Ridgecrest council approves stayed revocation of two hotel licenses over $85,955 in unpaid TOT

City staff asked the Ridgecrest City Council to issue conditional revocations of business licenses for Clarion Pointe and Motel 6 after months of delinquent transient-occupancy-tax (TOT) reporting and payments. The staff report said the two hotels, owned by the same individual, had been out of compliance for several months and that audit and enforcement work brought the matter to the council.

Staff described a negotiated repayment agreement totaling $85,955.68 that requires four monthly payments beginning Dec. 15; the owner had made the first payment, staff said. The recommendation was that the council issue an order permanently revoking the business licenses but stay that revocation until March 15 on the condition the owner comply with the repayment schedule and continue to report and pay current TOT amounts. Staff also requested authority to initiate civil enforcement concurrently if the council authorized that action.

Council members discussed how many months of nonpayment should trigger council consideration (staff recommended bringing matters to council after four months of nonpayment now that auditing is in-house), and members noted that leaving the businesses open increases the likelihood of repayment. The owner was not present at the hearing, which several councilmembers acknowledged.

Councilmember (name not specified in the record) moved to adopt the staff recommendation with the conditional stay; the motion was seconded and carried by a recorded voice vote of five ayes. The council’s action authorizes revocation to take effect immediately if the owner fails to meet the conditions and authorizes legal action to collect the TOT and enforce a cease-and-desist if needed.

Next steps: staff will monitor compliance with the repayment schedule through March 15 and, if the owner fails to comply, will implement the revocation and pursue civil enforcement to collect delinquent TOT.