The County tax collector wants hotel taxes from the Harrah’s Rincon Resort & Casino, and the tribe sued June 10 in federal court to order it to stop trying.
About $1.6 million, or 18 months of uncollected taxes that the County claims is owed it, are at stake. This is money that the County has been attempting to collect for nearly two years.
Even more money will be at stake once Harrah’s finishes building a 21-story addition to its existing hotel, which will bring the total number of rooms to over 650.
The County collects transient occupancy taxes from hundreds of hotels and motels. It doesn’t attempt to collect TOT taxes from two other Indian casinos in the County: Barona and Pala, because those are operated by the tribe itself.
However, according to San Diego County Treasurer and Tax Collector Dan McAllister, Rincon’s hotel is different because it’s owned by Harrah's California Corp., (HCAL) a subsidiary of Harrah’s Entertainment Inc., rather than the tribe. The County is attempting to collect the tax from Harrah’s not the tribe, he asserts.
But the tribe argues in its complaint filed with the U.S. District Court Southern District of California, that HCAL was hired by the tribe to run its casino and hotel for it. “HCAL does not lease or have the right to possession of any part of the tribe’s gaming facility, nor does HCAL have or exercise control over the policies or decisions of the tribe’s casino and resort.”
In its complaint the tribe writes, “The San Diego County Office of the Treasurer-Tax Collector’s demands for amounts due have been directed toward the manager of the tribe’s facility, HCAL Corp., but the tax is clearly a tax on the tribe and its gaming facility. As such the tax is barred by the per se rule against county taxation of Indian Tribes. Alternatively, even if the legal incidence of the tax is found to be on non-tribal members, the tax is invalid because it is preempted by the Indian Gaming Regulatory Act . . , the Tribal-State Class III Gaming Compact entered into between the tribe and the state of California, as well as federal law restricting state taxation on reservation lands.”
It asks the court to order McAllister to stop trying to collect the tax.
The tribe charges its own room tax of 9 percent at the hotel. This tax is used to provide government services to tribal members.
Courts have held many times that state and local governments do not have the right to tax tribal facilities.
The law may not be so clear on whether a non-tribal business operating on the reservation can be taxed.
The tribe maintains that the real issue is its sovereignty.
“This goes to the core of our sovereignty.” Currier was quoted by an area daily last week.
By DAVID ROSS
Get ready for a major change in how the fire department looks at your front yard.
Last year’s catastrophic wildfire has wrought a nearly 180 degree turn in how the local fire board feels about weed abatement.
Several years ago a meeting hall packed with a couple of hundred angry residents deep-sixed any chance for a weed abatement ordinance. Directors vowed not to bring the subject up again.
The Paradise fire changed all that.
The VC Fire Protection District board is moving steadily towards adopting a weed abatement ordinance that is almost guaranteed to have one tenth of the population unhappy at any particular time.
The ordinance could be adopted as soon as the end of this summer.
Thursday night the board heard a presentation by Fire Prevention Services, an El Cajon-based company which contracts with 20 fire agencies to enforce their weed abatement ordinances.
It wants Valley Center Fire Protection District to become the 21st.
Its services are provided free to the district. The program is based on cost recovery. The more scofflaws there are, the more money the company makes.
The company acts on complaints directed towards property that has become a fire hazard.
It contacts the property owner and gives him a chance to take care of the problem within 30 days.
“The property owner is in complete control,” said Buddy Blacksmith, a representative of the company. “They can hire a contractor or deal with it themselves. . . .The people who don’t comply are the ones who support the program.”
If the property owner ignores the situation, the company sends inspectors to take photos. The property owner is given a ten day notice. A final inspection is done and if the property is in compliance, no action is taken.
The process takes 45 days. After that time, and only after that time, the company can assess an abatement fee. Then the fire marshal is invited to inspect the property.
The final determination is made by the district representative, who signs a work order authorization. The company then carries out the required cutting.
Afterwards they bill the property owner. If he doesn’t pay they file a notice on the property. Only 5-10 percent go through the assessment process, said Blacksmith.
Fire Prevention Services has is own billing and estimates department. The district need never get involved in dunning for non-payment.
According to Cheryl Papayan, a representative of the company, “Success requires support from the agency.”
A homeowner who lives on Calle De Vista asked Blacksmith if the company “goes after” the County. This homeowner has a large tract of County-owned land with flammable growth within 100 feet of his property, he said.
Blacksmith said the company has contacts within the County and that usually it will take care of the situation if contacted.
Director Mel Schuler asked what would happen if someone was out of town and missed the 45 days. “You’d have one unhappy property owner,” he observed.
Director Mike Pacheco asked, “Of the people that you go and do the assessments on, what percentage go to the heavy handed tactics?’’
“Less than ten percent in most cases, said Blacksmith. “In some districts it’s one percent.”
Directors learned the following about the program:
• Whatever ordinance the district adopts the company will enforce that ordinance.
• The district has zero liability since the company has its own insurance for $1 million.
• If there is a lawsuit, the company the litigation. The company has never lost a case, it claims.
It’s very rare to encounter a hostile situation in the enforcement of such ordinances, said Blacksmith. He has only called a sheriff’s deputy on one occasion in the 20 years he’s been in the business.
Pacheco commented, “I’m leaning toward this but I want the people of the district to understand that this is a large step. It’s a pretty heavy thing for us to do. I’ve talked to people in other districts and there are problems with it. We will face problems and some will give us a black eye in the paper and other media, and accusations that we are going out and forcing these abatements.”
He added, “I know that it’s your company, but it’s we as a district that will bear the brunt of that reputation. I want the people of this community to understand what this will entail.”
Pacheco noted that disastrous fire of last year and commented, “I don’t want a knee jerk reaction of people to get rid of weeds. I really would like the district to get feedback. I want to hear from people out there whether they are pro or against.”
Schuler agreed. “One of our major issues from owners is going to be that we are going to be forced to abate our property, but land that surrounds us don’t have that requirement. I think that issue will be very difficult to deal with.”
He added that many residents don’t know what a weed abatement ordinance is and what it requires of them.
Blacksmith said that if the district adopts an ordinance he would advise sending a notice that the district has hired a company, and inviting residents to take care of the problem themselves.
Director Stan Johnson commented, “I think this fire affected so many lives. I don’t think it would be what I would call a knee jerk reaction. It’s a reaction many people would like to take. We can do it in such a way that we are not always the bad guys, but trying to protect the lives of people in the community.”
Chief Kevin O’Leary said that if the district has a weed abatement ordinance, that hiring a company like Fire Prevention Services would be the only way to go.
“If we don’t have a contract I don’t see doing it with less than two full time staff people. And we’d have to hire the people to do the weed abatement. That’s the reason we haven’t done it before.”
Board Pres. Patrick Garcia concluded, “As I see it this is not a popular subject, and popularity is what squelched it years ago when I first came on the board. But as board president I have to look at the best interests of the district.”
By CASEY ANDERSON
The U.S. Border Patrol is on the offensive. Since mid-April, officers have been actively seeking out and arresting illegal aliens in San Diego County.
Helped by a boosted budget, the Temecula Border Patrol office has formed a “mobile patrol unit” to investigate and arrest illegal aliens within the San Diego Sector. This unit is composed of ten agents and two supervisors.
This mobile unit is on “roving patrol.” Acting on specific information gathered over the course of an investigation, uniformed officers go into areas in a city and walk the streets in groups larger than two.
They utilize the right to “consentual contact.” They approach a person on the street and start talking. If the person responds, the officers can ask questions. If during the conversation there is enough evidence to warrant suspicion, officers can ask for that person’s papers or green card. If that person is an illegal alien, an arrest follows.
Most of those arrested recently have been apprehended using this method, according to authorities.
People approached on the street by the officers do have a Fourth Amendment right not to talk to the officers. They have the right to turn and walk away. Officers could see this as cause for suspicion however, and have the right to detain that person.
Since June 4, a total of 434 illegal aliens have been arrested in Ontario, Corona, Ramona, Escondido, Rancho Bernardo, Poway, and Rancho Penasquitos.
Although The Roadrunner was anxious to discover if the patrol has any plans to target illegals in Valley Center, the agency was understandably close-mouthed about where it will appear next.
Of those, 230 have lived in the U.S. for over a year. The rest have been here for less than that. Many were recent entries.
Most of those arrested took advantage of their right to voluntarily return to their home country under escort. Those who decided not to leave voluntarily were detained and are in line for a deportation hearing.
At a deportation hearing, the detainee will have a chance to state his case to a judge, arguing why he should be granted legal status. Most of those who participate in a hearing are deported. Few are allowed to stay.
The roving patrols and the manner in which illegals are apprehended, have many Latino communities up in arms. There have been protests. Immigration officials report that there is pervasive fear in neighborhoods largely populated by Latinos and Hispanics.
Steve McPartland, a Senior Patrol Agent in the Public Relations Office in the San Diego Sector of the U.S. Border Patrol, says that, “If you are here legally, you have nothing to worry about. We do not target specific areas because of a population of a specific race. These patrols are intelligence driven. We operate where we have intelligence. When we conduct a patrol, we go there because we have knowledge of illegal alien entry.”
McPartland wants people to know that there is no racial profiling going on. “Within the last year, we’ve apprehended people from 70 different countries other than Mexico. However, many of the illegals arrested are going to be Mexican or Latino because of San Diego’s proximity to the Mexican border.”
Some have also asked why the Border Patrol is conducting patrols in inland cities, arguing that agents should be concentrated on the border. However, the Border Patrol is part of the Homeland Security Office in Washington. Its jurisdiction, says McPartland, is, “Anywhere within the United States.”
Another agency was formed after 9/11 to help round up illegal aliens. Immigration Customs Enforcement, I.C.E., helps patrol inland cities as the “largest investigative arm of the Department of Homeland Security.” Its mission is to prevent further acts of terror by investigating terrorists and related criminal activities.
Despite the protests from various communities, The Border Patrol has “had an incredible outpouring of public support. We’ve been inundated with supportive calls and e-mails,” says McPartland.
Motorists traveling on Valley Center Road between Lake Wohlford Road and Banbury Drive will experience traffic delays from June 23 to July 9. That’s because lane striping and concrete barrier relocation to the west side of Valley Center Road will occur.
Traffic will be impacted Monday through Saturday 7 a.m. - 4 p.m., according to the County Department of Public Works.
Drivers should allow extra time and use caution when traveling through the construction site. Alternate routes are encouraged.
These work activities are part of Phase 1 of San Diego County’s $33 million roadwork project on a 6-mile section of Valley Center Road from the City of Escondido to Cole Grade Road.
Bi-weekly project updates are available online at: http://www.sdcounty.ca.gov/dpw/docs/engineer/VCUpdate.pdf
By DAVID ROSS
Arnold Schwarzenegger Monday wore a ceremonial blanket as he signed ground-breaking new compacts with five state gaming tribes gathered in Sacramento, including two from this area, Pala and Pauma. The new agreements could completely change the landscape of gaming in the Golden State.
The agreements remove the 2,000 slot machine limits for those two tribes, and for the East County Viejas gaming tribe and Northern California Rumsey Band of Wintun Indians and United Auburn Indians.
In return, the Indians will finance a bond that will give $1 billion to the state’s transportation budget. The bond will be structured in such a way that tribal gaming revenues will remain a closely guarded secret.
The five tribes will also pay growing sums for any slot machines that they add over the original 2,000 machine limit agreed to in the 1999 compacts signed by then-Gov. Gray Davis and over 50 gaming tribes.
The state expects to receive from $200 million-$275 million annually from the new compacts.
The tribes also agreed to adopt state environmental laws. Currently most tribes only have to subject their projects to federal environmental review.
They are also given exclusive “territories” near their reservations within which no competing non-Indian slot machines would be allowed.
The territorial rights for the three local tribes would include Riverside, Los Angeles and Orange counties.
The compacts signed Monday only affect the five signatories, and some of the non-signatories are unhappy with them.
The largest gaming tribe in the state, Pechanga (near Temecula), has said it will seek a different deal from the governor. Chairman Mark Macarro criticized the agreements because the tribes agreed to binding arbitration with local governments and to allow civil suits by injured casino patrons. This violates tribal sovereignty, he said.
The Rincon Band of Mission Indians sued in federal court last week to prevent these agreements from going forward.
Sycuan, another large gaming tribe in San Diego County, has also announced that it wants its own unique deal.
The new compacts require the approval of the legislature before they can become law. They will be valid until 2030 if adopted.
Arnold’s clout
As a result of the deal penned with the five tribes, the governor has now come out firmly against two gaming measures that will be on the November ballot.
It was obvious to most observers that Schwarzenegger was dangling his considerable clout with California voters as a carrot to move tribes towards a new agreement that gave the state more money.
If he opposed two gaming initiatives then voters would be more likely to vote them down. If he didn’t, they might have a chance of passing.
One of the two initiatives is the Gaming Revenue Act of 2004. Its proponents are the 16 card clubs (including one owned by Hustler publisher Larry Flynt) and racetrack owners who would be allowed to have up to 30,000 slot machines if any of the state’s gaming tribes refused to agree to pay 25 percent of their revenues to the state.
It would effectively end the Indian monopoly on slot machines unless the Indians agreed to the much higher revenue sharing.
The other initiative is sponsored by the Agua Caliente Band of Cahuilla Indians, which operates two casinos in the Coachella Valley. It would remove all gaming restrictions for tribal casinos, legalizing roulette and craps. It would extend the term of the compacts by 99 years and pay the state the “corporate rate” of taxes, about 9 percent.
If either initiative passes, the new compacts would be voided.
Schwarzenegger has promised to campaign against both.
Always subject to change
Ever since the ink started to dry on those compacts some of the larger gaming tribes felt constrained by what they considered to be an artificial limit.
The compacts were written in such a way that their provisions could be revisited after two years if either party wanted to do so.
Some legislators, like State Sen. Jim Battin, 37th District, who represents more reservations with casinos than any other legislator, has long called for no limits at all on the number of casinos that individual tribes can have.
“Let the market decide” has been his watchword.
The Valley Roadrunner
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Tel. 760.749.1112 Fax 760.749.1688
Website: www.valleycenter.com
Email: editor@valleycenter.com
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