HomeMy WebLinkAboutordinance.council.024-85 (Series of 19851
AN ORDINANC~ CONDITIONALLI RESCINDIN~
LEVY OF THE ADDITIONAL ONE (1%) PERCENT
RETAIL SALES TAX (CONNONLY KN~N AS THE
'SEVENTN [TTH] PENNY SALES T~'), PR~IDED
~R IN ~T O~I~CE APPR~ED BY T~E ELE~RS
OF THE CI~ OF ASPEN ON ~E 7TH ~Y OF N~EN-
B~, 1972, SO AS ~ DE~SE ~E PRESE~ CITY
RETAIL SALES T~ IN ~E CI~ OF ASPEN FR~ A
~0 {2%) PERCENT ~D AT ~ EQUIVAL~
(2%} PERCE~ B~CKET ~S~N ~TE, ~N
SELLING OF TANGIBLE PERSONAL PROPER~ AT
RETAIL ~N ~ERY RETAILER OR FU~ISHI~ OF
SE~ICES IN ~E CI~ OF ASPEN, ~ A ONE (1%)
PER~NT ~ AT ~ EOUIV~T ONE (1%) PER~
B~CKET SYSTEN~ OPERATIVE ~ EFFUSIVE ON
AND AFTER JULY 1, 1985, S~aE~ ~ CERTAIN
CONDITIONS ~ BE SATISFIED BY THE ~U~ OF
PITKIN AS EEREIN PR~IDED RELATING ~
PAY~ OF ~D T~ REFU~S, ~PIT~ I~R~E-
NENTS AND CAPITAL EXPENDITU~S, ~/OR
PAYNENT OF INDEBTEDNESS INCURRED FOR
~PIT~ INPR~E~NTS ~ ~PIT~
WHEREAS, pursuant to Resolution No. 15 (Series of
1972). the City Council did submit to a vote of the qualified
electors of the City of Aspen, Colorado, at a special municipal
election held on Tuesday, the 7th day of November, 1972, the
question of approving or rejecting a measure entitled "An Ordi-
nance Increasing the Present City Retail Sales Tax in the City of
Aspen From One (1%) Percent and at an Equivalent One (1%) Percent
Bracket System Rate to Two Percent (2%) and at an Equivalent Two
Percent (2%) Bracket System Rate, Upon the Selling of Tangible
Personal Property at Retail Upon Every Retailer of Furnishing of
Services in the City of Aspen, Colorado, Operative and Effective
on and After July 1, 1973; Providing That The Additional Revenues
Received by Said Increase May Be Expended by the City Council for
the Payment of Food Tax Refunds, for Capital Improvements, and
Capital Expenditures, for Land Acquisition, for General Operating
Purposes, Or the Payment of Indebtedness Incurred for Such Capital
Improvements and Capital Expenditures, or Land Acquisition for
the Expenditures Necessary to Protect Such Property Against Loss,
or Damage or Destruction; Providing that Certain Refunds Shall Be
Made to the Residents of the City of Aspen Upon Application
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Therefor, Providing That The City Council May Amend, Alter or
Change Said Ordinance Except As To The Percent of Tax; and Provid-
ing Details in Relation to the Foregoing;" and
WHEREAS, the qualified electors of the City voting at
said special election held on the 7th day of November, 1972,
approved said measure and ordinance, commonly known and herein-
after referred to as the "7th Penny Sales Tax Ordinance;" and
WHEREAS, pursuant to the 7th Penny Sales Tax Ordinance,
the City of Aspen did incur the following obligations:
t. City of Aspen, Colorado, Sales Tax Refunding Revenue
Bonds, Series December 1, 1982, pursuant to which
the 1972 sales tax revenue have been pledged.
2. That certain Lease Agreement dated December 1, 1983
("Lease") between the City of Aspen and Pitkin
County, Colorado, which has been executed in connec-
tion with Pitkin County's UMTA Grant.
3. The obligations set forth in Section 8 of the 7th
Penny Sales Tax Ordinance providing for food tax
refunds to City residents, in the amounts specified
therein, as amended.
4. Provisions for the maintenance of the malls in the
City of Aspen.
5. Obligations pursuant to that Agreement entered into
on the 25th day of May, 1979 between Elder/Qulnn &
McGill, Inc., Denver, Colorado, and the City of
Aspen, pertaining to the lease to Aspen of six (6)
1980 Bluebird All-Dash American Adult Passenger
Buses.
6. Obligations pursuant to that Cooperative Agreement
between the City of Aspen and Pitkin County, in
which the City of Aspen agreed to pay the cost of
twenty percent (20%) of the full purchase price of
the sixteen (16) transit coaches and accessory
equipment as identified in the County's contract
with Neoplan, U.S.A. Corporation, as approved and
authorized in Ordinance No. 45 (Series of 1982).
WHEREAS, the Board of County Commissioners of Pitkin
County, Colorado, adopted a Sales Tax Resolution on October 7,
1968, imposing a two percent (2%) countywide sales tax within
Pitkin County, which was approved by the electors of Pitkin
County, Colorado, on November 5, 1968, and which became effective
on July 1, 1969; and
WHEREAS, the aforesaid 1968 Pitkin County Sales Tax
Resolution has been amended to provide for the distribution of
the two percent (2%) countywide sales tax as follows:
1. Forty-three percent (43%) to be retained by Pitkin
2
County for its exclusive use.
2. Fifty-seven percent (57%) to be allocated among the
~ncorporated cities and towns within Pitkin County
in proration to the amount of County sales tax
collected within their respective corporate limits.
;and
WHEREAS, pursuant to Pitkin County Resolution No. 29
(Series of 1983), the Board of County Commissioners determined to
amend its sales tax resolution, dated October 7, 1968, as amended,
to increase the countywide sales tax from two percent (2%) to
three percent (3%), and to apply the portion of the increase
allocated to Pitkin County, to public transportation purposes; and
WHEREAS, the expressed intent of the Board of County
Commissioners set forth in Resolution No. 29 (Series of 1983),
was that the increase in the countywide sales tax should not go
into effect until the conditions set forth in said Resolution
were satisfied; and
WHEREAS, the electors of Pitkin County, at a special
election held on May 3, 1983, approved the aforesaid Pitkin
County Resolution No. 29 (Series of 1983), and the increase in
the countywide sales tax from two percent (2%) to three percent
(3%); and
WHEREAS, said Resolution NO. 29 (Series of 1983),
provides as follows:
"Section 3. Receipt of Additional One (1%) Percent
Bales Tax bv Pitkin County and Allocation to its
Incorporated Municipalities. All receipts of the
additional 1% countywide sales tax which are col-
lected within the County and its incorporated
municipalities shall be allocated and distributed
promptly upon receipt to those municipalities as
follows:
(a) The City of Aspen shall be allocated an
amount equal to that portion of the additional
1% countywide sales tax which is collected
within its corporate limits as shall be neces-
sary and in the following priority:
(i) to defray in a timely manner the debt
service and reserve fund obligations incur-
red by the City of Aspen in connection with
its Sales Tax Refunding Revenue Bonds,
Series December 1, 1982, or any bonds
issued to refund such issues in whole or in
part, as those obligations become due and
payable;
(ii) to defray the amount of food tax
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refunds due the residents of the City of
Aspen; provided, however, that such amount
shall not exceed in any year 5.4% of that
portion of the additional 1% countywide
sales tax collected in that year within the
City of Aspen; and
(iii) to provide for the maintenance of the
mall in the City of Aspen; provided, how-
ever, that such amount shall not exceed in
any year 10.4% of that portion of the
additional 1% countywide sales tax collected
in that year within the City of Aspen; and
(iv) all remaining proceeds shall be
returned to the County of Pitkin to be
applied as more specifically set forth in
Section 4 of this Resolution."
(b) The Town of Snowmass Village shall be
allocated an amount equal to the additional i%
countywide sales tax which is collected within
its corporate limits.
(c) Any other incorporated City or Town, lying
completely or partially within the boundaries
of Pitkin County, shall be allocated an amount
equal to the additional 1% countywide sales tax
which is collected within that portion of its
corporate limits lying with Pitkin County.
;and
WHEREAS, pursuant to an Intergovernmental Agreement,
made on the 21st day of November, 1983, the City of Aspen and the
Board of County Commissioners agreed to create and constitute a
public transportation entity separate and distinct from the City
and County, commonly known as the Roaring Fork Transit Agency
("RFTA"). Paragraph 4.c) of said Intergovernmental Agreement
provides as follows:
"c) Annual Financial Support
Until the county-wide sales tax is implemented,
the funding support provided by the City and
County to the Transit Agency shall consist of
the following:
1. The County shall provide $350,000 per year
for transit operations and capital expendi-
tures.
2. The City shall continue to collect its 7th
penny sales tax and will transfer all
excess collection to the Transit Agency
after the following allocations:
(i) to pay the necessary principal and
interest on the City of Aspen's
outstanding Sales Tax Refunding
Revenue Bonds, dated 12/1/82, or any
bonds issued to refund that issue
and amount, as those amounts become
due and payable, until said obliga-
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tions are paid and canceiled.
(ii) to provide for a food tax refund to
the City o~ Aspen res±dents~ however,
the amount to be used for this
refund shall not exceed 5.4% of the
7th penny sales tax collected within
the City of Aspen.
(iii) to provide for the maintenance of
the mall in the City of Aspen;
however, the amount to be used for
this maintenance shall not exceed
12.1% of the 7th penny sales tax
collected within the City of Aspen.
(iv) to pay the necessary principal and
interest on the City of Aspen's
Sales Tax Revenue Bonds, short-term
notes, or to fund lease arrangements
pertaining to the City's utilization
of the facility or buses."
;and
WHEREAS, said Intergovernmental Agreement was amended
by a "Supplemental Agreement" by and between the City of Aspen
and Board of County Commissioners, executed April 13, 1984, which
set forth a payment schedule for the City and County's annual
financial support of the Transit Agency pursuant to the aforesaid
Section 4.c) of the Intergovernmental Agreement; and
WHEREAS, the City Council desires to conditionally
rescind the levy of the one percent (1%) city retail sales tax
approved by the electors of the City of Aspen on November 7,
1972, in order to effectuate the additional one (1%) percent
county sales tax for transportation purposes, subject, however,
to the following conditions:
i. That there be paid from the proceeds of the addi-
tional one (1%) percent county sales tax the
necessary principal and interest on the City of
Aspen's Sales Tax Refunding Revenue Bonds, Series
December 1, 1982, or any bonds hereafter issued to
refund such issue in whole or in part, as any of
those obligations become due and payable, until
said obligations are paid in full and cancelled,
and that the owner of said bonds consents to the
substitution of such source for payment;
ii. That there be paid from the proceeds of the addi-
tional one (1%) percent county sales tax Food Tax
Refunds to the City of Aspen residents in an
amount not to exceed in any year 5.4% of that
portion of the additional one percent (1%) county
sales tax collected in that year within the City
of Aspen;
iii. That there be paid to the City by the County,
funds for the maintenance (including construction)
5
of the mall in the City of Aspen, in an amount of
12.1% of that portion of the additional one percent
(1%) county sales tax collected in that year
within the City of Aspen;
iv. That the lease arrangements and contractual obli-
gations pertaining to the City of Aspen's utiliza-
tion of the Roaring Fork Transit Agency facility
or buses be assumed by the Roaring Fork Transit
Agency, including; (a) the obligations of the City
of Aspen pursuant to that Agreement dated May 25,
1979, between Elder/Quinn & McGitl, Inc. and the
City of Aspen; and (b) the City's obligations
pursuant to the cooperative agreement between the
City and County, whereby the City of Aspen agreed
to pay the cost of twenty percent (20%) of the
full purchase price of the sixteen (16) transit
coaches and accessory equipment as identified in
the County's contract with Neoplan, U.S.A.; and
(c) that certain Lease Agreement dated December 1,
1983, between the City of Aspen and Pitkin County,
Colorado;
v. The County agrees that it shall not unilaterally
terminate the RFTA Agreement except in compliance
with paragraph 7 of the Agreement attached hereto;
vi. That the Board of County Commissioners of Pitkin
County, Colorado, ratify this Ordinance by Resolu-
tion adopted after a public hearing, and execute
the annexed Intergovernmental Agreement acknow-
ledging and agreeing to all of the aforesaid
conditions.
vii. The imposition of an increase in the Pitkin County
sales tax from two percent (2%) to three percent
(3%).
viii. That the lease be cancelled and terminated and the
pledge of the City's 7th Penny Sales Tax Revenues
pursuant thereto as a source of payment for the
County's Sales Tax Revenue Bonds, Series 1983, be
thereby extinguished, such bonds to be thereafter
payable solely from the County's 1% sales tax for
transportation purposes and otherwise as provided
in the Resolution of the Board of County Commis-
sioners authorizing said bonds.
;and
WHEREAS, the Board of County Commissioners, as an
inducement to the City of Aspen to rescind the levy of its 7th
penny sales tax as presented in this Ordinance, has given the
City assurances that the conditions set forth above will be
performed.
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF
THE CITY OF ASPEN, COLORADO:
Section 1
That that Ordinance, approved by the electors of the
City of Aspen on September 7, 1972, be and the same is hereby
6
amended so as to conditionally rescind the levy of the additional
one (1%) percent City retail~ sales tax provided therein, and for
such purposes, said Ordinance is hereby amended to rescind the
imposition of the additional one (1%) percent retail tax. and
therein reduce the City retail sales tax in the City of Aspen
from two percent (2%) and at an equivalent two percent (2%)
bracket system rate to one percent (1%) and at an equivalent one
percent (1%) bracket system rate, upon the selling of tangible
personal property upon every retailer or furnishing of services
in the City of Aspen, subject to the following conditions:
(i) That there be paid from the proceeds of the addi-
tional one (1%) percent county sales tax the
necessary principal and interest on the City of
Aspen's Sales Tax Refunding Revenue Bonds, Series
December 1, 1982, or any bonds hereafter issued to
refund such issue in whole or in part, as any of
those obligations become due and payable, until
said obligations are paid in full and cancelled,
and that the owner of said bonds consents to the
substitution of such source for payment;
(ii) That there be paid from the proceeds of the addi-
tional one (1%) percent county sales tax food tax
refunds to City of Aspen residents in an amount
not to exceed 5.4% of that portion of the addi-
tional one percent (1%) county sales tax collected
in that year within the City of Aspen, which
condition is included in the Agreement, attached
hereto;
(iii) That there be paid to the City funds for the
maintenance (including construction) of the mall
in the City of Aspen in an amount of 12.1% of
that portion of the additional one percent (1%)
county sales tax collected in that year within
the City of Aspen, which condition is included in
the Agreement, attached hereto;
(iv) That any and all outstanding lease arrangements
and contractual obligations pertaining to the
City of Aspen's utilization of the Roaring Fork
Transit Agency's facility or buses be assumed by
the Roaring Fork Transit Agency, including:
(a) the obligations of the City of Aspen pursuant
to that Agreement dated May 25, 1979, between
Elder/Quinn and McGill, Inc. and the City of
Aspen;
(b) the City of Aspen's obligations pursuant to
the cooperative agreement between the City
of Aspen and Pitkin County, in which the
City of Aspen agreed to pay the cost of
twenty percent (20%) of the full purchase
price of the sixteen (16) transit coaches
and accessory equipment as identified in the
County's contract with Neoplan, U.S.A.; and
(c) the obligations of the City pursuant to that
Lease Agreement dated December 1, 1983,
7
between the City of Aspen, Colorado, and
Pitkin County, Colorado.
(v) The County agrees that it shall not unilaterally
terminate the RFTA Agreement except in compliance
with paragraph 7 of the Agreement attached hereto;
(vi) That the Board of County Commissioners of Pitkin
County, Colorado, ratify this Ordinance by Reso-
lution adopted after a public hearing and execute
the annexed Intergovernmental Agreement acknow-
ledging and agreeing to all of the aforesaid
conditions, which action was taken on May 6,
1985; and
(vii) The imposition of an increase in the Pitkin
County sales tax from two percent (2%) to three
percent (3%).
(viii) That the lease be cancelled and terminated and
the pledge of the City's 7th Penny Sales Tax
Revenues pursuant thereto as a source of payment
for the County's Sales Tax Revenue Bonds, Series
1983, be thereby extinguished, such bonds to be
thereafter payable solely from the County's 1%
sales tax for transportation purposes and other-
wise as provided in the Resolution of the Board
of County Commissioners authorizing said bonds.
Section 2
Effective Date - The rescission of the levy of the one
(1%) percent sales tax shall become effective and shall be en-
forced as of July 1, 1985, provided that the additional one (1%)
percent county sales tax authorized in the Board of County Commis-
sioners' Resolution No. 29 (Series of 1983) is lawfully imposed
and collected on said date and that the applicable conditions set
forth in Section 1 have been satisfied.
Section 3
That the City Manager is hereby empowered and authorized
to take all administrative actions and execute said documents
(including the annexed Intergovernmental Agreement which is
hereby approved) as may be necessary to implement the provisions
of this Ordinance.
Section 4
If any section, subsection, sentence, clause, phrase or
portion of this Ordinance is for any reason held invalid or
unconstitutional by any court of competent jurisdiction, such
portion shall be deemed a separate, distinct and independent
provision and such holding shall not affect the validity of the
remaining portions thereof.
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Section 5
A public hearing on the Ordinance shall be held on the
day of , 1985, at 5:00 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 ~ day
of ~ , 1985.
FINALLY adopted, passed and approved this /~ day of
, 1985.
William L. Stzrling, Mayor ~
ATTEST:
Kathryn S.~och, City Clerk
ENDORSED by the Board of County Commissioners of Pitkin
County, Colorado, this ~ day of /~ ~,. ,
1985.
BOARD OF COUNTY COMMISSIONERS
OF PITKIN COUNTY, COLORADO
By: /
Tom Blake, Chairman
ATTEST:
Cler
RECORD OF PROCEEDINGS 100 Leaves
STATE OF COLO~DO CERTIFI~TE
COUNTY OF PITKIN
I, Kathryn S. Koch, City Clerk of Aspen, Colorado, do he~e~
certify that the above and foregoing ordinance was introduced,
read in full, and passed on first reading at a regular meeting of
the City Council of the City of Aspen on ~J ,
1985, and published in the Aspen Times, a weekly newspaper of
general circulation p~lished in the City of Aspen,Colorado, in
its issue of ~J~ 1985, andwas finally
adopted and approved at a regular meeting of the City Council on
//~. ' /~ 1985, and ordered published as
Ordinance' No. ~ , Series of 1985, of said City as provided
~ law.
IN WITNESS WHEREOF, I have hereunto set ~ hand and the seal
of said City of Aspen, Colorado this __~_~ ..... day of
~ 1985.
Kathryn S~Koch, C~ty Clerk
Deputy City Clerk