HomeMy WebLinkAboutordinance.council.18-24SERIES OF 2024
AN ORDINANCE OF THE CITY OF ASPEN, COLORADO, AMENDING CHAPTER
239 OF THE CITY OF ASPEN MUNICIPAL CODE TO PROVIDE FOR THE
COLORADO DEPARTMENT OF REVENUE TO COLLECT CITY SALES TAX;
REMOVE VENDOR'S FEES; AND TO UPDATE THE MUNICIPAL CODE
CONCERNING TAXES THAT WILL CONTINUE TO BE COLLECTED,
ADMINISTERED, AND ENFORCED BY THE CITY.
WHEREAS, The City of Aspen, as a home rule municipality, collects its own sales and
use taxes pursuant to Chapter 23 of the City of Aspen Municipal Code, and in particular, Chapter
23.32 of the Municipal Code; and
WHEREAS, C.R.S. § 29-2-106(4)(a)(I) requires the Colorado Department of
Revenue to collect the sales tax of any home rule municipality upon request of the
governing body, pursuant to certain conditions, including that the City's tax or
conform to state requirements; and
WHEREAS, pursuant to the above referenced statute, the City can provide that its
sales tax be collected by the Colorado Department of Revenue on standard forms at the same
time the Department of Revenue collects state sales tax on sales made in Aspens and
WHEREAS, Aspen may continue to decide its own tax base, provided it cannot
exempt from sales tax any items that the State of Colorado has not exempted, but may
exempt fewer items than the State of Colorado exempts, pursuant to C.R.S. §29-2-
106(4)(a)(1) and §29-2405(1)(d)(I)); and
WHEREAS, pursuant to the above noted statutes, to enable state collection of City
of Aspen sales tax, the City must make certain changes to its Municipal Code to conform to
the requirements set out in C.R.S. §29-2-105, which changes are reflected in this ordinance;
and
WHEREAS, the dual system of separate collection of state and local sales taxes is
generally regarded by local and multi jurisdictional businesses as complex and burdensome,
and may be simplified by collection of both state and local sales taxes by the Colorado
Department of Revenue on one return; and
WHEREAS, the City otherwise desires to streamline the sales tax collection process
through unifying the City's sales tax return with the state sales tax return, thereby simplifying
the process for vendors and reducing collection costs for the City; and
WHEREAS, the adoption of this ordinance will not create any new tax or tax policy
change directly causing a net tax revenue gain to the City, and therefore no election is
required pursuant to Art. X, Sec. 20 (4)(a) of the Colorado Constitution, see TABOR
Foundation v. Regional T�^ansportation District, 416 P.3d 101 (Colo. 2018); and
WHEREAS, the City also desires to update Chapter 23 of the Municipal Code to
reflect local cigarette tax collection and add Chapter 23.56 in accordance with previous
voter approval obtained through the November 2017 ballot issue 2B and by approval of
Resolution No. 122, Series of 2017,
NOW THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF
ASPEN, COLORADO, that:
Section 1: Chapter 23.32 —Sales Tax of the Municipal Code is hereby repealed and
replaced, to read in its entirety as set forth on the attached Exhibit A, which is incorporated
by reference as though fully set forth herein.
Section 2: Chapter 23.56 —Tobacco and Nicotine Product Tax of the Municipal Code is
hereby added to the Municipal Code to read in its entirety as set forth on the attached
Exhibit B, which is incorporated by reference as though fully set forth herein.
Section 3: Chapter 23.58 — Food Tax Refunds of the Municipal Code is hereby added
to the Municipal Code to read in its entirety as set forth on the attached Exhibit C, which
is incorporated by reference as though fully set forth herein.
Section 4: Section 23.04.010 —General Provisions, Words and Phrases Defined of the
Municipal Code is hereby repealed and replaced, to read in its entirety as set forth on the
attached Exhibit D, which is incorporated by reference as though fully set forth herein.
Section 5: The following additions shall be incorporated into the Municipal Code:
• Section 23.04.050. This chapter shall not apply to Section 23.32 — Sales Tax.
• Section 23.08.060. This chapter shall not apply to Section 23.32 —Sales Tax.
• Section 23.12.050. This chapter shall not apply to Section 23.32 —Sales Tax.
• Section 23.16.050. This chapter shall not apply to Section 23.32 —Sales Tax.
• Section 23.20.080. This chapter shall not apply to Section 23.32 —Sales Tax.
• Section 23.24.040. This chapter shall not apply to Section 23.32 —Sales Tax.
• Section 23.28.100. This chapter shall not apply to Section 23.32 —Sales Tax.
Section 6: The following section for the Municipal Code shall be amended as
follows: Section 23.04.030(b)(1) shall be repealed in its current state and Section
23.04.030(b)(2) shall be renumbered as 23.04.030(b)(1).
Section 7: After adoption by the City Council, the City Clerk shall provide a copy of
this Ordinance to the executive director of the Colorado Department of Revenue at least 45
days prior to the commencement of state collection of City sales taxes. If any portion of
this ordinance is declared to be void or ineffective by a court of competent jurisdiction, it
shall be deemed servered from this ordinance, and the remaining portions shall remain
valid and in full force and effect. The City's officials are authorized and directed to take
all action necessary and appropriate to effectuate the provisions of this ordinance. All
references to Colorado law are to the versions of those laws in effect at the time of this
ordinance was adopted as well as any subsequent amendments thereto.
Section 8: The Municipal Code amendments set forth in this Ordinance shall apply to
all sales transactions occurring on or after January 1, 20250
INTRODUCED AND READ, as provided by law, by the City Council of the City of Aspen on the
8th day of October 2024,
ATTEST:
Nicole Henning, City Clerk
Torre, Mayor
FINALLY, adopted, passed and approved thi3 any of
ATTEST:
vVl`
Nicole Henning, City Clerk
APPROVED AS TO FORM:
ames R. True, City Attorney
Torre, Mayor