners living outside city limits, the Medford City Council has decided to take a closer look at the city's business license ordinance and its enforcement.

At the city finance director's request, the council suspended the sending out of notices to businesses outside of Medford that may conduct business within the city. It will hold a study session to consider complaints about the rule.

"Ninety percent of the letters we send out are to businesses within our city limits," said Alison Chan, finance director.

The city recently expanded its search for out-of-town business owners who conduct business in Medford. It has been sending notices that they must purchase an $81 annual business license or face a maximum $250 citation per day.

Some business owners who have worked for years without receiving any such notice are upset.

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Jacksonville freelance writer Linda Mounts said everything she produces is in Jacksonville, though she's being required to pay Medford's fee because she occasionally meets with clients for lunch in Medford.

"I'm here asking you to review and hopefully revise this rather ridiculous ordinance," she said, adding that signs should be posted at the airport and all restaurants telling people they need to purchase a Medford business license if they have a conversation about work within the city limits.

Ashland photographer Rob Werfel said the rule's enforcement is "haphazard."

"It's kind of by the grace of God whether you get this letter or not," said Werfel, who has until Monday to pay the fee.

Ellee Celler, the sole agent of a Jacksonville real estate company, also asked the council to reconsider requiring small businesses that do most of their work outside of Medford to pay the fee. Individual real estate agents are exempt from the requirement, but real estate offices are required to pay for a single license.

"I think it's a little unfair," she said.

Mayor Gary Wheeler said the ordinance has been on the city's books for a long time.

"I have a hunch it's actually how we're enforcing it," he said.

A date has not yet been set for the council study session to consider changing the ordinance or its enforcement.

Reach reporter Meg Landers at 776-4481 or e-mail mlanders@mailtribune.com.