A large chunk of Española businesses have failed to renew their business licenses this year and in some cases, failed to ever obtain a license in the first place.
By city ordinance, any company or person doing business within city limits — regardless of where the company is based — must obtain a business license from the city’s Finance Department. Licenses cost $35 a year and expire annually on Dec. 31.
But out of about 790 companies registered to do business in the city, 252 — almost a third — failed to renew their licenses by Jan. 31. And companies owned by at least two local politicians are not registered to do business in the city at all, city records show, while another two are behind on renewing theirs.
Lost revenue from delinquent businesses adds up to only a small amount — about $6,000. But the city could stand to lose out on even more in unpaid taxes.
The state Taxation and Revenue Department collects gross receipts taxes on all transactions by companies registered within city limits. The city gets about half those taxes — 3.2875 percent of each transaction — Patricia Herrera, manager of the Department’s tax information office, said.
Though state agencies, not the city, are responsible for making sure companies pay their share of the gross receipts tax and that they have the necessary licenses to operate, the business license application process gives the city a way to double check whether companies are doing those things, Planning and Zoning Director Cyrus Samii said.
“There are two concerns: we definitely want to protect the public, and we definitely want to collect (gross receipts tax),” Samii said. “Restaurants and bars (which need state-issued licenses) are usually visible enough that we know whether they have a license or not. But you have somebody running a business out of their home, we may not know they exist and whether they are contributing (gross receipts tax).”
Acting City Manager Veronica Albin said there is not necessarily a connection between a business’ lack of a license and whether they are paying taxes. But she acknowledged “it’s a possibility” an unlicensed business is doing business in cash, without contributing taxes to the city, county and state — and without a license, the city has no way of knowing.
Herrera said the Department relies heavily on data from other agencies — such as city and county business licenses and federal tax returns — to apprehend companies not paying taxes.
Rio Arriba County Commission Chairman Elias Coriz owns one company doing business in the city without a license: ProSec, a security company whose contract with the Española School District tops $500,000 a year.
The company does not appear on the city’s roster of active business licenses and neither does Big Ross, Inc., ProSec’s parent company. Coriz’s companies are also missing on a list the Department gave the city that includes all companies doing business in and paying taxes to the city.
Herrera said that does not necessarily mean ProSec is not paying taxes. His company could be registered with the Department under a different name, or in a different place, she said.
Coriz said he ran ProSec out of his Chimayó home until a year and a half ago, when ProSec moved to an office on Riverside Drive. Corporation documents on the state Public Regulation Commission’s web site show his company is still registered in Chimayó.
That means that though ProSec is based in and doing business within city limits, the city might not be receiving any gross receipts tax revenue from that business.
Coriz, who confirmed his company lacked a business license from the city, said he was unaware he needed one and vowed to remedy the situation immediately.
“We’ll have to go to take care of that right away,” Coriz said “I have a state (business license), so I thought maybe if you have a state license, maybe that covered it. But that’s not the problem getting (a city-issued license) if that’s not the case.”
He did not return calls about his company’s tax information Tuesday afternoon.
Democratic Precinct Chair and lobbyist Nick Naranjo does not have a business license on file with the city, either.
Naranjo argued he works from his home in La Mesilla, outside city limits, and doesn’t need a city business license. But his $33,000-a-year client, the Española Military Academy is within city limits.
And twice on the city’s list of delinquent business licenses are two towing companies owned by former city councilor Robert Seeds, as well as Amigo Productions, a company former councilor and current Española School Board Vice President Floyd Archuleta uses to market music he produces and do promotional work for other companies.
“I haven’t received any paperwork from the city,” Seeds said. “They haven’t sent me anything, but that’s not unusual for the city. It’s a $35 fee, it’s not going to break anybody’s bank. I will take care of it.”
Seeds’ companies are also missing from the city’s list of companies contributing gross receipts tax to the city. He did not return calls for comment Tuesday.
The city sent all registered business owners a letter and renewal form in December 2008, but 252 businesses failed to renew their licenses before Jan. 31, according to information provided by Acting City Clerk Lucas Gauthier. Of those, 81 have since renewed their licenses in response to a Feb. 2 letter from Gauthier threatening a $500 fine and 90 days in jail. The remaining 171 companies also face revocation of their business license.
Other businesses delinquent on renewing their licenses include Little Caesar’s Pizza, Subway, Rock Christian Fellowship Church and La Cocina Restaurant, which is owned by the family of former municipal judge Charles Maestas.
The following companies doing business in Española were delinquent on renewing their business licenses with the city as of Feb. 13, according to information provided by City Clerk Lucas Gauthier.
• A Cut Above, Española
• A&A Shirts, Española
• AA Quality Construction & Sales, Santa Fe
• ABC Roofing Specialist, Santa Fe
• Accu-Print Blueprint & Copy, Española
• Action Glass and Mirror, Española
• Active Maintenance and Repair Service, Española
• Adobe/Zia Propane, Alcalde
• Advanced Plumbing, Española
• Advantage Training, Ohkay Owingeh
• Affordable Transmissions and Auto Repair, Española
• Alegre Roofing and Construction, Santa Fe
• All Star, Alcalde
• Amigo Promotions, Española
• Aniqua Design & Construction, Santa Fe
• Anne Richardson DOM, Española
• Aquatic Pools, Rio Rancho
• Associated Surveys, Santa Fe
• B&M Excavating, Fairview
• Balloons, Flowers & More, Española
• Black Mesa Plumbing and Heating, Española
• Black Ridge Construction, Ohkay Owingeh
• Bobby Garcia Trucking & Landscaping, Fairview
• Bobby Tainter Trucking, Hernandez
• Bound Lotus, Santa Cruz
• Boutique Las XV Primaveras, Velarde
• Built Right Construction, Española
• C. Bonanna Biscotti, Santa Fe
• C.A.M. Natural Gas Filters, Santa Cruz
• Capulin Plumbing, Santa Cruz
• Carrison’s Construction, Santa Fe
• Center Line, Española
• CFA, Alcalde
• Chacon’s Full Automotive Services, Española
• Chamisa Realty, Inc., Española
• Charlie’s Building Company, Cundiyo
• Chonitos, Fairview
• Comfort Inn, Truth or Consequences
• Commercial Roofing, Albuquerque
• Corner of This & That, Española
• Cottrells Construction and Plumbing, Hobbs
• D&K Development, Española
• DANSigns, Española
• De Colores Lath & Plaster, Santa Cruz
• Detail Masters, Española
• Ding Dude, Española
• Don’s Machine Shop, Española
• E.R. Sena Construction, Española
• East Mountain Survey, Moriarty
• El Correton, Santa Fe
• El Quetzal, Santa Fe
• Electric Connection, Española
• Electric Force, Fairview
• Environmental Remediation Services, Albuquerque
• Española Motors, Española
• Evolution Entertainment Group, Española
• Excel Roofing, Santa Fe
• Extreme Power Electric, Ojo Caliente
• Fairview Wrecker Service, Fairview
• Fine Kinds Records, Ohkay Owingeh
• Flavios Paving, Velarde
• Future Homes Builders, Taos
• G. Greenstreet, Lubbock, Texas
• Gemini Builders, Rio Rancho
• Great Northern Development, Santa Fe
• Greater Española Valley CDC, Española
• Green Acension, Española
• H&A Automotive, Española
• Hair Masters, Santa Cruz
• Handy Home, Española
• HelpNet, Española
• HQ Construction Company, Santa Fe
• III-D General Contracting, Española
• J&S Cleaning Service, Española
• Jett’s Training and Consulting, Española
• JR Construction Consultants, Hernandez
• Judy Gale, Sombrillo
• Julies First Impressions, Fairview
• Kayos Construction and Plumbing, Albuquerque
• L.M.S. Construction, Arroyo Seco
• La Cocina Restaurant, Española
• La Loma Construction, Española
• La Mexicanita, Santa Cruz
• Leafwater Realty, Española
• Lee’s Unique Produce, Española
• Leo’s Tacos y Mariscos, Española
• Little Caesars, St. George, Utah
• Little D’s Construction, Española
• Little Engine, Española
• LJ’s Cleaning Service, Española
• Llanito Mechanical, La Madera
• Los Alamos Construction, Santa Cruz
• Los Arcos Restaurant, Española
• Luis’ Auto Sales, Española
• Manny Serna Agency, Española
• Marcus Construction, Ohkay Owingeh
• Mariscos El Puerto, Española
• Marquez and Son Concrete Finish, Española
• Marquise Homes, Albuquerque
• Martial Arts and Self Defense, Española
• Matilda’s Restaurant, Española
• Meat Market Velazco, Española
• Micelania y Curios Tencha, Alcalde
• Michael W. Wallington, Santa Fe
• Moon Dragon Landscaping, Hernandez
• N.V. Art Creations, Española
• NAM Services, Española
• Neatherlin Homes, Albuquerque
• New Line Foundations, Albuquerque
• New Mexico Lath and Plaster, Santa Cruz
• Norteño Media Group, Española
• Norteño Mortgage, Española
• Northern New Mexico Builders, Ohkay Owingeh
• Northern Power & Lighting, Española
• Ortiz System Integration, Española
• P.L. Expressions, Española
• Paramount Surveys, Santa Fe
• Productive Data Solutions, Albuquerque
• Professional Hair Design, Española
• Professional Image Accounting Services, Española
• Quinstar Satellite, Española
• R-way, Española
• Radar Awning & Reupholstering, Albuquerque
• Radiators Jacquez, Española
• Rainbow Vision Behavioral, Santa Fe
• Raykim Construction, Española
• Recovery Based Solutions, Española
• Red’s Steak House, Fairview
• Rev-Tech, Española
• Reyes B. Dominguez, Santa Cruz
• Rhonda Evenhus, Española
• Rio Chama Lath and Plaster, Española
• Rio Del Oso Surveying, Española
• RM Paving, Albuquerque
• Robert Seeds Towing, Fairview
• Robert Sena Enterprises, Española
• Rock Christian Fellowship, Española
• Rocky Mountain Orthopedic, Española
• Rocky Mountain Youth, Albuquerque
• RSB Electrict, Santa Fe
• RTJ House Painting & Special Coating, Las Vegas
• Rue’s Mechanical P&H, Santa Fe
• RVS Contracting, Alcalde
• Saby & Beto Janitorial, Española
• Salazar Dodge Chrysler & Jeep, Española
• Schutz & Schutz, Santa Fe
• Seeds Towing Service, Española
• Sierra Vista Electric & Builders, Española
• Sky’s Radiator Shop, Santa Cruz
• Solid Rock Café, Española
• Southwest Ignition Interlocks, Albuquerque
• Southwest Style Xeriscaping, Fairview
• Sports Family Hair Care #2, Española
• Steel Your Style, Española
• Subway Sandwiches and Salads, Española
• Sunrooms Plus, Albuquerque
• Tax Busters, Española
• The Drainman, Santa Cruz
• The Printworks, Española
• The Spot, Española
• Total Secure Self Storage, Española
• Total Secure Towing Services, Española
• Towing Inc., Española
• Traveler’s Motel, Española
• Turn 2 Builders, Santa Cruz
• U-Lock-It Storage, Española
• Valley Communications and Security, Fairview
• Water Resources Management Consultants, Santa Fe
• Wescon Construction, Albuquerque
• Westside Heating, Albuquerque
• Wilbert Maez, Attorney, Fairview