Mono Supes hear Traynor TOT appeal

In October, Mono County business owners Kim and Tim Traynor came before the Mono County Board of Supervisors to ask for some help.

The Traynors own and operate the Yosemite Gateway Motel. Due to the effects of the Rim Fire on the local economy, the Traynors had asked the County for some relief, specifically on their third and fourth quarter Transient Occupancy Tax (TOT) payments. They requested that they be allowed to make these payments in chunks, charging interest only and waiving penalties for late payment.

It was determined by the Supervisors then that the Traynors should follow protocol and make an appeal.

“There’s a process in place and that’s the bill process,” said Supervisor Tim Fesko at the time. “Follow the bill appeal process.”

So the Traynors came back to the Board at its Nov. 12 meeting for an official appeal.

By that time the Traynors had been approved for a U.S. Small Business Administration (SBA) loan, but weren’t sure how long it would take to receive the money for the loan. By the Nov. 12 meeting, the Traynors were also delinquent on their third quarter TOT taxes, which were due Oct. 31.

Through the process of an appeal, the Traynors did not have to pay until the Board made a decision on the appeal. However, the delinquency created a penalty of $4,109, according to Mono County Tax Collector Rosemary Glazier.

“We’ve been approved for the SBA loan, we’re just asking for a little help until that loan comes through,” Kim explained. “You’re still going to get your TOT with interest, we just ask that the penalty be waived.”

However, Supervisor Fred Stump was concerned about the length of time it would take the Traynors to see money from the loan.

“There are people from Superstorm Sandy still waiting on their loans,” he said.

“It’s not about the Traynors,” said Supervisor Larry Johnston. “It’s about a chance to do something for the people who pay taxes to the government. If the SBA is helping, the County should too.”

Johnston was in favor of waiving the penalties and charging a lower rate of interest.

“It takes a lot of guts to put everything out in public,” said Supervisor Fesko. “I’m a business owner and I understand the effects of the Rim Fire. My TOT went down too. But people who don’t pay TOT but pay property taxes are questioning why they can’t be given some relief as well.”

He went on the say that if a deal were made with the Traynors there would definitely be others coming in to ask for relief on property taxes.

“You’re the first ones through the door. Who’s coming after?” Fesko wondered. He argued that the Traynors shouldn’t use the County as their safety net.

“As a business I have a line of credit; that’s my safety net,” he said

“You’re not our safety net,” Kim said. “We just need your help until our safety nets can kick in.”

“But how do we establish a baseline level of need?” questioned Supervisor Stump.

“I don’t want to be in a position of defending our financial situation,” Kim said. “No one should have to do that.”

“I don’t want to know your financials,” said Supervisor Tim Alpers. “I’m not willing to set a precedent. The fact is we are your safety net for a couple months. We would be giving you a loan.”

Alpers added that he had heard from too many constituents about all of their needs, too.

“I was put into office by the people but I ride for the County brand,” Alpers said. “I’m not willing to move forward without a much deeper analysis.”

Alpers was not in favor of waiving the penalties except in the case of the past few weeks when the Traynors had not paid their TOT because they were awaiting the appeal.

“We didn’t render an answer when they first came forward [before their TOT was late], so that needs to be rectified,” Alpers said.

Johnston was still in favor of helping and made a motion to waive the penalties and set a six-month limit for the Traynors to pay their TOT, but the motion died for lack of a second.

Alpers then made a motion to waive the penalties for November due to the lack of a timely response from the County, but still have the TOT, which was due at the end of October, due at the end of November.

Alpers’ motion was approved 3-1, with Johnston voting no and Supervisor Byng Hunt abstaining.

“I fail to see why we aren’t being more helpful,” Johnston concluded.