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Council waives brewery penalties, approves payment plan after owner cites pandemic losses
Summary
Council voted unanimously to waive about $7,537 in penalties and interest for a local brewery's business‑license audit findings and authorized staff to negotiate a payment plan for roughly $15,000 in back taxes, citing pandemic impacts and special findings in the audit.
The Placentia City Council approved a motion to waive penalties and interest assessed against a longstanding local brewery following a staff presentation and testimony from the business owner. City finance staff reported an audit covering 2019–2022 found approximately $15,000 in underreported gross taxable sales; penalties and interest totaled roughly $7,537.02 under the municipal code.
Barry Holmes, the brewery owner, described pandemic‑era losses, EIDL funding complications and a change in ownership that complicated his ability to pay the audited amounts. "I humbly ask that you consider waiving this... because it's an investment into a really quality business," Holmes told the council. Councilmembers expressed sympathy for pandemic impacts while stressing the need to avoid precedent. After discussion the council voted to direct staff to implement a payment plan for the tax owed, waive the $7,537.02 in penalties and interest, and not charge additional interest on the payment plan; the motion passed by unanimous roll call. Staff said the agreement will include recital language documenting the pandemic as an extraordinary circumstance to distinguish the waiver from routine late payments.
