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HomeMy WebLinkAboutordinance.council.001-89 ORDINANCE NO. / (Series of 1989) AN ORDINANCE ADOPTING THE INTERGOVERNMENTAL USE TAX AGREEMENT BETWEEN THE BOARD OF COUNTY COMMISSIONERS OF PITKIN COUNTY, COLORADO, AND THE CITY COUNCIL OF THE CITY OF ASPEN, COLORADO, WITH RESPECT TO A COUNTY USE TAX SUBMITTED TO AND APPROVED BY THE VOTERS ON NOVEMBER 8, 1988, APPROVING SAID TAX FOR A TEN-YEAR PERIOD COMMENCING JANUARY 1, 1989, AND TERMINATING JANUARY 1, 1999, SUBJECT TO THE INTERGOVERNMENTAL AGREEMENT THAT THE COUNTY RETAIN THE FULL PROCEEDS FROM THE USE TAX WHEREAS, neither Pitkin County nor the City of Aspen currently have a use tax in effect. WHEREAS, by Resolution No. 88-89 the Board of County Commissioners as authorized by C.R.S., Section 29-2-101, et seq., provided for a County use tax on motor and other vehicles, and on building and construction materials, subject to specified conditions, the proceeds to be allocated to Pitkin County over a period of ten (10) years. At least fifty percent (50%) of the net revenues received from the use tax shall be used solely for improvements to State Highway 82 within Pitkin County and the remainder shall be used solely for capital replacement improve- ments of County roads and bridges, to retire debt incurred for such purposes and to defray the cost of tax collection. WHEREA~, the City of Aspen is not prohibited from imposing its own use tax during the ten (10) year period that the County use tax is in effect. WHEREAS, on November 8, 1988, the County caused to be submitted to its qualified electors, a use tax proposal as detailed hereinabove. WHEREAS, a majority of the qualified electors passed the proposed use tax, subject to the execution of use tax agreements for the City of Aspen, the Town of Snowmass Village and the Town of Basalt, regarding the distribution of the entire proceeds and the proposed use tax to Pitkin County for the purpose specified above. WHEREAS, the Aspen City Council deems the intergovernmental agreement incorporated herein and attached hereto as Exhibit "A" to be in the best interest of the citizens of Aspen and directs the Mayor to execute the Agreement on behalf of the City Council. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF ASPEN, COLORADO: Section 1 That subject to the terms and conditions specified in Resolution No. 88-89 of the Board of County Commissioners of Pitkin County, as amended, and subject to the conditions of the use tax agreement as incorporated herein, Pitkin County shall be entitled to the entire proceeds of the County-wide use tax and the City of Aspen hereby relinquishes any claim of entitlement it may have to the proceeds thereunder. Section 2 That the County-wide use tax shall be effective January 1, 1989, and shall automatically expire on December 31, 1998. Section 3 That the proceeds of the County-wide use tax retained by the County shall be allocated for improvements to State Highway 82 within Pitkin County and capital replacement improvement of County roads and bridges, to retire debt incurred for such purposes and to defray the cost of tax collection. Such proceeds shall not be used for any other purpose. Section 4 The Mayor is hereby authorized to execute, on behalf of the Aspen City Council, the use tax agreement incorporated herein. Section 5 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 6 Nothing in this ordinance shall be construed to affect any right, duty or liability under any ordinances in effect prior to the effective date of this ordinance, and the same shall be continued and concluded under such prior ordinances. Section 7 A public hearing on the ordinance shall be held on the day of ~ , 1989, 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 William L. Sti~ling, Mayor ATTEST: Kathryn S~ Koch, City Clerk FINALLY adopted, passed and approved this ~-~/~ day of William L. St' r ATTEST: Kathryn S/Koch, City Clerk USE TAX AGREEMENT ~Agreement is entered into this~r~-~_ _ ' m u~y Or C--~hty Commis~ o~ers , 1988, by and between the Board of of Pitkin County, Colorado (the "County,,% and the City ~ouncil of the City of Aspen, Colorado (the "Cit~,,). RECITALS 1. Pitkin CouNty currently has a 3% sales tax in effect. Neither the City nor the County currently has any use tax in effect. 2. By Resolution No. 88-89, as amended, the Board of County Commissioners, as authorized by Section 29-2-101, e_~t C.R.S., provided for a County use tax on motor and other vehi- cles, and on building and construction materials, subject to specified conditions, with the proceeds to be allocated to Pitkin County over a period of ten (10) years. At least 50% of the net revenue received will be used solely for improvements to State Highway 82 within Pitkin County and the remainder will be used solely for capital replacement and improvement of County roads and bridges, to retire debt incurred for such purposes, and to defray the costs of tax collection. 3. The electorate of the County approved the use tax at the general election on November 8, 1988. 4. As an additional condition of the effectiveness of the County use tax, agreements must be reached with the City of Aspen, the Town of Snowmass Village, and the Town of Basalt regarding the distribution of the proceeds of the proposed use tax to Pitkin County for the purposes specified above, unless such agreemepts are not required as provided by Section 29-2- 104 (2), C.R.S. 5. The municipalities within Pitkin County will not be prohibited from imposing their own use taxes during the ten (10) year period that the county use tax is in effect, provided that the 7% sales and use tax limitation specified in Section 29-2- 108, C.R.S., is not exceeded. 6. Improvements to State Highway 82 within Pitkin County and the Pitkin County road system will be of benefit to the residents and visitors to the City of Aspen, as well as other residents and visitors to the Roaring Fork Valley, who use the road system; and therefore, the distribution of the proceeds of the Pitkin County use tax as specified in this agreement is to the benefit of the City of Aspen. NOW, THEREFORE, THE PARTIES HERETO AGREE AS FOLLOWS: 1. Subject to the terms and conditions specified in Resolution No. 88-89 of the Board of County Commissioners of Pitkin County, as amended, and subject also to the conditions of this Agreement, Pitkin County shall be entitled to the entire proceeds of its County-wide use tax, and the City of Aspen hereby relinquishes any claim of entitlement it may have to the proceeds thereof. 2. The County-wide use tax that is the subject of this Agreement shall be effective only until December 31, 1998, and shall automatically expire on such date. 3. The proceeds of the County-wide use tax retained by the County shall be allocated to improvements to State Highway 82 within Pitkin County and capital replacement and improvement of County roads and bridges, to retire debt incurred for such purposes, and to defray the costs of tax collection. Such proceeds shall not be utilized for any other purpose. At least 50% of the net revenue received will be used solely for improvements to State Highway 82 within Pitkin County. 4. The City of Aspen shall cooperate with'Pitkin County in the collection and administration of the tax on building and construction materials; provided, however, that the City shall be fully reimbursed for its cost of collection from the proceeds of the tax. 5. The parties are not bound in any way by this Agreement with respect to their rights to impose an additional use tax during the effectiveness of the tax that is the subject of this Agreement. Upon expiration of the County-wide use tax, the parties are not bound in any way with respect to the future imposition of a use tax as authorized by law. 6. In return for the City's approval of this Agreement, the County a~rees to cooperate financially with the City in its annexations during the period that the County use tax is in effect. The County will cooperate financially by transferring to the City any net savings the County has funded and realizes as a result of annexation. The form and amount of such transfer will be negotiated in good faith between the parties at the time of such annexation. 7. If any provision of this Agreement or the application thereof to any person or circumstances is held to be invalid, such invalidity shall not affect the other provisions or applica- tions of this Agreement which can be given effect without the invalid provisions or applications, and to this end the provi- sions of this Agreement are declared to be severable. · 8. The parties agree that in the event of a breach or default by any party under any provision of this Agreement, they shall be entitled to an injunction to prevent default or further default, damages and attorney,s fees, as the case may be, and 2 also to a decree for specific performance of any of the obliga- tions hereunder. 9. Each party represents th3t it has the specific power and authority to enter into and consummate this Agreement according to law, and that it has followed proper legal proce- dures to authorize those persons whose names are subscribed below to execute this Agreement, and obligates that party to perform this Agreement. !0. This Agreement shall be recorded in the office of the Pitkin County Clerk and Recorder promptly after its execution. 11. This Agreement shall be binding upon the successors, representatives and assigns of the parties, and shall only be modified by writing, duly executed and approved by each of the parties hereto. , CITY OF ASPEN, COLORADO Dated:. ~,--/_~g Bye. ~~'~~ ~ William L Stir!ing Mayo~ ATTEST: Kathryny.' Koch, City Clerk BOARD OF COUNTY COmmISSIONERS OF PIPKIN COUNTY, COLO~DO Fred Crowley, Chairman ATTEST: Si!via Davis County Clerk and Recorder 3