Parking Lot Permits Revoked and Taxes Owed to the City of Los Angeles Collected

Los Angeles: In an effort to provide consistent and ethical service in parking lots throughout the City of Los Angeles, the Los Angeles Police Commission and the Office of Finance joined forces to revoke Auto Park permits and collect thousands in back taxes.

All parking lot operators are required to hold an Auto Park permit from the Los Angeles Police Commission, along with collecting a 10% Parking Occupancy Tax on all parking fees.  Those taxes are remitted to the Office of Finance at the end of each month.  Recently, an increasing number of parking lot operators have failed to remit the tax, depriving the City of Los Angeles of this revenue.  Following the Mayor and City Council approving a change in the Los Angeles Municipal Code to allow for revocation of police permits for delinquent taxes, the Office of Finance staff identified several parking lot operators who were delinquent.  Working with the Police Commission Investigation Division staff, a process was established to present cases for revocation and/or suspension to the Police Permit Review Panel.

Five cases were prepared and forwarded to the Police Permit Review Panel on Wednesday, May 20, 2009.  As a result of the proceedings, two operators’ permits were suspended and one was revoked.  Also, the City collected $20,828.22 in overdue taxes.  Office of Finance staff is currently in settlement negotiations with a fourth operator, who has agreed to pay.

“The revocation process is one of several collections measures at the Office of Finance to recover delinquent taxes,” stated Jeffery Whitmore, Finance Revenue Manager at the Office of Finance.  “Other measures include publication of the debt on the Office of Finance’s website at www.lacity.org/finance, collection agency referrals, and filing civil and criminal court claims.  We were well-prepared for the hearings and plan to submit several operators with large tax cases to the Police Permit Review Panel for revocation in the coming weeks.”

“We are very pleased with the results of the proceedings,” added Lt. André Dawson, Commanding Officer, Commission Investigation Division.  “As a result, the City will collect revenue that is owed by these operators, and it serves notice that we are serious about enforcement efforts.  We will also be expanding our efforts to ensure that all parking lots are properly permitted and shut down those operating without a police permit.”