Chamber exec rents room without license or paying TOT
By Kathryn Reed
Lake Tahoe South Shore Chamber of Commerce Executive Director B Gorman and her husband have been renting the lower portion of their South Lake Tahoe home without a business license and without paying transient occupancy tax.
When reached Sept. 7, Gorman said it was “pretty much friends and friends of friends” who stayed at their house.
But then why advertise the fully equipped downstairs apartment on a website? The reviews on the Airbnb website read more like people who don’t know the Gormans.
Gorman wasn’t on the phone long enough to ask her why she doesn’t have a business license or why she doesn’t pay TOT.
“I’m not going to have this conversation with you,” Gorman said. “We are not going to dabble in it (meaning the rental) and that’s all I’m going to say.”
The reason this is an issue is that as head of the chamber she advises people how to operate a business. One thing she tells people is to get a business license. The chamber sells people a packet of information about how to open a business on the South Shore. Gorman meets one-on-one to advise people how to open a business.
Gorman is violating the law according to Chapter 28A of the South Lake Tahoe City Code Vacation Home Rentals ordinance which says, “No owner of a vacation home rental shall rent that unit for 30 consecutive calendar days or less without a valid vacation home rental permit for that unit issued pursuant to this chapter.”
Part of the ordinance also says owners are required to have, “Evidence of a valid transient occupancy tax registration certificate issued by the city for the vacation home rental.”
Christi Bozes in the Finance Department said the Gormans don’t have a business license or a vacation rental permit and there is no record of them ever paying TOT.
In the terse and short conversation Gorman had with this reporter she said they no longer plan to rent out the house. The listing on Airbnb was up the morning of Sept. 7 and down that afternoon.
According to Airbnb’s website, it “is an online marketplace allowing anyone from private residents to commercial properties to rent out their extra space.”
Patrick Atherton, president of the chamber board, knew nothing of Gorman’s second source of income until Lake Tahoe News called.
“I had no idea. I will research a little more and go from there. I am completely unaware,” Atherton said.
Here are some reviews on Airbnb about the Gormans’ fully equipped lower residence:
From Dec. 26, 2009, “This was our first time using airbnb, and these hosts set the bar high.”
From July 6, 2010, “suite accomodations at hotel prices. added bonus: great location with water/mountian views. already planning a return trip. note: this was our first experience with airbnb; it definetly won’t be our last.”
From July 15, 2010, “We can only say that all the wonderful things previous reviewers have written about B and Jim’s place and their hospitality is just scratching the surface.”
From Sept. 4, 2010, “We have a very nice stay with Jim and B. The place is beautiful. Jim and B were very friendly and helpful. We highly recommend them.”
Ms. Gorman, a resignation is in order. As one who preaches doing the right thing for our community your violating the law is intolerable. We would not want other businesses hiding taxable income from our already cash=poor community. Poor leadership for Lake Tahoe B!
Isn’t the TOT what funds her agency and pays her salary… She should be fined and ordered to reimburse retroactive unpaid TOT. The law applies to all, including those who run the chamber. What hypocrisy.
Poor B. Don’t pick on Bea. I’ve heard alot of businesses up and down the Blvd don’t have licenses. If you ask me you should be picking on the person at the city not doing their job – making sure licenses are issued and current. I’d bet there are people on that non-paid list that would make your hair stand up.
Is her property a legal duplex? Code enforcement should check this out! South Tahoe Refuse should check this out also, because they charge more for a duplex as does STPUD. Publish the address so STPUD can check them out.
Way to go Kae! The Trib. would never uncover something like this. ‘B’ arrogantly lectures others on how to run their business and she can’t abide by the laws when running her own. The friends of friends excuse is lame and irrelevant!
And again, ‘B’ is always willing tout her vast experience and knowledge when speaking condescendingly to John Q. Public! But I guess ‘B’ is either dishonest or lacking in knowledge of the law? Which is it?
How did they think they would get away with this? Very sad when people in charge set a bad example. It also hits our city in the pocket book. Love the reporting!
Can the Lake Tahoe News publish a way to report other unlicensed vacation rentals?
There are several in my neighborhood.
Way to go, Kae!!
The city should certainly be looking at the web sites VRBO, Tahoe Cabins, and all the other online vacation rental sites to cross check if those addresses are licensed rentals. It’d be SO easy and they’d probably bring in a good chunk o’ change.
Having served many years on Board of Directors os Chamber, Problem is easy to s0lve. SHE IS GONE
Caught with pants down and no one liked her view……….lol.now get the rest those law breakers.
I’ve worked with B on many projects and have always been impressed by her knowledge, energy and ability to implement projects and ideas against the many odds that face a progressive individual on the South Shore.
I hope that this can be resolved. Also remember we’ve all made some money and didn’t mention it to Uncle Sam.
In addition to the TOT issue, what about all of the vacation rentals and lodging properties that pay membership dues to the Chamber for which B is President? Her job is to promote and refer Chamber businesses, not open and operate an illegal business that is in direct competition with the reputable, legal businesses in our town.
It’s one thing to sneak around and break the rules, it’s another to be one of the rule makers. I don’t know what she was thinking!
I do ……………FREE MONEY, NO TAXES,NO REPORTING,PAY THE BILLS “SCREW THE REST OF YOU”..
Time to look for a btter person for that Job.
SLTBizGuy you said, “we’ve all made some money and didn’t mention it to Uncle Sam.” Are saying that all Americans are tax cheats? Also, are you admitting that you have cheated on your taxes? What does that say about your character and ethics?
America’s beloved Benjamin Franklin said it best. “In this world nothing can be said to be certain, except death and taxes.” But Ben would be wrong today. He would have to amend his aphorism, adding “except for public officials who think the laws don’t apply to them.”
Cool Breeze. Your saying you have reported every tip, paid sales tax on your garage sale or items you sold on Craigslist, tracked your winnings at the casino and paid tax when you turned your $20 into $22.50?
I’m saying no one is perfect and “B” has done SO much for us, probably more than you will ever realize and should not be chastised for 1 screw up. So few people are willing to step up to the plate in this town and even fewer are looking to do anything but exasperate the problems we have by spewing negativity and blame.
B Gorman suffers from the belief she is better and different than anyone else. SLTbizguy says B has done so much for the town, maybe. But you’re wrong about it being 1 screw up. Failing to play by the same rules as others who are in business while touting how better and smarter you are than everyone else isn’t a screw up. That is purposely hiding income from local agency in secret because you think you’re above it all. If I recall, I remember the Chamber got very involved in the vacation home rental issue meaning she would know better than most what the rules are.
It’s not negativity or blame, its simply true or not true. Plenty of people in town talk about the good work of the chamber and in the same breath talk about how B’s attitude and how to avoid it.
The city needs to treat her the same as everyone else who doesn’t pay, fines penalties, close the shop.
So, a woman who violates the law is going to interview the future police chief next week?
She should NOT be allowed to interview the finalist police chief candidates. This is a serious matter. Pull her off that panel immediately.
SLTBizGuy what???? Even if she’d done anything for this town, and that’s a big IF!, this isn’t one minor indiscretion!! This is a blatant violation of the law and rules that apply to business and “Commerce” in our community! So I think there’s something wrong with her being the head of, follow me here, The Chamber of Commerce!
And what has she done? Business is bad all over, but it’s extra bad here-note our 17% unemployment, w/ CA at ‘only’ 12.5% and NV at ‘only’ 14%. So besides breaking the Laws of Commerce, I don’t see where she’s helped our community’s commercial climate?
For this story Kae was the publisher, editor, reporter, judge, jury and executioner.
To SLTBizGuy …. oh wise-one please tell us all that “B” has done for us. How about that great lease she got on the chamber building. What a joke.
Another example of the good ole boys “do as I say, not as I do” approach. Bea Gorman is another Chamber, Duane Wallace clone, and has to GO! Maybe she and Grego can carpool out of town. The constant examples of malfeasance, corruption, and blatent self interest put forth by the leaders of our community have destroyed the publics faith in local governance and they need to resign!
tahoe freedom,your right.