Dec. 28--The owner of the former Quality Inn said the check is in the mail to Howard County officials for payment of past-due innkeeper tax receipts.

New owners purchased the hotel, located at 1709 E. Lincoln Road, in October, changed the name to America's Best Value, and paid $10,000 of the amount owed. But since Halloween, no additional payments have been made.

"I thought we would have received the rest of the money by now," Treasurer Martha Lake said.

According to Lake, the new owners said the owed taxes would be paid by Dec. 14.

"When we didn't receive the payment, I turned it over to attorney Jeremy Peelle to either collect the money or file a lawsuit," she said.

Niraj Patel, owner of the hotel, said Thursday the remaining amount owed should be paid next week.

"The check is being mailed today," he said. "There was some mismanagement taking place that I needed to straighten out. Full payment will be made in the next couple of days."

Lake said the hotel owes 14 months in back taxes. The Quality Inn had been paying between $2,000 and $2,500 per month in innkeeper's taxes collected from overnight stays.

There is a remaining balance of approximately $20,000 plus interest and penalties.

Patel said he has already talked with Peelle.

No other Howard County hotel has ever missed a payment, according to Lake.

Lake said in October the new owners requested an additional two weeks to conduct an audit of the hotel's books after making the $10,000 payment.

State law requires a 10 percent penalty be assessed on any unpaid balance.

Concerning the penalty amount, Lake said the county may opt to reach a settlement with the new owners.

The revenues from the 5 percent innkeeper's tax is used by the Howard County Convention and Visitors Bureau to make payments on bonds used to finance the purchase of the Johanning Civic Center and pay for operating expenses.

Ken de la Bastide can be reached at (765) 454 -8580 or via e-mail at ken.delabastide@kokomotribune.com

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