Rosarito Informs Expats About Future Plans

Several representatives from the City of Rosarito met with the local citizens at the monthly FRAO (Foreign Relations Attention Office) breakfast meeting in November to discuss the future of Rosarito. The commissioners are taking opinions from foreign residents on matters that affect them. Mayor Mirna Rincon has made an effort to consult with foreign residents during her term in office, seeking their opinions on matters that would improve Rosarito. Known as the “Urban Development Program of Playas de Rosarito,” the effort is only in its initial stages, and the results of residents’ opinions today will make a difference in the in the direction of Rosarito’s short- and long-term future.

The survey is available online in Spanish at www.implanrosarito.mx. To obtain a copy in English please contact the FRAO office via email at FRAO@rosarito.gob.mx or through their Facebook page. The City would like to collect everyone’s response before the Christmas break, so get a move on! The City wants to hear from you.

Representatives from IMPLAN (the City Planning Commission) and COPLADEM (Committee Planning for Municipal Development) gave presentations on the future of Rosarito. Mayor Rincon was unable to attend, as she had her hands full with a few new “arrivals’’ in town. It was her wish to “put in touch the foreign community with the government of Rosarito, and vice versa.” But she has placed great importance on making Rosarito comfortable for Mexican and foreign residents, and that all cultures are to be celebrated. The security of Rosarito’s residents is of utmost importance, but there are other areas of concern.

The City, State, and Federal entities have a planning framework equal to the Constitutional extents of government; City is three years, with State and Federal being six-year terms. These are all short term planning periods. Urban development plans and programs have a planning framework of 15 – 20 years, exceeding the periods of all elected officials. This is sometimes where projects get a bit screwy. Let me direct your attention to the Machado Bridge. I’m not sure where the current “plan” came from, but I saw a rendition many years (and two mayors) ago, and the site showed a beautiful Los Angeles style cloverleaf of on and off ramps… totally maneuverable.

About that bridge… at this time the City is waiting for the State and Federales to fix the bridge, its ramps, and bring the whole area up to safety code. The Mayor and the City of Rosarito will not accept the bridge until everything is fixed and made usable, including handicap accessibility. The importance here is that the City does not want to be held liable legally for problems associated with the bridge. This is what the “hold up” has been; a big stalemate.  In the meantime, the City is being punished and people are getting hurt with the mismatched road markings and directions.

Other problems cited by residents were the deplorable shape of roads in the Primo Tapia/La Mision area of the city and the green plastic headlight-diverting barriers set up between Rosarito and Puerto Nuevo. Any roadway, signage, or traffic concerns may be directed to City Hall and the Roads department, or by contacting the FRAO office.

Regional and State planning include the planning for the two basic areas of Rosarito, the Playas de Rosarito Urban area which is about 27% of the physical area, and the Primo Tapia Population Center, including a new side bridge, which is basically everything south of the ‘’city’’ and incorporates the remaining 71% of the “suburban” zone. I’m not sure what happened to the remaining 2%…just blame it on the New Math.  On the horizon is a new branding of the Primo Tapia area, “Rosarito South”, which will be receiving upgrades in the future (one of the long-term plans). And in case you are wondering, the City of Rosarito includes six districts, 19 sectors, 69 boroughs, and 116 neighborhoods. A detailed map is available in the Planning Office, but it is nearly impossible to decipher.

The City’s new policies are focused on population growth, which globally could potentially double by the year 2050. Currently there are nearly two million inhabitants in the Tijuana area (which includes Rosarito), and another 3.2 million in San Diego, which means over five million people in the bi-national metropolitan area.

The Rosarito administration unveiled 17 Sustainable Development Goals of the New Urban Agenda, which include focus on the family unit, food production, education & literacy, intelligent urban planning, and sustainable power sources. Human principles being focused on include equality, democratic transparency, urban safety, accessibility and environmental sustainability.

Renters Beware: Baja Tom Does It Again

Over the last 3 years we’ve had about 7 people contacting us regarding problems with rent deposits not being given back after contracts are over. One of those people was so angry and felt so frustrated that decided to pay us to publish an ad in the paper for a couple of editions, since we’ve heard about this problem before we decided to keep printing the ad for free. The ad is still being printed in the classified section of our paper.

Today we received another complaint from another tenant, a lady that claims to have given notice to him that he was leaving the house on January before Tommy Springer just went ballistic on her, this is her original message on social media:

“Many of you know Tom Springer… I just told him January will probably be my last month in a rental… Hes giving me 24 hours to vacate before he comes in and changes locks, poisons my dogs, and takes off with my deposit and rent. I know rights are very different here… Does anybody have any advice??”

We’ve heard everywhere about Tommy’s victims in La Mision, we’ve written about it before and will continue to do it to try and help other people from falling victims to his scam.

He always refuses to give back the deposit by plain lying to people, saying he will get them their money whenever the property gets rented, which of course is not true.

In the latest complaint we got the tenant stated that Tommy threatened to hire guys to rape her. That’s typical from him. When we printed the “Renters Beware” ad on this newspaper, Tommy called and said he was going to murder the publisher of this paper stating that he knew the car he drove and his even his VIN number.

If you’re one of his victims or know someone that is, we highly recommend to go over to the police station and file a report for threats, it will not get him arrested but if we can get enough people to file reports he could sure get himself deported from Mexico.

FRAO Office Brings Charities Together

Representatives of several of Rosarito’s charity organizations gathered together in the last FRAO (Foreign Residents Assistance Office) meeting to speak a few words regarding their functions. Robin Gunther was concerned that Rosarito’s 2012 Animal Law was not being enforced, which stated that tiny puppies would no longer be sold along the roadside. Baja California Spay & Neuter educates children in animal care, so that they are more aware of how to treat dogs and cats. To this date more than 20,000 animals have been spayed or neutered by this organization, and they receive no money from the City.

Susan Smith informed all about the Flying Samaritans mission to provide health care to over 300 persons a month who cannot obtain health care anywhere else. All doctors and volunteers are just that, volunteers. All money is from memberships, donations, and special events. Jackie Alameda mentioned that the Annual Baja Blues Fest provides funds for education, food, and transportation to many of Rosarito’s children. They also help with documentation for those deported into Mexico with no identification paperwork.

Jim Henshaw, soon to be elected to President of the United Society of Baja California (USBC), identified this group as being the hub of charities for the Rosarito area, and that the Society supports two students in medical university at this time. Mary Moreno, president of Cruz Roja Voluntarios Americanos of Rosarito described that all money received from the Rosarito Thrift Store goes to the Rosarito Cruz Roja Hospital and ambulance service and have just expanded the size of the store. Jeff Failing of Rosarito Sister Cities informed everyone that Sister Cities has been around since President Eisenhower’s creation in the 1950’s, and fully operated by unpaid volunteers, supplying police cars, vests and accessories to the police department, and books to children, pairing Rosarito to Cities in the US and around the world.

Dolly Duff took a few moments to introduce everyone to the DACA Dreamers Assistance Project that focuses on women and young adults who have been deported into Mexico with absolutely nothing, including identification, but primarily asks them to voluntarily deport themselves; and offers them housing, mentoring, job placement and skills to allow them a life in Mexico until they can legally return to the United States via Visa in the future. Mavourneen O’Brien mentioned a few words about the Club de Ninos y Ninas who supervise about 80 children aged 6 – 12, in the afternoons who have no other supervision. Volunteers with a hobby, talent or passion to share are encouraged to spend an hour a week sharing this entity with the children. They are now totally solar-powered.

FRAO meets every month, 10 am on the third Thursday at the Calafia Titanic Room (except December). The FRAO office is located on the ground floor of City Hall, room 108, open Monday – Friday, 8am – 3pm; 661-614-9600, ext. 1080. The office can help you with services including obtaining a driver’s license; residency, answer legal questions, and solve problems.

One of the main motives for this assembly was for foreign residents to complete a five-page survey entitled the “2018 Public Consultation.” Questions covered the topics of development in housing, business, government, and other factors. The survey is available online in Spanish at www.implanrosarito.mx. To obtain a copy in English please contact the FRAO office via email at FRAO@rosarito.gob.mx or through their Facebook page. The City would like to collect everyone’s response before the Christmas break, so get a move on! The City wants to hear from you.

Santas Needed!

This is the time of year to be thinking about giving. If you are still looking for a group worthy of your hearts and thoughts this holiday season, please consider adopting a Kumiai (Kumeyaay) or other local family for Christmas. There are 65 families in the Kumiai community, an Indian reserve one hour into the hills above La Mision, and so many other families also in the hills that have no one to think about them.

Food boxes will feature chicken, fresh produce (purchased the day before delivery), and dry goods, priced at $20. Blankets are $10. Or you can make up your own gift box of food, goods, and gifts, and bring to one of the drop off locations. In return, you will receive a Christmas Thank You card and photo from the family you have helped. You are even invited to accompany Sara and group to San Jose de La Zorra to deliver the holiday gifts.

The deadline is near! The last day to adopt a local or Kumiai family is December 10! For additional information, contact Sara Vega at 661-850-4855 or email to saraenmovimiento@hotmail.com, or contact her on Facebook on either of the pages “Sara Vega” or “Sara.enmovimiento.”

There are several ways to donate to this philanthropic cause: Cash donations may be made through PayPal by contacting Sara at her email address. Or you may make a donation at any local OXXO, into the account 4766-8403-0084-5794. Save your donation receipt and send a photocopy to Sara so she knows whom to thank.

You may donate non-perishable food items, blankets, jackets, or any other winter-related item to either Charley’s Place (k 37) or Betty’s Burgers (on the boulevard just south of the 7-11 / cuota on and off ramps.

Anyone wishing to join the caravan to the Kumiai camp, contact Sara Vega ASAP for cabin reservations, instructions, and logistics of the trip.

The need of the people is great and varied. If you are building your own donation box and in need of suggestions, please contact Sara. Merry Christmas!

Watch out for those Santa Ana winds

Health authorities from Baja are recommending staying at home when Santa Ana winds are active. Problems in the respiratory tract, eyes and skin have been reported during the winds, and thus they are recommending staying home with doors and windows closed.

Dr. David Perez, chief of medical services, stated that these winds affect the health because they carry a lot of dirt with them because of the severe dryness. He also recommended to stay away from street food during this condition, as it can get easily contaminated by pathogens in the wind and can induce gastric diseases.

Perez emphasized the importance of drinking enough water and making sure house pets have enough clean water, which should be changed more often to avoid having them drink contaminated liquids.

Fish Report

Tijuana Bull Ring

Local action has been slow recently — not many bonito or bass, and just a fair number of little rock fish. Out west in the flats, however, the skipjack fishing has been great.

Coronado Islands

After a month or so of very little action, the 10- to 15-pound yellowtail are back on the bite.

The word we have is that yellowtail were seen on the rockfish area just to the NE of North Island and were taking the 6x jr., 6x and 7x yoyo iron, fished on 40- to 50-pound monofilament. Scrambled egg and blue/white were working well also.

Along with the yellowtail, a bunch of 4- to 6-pound bonito were seen spread out along the weather side of North Island.

Offshore

Captain Louie Prieto shows off one of the better-quality sheepshead caught on a recent outing.
Captain Louie Prieto shows off one of the better-quality sheepshead caught on a recent outing.

Below the 425 / Upper Hidden & Hidden Bank

This zone continues to be the best bet for yellowfin, with the most productive area being below 32.06, down in the Upper Hidden Bank area.

There is a temp break running east/west at that number. Temps are below 68°F, and to the north of it as well as 68°F to 69°F to the south.

The yellowfin, skipjack, yellowtail and dorado have nearly all been kelps now with not a lot of open-water jig stops happening.

The average-size yellowfin has been small, mainly from 6- to 10-pounds, with a few up around 20-pounds. The skippies were in the 5- to 8-pound range. The yellowtail have been little rats, from 1- to 3-pounds and the dorado have been small as well, from 5- to 10-pounds.

Lower 9 / Coronado Canyon / 425 / Upper Hidden / Hidden Bank

A couple of boats went exploring and checked out this area today. They didn’t find a lot of fish — in fact, most of the area was a barren desert, but they did find a couple of kelps which produced good numbers of yellowfin and skipjack along with a sample of rat yellowtail.

295 / 238 / 450 / 1140 Finger / Lower 500

Still the location where the biggest scores of yellowfin were coming from, but with a catch: 95% are on kelp paddies.

Easy limits of 6- to 35-pound yellowfin, along with some skipjack, yellowtail and a lone dorado were caught recently.

Most of the area is a desert now as well, with lots of dead water; but be sure and check out any kelp or any dolphin you run into, because these could be holding yellowfin.

Ensenada

Captain Louie Prieto checked in, reporting that for the last couple of weeks, yellowtail fishing has been spotty, but the big bonito and bottom fish have been biting full speed. Water was 63°F to 66°F inside the bay and has been flat and calm most days.

Several high spots at Bahia Salsipuedes were producing sand bass to 7-pounds, reds and chuckleheads to 5-pounds and one nice 23-pound sheepshead on a large root beer colored scampi tipped with squid. Best action was in 120- to 150-feet of water for all the bottom fish. There were several nice bonito on blue and white salas 6x jr. between Punta Pescadero and the Gas Plant. No birds were working anywhere in the bay, but when bait was found on the meter, the bonito have been found as well. Also, lots of bonito are reported a couple of miles inside of the southern end of Todos Santos Island. None of the deeper “go to” spots seem to be holding any yellowtail yet. Only a matter of time until they show. Live bait is not available until probably April, so bring squid.

San Quintin

Only a few groups recently. Troy Hutton, plus some amigos from Lake Arrowhead, Calif., found excellent action fishing aboard Captain Kelly Catian’s 25-foot Parker Offshore III, scoring a mix of yellowtail, big red rock cod and lingcod.

Bahia de Los Angeles

Currently, in a November tease mode with nice weather and only moderate breezes in the afternoons, most if not all the yellowtail action was dropper loop stuff, fishing at depths of 200-feet or so around the Islands. Cabrilla, grouper and pargo was also in the mix closer to shore. So far, north winds have not cranked up to full winter mode.

Mary Moreno, CR Rosarito President; Contractor, Luis Boroquez; Maricella Maciel, Hospital Representative; and Board members Terry D’Angona and Jerry Allen.

Cruz Roja Rosarito Thrift Store Expands

The sign in the store reads “Come in – we are awesome.” And they are — the Cruz Roja Voluntarios Americanos of Rosarito at the Rosarito thrift Store want you to know that they are going through a bit of an expansion in the next few weeks, but are still open for business!

In October, the Cruz Roja Voluntarios Americanos presented a check to Servicio Boroquez to start work immediately on a new storage room . With the Cruz Roja Hospital’s blessing, about 100 square feet of storage space will be added to the west side of the existing thrift store. The new space will be used to house items being stored for special events, such as the Dama’s Christmas Bazaar, and the Annual Cruz Roja Fashion Show.

By moving the “special items,” more space will become available for the volunteers to process donations of housewares, clothing, and books, and to place them in the shop for sale quickly. The Thrift Store runs on minimal overhead so that more of the money gets to the hospital, which responds to more than 300 emergencies monthly.

The expansion was introduced to the members at the monthly general meeting, and was met with full support. The Thrift Store is open Monday through Saturday, 10 am – 3 pm. Annual membership is a mere $20 per person, and the benefits include a 10% discount on Cruz Roja hospital services, and a 50% discount on ambulance trips to the US border. General meetings are held on the second Thursday of the month at 10 am at Popotla Restaurant. If you have large items, you may even call for a pick up: 661-623-3455.

Rosarito Calendar Of Events

Every Monday through Thursday, 9am – 12pm; Pickleball at Punta Azul Tennis Center. Cos: $1 court fee per person per day. Organized by Robert Canaan. BYO paddle and ball. Information: Facebook.com/ Rosarito Pickleball

Every Sunday 4 pm. Cultural Sundays in the park. Local Mexican and American dancers and musicians.  At the IMAC in Abelardo L. Rodriguez park, west of Banamex. Facebook IMAC Rosarito. Free.

Every Sunday 2 – 4 pm at the IMAC Central Park (behind the Banamex on Juarez) Dancing for seniors. Salsa and merengue (among others) tunes designed to not throw out a hip. www.facebook.com/IMAC Rosarito

Second Sunday of every month, Pet sterilization by the Baja Spay and Neuter Foundation at the Centro de Diagnostico Clinico Vetrinario, ave. Queretaro #2331-3, Col Cacho, Tijuana. 200 pesos, 661-124-3619, or Robin at www.BajaSpayNeuter.org.

Last Sunday of every month, Jewish Chavurah. Gordon Kane – gordonmkane@gmail.com.

Every Monday, 10:45 am, duplicate bridge at Baja Gold Bridge Club, KM 42 at the Rosarito Beach Christian Church. bajagoldcoastbridgeclub@gmail.com.

Every Tuesday – Rotary Club meets at Rosarito Beach Hotel. 664-376-2620.

Every Tuesday 10am to 11am.  Chair Yoga – Rosarito Wellness, Healing, Living at IMAC Park, room 1 in Rosarito (behind Banamex). Improve Balance & Coordination.  Receive all the benefits of yoga in a gentle, Healing, Meditative yoga class where a chair is used for support and balance. Bring water, small towel and comfortable clothing. Instructor: Erendira Abel, Certified Holistic Health Specialist. $5 per class, paid at beginning of month. For registration and location:  (661) 614-6036 Mexico or (619) 632-2965 US. Email: wellnesshealingliving@gmail.com

Every Tuesday. 9:00 am. Board Meeting for Yo Amo Rosarito at Ortega’s Buffet. See what events are under consideration or volunteer to help plan and run upcoming events.

Every Wednesday, 7:30 – 9:00 am; Tai Chi classes with certified instructor Eugenio Encinas at Galeria Fausto Polanco Rosarito. 350 pesos per month. Alyce: 664-368-6733; Alberto: 661-125-9191.

Every Second Wednesday (except December). 10 am. Friends of the Library meeting at main library of IMAC building next to Abelardo Rodríguez Park. Promotes reading and literacy in Rosarito. www.friendsofthelibrary.com.mx. 661-612-3659.

Second and FourthWednesday, 1 pm; Cruz Roja Primo Tapia Bingo at El Pescador Restaurant. 6 games/ 2 cards for $5. Reduced price menu; Jamesphausmann@gmail.com; 1-623-217-9795.

Every Second Wednesday OR the Wednesday prior to the Second Saturday (except December); Flying Samaritan’s General Meeting at Rene’s Casino (k28) at 1:30. Come early and enjoy lunch! www.flyingsamaritansrosarito.org; Susan Smith @ susansmithz@hotmail.com; US: 1-858-240-2360; MX: 661-100-6066.

Every Third Wednesday, 10 am, Meeting of Rosarito Sister Cities at City Hall, Fojadores Room, 2nd floor. Information and RSVP: FRAO@Rosarito.gob.mx.

Every Third Wednesday (except December) 1:00 – 4:00 pm, Flying Samaritan’s Outrageous Bingo at Popotla Jr. Restaurant (across from El Nino), Food and Drink specials; free parking behind restaurant; Six games, 4 cards for $10; Karen: kajomc@yahoo.coojm; (US) 1-818-515-0067l (MX) 664-609-3419.

Every Last Wednesday, 11:30 am, Wellness Wednesday Workshop “Intentionally Aging Gracefully” with Erendira Abel at IMAC a Abelard Rodriguez Park (behind Banamex). $6, and pre-registration is required. Info: wellnesshealingliving@gmail.com; (US) 1-619-737-2453, (MX) 661-614-6036.

Every Thursday. 8:30 am. Local Board of Realtors (APIR) meets at Oceana Grill. Good place for buyers or sellers to find a Realtor

Every Thursday, 10:30 am, Learn Spanish “Naturally” with Erendira Abel at Rosarito Beach Christian Church. $5, and pre-registration is required. Info: wellnesshealingliving@gmail.com; (US) 1-619-737-2453, (MX) 661-614-6036.

Every Second Thursday. 10 am. Cruz Roja Volunteers, Rosarito Chapter General Meeting at Popotla Restaurant. www.cruzrojarosarito.org.mx; President: Mary Moreno, miqueridomx@yahoo.com.

Every Third Thursday. 10 am. General Meeting for FRAO, Foreign Residents Assistance Office. Open to the public. Calafia Hotel.  Speaker’s presentation. FRAO@Rosarito.gob.mx.

Every Fourth Thursday of the month, 12 pm, Baja Babes, the Rosarito Chapter of the Red Hat Society for ladies over 50 monthly luncheon. Each month a different restaurant. margit@prodigy.net.mx.

Every Friday. 4pm.  Spanish class main library, by IMAC, in Abelardo Rodriguez park behind BanaMex. Free but donation appreciated.

Every Saturday, 10:00 am at IMAC Central park. Chess for all ages. www.facebook.com/IMAC Rosarito.

 Every First Saturday. 10 am. United Society of Baja California (USBC) general meeting at Casa Blanca Restaurant, Rosarito Beach Hotel. Good info for the English speaking community of charitable, community service and social organizations. www.unitedsocietyofbaja.org. 661-614-1113.

Every First Saturday. Noon-sundown. Open Studio Art Walk, a free tour of galleries in Rosarito Beach Hotel commercial center. Meet artists at work in their studios. pacothepainter@hotmail.com

Every Third Saturday. 1pm. USBC, United Society of Baja California, monthly potluck dinner, at La Maroma sports bar, across from Burger King. Different theme every month. Usually live entertainment. Free. Membership $20 per year.

Every day but one day at a time AA Grupo Gringo meets daily #16 Mar Meditteraneo (two blocks behind Del Mar Beach Club). Saturday, 3:00; Sunday, Monday, Thursday: 10:00 am; Tuesday, Wednesday, Friday: 6:00 pm.  Additional meetings in Cantamar (just south of the footbridge) Tuesday and Friday, 10:00 am.  661-614-1678.

November 16, Friday, 9 am – 4 pm; 11th Biennial Baja California Photo Contest and Exhibit at CEART Rosarito. For rules and information of submitting photos, go to Facebook.com/ CEART Playas de Rosarito. 661-100-6338.

November 21, Wednesday, 6:30 pm; Author Karla Contreras presents her novel, “Dios Quiere Hablarte” at CEART Rosarito. Free. 661-100-6338. Facebook.com/ CEART Playas de Rosarito.

November 22, Thursday; Thanksgiving Dinner at Bobby’s By The Sea (k 43); 3 seatings: 2:00 – 4:30 pm, 5:00 – 7:30 pm, or 8:00 – 10:00 pm. $14.95 includes turkey, all the sides, pumpkin pie, and welcome champagne. Reservations required! www.bobbysatk43.com; 661-114-6278.

November 22, Thursday, 3:00 AND 4:00 pm; Thanksgiving Dinner at Popotla Restaurant. $14.50 includes Turkey, all the sides, and pumpkin pie. Reservations required. 661-612-1505.

November 22, Thursday, 2 – 4 pm; Thanksgiving Potluck at Magana’s Tacos, Primo Tapia. Turkey will be provided. You bring a side to share. Facebook.com/ Maganas Restaurant Bar.

November 24, Saturday, 9 am – 4:30 pm; “Encuentro de Industrias Culturas y Creativas 2018” at CEART Rosarito. Featuring Paolo Mercado Espinoza and Arturo Sastre Blanco. $400 pesos. Facebook.com/ Encuentro de Industrias Culturales y Creativas.

November 25, Sunday, 11 am – 2 pm; Battle the Bartender Bloody Mary Contest at Magana’s Tacos. Information: 01-646-155-0586. Facebook.com/ Maganas Restaurant Bar.

November 27, Tuesday, 8:30 am – 12 pm; 3rd Annual Feminine Culture Conference at CEART Rosarito. Subjects include personal safey and security, domestic violence, and more. Information: mcfrosarito@gmail.com or 661-850-5957.

December 2, Sunday, 2 – 6pm; Dance Party at Tempest Trading, (k 40.5). Free. DJ playing rock & roll, disco, blues, and more. Facebook.com/ Tempest Trading Baja.

December 5, Wednesday, 1 pm; Flying Samaritan’s Annual White Elephant Gift Exchange Luncheon. Bring a $20+ gift to swap. Donation of $15 includes luncheon. RSVP: susansmithz@hotmail.com; 661-100-6066 (MX); 1-858-240-2360 (US).

Mexican Land Trusts, Big IRS implications

I was intrigued by a recent presentation by a Mexican bank on the subject of Fideicomisos (land trusts). By way of a quick primer, ownership of real property in the “restricted zone” (100 km from borders, 50 km from shore) by a foreigner must be done through a Fideicomiso.

As it turns out, Mexican banks have a monopoly on this Fideicomiso business. The bank’s role is to hold the title to property on your behalf. One can direct the disposition of the property; sell, give away, or otherwise encumber the property. ‘Fidos’ are good estate planning vehicles from the Mexican perspective. At death, the property is transferred via the trust, perhaps a more efficient mechanism than Mexican probate.

Some banks appear to be pulling out of the “fido” market. When I asked why, I was told there is increased emphasis on anti-money laundering compliance by bank regulators, which to me means there may be a new spotlight on this market segment.

One of the reasons I attended was to see how much awareness there was on the part of bank officials on the federal income tax aspects of Fidos.  None. Zilge-ola. That means you, the person who may need to enter into a fido to own property, must pay special attention, because the bank won’t tell you.

Here’s the rub. What may work from a Mexican perspective may be sheer disaster from a U.S. tax perspective. Properly structured fidos (meaning they meet IRS requirements) are deemed to be “disregarded entities,” and the IRS will not bother you. When they are not, they become IRS ‘radioactive’. They become reportable foreign trusts. Every time there is an IRS reportable ‘anything’ you have better had done it right from the beginning.

“Good” fidos have only one property in them.  At the presentation it seemed like it was common to add more than one property per fido. Again, ok from the Mexican point of view, but runs afoul of IRS ‘safe harbors’. In fact, bank officials later confirmed they gladly would add properties to an existing fideicomiso, for a fee.

Another trait of “good” fidos:  They do nothing but hold title to property. Be wary of the bank doing other things for the property; managing it, paying taxes or other things. The IRS does not like that.

Food for thought:  New owner, new trust, or just substitute the name? Does one inherit the federal tax troubles of the last fido owner?

Orlando Gotay is a California licensed tax attorney (with a Master of Laws in Taxation) admitted to practice before the IRS, the U.S. Tax Court and other taxing agencies.  His love of things Mexican has led him to devote part of his practice to federal and state tax matters of U.S. expats in Mexico.  He can be reached at tax@orlandogotay.com or Facebook: GotayTaxLawyer.  This is just a most general outline. It is informational only and not meant as legal advice.

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