Newspaper Archive of
Hays Free Press
Kyle, Texas
February 25, 2015     Hays Free Press
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February 25, 2015

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+ Page 4A NEWS Hays Free Press * February 25, 2015 Buda Lawsuit Buda vs. I $37,907.70 Continued from pg. 1A collections of the hotel occupancy taxes for the previous six months," city attorneys allege in the suit. The money the city is owed: $47,204.93 in un- paid taxes, penalties plus interest, and attorney's fe s, according to the suit. officials were able to ate mone 9 wed-- occt/p ' collected from Aug. 20 through Jan. 20-- based on hoteltax rep0rtsfded fl ie:Texas Cornptrol- lees Office, the suit states. Chapter 351, Sec. 351,044 allows a munici- pality to bring suit against a hotel who has failed to file a tax report or pay the tax when due, and the city also may request a court to keep the hotel from operating in the munici- pality until the taxes due are paid. Microtel did not file hotel tax reports with the city during those months. A managing partner of Amount of unpaid taxes accrued. between Aug. 1, 2014 through Jan. 20, 2015. Microtel breakdown 204.93 Totatamount Buda is seeking from : Microtel Inn & : Suites. 15% of total amount of taxes owed (as a penalty) Microtel, Ted Tortes, said rable because of the con- Tuesday his office was tinued fiSC constraifit:s ' unaware of the Feb. 12 placed upon the City by suit filed Buda officials, being Unduly depri ;ed of ' ' " i He said he would consult the tax revenue, offic als with his legal team, but as argue in the suit. of now has no comment. Hotel occupancy tax The Feb;, i21 civil suit dollars may only be used Is not fi ,stime Buda in a manner directly en- offidais']'/ave had to take ..... hancing and promoting Microtel to court;'. : ' tourism and the conven- The hotel's !aSt pay- ment to Budawa m the city, according to the amount 0f $201000 on July 21, 2014. That payment came out of a settlement $3,611.07 Attorney's fees against Microtel in effort to collect hotel taxes that are due. Trevino said Microtel is the only hotel in Buda with delinquent hotel occupancy taxes. The hotel occupancy tax applies not only to ho- tels and motels, but also to bed and breakfasts, tion and hotel industry in condominiums, apart- in response to a prior lawsuit filed by the city. Since Microtel's $20,000 payment in July, city offi- cials argue the hotel has not filed a hotel tax report with the city, nor paid any of the hotel occupancy collections, according to the February suit. "Said injury is irrepa- state's tax code. That rev- enue may not be used for general revenue purposes or general governmental operations. Buda city officials wouldn't comment on the case, as the matter is an ongoing legal matter, but one of the city's attorneys, Trevino, said February's suit is the second time in nine months the city has had to take action ments, homes for rent, and rooms being rented out in people's homes, per the state's tax code. Microtel was built in 2012 at an estimated cost of $3 million, according to the Texas Department of Licensing and Regulation. The hotel is a three-story building with 83 units, the state agency reports on its website. It's owned by Pritor Longhorn Buda Hotel Llc. INSURANCE + Continued from pg. 1A She said Buda's legal counsel is very protective of the city's interests and wanted to make sure the resolution made the point that Buda was going to protect those interests. "Obviously we had to be very careful," Ruge said. "It was unanimous that we wanted to make some sort of a resolution. And when you actually read it, it's ac- tually very, very similar to the county's (resolution) in wording and in sentiment, except for a few minor changes." State Rep. Jason Isaac (Dripping Springs) filed House Bill 1191, which would create a five-mile buffer zone of protection around priority ground- water management areas where an entity seeking to pump groundwater would have to get permitted by the Texas Water Develop- ment Board. Buda council mem- ber George Haehn, after receiving assurances from City Attomey Cynthia Tre- vino that Isaac's HB 1191 would not be retroactive, said at the Feb. 17 meeting "the bills are just political cover for Jason Isaac." Isaac said at a Feb. 10 town hall meeting in Whnberley that he wasn't sure if liB 1191 would help Hays County residents concerned over EP's pro- posed pumping, but that bills he plans to file March 11 will. Isaac has said he will push bills to extend the borders of the Barton Springs/Edwards Aquifer Conservation District (BSEACD) and the Hays Trinity Groundwater Conservation District (HTGCD), , Kenfi'e its in au= best ter6st tohave unrelated ground' Water regulated so water it lS: ped in a sustainable Se;ceral other entities in Hays Co tylha passed a resolution S uppo g groundwater protection in the county, includ g [ Mountain Kyle, Drip, ,, [ ping Springs, Woodcreek, [ BSEACD, and the: : I Marcos andW'tmbefley: ,' [ school districts, among ...... 1 ..... others. L BROADWAY BANK We're here for good7 Buda Banking Center [ 321 N. FM 1626 [ 512.295.8000 Kyle Banking Center I 5809 Kyle Pkwy. [ 512.268.2021 I 40 Neighborhood Location's [ Member 1800.531.7650 800.531.7650 1/ + If! Ii [:lliITil l l]II I" iIi:I ; l illTl I ! II I I I I II]11 , l[]:[I I|] Ill I lll]lllii .... =':