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HomeMy WebLinkAboutordinance.council.16-25ORDINANCE NO. 16 SERIES OF 2025 AN ORDINANCE OF THE CITY OF ASPEN, COLORADO, AMENDING CHAPTER 23 OF THE CITY OF ASPEN MUNICIPAL CODE TO UPDATE THE SALES TAX RATE FOR SUPPORT TO THE ASPEN SCHOOL DISTRICT NO. 1 (RE) AS A RESULT OF THE NOVEMBER 04, 2025, ELECTION RESULTS. WHEREAS, the City of Aspen, Colorado, (the "City"), is a home rule municipality, organized and existing under Article XX, Section 6 of the Colorado Constitution; and WHEREAS, the City Council is authorized pursuant to Section 5.� of the Aspen City Charter, on its own motion, to submit questions to a vote of the electorate; and WHEREAS, the election Constitution requires that certain election, biennial local election or on provision of Article X, Section 20(3) of the Colorado financial ballot issues be decided only in a state general the first Tuesday in November of odd numbered years.; and WHEREAS, Council, via Resolution 116, Series 2025, did place the following question on the ballot to the electorate on November 4, 2025: City of Aspen Ballot Issue 2A —Tax Increase fog Public Education SHALL THE CITY OF ASPEN TAXES BE INCREASED $4.75 MILLION IN 2026 AND BY WHATEVER AMOUNTS AS ARE GENERATED ANNUALLY THEREAFTER BY IMPOSING AN ADDITIONAL CITY SALES TAX AT A RATE OF .30% EFFECTIVE JANUARY 1, 2026, AND SHALL THE CITYSALES TAX OF . 30%APPROVED BY VOTERS IN 2012 AND EXTENDED BY APPROVAL OF THE VOTERS IN 2016 AND 2020 (WHICH EXISTING TAX IS ALSO EXPECTED TO GENERATE APPROXIMATELY $4.75 MILLION IN 2026, FOR AN AGGREGATE OF APPROXIMATELY $9.50 MILLION), CONTINUE TO BE COLLECTED ON AND AFTER JANUARY 1, 2026, WITH EACH SUCH TAX CONTINUING THROUGH DECEMBER 31, 2031, FOR THE PURPOSE OF PROVIDING SUPPORT FOR ASPEN SCHOOL DISTRICT NO. 1 AS DESCRIBED IN THE PRIOR BALLOT QUESTIONS; AND SHALL THE REVENUE FROMSUCH SALES TAX AND EARNINGS THEREON BE COLLECTED, RETAINED AND SPENT BY THE CITY AS A VOTER APPROVED REVENUE CHANGE NOTWITHSTANDING ANY LIMITS CONTAINED IN ARTICLE X, SECTION 20 OF THE COLORADO CONSTITUTION OR ANY OTHER LAW? ;and WHEREAS, the City of Aspen electorate passed question 2A, authorizing a sales tax increase of .30% for the purposes of providing support to Aspen School District No. 1, and further authorizing the extension of the sunset date of the existing .30% city sales tax dedicated to the support of Aspen School District No. 1 approved by voters in 2012, and extended by approval of the voters in 2016 and 2020 to December 31, 2031; and WHEREAS, the existing city sales tax of .30% sales tax for purposes of providing support to the Aspen School District No. 1 is codified at section 23.32.040(a)(6) pursuant to Ordinance No. 35, Series of 2012; and WHEREAS, City Council for the City of Aspen, as a result of favorable yes vote on ballot issue 2A on November 4, 2025, desires to amend Section 23.32.040(a) and (a)(6) to reflect voter approval of an increase to the local sales tax by .30% for educational purposes to support the Aspen School District No. 1 (RE) and further to reflect the extension of the existing .30% sales tax dedicated to the support of public education first approved by the voters in 2012 and extended in 2016 and 2020 to December 31, 2031. NOW THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF ASPEN, COLORADO,* Section 1 That section 23.32.040(a) shall be amended as follows: (a) If�zposition of sales tax. Sales tax shall continue to be imposed and collected on all sales of tangible personal property and services described in Section 23.32.040(b) and occurring within the City of Aspen. The tax is imposed as provided for in C.R.S. § 29-2405(1)(d). The sales tax is get. at a rate of two and seven tenths of a percent (2.7%) of the amount of each sale. The taxable' amount of a sale shall not include the amount of any sales or use tax imposed by C.R.S. Article 26, Title 39. All revenue derived through the general sales tax shall continue to be distributed in accordance with the following: Section 2• That section 23.32.040(a)(6) shall be amended to read as follows: (6) Sales tax receipts derived from the sixty hundredths of one percent�b.60%) additional sales tax levied pursuant to the ballot question approved by City Council in Resolutions 84, Series 2012, and approved by the City of Aspen qualified electors on November 6th, 2012, and extended in 2016, 2020 and 2025, and increased pursuant to the ballot question submitted by City Council via Resolution 116, Series of 2025 and approved by the City of Aspen qualified electors on November 4t1i, 2025 shall be set aside in a separate fund designated as the "Education Fund" and shall be expended by the City Council sqlely for educational purposes providing support to the Aspen School District No. 1 (RE), through December 31, 2031. Section 3: The City's officials are authorized and directed to take all action necessa'�y aid appropriate to effectuate the provisions of this Ordinance. Section 4: The Municipal Code amendments set forth in this Ordinance shall apply to all sales transactions occurring on or after January 1, 2026. Section 5: Any scrivener's errors contained in the code amendments approved by this Ordinance, including but not limited to mislabeled subsections or titles, may be corrected administratively following adoption of the Ordinance. Section 6: This ordinance shall not affect any existing litigation and shall not operate as an abatement of any action or proceeding now pending under or by virtue of the ordinances repealed or amended as herein provided, and the same shall be conducted and concluded under such prior ordinances. Section 7: SeverabHily. If any section, subsection, sentence, clause, phrase, or portion of this ordinance is for any reason held invalid or unconstitutional in a court of competent jurisdiction, such portion shall be deemed a separate, distinct and independent provision and shall not affect the validity of the remaining portions thereof. Section 8: Effective Date. In accordance with Section 4.9 of the City of Aspen Home Rule Charter, this Ordinance shall become effective thirty (3 0) days following final passage. Section 9: Public Hearing A public hearing on this ordinance shall be held on the 2nd day of December, 2025, at a meeting of the Aspen City Council commencing at 5000 p.m. in the City Council Chambers, Aspen City Hall, Aspen, Colorado INTRODUCED, READ AND ORDERED PUBLISHED as provided by law, by the City Council of the City of Aspen on the 18th day of November, 2025. ATTEST: icole �Ienning, City C FINALLY, adopted, passed and approved this 2nd day of December, 2025. T: C3 Nicole Henning, City Approved as to form: i ine Johns9 City Attorney