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MyspaceWhile demolition of the Miramar Hotel began two weeks ago, negotiations between owner Rick Caruso and county officials have also picked up as the two sides try to reach an agreement under the county’s Hotel Incentive Program, designed to push collected bed taxes back to luxury-hotel developers so they’ll build in Santa Barbara.
Though many have long clamored for the demolition — which removes an eyesore that has sat vacant for more than a decade — it is more than just a goodwill move from Caruso. The action makes his property entitlements permanent. The work, which is costing Caruso more than $1 million, is expected to be done by mid to late January.
Meanwhile, Caruso and the county are trying to figure out how to structure a deal under the Hotel Incentive Program that gives Caruso the assurance it will remain in place for the agreed-upon 15 years while keeping the county on comfortable legal ground. County attorneys recently cited state law that says the Board of Supervisors can’t guarantee the money that Caruso would recoup through the program in one big chunk, but that the board will have to approve the appropriation on an annual basis, an opinion that caught Caruso’s team off guard when they first heard it.
County CEO Chandra Wallar wrote a letter to Caruso last week, taking a firm line on where the county stands and telling Caruso the county has “provided you with a path to an agreement.” Despite the roadblocks, Caruso’s team says they are working with the county to try to move forward.
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Comments
Yeah, I'd sure trust the county to keep its promise year after year. Uh-huh. Right....
JohnLocke (anonymous profile)
December 20, 2012 at 7:55 a.m. (Suggest removal)
Time to stop sucking up to Caruso. It will never be viable under in our lifetime.
Who does Salud represent here?
easternpacific (anonymous profile)
December 20, 2012 at 8:23 a.m. (Suggest removal)
I have friends who support the "Hotel Initiative" I however am solidly against it.
Its foolish for this area to continually put all its eggs in the tourism basket for starters, and now the schools, fire, road maintenance ect would neither benefit nor be compensated for expenses.
All to give a bed tax break to people who can afford to pay it! If they're willing to pay $300 up for a room, $20 tax is not gonna be a deal breaker.
Ken_Volok (anonymous profile)
December 20, 2012 at 3:03 p.m. (Suggest removal)
Ken the guests will pay the bed tax but it will go to Caruso instead of the county. Now he could decide not to charge while he gets the tax holiday but somehow I do not see that happening.
MSSB (anonymous profile)
December 20, 2012 at 4:39 p.m. (Suggest removal)
Wow MSSB, it gets uglier and uglier. We can't recall supes?
Ken_Volok (anonymous profile)
December 20, 2012 at 4:52 p.m. (Suggest removal)
I wonder if the miramar is on a sewer system or septic? if on septic, do they have those clearly marked so that construction equipment won't fall in during demo?
GluteousMaximus (anonymous profile)
December 21, 2012 at 1:36 p.m. (Suggest removal)
So we give Caruso the bed tax and he hires at least a hundred minimum wage workers that will likely draw benefits from our city and county. Does not make sense to me.
ScupperSkipper (anonymous profile)
December 26, 2012 at 8:14 a.m. (Suggest removal)
Salud works for the highest bidder/donor. Janet works for the enviros at the expense of the residents. Steve works for the neocons. Doreen works for Salud and Janet.
Does that clear it up??
BeachFan (anonymous profile)
December 27, 2012 at 8:54 a.m. (Suggest removal)