Letter Of The Week: Days Inn’s Denial Isn’t Working – December 1, 2010

Wednesday, December 1, 2010

From: Randy Mendosa <rmendosa@cityofarcata.org>

Date: Tue, 26 Oct 2010 10:27:22 -0700

To: Tarun Patel <tspatel@silvercreekhospitality.com>, Mukesh Mowji <mjmowji@silvercreekhospitality.com>, Anil Patel <arpatel@silvercreekhospitality.com>

Cc: Janet Luzzi <jluzzi@cityofarcata.org,> Nancy Diamond <ndiamond@humboldt1.com>

Subject: FW: Days Inn Notice of Delinquency thru 9/30/10

Dear Tarun, Mukesh, and Anil,

On October 7, 2010 the City of Arcata Finance Office served the attached notice to Days Inn Manager Mike Miller, of Delinquent Transient Occupancy Tax in the amount of$60,625 for the months of June, July, August and September of 2010. To date our notice has been simply ignored.

As you know, the Payment Agreement which we signed in June, does not suspend, alter or waive your ongoing obligation to make regular TOT remittances as required by law.

The Payment Agreement also requires that you timely pay all on-going utility charges as invoiced by the City.  Simply ignoring your TOT payments is a violation of the law, and also violates the terms of the Payment Agreement.

It appears our Payment Agreement is not working. I have therefore directed our staff and attorney to pursue this matter to the fullest extent of the law.

Randy Mendosa, City Manager

City of Arcata California

736 F Street

Arcata, CA  95521

Office Direct: 707.825.2100

FAX: 707.822.8018