SAN MIGUEL

COUNTY BOARD

OF COMMISSIONERS ELAINE

FISCHER

ART GOODTIMES VIA EMAIL: james.t.brown@faa.gov December

8, 2015 James

T. Brown FAA Airport Compliance

and Management

Analysis 800 Independence

A venue,

SW Washington,

DC 20591 Dear

Mr. Bro\Vll:

JOAN

J\IAY Re: Commitment

of San Miguel Cotmty,

CO; Compliance

with

FAA Policy

and Procedures Concerning

the

Use

of Airport Revenue;

Proceeds

From

Taxes

on Aviation

Fuel; Federal Register

Vo.

79, No.

216, 11/7/2014,

Page 66282 In accordance

with

the Federal Aviation Administration

("FAA")

Policy

and Procedures referenced hereinabove

and your agency's

guidance concerning

"Aviation

Fuel

Tax Grandfathering

Action

Plans,"

this letter, together

with

the enclosures

hereto,

are intended

to serve

as San Miguel County's

Aviation

Fuel

Tax Grandfathering

Action

Plm1.

This

letter

and

the enclosures

are intended

to

be responsive

to subsection

(4)

of the FAA guidance,

including subsections

a,

b,

c, and

d. The relevant provisions

of the County's

Sales

and

Use

Tax Resolutions

applicable

to sales

of aviation

fuel

at the Telluride

Regional

Airport,

located

in San Miguel

County,

CO, became effective

on April

7, 1987,

were

in effect

on December

30, 1987, and have remained

in effect thereafter. The enclosures

to this letter consist

of copies

of the following doctmlents:

the Certified

Record for San Miguel County, Colorado,

Board

of Colillty Commissioners

Resolution#

1987-8 Imposing

a Countywide

Sales

and

Use

Ta'(

and Creating

a Capital Improvement

Fund, and the Certified

Record

for

San Miguel

County, Colorado,

Board

of County Commissioners

Resolution #1994-48 Amending

Board

of County Commissioners

Resolution

#1987-8.

Both

of these Board resolutions

authorized

the submittal

of ballot

issues

to San Miguel County's registered

electors. Both

of the enclosed

ballot

issues received

the approval

of the majority

of the registered

electors who voted

on each

such question,

follo\ving

which

both resolutions

were deemed

to become legally effective

in accordance

with

their terms.

San Miguel

County Resolution

#1994-48

was recorded

on August

19, 1995

in the

San Miguel

County

Clerk

and Recorder's

public records. This resolution,

which

later received

voter approval

at the November

1994 general election,

did not amend

the provisions

applicable

to the county

sales

tax

on aviation

fuel.

The

1994 amendment

to the County's

sales

and

use resolution

was limited

to reallocating

the sales

tax revenue received

between

the County's

Sales

Tax Capital Improvement

Fund

and

the Colllty's General

Fund. In accordm1ce

with

the Action

Plm1 requirements

also enclosed

are relevant provisions

from

the Colorado

County

and Municipal

Sales

or Use

Tax enabling

statute currently

in effect,

as codified P.O. BOX

1170

• Telluride,

Colmado

81435

• (970) 728-3844

• FAX

(970) 728-3718 www.sanmiguelcount:yco.govin Title

29, Article

2, Part

1, of the Colorado

Revised

Statutes,

which statutes

have remained substantially

unchanged

since

the voters' passage

of County Resolution

#1987-8

in 1987. Pursuant

to the enabling

statute

the Colorado Department

of Revenue

is responsible

for

the collection

of the County's

sales

tax

and

the distribution

of such collected

sales

tax revenues

to the county. I!

is the County's understanding

that pursuant

to 49 USC

§4

71

07

(b) and

§4 7133

(a),

that since the county's

sales

tax

on the

sale

of aviation

fuel

at the Telluride

Regional

Airport

was

in effect on December

30, 1987,

that

such county

sales

tax revenues

are subject

to the exception provisions

set forth

in those statutes regarding

the county's expenditure

of such

sales

tax revenues. Furthennore,

in accordance

with

your agency's "Aviation

Fuel

Tax Grandfathering Action

Plans" guidance,

this letter

is

to serve

as San Miguel County's

formal

and binding commitment

to advise

the FAA

in

a timely fashion

of any proposed subsequent amendments

to County Resolutions

#1987-8

and/or #1994A8

prior

to the Board

of County Commissioners submission

of any such amendments

to the County's registered

electors

for their approval. Please

advise Ramona Rummel,

San Miguel County's

Finance Manager,

regarding

your agency's

decision

on this matter.

Should

your agency

require

further information

and/or documentation

from

the County

please

advise

Ms. Rummel.

Your attention

to this matter

is appreciated. Sincerely, SAN MIGUEL COUNTY, COLORADO BOARD

OF COUNTY COMM!SS!ONERS **Joan~2h?1** Enclosures:

Certified

Record-

BOCC Resolution

#1987-8 Certified

Record-

BOCC Resolution

#1994-48 C.R.S.

Title

29, Article

2, Part

1 Statutory

Excerpts Pc.

Irv Halter, Executive

Director,

Colorado

DOLA

(w/o Ends.) Ramona Rummel,

SMCo Finance Manager

(w/o Ends.) Lynn Black,

SMCo Administrator

(\v/o Encls.) FINANCE&PERSONNEL

I 120 115BOCCdrafiltrtoJamesTBrownF

AA **TRAAsalestaxe~ceptioJl**

2·,.

;l

.

.,

. '

0

'I **_;,.~""** ''\'

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.

• **_~,-·**

•"'·) '

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. ··

..

, **9.i'~!.!L!..§.Q**

0

F RECORD PROCEEDINGS

OF THE BOARD

OF COUNTY COf.1MISSIONERS OF

SAN MIGUEL

COUNTY, COLORADO RELATING

TO

THE ADOPTION

OF

A RESOLUTION

INPOSING A COUNTYWIDE

SALES

AND

USE

TAX AND CREATING

A CAPITAL IMPHOVEMENT

FUND

# '(



# I 

# / ··---"""·-·------- 

# / STATE

OF COLORADO COUNTY

OF

SAN MIGUEL

) ) )



# .. 

# :, '



# .



# ') 

# The Board

of County Commissioners

of

San Miguel

County, Colorado,

met

in regular

session

in full conformity

with

law

and 

# the rules

of

the County,

at

the County Courthouse,

in Telluride, Colorado,

on 

# 1\\Cl'tti-tt..'j

, the



# ;).."«.

day

of 

# MCln.~

, 1987,

at

.. 

# :£.._:_£Q !:_ .M

•



# Upon

roll

call

the following

were present, constituting 

# a quorum:



# Chairman: Commissioners: 

# Also present: '!J;J'-'*"' 

# ,..!COUnty

Clerk and Recorder:

Raymond

Snyder 

# Randall Higgason Linda

Luther **GO<\:H'Tt::y-A~r-ney-;**



# Da-n--W-i-l..so-A

# Absent:

\Jr e..("lfnr'Y\

0



# ! 

# s~d-(

**c-~H'**



# r...s 

# Thereupon Commissioner



# L

... LU\e.

't" 

# a Resolution

**a~** 

# follow_s_:....

__

_ .. 

# ,,

..

,.,, 

# -

1

-

introduced

# ' 

# / 

# I

I

.

' .



# ' RESOLUTION

NO,



# I ''1&7-



# 8



# ,,

' A RESOLUTION

CONCE:RNING

THE IMPC.H:iiT!ON

OF

A COUNTY\1108

SALES

TAX

ON

THE

SALE:

**Ql<~** 

# TANGIBLE 

# P!{OPERTY

AT RETAIL

AND

THE F'UHNISHING

Ul-' S8RVIC8S,

AS PROVIDED

IN SECTION

29-2-lUS, COLORAOU

REVISEIJ STATUTES;

THE 

# H1POSlTION

OF

A COUNTYWIDE

USE

TAX

ON

THE PRIVILEGE

OF USING 

# OR CONSUMING

CONSTRUCTION

AND BUILDING MATERIALS;

THE CREA'riON

OF

A CAPITAL

IMPROVEMENT

FUND

TO

BE USED SOLELY

TO PROVI

08

ANJJ 

# FINANCE

THE

COST

OF CAPITAL IMPROVEMENTS

FOR THE COUNTY;

THE PLEDGE

TO

SUCH

fUND

OF

A PORTION

OF'

THE PROCEEDS

ONLY

OF

THE: SALES

TAX; 

# AND

THE SUBMISSION

OF THIS RESOLUTION

FOR 

# APPROVAL

BY

THE REGISTERED

ELECTORS

OF

THE COUNTY

AT

A SPECIAL

ELECTION

TO

BE HELD

ON 

# APRIL

7, 1987. 

# WHEREAS,

San Miguel

County,

Color-ado

(the

11 

# County'

1

)

1



# is authorized

by



# law

to impose



# a sales



# tax

on

the

sale

of tangible personal

**p~operty**



# at retail

and

the furnishing

of services, subject

to approval

of

the registered

electors

of

the County;

and WHEREAS,

the County

is authorized

by

law

to impose

a use tax



# on

the privilege

of 

# using

or consuming

in

the County

any construction

and building materials,

purchased

at retail,

subject to approval

of



# the registered

electors

of

the County;

and WHEREAS,

the

one per-cent



# (1')

sales

and

use

tax

of

the county hereinafter

provided,

if 

# approved

and 

# imposed,

would

result 

# in

the imposition

of



# a total

sales

and

use

tax



# by

the State



# of Colorado,

the County,

and

the

Town

of Telluride



# in excess

of ·the seven percent

(7%) 

# limitation

provided

by 

# Section

29-2-108, 

# Colorado

Revised Statutes;

and WHEREAS,

Section 29-2-lDB,



# Colorado

Revised Statutes, [)ermits

the County

to impose

a sales

and

use

tax

at



# a rate

not

to exceed

one percent

(1%) 

# notwithstanding

that

such County

sales

and use

tax would

result

in

the total

sales

and

use

tax imposed

by

the State

of 

# Colorado,

the County,

and

any incorporated

municipality within



# the County

to exceed



# seven percent

(7%);



# and WHEREAS,

the registered

electors

of

the County

have

not failed

to approve

a countywide

sales

tax,

use

tax,

or both,

at

any -

2

-I,.I::··/'//electionheldwithintheCountywithinaperiodofoneyear,350dayspriortothedateofelectionprovidedforhereinaftertNOW,THEREFORE,BEITRESOLVEDBYTHEBOARDOFCOUNTYCQr.\MISSIONERSOt<'SANMIGU8LCOUNTY1COLOHADO:Section1.Definitions.ForthepurposeofSections1through5,inclusive/ofthisResolution,thewordsthereincontainedshallhavethemeaningsasprovidedinSection39-26-102,ColoradoRevisedStatutes,asitcurrentlyexistsormayhereafterbeamended,andsuchdefinitionsareincorporatedhereinbyspecificreference.section2.SalesTaxImposed.Thereisherebyimposedandthereshallbepaidandcollectedonallsalesoftangiblepropertypersonalprovidedtax{thereceipts.underthisatretailandthefurnishingofservicesaspropertyinSection39-26-104,ColoradoRevisedStatutes,asales11Salesequaltoonepercent{l%)ofthegrosstaxableThetangiblepersonalResolutionshallbethepropertysameasandservicestaxablepursuantandservicesthetangiblepersonaltoSection39-26-104,ColoradoRevisedStatutes,andsubjecttothesameexemptionsasthosespecifiedinSection39-26-114,ColoradoRevisedStatutes,expresslyincludingtheexemptionallowedbySection39-26-114(11),ColoradoRevisedStatutes,forpurchasesofmachineryormachinetools,theexemptionofsalesandpurchasesofthoseitemsinSection39-26-ll4(l)(a){XXI),ColoradoRevisedStatutues,andtheexemptionforsalesoffoodspecifiedinSection39-26-114{l)(a){XX),ColoradoRevisedStatutues.TheimpositionoftheSalesTaxonindividualsalesshallbeinaccordancewiththeschedulessetforthintherulesandregulationspromulgatedbytheDepartmentofRevenueoftheStateofColorado{the"OepartmentofRevenue").Ifanyvendor,duringanyreportingperiod,shallcollectastheSalesTaxanamountinexcessoftheamountoftheSalesTaximposedbythisResolution,suchvendorshallremittotheExecutiveDirectoroftheDepartmentofRevenue-3-) (the n8xecutive

Directorn)

the

full amount

of

the

tax herein imposed

and

also

such excess. Section

3. General Provisions. 3.1.

The amount

subject

to

tax under

this Resolution shall

not include

the state

sales

and

use

tax imposed

by Title

39, Article

26, Colorado

Revised Statutes,

or

any municipal

sales

and use

tax imposed

by Title

29, Article

2, Part

1, Colorado

Revised Statutes.

3,2.

For

the purpose

of

this Resolution,

all retail sales

shall

be considered

consummated

at

the place

of **busines~**

of the retailer

unless

the tangible

personal

property

sold

is delivered

by

the retailer

or

his agent

to

a destination

outside the limits

of

the County

or

to

a common

carrier

for delivery

to

a destination

outside

the limits

of

the County. 3.3.

The

gross

taxable

sales

shall

include

delivery charges,

when

such charges

are subject

to

the state

sales

and

use tax imposed

by Article

26

of Title

39, Colorado

Revised Statutes, regardless

of

the place

to which delivery

is made. 3.4,

If

the retailer

has

no permanent

place

of business in

the County

1 or

has

more

than

one place

of business,

the place or places

at which

the retail

sales

are consummated

for

the purpose

of this Sales

Tax shall

be determined

by

the provisions

of Article

26

of Title

39, Colorado

Revised Statutes,

and

by

the t'ules

and regulations

promulgated

by

the Department

of Revenue. 3,5,

All sales

of personal

property

on wt1ich

a specific ownership

tax

has

been

paid

or

is payable

shall

be exempt

from

the Sales

Tax

when

such

sales

meet

both

of

the following conditions: (a}

The purchaser

is

a nonresident

of

or

has

his principal

place

of business

outside

the County,

and (b)

Such **pe~sonal**

**p~operty**

is registered

or required

to be registered

outside

the limits

of

the County

under

laws

of

the Stat"e

of Colorado. 3.6.

The Sales

Tax imposed

by this Resolution

shall

not apply

to

the sales

of construction

and building

materials

if such -

4

-,,Imatedalsarepickedupbythepul':'chaserandifthepurchaserpresentstotheretailerabuildingpermitorotherdocumentationacceptabletotheCountyevidencingthatalocalusetaxhasbeenpaidorisrequiredtobepaid.3.7.TheSalesTaximposedbythisResolutionshallnotapplytothesalesoftangiblepersonalpropertyatretailorthefurnishingofservicesifthetransactionwaspreviouslysubjectedtoasalesorusetaxlawfullyimposedonthepurchaseroruserbyanothercountywithintheStateofColoradoequaltoorinexcessofthatimposedbythisResolution.AcreditshallbegrantedagainsttheSalesTaximposedbysuchtransactionequalinamountthisResolutionwithrespecttotothelawfullyimposedlocalsalesorusetaxpreviouslypaidbyothercounty.TheamountofsuchSalesTaximposedbythisResolution.thepurchasercreditshallorusertonotexceedsuchtheSection4.SalesTaxCollection.Thecollection,shallbeadministration,performedbytheandenforcementofE:xecutiveDirectortheSalesinthesameTaxmannerasthecollection,administration,andenforcementoftheColoradostatesalestax.UnlessothewiseprovidedbyArticle2ofTitle29,ColoradoRevisedStatutes,theofArticle26ofTitle391ColoradoRevisedStatutes,andallrulesandregulationspromulgatedthereunderbytheExecutiveDirectorshallgovernthecollection,administration,andenforcementoftheSalesTax.Section5.SalesTaxVendor1sFees.Thevendor,ascollectionagentfortheCounty,shallbeentitiedtowithholdanamountequaltothreepercent{3%)ofthetotalamounttoberemittedbythevendortotheExecutiveDirectoreachmonthtocoverthevendor1sexpenseinthecollectionandremittanceoftheSalesTax.Ifanyvendorisdelinquentinremittingthetax,otherthaninunusualcircumstancessho.,.mtothesatisfactionoftheExecutiveDirector,theVendorshallnotbeallowedtoretainanyamountstocoverhisexpenseincollectingandremittingsaidSaleaTax,andanamountequivalenttothefullamountofthe-5-/..ISalesTaximposedbythisResolutionshallberemittedtotheExecutiveDirectorbyanySection6.suchdelinquentvendor.UseTaxDefinitions.ForthepurposesofSections7through9,inclusive,ofthisResolutiOn,thewordsthereincontainedshallhavethemeaningsprovidedinSection39-26-201,ColoradoRevisedStatutes,asitcurrentlyexistsormayhereafterbeamended,andsaiddefinitionsareincorporatedhereinbyspecificreference.Section7.UseTaxImposed.Thereisherebyimposedandthereshallbepaidand.collectedausetax(the11UseTax11)upontheprivilegeofusingorconsumingwithintheCountyanyconstructionandbuildingpurchasedatretail,equaltoonepercent{1%)oftheretailcostthereof,SuchtaxshallbecollectedinaccordancewiththeschedulessetforthintherulesandregulationspromulgatedbytheDepartmentofRevenue.Section8.UseTaxE:xemptions.InnoeventshalltheUseTaximposedbythisResolutionextendorapply:(a)Tothestorage,use,orconsumptionofanytangiblepersonalpropertythesaleofwhichissubjecttoaretailsalestaximposedbytheCounty;(b)Tothestorage,use,orconsumptionofanytangiblepersonalpropertypurchasedforresaleintheCounty,eitherinitsoriginalformorasaningredientofamanufacturedorcompoundedproduct,inthecourseofabusiness;(c)Tothestorage,use,orconsumptionoftangiblepersonalpropertybroughtintotheCountybyanonresidentthereofforhisownstorage,use,orconsumptionwhiletemporarilywithintheCounty;providedhowever,thatthisexemptiondoesnotapplytothestorage,use,orconsumptionoftangiblepersonalpropertybroughtintotheStateofColoradobyanonresidenttobeusedintheconductofabusinessinthisstate;(d)Tothestorage,personalpropertybytheUnitedColorado,oritsinstitutions,use,orconsumptionoftangibleBtatesgovernment,ortheStateoforitspoliticalsubdivisionsin-6-

# . **~.**



# ")



# ' ....



# ..

,

' 

# . their governmental

capacities

only, corporations

in

the conduct

of



# or

by religious

or charitable their:

regular

religious

or charitable

functions: {e)

To



# the personal

property

by S-torage,

use,

or consumption a person

engaged

in

the

of tangible business

of manufacturing

or compounding

for sale, profit,

or

use

any article, subs_tance,

or commodity,

which tangible

personal

property

enters into

the processing

of

or becomes

an ingredient

or component

part of

the product

or service

which

is manufactured,

compounded;

or furnished

and

the container,

label,

or

the furnished

shipping

case thereof:

' {f)



# To

the storage,

use,

or consumption

of

any article of tangible

personal

property



# the

sale

or

use

of 

# which

has already been subjected

to

a legally

imposed

sales

or

use

tax

of another county

within

the State

of 

# Colorado

equal

to

or

in excess

of that 

# imposed

by this Resolution.

A 

# credit

shall

be granted

against

the 

# Use

Tax. imposed

by 

# this Resolution

with respect

to

a person

1



# s storage,

use

1



# or consumption

within

the County

of 

# tangible personal

property

purchased

by

him

in such

other county.

The amount

of



# the credit

shall

be 

# equal

to

the

tax

paid

by

him



# by reason

of



# the imposition

of

a sales



# or

use

tax

of 

# another

county 

# on

his purchase

or

use

of

the property.

The amount

of

the credit shall

not exceed

the



# Use

Tax imposed

by 

# this 

# Resolution) ( g



# l

To

the and 

# storage,

use,

or consumption

of tangible household

effects

acquired

outside

the personal

property Cou_n



# ty

and brought . residencyi

into

the county

by



# a 

# nonresident

acquiring (h)

To

the

use

or 

# consumption

of

any construction



# and building

materials

if

a written contract

for

the purchase

thereof was entered

into prior



# to

the effective

date

of this

Use

**Tax~** 

# (i)



# To

the

use

or consumption

of

any construction

and building

rnaterials

required

or made necessary

in

the performance of

any construction

contract

bid,

let,

or entered

into

at

any

time prior

to

the effective

date

of this

Use



# Tax.r 

# -

7

-?.,.

.. _.,, _______________

_ ) I

i

l

To

the storage

of construction

and building materials.

Sect

ion

9, Collection, Administration,

and Enforcement of

Use

Tax.

The collection, administration,

and enforcement

of the

Use

Tax provided

tor herein

shall

be performed

by

the County Treasurer.

The Boat'd

of County Commissioners

shall

adopt

such rules

and t:egu!ations

as

may

be necessary

or appropriate

for

the proper collection, administt'ation,

and enforcement

of said

Use Tax.

Section

10. Effect

of County

sales

Tax

and

Use

Ta>

on Total

Sales

and

Use

Taxes

Imposed

Within

the County.

The imposition

of

the Sales

Tax

and

the

Use

Tax

at

the

rate

of

one percent

I 1%

l will result

in

the total

sales

and

use

tax imposed within

the Town

of Telludde

by

the State

of Colorado,

the County, and

such municipality

to exceed

by

one percent

(1%)

the seven percent

(7%) limitation

provided

by Section

29-2-108,

Colorado Revised Statutes,

but

will

not result

in such limitation

being exceeded

in

any other municipality

within

the County. Section

11.

Use

of Revenues. 11.1.

There

is hereby established

a special

fund

of

the COunty

to

be known

as

the

11 San Miguel

County

Sales

Tax Capital Improvement

Fund

11 (the

11 Capital Improvement

Fund").

The revenues specified

in Section

l1.2(a}

hereof

shall

be credited

to

the Capital Improvement

Fund

and

used solely

to provide

capital improvements

or

to

pay

debt service

on bonds

or other obligations of

the County

issued

to provide

capital improvements

pursuant

to Section 29-2-111,

Colorado

Revised Statutues.

Moneys credited

to the Capital Improvement

l."und

shall

not

be available

to

be pledged or expended,

by interfund

transfer

or otherwise,

for

any general purposes

of

the County. 11.2.

The revenues

derived

from

the County's

Sales

Tax and

Use

Tax shall

be distributed

and used

as follows: (a)

Upon receipt

fr.om

the Executive

Director

each month

of

the revenues

derived

from

the County's

Sales

Tax,

an/'damountequaltogreaterof$15,000ortwo-thirds(2/3)ofsuchrevenuesshallbedepositedtotheCapitalImprovementFundandusedsolelyforthepurposesforwhichsuchFundmaybeused;providedhowever,thatiftheamountdepositedtotheCapitalImprovementFunddeficitshallbeinanymonthshallbelessthantheaddedtotheamountrequiredtobedepositedtosuchFundinthefollowingmonthormonthsuntilthedeficiencyiscured.remaining(b)TherevenuesderivedfromtheSales'aftertheforegoingdepositshavebeenmadeshallTaxbecreditedtotheGeneralFundandusedforsuchpurposesastheBoardofCountyCommissionersshalldetermine.{c)TherevenuesderivedfromtheCounty1sUseTaxshallbecreditedtotheGeneralFundandusedforsuchpurposesastheBoardofCountyCommissionersshalldetermine.11.3,ThereshallbenodistributionoftherevenuesderivedfromtheCounty'sSalesTaxandUseTaxtoincorporatedmunicipalitieslocatedwithinitsboundaries.Section12.Amendments.TheBoardofCountyCommissionersmayamend,alter,delete,orchangetheprovisionsofthisResolutionbytheadoptionotanamendingresolutioninaccordancewithlaw;providedho1vever,thattherateoftheSalesTaxandtheUseTaxprovidedforherein,theitemstaxedandexemptedfromtheSalesTaxandUseTaxhereunder,andthedistributionanduseofthetaxrevenuesprovidedforinSection11hereofshallnotbeamended,altered1deleted,orchangedunlessfirstsubmittedtotheelectorsoftheCountyfortheirapproval.Therequirementofanapprovingelectionshallnotbeapplicableifsuchamendment,alteration,deletion,orchangeisrequiredtobemadeastheresultofachangeinfedeLalorstatelaw.Section13.!Uection.BeforesubmittedthisResolutionshallbecomeeffective,itshallapprovalofamajorityofthevotingataspecialelectiontoberegisteredbeheldon- 9 -toandreceivetheelectorsoftheCountyTuesday,April7,1987.Sect

ion

14. Effective

Date.

Upon passage

of this Resolution

and approval

thereof

at

a subsequent

referendum,

this Resolution

shall

take effect

and

the Sales

Tax

and

Use

Tax shall apply

to

all taxable transactions

occurring

on

or after

July

1, 1987.

Section

15. Severability,

If

any provision

of this Resolution

or

the application

thereof

to

any person

or circumstances

is held invalid,

such invalidity

shall

not affect other provisions

or applications

of

the Resolution

which

can

be given

effect

without

the invalid provisions

or application,

an'd

to this

end

the provisions

of

this Resolution

are declared

·to

be severable,

Section

16. Publication.

Pursuant

to Sect

ion 29-2.,. 104(5)

1 Colorado

Revised St9-tutues,

the County

Clerk

and Recorder is directed

to publish

this Resolution

in full

four separate times

1 one

week

apart

1

in

the official

newspaper

of

the County

and of ea·ch incorpot:'ated

municipality

within

the County. ADOPTED

AND APPROVED

THIS

;)lld

day

of Ma_td\

1 1987. (SEAL) ATTESTED; **,~)t~**

(( .,ltL-- **f;:l!_,1u·.~ By;L/?~~11** 

(/ Chairman

·

·• -

10

- Board

of County Commissioners San 1-liguel

County,

Colorado.1·..---·--

,;-., ·.

) Commissioner

then

moved that

the Resolution

be passed

and adopted.

Commissioner **lli~:JCtSt'n**

seconded

the motion. The question

being

upon

the passage

and adoption

of

the Resolution,

the

roll

was called

with

the following

result: Those

voting

YE:S:

Randall Higgason Linda

Luther Raymond

Snyder Those

vat

i ng

NO: __ _;fJ"'''-"''"-'"'------------------ Tho

s e Absent

: ____ N"""'-'":O"-'"------------------- The Chairman

thereupon

declared

that

a majority

of

all the Commissionet:"s

elected

having

voted

in favot:" thereof,

the motion

was carried

and

the Resolution

duly passed

and adopted. Thet:"eupon,

after consideration

of other business

to come before

the

Board

of County Commissioners,

the meeting

was adjourned. (SEAL)

**'b<.j~~v{.J**

County

Clerk

and Recorder -

11

--·· STATE

OF COLORADO COUNTY

OF

SAN MIGUEL

I I I I

1 Gay Cappis,

County

Clerk

and Recorder

of

San Miguel County, Colorado,

do hereby

certify

that

the foregoing

pages numbered

1

to

11, inclusive,

constitute

a true

and correct

copy

of the record

of proceedings

of

the Board

of County Commissioners taken

at

a regular

meeting

thereof

held

at

the County Courthouse, in Telluride,

Colorado,

on

MMtL,

7-

, 1987, **in~ofar** as said proceedings

relate

to

the passage

and adoption

of

a Resolution

imposing

a Countywide

sales

and

use

tax;

that

the original Resolution

has

been

duly authenticated

by

the signatures of

the Chairman

and myself,

as County

Clerk

and Recorder,

sealed with

the

seal

of

the County,

and recorded

in

the

book

kept

for that purpose

in

my office,

which

record

has

been

duly signed

by the

said officers

and sealed

with

the

seal

of

the County;

and

that attached

hereto

are Affidavits

of Publication

of such Resolution imposing

the sales

and

use

tax

as passed

and adopted. IN WITNESS

WHE:REOF',

I have hereunto subscribed

my name and affixy'd

the_

seal

of day

of 6:z.g_kL.,_,

1987, {SCALI

San f>liguel

County, Colorado,

this -3/f'?LJ Cou

y Clerk

and Recorder -

12

-PAlO:

N.C.

294067 .:_-,y C:app:La,

DE 08/19/19'34

02:01P County

Clerk,

San

8:

53:J

p:

'75'3 **Migu~l**

County,

co PROCEEDINGS

Of THE BOARD

Of COUNTY COMMISSIONERS OF SAN MIGUEL COUNTY. COLORADO RELATING

TO TI!E ADOPTION

OF

A RESOLUTION AMENDING RESOLUTION#

1987-8 IMPOSING

A COUNTYWiDE

SALES

AND

USE

TAX AND CREATING

A CAPITAL IMPBOVEMEN1

FUNDSTATEOFCOLORADO):ss.CountyofSanMiguel)294067B:533P:760TheBoardofCountyCommissionersofSanMiguelColoradometinregularsessioninfullconformitywithlawandtherulesoftheCounty,attheCountyCourthouse,inTelluride,Colorado,onTuesday,the16thdayofAugust,1994,at9:30a.m.Uponrollcallthefollowingwerepresent,constitutingaquorum:Chair:LeslieSherlockCommissioners:BillWengerAnnaZivianAlsopresent:DeputyClerk:DarleneFriemanCmmtyAttorney:StevenJ.ZwickThereuponCommissionerSherlockintroducedaresolutionasfollows:RESOLUTION1994-48ARESOLUTIONCONCERNEDWITHSUBMITf!NGTOTHEVOTERSOFSANMIGUELCOUNTYAPROPOSALTOAMENDTHERESOLUTlONIMPOSINGACOUNTYWIDESALESANDUSETAXANDCREATINGACAPITALIMPROVEMENTFU!\JTlASAPPROVEDBYAVOTEOFTHECOUNTY'SREGISTEREDELECTORSATASPECIALELECTIONHELDONAPRIL7,!987294067B:533P:761WHEREAS,pursuanttosection29-2-108,C.R.S.,asamended,theBoardofCountyCommissionersofSanMiguelCountybyResolutionNumber1987-8,dulyadoptedonMarch2,1987,approvedthesubmjssiontotheregisteredelectorsofSanMiguelCountyfortheirapprovalataspecialelectionheldonApril7,1987ofaballotproposalconcerningtheimpositionofacountywidesalesandusetaxontheretailsaleoruseofcertaintangiblepropertyandfurnishingofservices,aswellastl1ecreationofacapitalimprovementfundtobefundedfromtherevenuesgeneratedbysuchsalesandusetax,andauthorizingthepledgeoftherevenuesinsuchcapitalimprovementfundtofinancethecostofcountycapitalimprovements;andWHEREAS;Resolution1987-8specifiedatSection11.UseofRevenueshowtherevenuesgeneratedbytheproposedsalesandusetaxwouldbeallocatedbetweentheSanMiguelCountySalesTaxCapitalImprovementFundandtheCountyGeneralFund.Section11.2oftheResolutionspecifiedthatfromthemonthlyCountySalesTaxrevenuesanamounteqtJaltothegreaterof$15,000ortwo-thirds(2/3)oftherevenuesreceivedshalibedepositedtotheCounty'sCapitalImprovementFundtobeusedsolelyforauthorizedfundpurposes;theremainderofthecountysalesandusetaxrevenuesreceivedtobedepositedandcreditedtotileCountyGeneralFondandusedforsuchpurposesastheBoardofCountyCommissionersshalldetermine;Section12.Amendmentsmandatesthat"thedistributionanduseofthetaxrevenuesprovidedforinSection11hereofshallbenotamended,altered,deleted,orchangedunlessfirstsubmittedtotheelectorsoftheCountyfortheirapproval";andWHEREAS,amajorityoftheregisteredelectorsofSanMiguelCounty,Colorado,votingatthespecialelectiononApril7,1987concerningtheadoptionofaCountywideSalesandUseTaxandthecreationofaSalesTaxCapitalImprovementFundvotf'..dtoapprovetheballotquestion,andtheprovisionsofResolution1987- 8havebeenineffectsinceJulyI,1987;andWHEREAS,thecostsassociatedwiththeofSanMiguelColmtyprisonershavesteadilyincreasedoverthepastseveralyearsataratethanthatal'"hicbtheCountymayincreaseitspropertytaxrevenue:'lundertheColomdoConstitutiontofundsur·hexpendituresanditappearsthatthisspendingtrendwillcr:ntinuefortheforeseeablefuture;and2940678:533f'!762WHEREAS,theSheriffofSanMiguelCountyhasadvisedtheBoardofCountyCommissionersthattheestimatedcostsassociatedwiththeincarcemtionofcountyprisonerswillincreasebyapproximately$200,000peryearbeginningin1995andthereafter,andthatthelevelofcountygen<:-ralfundwhichhavehistoricallybeenbudgetedandappropriatedfortheincarcer<trionofJJrisonerswillbeinsufficienttocovertheprojectedcosts;andWHEREAS,pursuanttoSection1-1-110(3),C.R.S.,asamended,theBoardofCountyCommissionersmustcertirvtheballotcontentsregardingcountyissnestobesubmiltedforvoterapprovaltotheSanMiguelCow1tyClerkandRecorderpriortothefifty-fifthdaybeforetheNovember8,1994election;andWHEREAS,TilerearecurrentlynoCountySalesTaxCapitalImprovementFt1nclspecialrevenuedebtoutstandingforwhichtheCounty'sdebtserviceobligationswouldbeadverselyaffectedbyvoterapprovalofanamendmenttotheCountywideSalesandUseTaxResolution,NumberJ987-8changingtheallocationofCountySalesandUseTaxrevenuesreceivedbydecreasingtheamountofsuchrevenuesdepositedintheCounty'sSalesTaxCapitalimprovementFundfromtwo-thirds(2/3)toone-!lalf(1/2)oftherevenuesreceived;andWHEREAS,intheopinionoftheSanMigue1CountyAttorneytheprovisionsofSection20ofArticleXoftheColoradoConstitution(TABOR),donotapplytothisproposedamendmenttotheCounty'sadoptedSalesandUseTaxResolution,Number1987-8,sincetheproposedamendmentisnotane.wtax,taxrateincrease,milllevyabovethatfortheprioryear,valuationforasse:;srnentratioincreaseforapropertyclass,orextensionofanexpiringtax,orataxpolicychangedirectlycausinganettaxrevenuegaintoanydistrict,nordoesitcreateanymultiple-yeardirectorindirectdistrictdebtorotherfinancialobligationwhatsoeverwithoutadequatecashreservespledgedirrevocableandheldforpaymentsinallfutureyears,forwhichvoterapprovalisrequired;andWHEREAS,theBoardofCountyCommissionershasreviewedtheproposedballotquestion,assetforthhereinbelow,tobeconsideredattheNovember8,1994generalelectionandhasdeterminedthatthehealth,safety,andwelfareoftheresidentsofSanMiguelCountyandthepublicwillbeservedifsaidballotquestionissubmittedtothecounty'sregisteredelectorsinorderthatsufficientsalestaxrevenuesmaybeallocatedtotheCounty'sGeneralFundintheyear1995andthereaftertobebudgetedandappropriatedforthosecostsassociatedwiththeincarcerationofcountyprisonersintheyear1995andthereafteruntilandunlessrepealedatanelectionbyamajorityoftheregisteredelectorsofSanMiguelCountyvotingthereon.NOW,THEREFORE,BEITRESOLVED,bytlieBoardofCountyCommissionersofSanMiguelCounty,Colo1ado,asfollows:J.StlbjecttotheapprovalofthemajorityofregisteredekctorsofSanMiguelCounty,Colorado,votingonthequestionatthegeneralelectionscheduledtobeheldon294067 B:

533

P:

763 November

8, 1994,

the provisions

of Section

1 l. **1J.~e**

of Revenues.

subsection

ll.2,

shall

be amended

to read

as follows,

effective

January

1, 1995: 11.2.

The revenues

derived

from

the County's

Sa1es

Tax

and

Use Tax

shali

be distributed

and

used

as follows: (a) Upon receipt

from

the Executive

Director

each month

of the revenues

derived

from

the County's

Sales

Tax,

an amount

equal to the greater

of $10,000

or **one~half**

(1/2)

of such revenues

shall be deposited

to the Capital Improvement

Fund

and

used solely

for the purposes

for which

such

Fund

may

be used; provided

however, that

if the amount deposited

to the Capital Improvement

Fund

in ar.y month

shall

be less

than $10,000,

the deficit

shall

be added

to the amount required

to

be deposited

to such Fund

in the following month

or months

until

the deficiency

is cured. (b) The revenues

derive-d

from

the Sales

Tax remaining

after

the foregoing

deposits

have

been

made

shall

be credited

to the General Fund

and

used

for

such purpose.s

as

the Board

of County Commissioners

shall de.termine,

subject however

to the limitation that

the

first $15,000

of such revenues

shaH

be budgeted, appropriatec!

and spent

solely

for

the purpose

of funding

those costs associated

with

the incarceration

of San Miguel

Cmmty prisoners. (c) The revenues

derived

from

the County's

Use

Tax

shall

be credited

to the General

Fund

and

used

for such purposes

as

the Board

of County Commissioners

shall determine. 2. The Board

of County Commissioners

of San Miguel County,

State

of Colorado do hereby

certify

to the

San Miguel

County

Clerk

and Reeorder

the following

question

be placed on

the November

8, 1994 general

election

ballot: SHALL

SAN MIGUEL

COUNTY

BOARD

OF COMMISSIONERS

RESOLUTION

1987

-

8,

A RESOLUTION CONCERNING

THE IMPOSITION

OF

A COUNTYWIDE SALES

AND

USE

TAX

AND

THE CREATION

OF

A CAPITAL IMPROVEMENT

FUND

BE AMENDED

AT SECTION

11. Use of Revenue$_

to require

that

fifty percent

of such

sales

and

use

tax revenues

received

shall

be deposited

in

the Sales

Tax Capital Improvement

Fund

and

the remaining

fifty percent

of such

sales anc!

use tax.revenues

received

shall

be deposited

in the County's Geneml

Fund,

subject

to

the limitation

that

the

first $15,000

of such monthly revenues,

$1.80,000

annually,

shall

be budgeted

and appropriated

solely

for

l.he puqmse

of funding

**thc·~e**

costs associated

with

the incarceration

of San Miguel

Connty **Pri~;oner.s?** YES

NO

-4-2940&7B;533P:7643.SaidballotquestionshallbevotedupononlybySanMiguelCounty,Colorado,registeredelectorslegallyeligibletovoteattheNovember8,1994generalelection.4.ShouldtheSanMiguelCouP!)-ClerkBndRecordercertify,inthemannerprovidedbylaw,thatamajorityorthelegallyeligibleregisteredelectorsSanCounty,votingonsaidquestion,casttheirvotesinfavorofthebaliotquestionsetforthhereinabovesaidAmendmenttotheCounty'sSalesandUseTaxResolution,Number19878,shallbecomelegallyeffectiveastothoseCountySalesandUseTaxrevenuescollectedandreceivedonJanuaryI,1995andthereafte.r,untilandunlessrepealedasprovidedforinBoardofCountyCommissioner'sResolution1987-8.(SEAL)ADOPTEDANDAPPROVEDthisof_{],_,(JV5t__,1994.By:ChairBoardofCountyCommissionersSanMiguelCounty-5··:294067 B:

533

P: 765 Commissioner

Wenger

then moved

that

the Resolution

be passed

and adopted. Commissioner

Zivian seconded

the motion. The question

being

upon

the pa':isage

and adoption

of the Resolution,

the

roll

was called

with

the follmving

result: Those

voting

YES:

Leslie Sherlock Bill Wenger Anna Zivian Those

voting

NO:

None The Chairman

thereupon

declared

that

a majority

of

ali

the Commissioners

elected having

voted

in favor thereof,

the motion

was carried,

and

the Resolution

duly passed

and adopted.

Thereupon,

after consideration

of other business

to come before

the Board

of County Commissioners,

the meeting

was adjourned. (SEAL)

-6-STATEOFCOLORADO):ss.CountyofSanivliguel)294067B:533P!766I,GayCappis,CountyClerkandRecorderofSanMiguelCounty,Colorado,doherebycertifythartheforegoingpagesnumbered1to6,inclusive, consituteatrueandcorrectcopyofthere.cordofproceedingsoftheBoardofCountyCommissionerstakenataregularmeetingthereofheldattheCountyCourthouse,inTelluridr.,Colorado,onAugust16,1994,insofarassaidproceedingsrelatetothepassageandadoptionofaResolutionimposir1gaCountywidesalesandusetax; thattheoriginalResolutionhasbeendulyauthenlicatedbythesignaturesoftheChairandmyseif,asCOlmtyClerkandRecorder,se..1.ledwiththesealoftheCounty,andrecordedinthebookkeptforthatpurposeinmyoffice,whichrecordhasbeendulysignedbythesaidofficersandsealedwiththesealoftheCom1ty;andthatattachedheretoaret.ftidavitsofrublicationofsuchResolutionimposingthesalesanduselaxaspassedandadopted.INWITNESSWHEREOF,IhavehereuntosubscribedmynameandaffixedthesealofSanMiguelCounty,Colorado,this__dayof______,1994.(SEAL)CountyClerkandRecorder··LexisNexis·UserName:StevenZwickDateandTime:Nov16,20156:21p.m.ESTJobNumber:26296526Documents(7)1.29-2-101.LegislativedeclarationClient/Matter:-None2.29-2-102.Municipalsalesorusetax-referendumClient/Matter:-None3.29-2-103.Countvwidesalesorusetax-multip/e-countvmunicipalityexceptedClient/Matter:-None4.29-2-104.AdoptionproceduresClient/Matter:-None5.29-2-105.Contentsofsalestaxordinancesandproposals-repealClient/Matter:-None6.29-2-106.Col!ection-administration-enforcementClient/Matter:-None7.29-2-111.PledgingofsalesandusetaxforcapitalimprovementsClient/Matter:-None-..l.exiSNeriS"'IAboutLexisNexisIPrivacyPolicyITerms&ConditionsICopyright©20151LexisNexis.StevenZwickC.R.S.29·2-101ThisdocumentreflectschangescurrentthroughalllawspassedattheFirstRegularSessionoftheSeventiethGeneralAssemblyoftheStateofColorado(2015)ColoradoRevisedStatutes>TITLE29.GOVERNMENT·LOCAL>GENERALPROVISIONS>ARTICLE2.COUNTYANDMUNICIPALSALESORUSETAX29·2·101.LegislativedeclarationThegeneralassemblyherebydeclaresthattheimpositionofsalesorusetaxes,orboth,bycounties,cities,andincorporatedtownsinthisstateaffectstheflowofcommercewithinthisstateandthewelfareofthepeopleofthisstate.Thepurposeofthegeneralassemblyintheenactmentofthisarticleistoprovideahigherdegreeofuniformityinanysalestaxesimposedbysuchentities.HistorySource:L.67:p.660,§1.C.R.S.1963:§138-10-1.L.73:p.1477,§1.L.75:Entiresectionamended,p.961,§1,effectiveJuly14.AnnotationsNotesLawreviews:Forarticle,"LocalGovernmentSalesandUseTaxes",see40Colo.Law.61(July2011).CaseNotesANNOTATIONState'sinterestinuniformitydoesnotoutweighthehomerulecity'sinterestinpreventingtaxavoidance.Whereahomerulecity'sexcisetaxisintendedtocollectonlythedifferencebetweenwhatitwouldhavecollectedinsalestaxhadthepurchasebeenmadelocallyandanysalesorusetaxpreviouslypaidtoanothermunicipality,thestate's interestinuniformitydoesnotoutweighthehomerulecity'sinterestinpreventingtaxavoidancebypurchasingoutsideofthecityllmits.WinslowGonstr.Go.v.CityCountyofDenver.960P2d685(Colo.1998).AppliedinDeluxeTheatres.Inc.v.CitvofEnglewood.198Colo.85.596P.2d771(1979).COLORADOREVISEDSTATUTESStevenZwickC.R.S.29-2-102ThisdocumentreflectschangescurrentthroughalllawspassedattheFirstRegularSessionoftheSeventiethGeneralAssemblyoftheStateofColorado(2015)ColoradoRevisedStatutes>TITLE29.GOVERNMENT·LOCAL>GENERALPROVISIONS>ARTICLE2.COUNTYANDMUNICIPALSALESORUSETAX29-2-102.Municipalsalesorusetax-referendum{1)Anyincorporatedtownorcityinthisstatemayadoptamunicipalsalesorusetax,orboth,byordinanceinaccordancewiththe provisionsofthisarticle,butonlyiftheordinanceprovidesforthesubmissionofthetaxproposaltoanelectionbytheregisteredelectorsofthetownorcityfortheirapprovalorrejectionataregularmunicipalelectionorataspecialelectioncalledforthepurposeifnoregularmunicipalelectionwillbeheldwithinninetydaysaftertheadoptionoftheordinance.Theelectionshallbeconductedinthemannerprovidedinthe"ColoradoMunicipalElectionCodeof1965",article10oftitle31,C.R.S.(2)(a)Noincorporatedtownorcityshalladoptasalesorusetaxordinancepursuanttosubsection(1)ofthissectiononorafterthedateoftheadoptionofaresolutionforacountywidesalestax,usetax,orbothbytheboardofcountycommissionersofthecountyinwhichalloranyportionofthetownorcityislocateduntilafterthedateoftheelectiononthecountyproposal.(b)Paragraph(a)ofthissubsection(2)shallnotapplytoanyincorporatedtownorcitythathasbeenincorporatedforlessthanfiveyearsasofthedateofadoptionofthesalesorusetaxordinance.(c)Nothinginthisarticleshallprecludetheinitiationofasalesorusetaxproposalbytheregisteredelectorsofanyincorporatedtownorcitypursuanttosection31-11-104C.R.S.HistorySource:L.67:p.660,§2.C.R.S.1963:§138-10-2.L.73:p.1477,§2.L.75:Entiresectionamended,p.961,§2,effectiveJuly14.L.79:Entiresectionamended,p.1126,§1,effectiveApril25.L.87:Entiresectionamended,p.322,§67,effectiveJuly1.L.93:Entiresectionamended,p.697,§4,effectiveMay4.L.95:Entiresectionamended,p.440,§25,effectiveMay8.L.2003:Entiresectionamended,p.2581,§1,effectiveJune5.COLORADOREVISEDSTATUTESStevenZwickC.R.S.29-2-103ThisdocumentreflectschangescurrentthroughalllawspassedattheFirstRegularSessionoftheSeventiethGeneralAssemblyoftheStateofColorado(2015)ColoradoRevisedStatutes>TITLE29.GOVERNMENT-LOCAL>GENERALPROVISIONS>ARTICLE2.COUNTYANDMUNICIPALSALESORUSETAX29-2-103.Countywidesalesorusetax-multiple-countymunicipalityexcepted(1)Eachcountyinthisstateisauthorizedtolevyacountysalestax,usetax,orbothinaccordancewiththeprovisionsofthisarticle.Noproposalforacountysalestax,usetax,orbothshallbecomeeffectiveuntilapprovedbyamajorityoftheregisteredelectorsofthecountyvotingonsuchproposalpursuanttosectionSuchaproposalforasalestax,usetax,orboth,uponapprovalbyamajorityoftheregisteredelectorsvotingthereon,shallbeeffectivethroughouttheincorporatedandunincorporatedportionsofthecountyexceptwhenlessthancountywideapplicationisauthorizedpursuanttosubsection(2)ofthissection.(2)Acountymaylevyasalestax,usetax,orboth,inwholeorinpart,inlessthantheentirecountywhenthefollowingconditionsaremet:(a)(Deletedbyamendment,L.2008,p.990,§4,effectiveAugust5,2008.)(b)Theareatobeexcludedfromthetaxlevyiscomprisedsolelyofaportionofamunicipalitywhoseboundariesarelocatedinmorethanonecounty;and(c)Allothercountiesinwhichaportionofthemunicipalitydescribedinparagraph(b)ofthissubsection(2)islocatedhaveagreedtoprovidefaircompensationtothecountyforanyservicesextendedtosuchmunicipalityasaresultofrevenuesderivedfromthecountytaxlevyfromwhichthemunicipalityisexcluded.(3)Theapprovalprovisionsofsubsection(1)ofthissection,therestrictionsoncontentsofsalesorusetaxproposalssetforthinsection29-2-105,andthecollectionproceduresofsection29-2-106shallapplytocountysalesorusetaxesorbothleviedpursuanttosubsection(2)ofthissection.HistorySource:L.67:p.660,§3.C.R.S.1963:§138-10-3.l.75:Entiresectionamended,p.962,§3,effectiveJuly14.L.79:Entiresectionamended,p.1126,§2,effectiveApril25.L.85:Entiresectionamended,p.1028,§1,effectiveMay2.L.2008:(2)(a)and(2)(b)amended,p.990,§4,effectiveAugust5.AnnotationsCaseNotesANNOTATIONLawreviews.Forarticle,"ColoradoSalesandUseTaxConsequencesinSatesofBusinesses",see11Colo.Law.679(1982).COLORADOREVISEDSTATUTESStevenZwickC.R.S.29-2-104ThisdocumentreflectschangescurrentthroughaUlawspassedattheFirstRegularSessionoftheSeventiethGeneralAssemblyoftheStateofColorado(2015)ColoradoRevisedStatutes>TITLE29.GOVERNMENT·LOCAL>GENERALPROVISIONS>ARTICLE2.COUNTYANDMUNICIPALSALESORUSETAX29-2-104.Adoptionprocedures(1)Aproposalforacountywidesalestax,usetax,orbothshallbereferredtotheregisteredelectorsofthecountyeitherbyresolutionoftheboardofcountycommissionersorbypetitioninitiatedandsignedbyfivepercentoftheregisteredelectorsofthecounty.Therightofpetitionallowedpursuanttothissubsection(1)shallextendonlytotheinitialproposalofataxandshallnotextendtotheextensionofanexpiringtax,useoftaxrevenues,orchangesindistributionoftaxrevenuesamonglocalgovernments.(2)Suchproposalshallcontainadescriptionofthetaxinaccordancewiththeprovisionsofthisarticleandshallmakeprovisionforanydistributionofrevenuecollectionsbetweenthecountyandtheincorporatedcitiesandtownswithinthecounty.Suchproposalshallalsostatetheamountoftaxtobeimposed.Unlessotherwiseagreedtobythegoverningbodiesofthecountyandmunicipalitieswithinthecounty,anyusetaxproceedsshallbedistributedamongsuchcountyandmunicipalitiesinthesameproportionasthesalestaxproceedsdistributedtoeachjurisdiction.(3)Aproposalforacountywidesalestax,usetax,orboth,byresolutionoftheboardofcountycommissioners,shallbesubmittedatthenextregulargeneralelectionifthereIsonewithinthenextsucceedingonehundredtwentydaysaftertheadoptionofsuchresolution.Ifnogeneralelectionisscheduledwithinsuchtime,theboardofcountycommissioners,initsresolution,shallsubmitthesametotheregisteredelectorsofthecountyataspecialelectioncalledforthepurpose,tobeheldnotlessthanthirtydaysnormorethanninetydaysaftertheadoptionofsuchresolution.(4)Uponbeingpresentedwithapetitionrequestingaproposalforacountywidesalestax,usetax,orbothsignedbyfivepercentoftheregisteredelectorsofthecounty,theboardofcountycommissionersshall,uponcertificationofthesignaturesonthepetition,submitsuchproposaltotheregisteredelectorsofthecounty.Theproposalshallbesubmittedatthenextgeneralelectionifthereisonewithinonehundredtwentydaysofthefilingofthepetition.Ifnogeneralelectionisscheduledwithinonehundredtwentydaysfollowingthedateoffilingofthepetition,theboardofcountycommissionersshallsubmitsuchproposalataspecialelectioncallednotlessthanthirtydaysnormorethanninetydaysfromthedateoffilingofthepetition.{5)Upontheadoptionofaresolutionbytheboardofcountycommissionersasprovidedinsubsection(3)ofthissectionoruponthefilingofaproperpetitionasprovidedinsubsection(4)ofthissection,thecountyclerkandrecordershallpublishthetextofsuchproposalforasalestax,usetax,orbothfourseparatetimes,aweekapart,intheofficialnewspaperofthecountyandeachcityandincorporatedtownwithinthecounty.Thecostoftheelectionshallbepaidfromthegeneralfundofthecounty.Theconductoftheelectionshallconform,sofaraspracticable,tothegeneralelectionlawsofthestate.(6)Ifapprovedbyamajorityoftheregisteredelectorsvotingthereon,thecountywidesalestax,usetax,orbothshallbecomeeffectiveasprovidedbysection(2).{7)Ifamajorityoftheregisteredelectorsvotingthereonfailtoapprovethecountywidesalestax,usetax,orbothatanyelection,thequestionshallnotbesubmittedagaintotheregisteredelectorsforaperiodofoneyearthreehundredfiftydays.StevenZwickPage2of2C.R.S.29-2-104HistorySource:L.67:p.660,§4.C.R.S.1963:§138-10-4.L.75:Entiresectionamended,p.962,§4,effectiveJuly14.L.79:(1)(d)amended,p.1127,§3,effectiveJuly3.L.81:(7)amended,p.1402,§1,effectiveJune9.l.2002:(1)amended,p.1944,§1,effectiveAugust7.AnnotationsCaseNotesANNOTATIONPriortothesubmissionofaproposalinitiatedpursuanttosubsection(1)totheelectorate,acountyhasadiscretionarydutytoreviewtheproposalforcompliancewiththeproceduralrequirementsofthecountysalestaxactandacourthasjurisdictiontodetenninewhethersuchaninitiativecomplieswiththoseproceduralrequirements.IncontrasttoamunicipalorstatewideinitiativeexplicitlyallowedbytheColoradoConstitution,astatutorilyauthorizedcountyinitiativeislimitedanddefinedbytheproceduralandsubstantiveprovisionsoftheauthorizingstatuteandtheexerciseofthestatutorypoweroftheinitiativemustcomplywiththatstatute.Bd.ofCountvComm'rsv.CountvRoadUsersAss'n,11P.3d432(Colo.2000).Writofmandamusorderingacountytosubmitaproposalinitiatedpursuanttosubsection(1)totheelectoratewasinappropriatewheretheproposalfailedtocomplywiththeproceduralrequirementsofthecountysalestaxact.Bd.ofCountyComm'rsv.CountyRoadUsersAss'n.11P.3d432(Colo.2000!.Distributiontoallmunicipalitieswithinacountyisnotrequiredbysubsection(2).OrchardCityv.DeltaCountyComm'rs,751P.2d1003(Colo.1988).Anydistributionofsalestaxrevenuebyacountymaynotarbitrarilyexcludeanincorporatedmunicipalitywithinthecounty.OrchardCitvv.DeltaCountyComm'rs.751P.2d1003(Colo.19881.COLORADOREVISEDSTATUTESStevenZwickC.R.S.29-2-105ThisdocumentreflectschangescurrentthroughalllawspassedattheFirstRegularSessionoftheSeventiethGeneralAssemblyoftheStateofColorado(2015)ColoradoRevisedStatutes>TITLE29.GOVERNMENT.LOCAL>GENERALPROVISIONS>ARTICLE2.COUNTYANDMUNICIPALSALESORUSETAX29-2-105.Contentsofsalestaxordinancesandproposals-repeal(1)Thesalestaxordinanceorproposalofanyincorporatedtown,city,orcountyadoptedpursuanttothisarticleshallbeimposedonthesaleoftangiblepersonalpropertyatretailorthefurnishingofservices,asprovidedinparagraph(d)ofthissubsection(1).Anycountywideorincorporatedtownorcitysalestaxordinanceorproposalshallincludethefollowingprovisions:(a)Aprovisionimposingataxonthesaleoftangiblepersonalpropertyatretailorthefurnishingofservices,asprovidedinparagraph(d)ofthissubsection(1);(b)Aprovisionthat,forthepurposeofthesalestaxordinanceorproposalenactedinaccordancewiththisarticle,allretailsalesareconsummatedattheplaceofbusinessoftheretailerunlessthetangiblepersonalpropertysoldisdeliveredbytheretailerorhisagenttoadestinationoutsidethelimitsofthelocaltaxingentityortoacommoncarrierfordeliverytoadestinationoutsidethelimitsoftheincorporatedtown,city,orcounty.Thegrossreceiptsfromsuchsalesshallincludedeliverychargeswhensuchchargesaresubjecttothestatesalesandusetaximposedbyarticle26oftitle39,C.R.S.,regardlessoftheplacetowhichdeliveryismade.Ifaretailerhasnopermanentplaceofbusinessinsuchincorporatedtown,city,orcounty,orhasmorethanoneplaceofbusiness,theplaceatwhichtheretailsalesareconsummatedforthepurposeofasalestaximposedbyordinancepursuanttothisarticleshallbedeterminedbytheprovisionsofarticle26oftitle39,C.R.S.,andbyrulesandregulationspromulgatedbythedepartmentofrevenue.(c)Aprovisionthattheamountsubjecttotaxshallnotincludetheamountofanysalesorusetaximposedbyarticle26oftitle39,C.R.S.;(d)(!)Aprovisionthatthesaleoftangiblepersonalpropertyandservicestaxablepursuanttothisarticleshallbethesameasthesaleoftangiblepersonalpropertyandservicestaxablepursuanttosection39-26-104C.R.S.,exceptasotherwiseprovidedinthisparagraph(d).Thesaleoftangiblepersonalpropertyandservicestaxablepursuanttothisarticleshallbesubjecttothesamesalestaxexemptionsasthosespecifiedinpart7ofarticle26oftitle39,C.R.S.;exceptthatthesaleofthefollowingmaybeexempted fromatown,city,orcountysalestaxonlybytheexpressinclusionoftheexemptioneitheratthetimeofadoptionoftheinitialsalestaxordinanceorresolutionorbyamendmentthereto:(A)Theexemptionforsalesofmachineryormachinetoolsspecifiedinsection39-26-709(1),C.R.S.;(B)Theexemptionforsalesofelectricity,coal,wood,gas,fueloil,orcokespecifiedinsection39·26-715(1) (a){II),C.R.S.;(C)Theexemptionforsalesoffoodspecifiedinsection39-26-707(1l(e),C.R.S.;(D)Theexemptionforvendingmachinesalesoffoodspecifiedinsection39-26-714(2),C.R.S.;(E)Theexemptionforsalesbyacharitablespecifiedinsection39-26-718(11(b),C.R.S.;(F)Theexemptionforsalesoffarmequipmentandfarmequipmentunderleaseorcontractspecifiedinsection39-26-716(2)(b)and(2)(c),C.R.S.;(G)Theexemptionforsalesoflow-emittingmotorvehicles,powersources,orpartsusedforconvertingsuchpowersourcesasspecifiedinsection39-26-719(1),G.R.$.;(H)Repealed.StevenZwickPage2of5C.R.S.29-2-105(I)TheexemptionforsalesofwoodfromsalvagedtreeskilledorinfestedinColoradobymountainpinebeetlesorsprucebeetlesasspecifiedinsection39-26-723.C.R.S.;(J)Theexemptionforsalesofcomponentsusedintheproductionofenergy,includingbutnotlimitedtoalternatingcurrentelectricity,fromarenewableenergysourcespecifiedinsection39-26-724.C.R.S.;exceptthatthissub-subparagraph(J)shallnotapplytoanyincorporatedtown,city,orcountythatadoptedtheexemptionspecifiedinsub-subparagraph(A)ofthissubparagraph(I)priortoMay27,2008;(K)Theexemption forsalesthatbenefitaColoradoschoolspecifiedinsection39-26-725C.R.S.;(L)Theexemptionforsalesbyanassociationororganizationofparentsandteachersofpublicschoolstudentsthatisacharitableorganizationasspecifiedinsection39-26-718(1)(c),C.R.S.;(M)Theexemptionforsalesofpropertyforuseinspaceflightspecifiedinsection39-26-728.C.R.S.;and(N)Theexemptionforsalesofcomponentsusedinbiogasproductionsystemsspecifiedinsection39-26-724(1)(c),C.R.S.This sub-subparagraph(N}isrepealed,effectiveJuly1,2019.(II)Repealed.(Ill)Jntheabsenceofanexpressprovisionforanyexemptionspecifiedinsubparagraph(I)ofthisparagraph(d),allsalestaxordinancesandresolutionsshallbeconstruedasimposingorcontinuingtoimposethetown,city,orcountysalestaxonsuchitems.(e)Aprovisionthatallsalesofpersonalpropertyonwhichaspecificownershiptaxhasbeenpaidorispayableshallbeexemptfromsaidcounty,town,orcitysalestaxwhensuchsalesmeetbothofthefollowingconditions:(I)Thepurchaserisanonresidentoforhashisprincipalplaceofbusinessoutsideofthelocaltaxingentity;and(II)Suchpersonalpropertyisregisteredorrequiredtoberegisteredoutsidethelimitsofthelocaltaxingentityunderthelawsofthisstate.(f)Repealed.{1.5) {a}Allsalestaxordinancesorresolutionsadoptedbyacounty,town,orcitypriorto,on,orafterAugust1,2002,thatimposeasalestaxpursuanttosection39-26-104(1)(c),C.R.S.,onamobiletelecommunicationsserviceshallimposesuchtaxinaccordancewiththeprovisionsoftheact,and,pursuanttosection117(b)oftheact,mobiletelecommunicationsservicetaxablebythecounty,town,orcityonorafterAugust1,2002,maybesubjecttoanysalestaxorotherchargeimposedbysaidentityontheserviceonlyifthecustomer'splaceofprimaryuseiswithinthegeographicalboundariesoftheentity.(b)Asusedinthissubsection(1.5),unlessthecontextotherwiserequires:(I)"Act"meansthefederal"MobileTelecommunicationsSourcingAct",4U.S.C.sees.116to126,asamended.(II)"Customer"meanscustomerasdefinedinsection124(2}oftheact.(Ill)"Mobiletelecommunicationsservice"meansmobiletelecommunicationsserviceasdefinedinsection124(7)oftheact.(IV)"Placeofprimaryuse"meanstheplaceofprimaryuseasdefinedinsection124(8}oftheact.(2)Nosalestaxofanystatutoryorhomerulecity,town,cityandcounty,orcountyshallapplytothesaleofconstructionandbuildingmaterials,asthetermisusedinsection29-2-109,ifsuchmaterialsarepickedupbythepurchaserandifthepurchaserofsuchmaterialspresentstotheretailerabuildingpermitorotherdocumentationacceptabletosuchlocalgovernmentevidencingthatalocalusetaxhasbeenpaidorisrequiredtobepaid.StevenZwickPage3of5C.R.S.29-2-105(3)NosalestaxofanystatutoryorhomerulecountyshallapplytothesaleoftangiblepersonalpropertyatretailorthefurnishingofservicesifthetransactionwaspreviouslysubjectedtoasalesOfusetaxlawfullyimposedonthepurchaseroruserbyanotherstatutoryOfhomerulecountyequaltoorinexcessofthatsoughttobeimposedbythesubsequentstatutoryorhomerulecounty.Acreditshallbegrantedagainstthesalestaximposedbythesubsequentstatutoryorhomerulecountywithrespecttosuchtransactionequalinamounttothelawfullyimposedlocalsalesorusetaxpreviouslypaidbythepurchaserorusertothepreviousstatutoryorhomerulecounty.Theamountofthecreditshallnotexceedthesalestaximposedbythesubsequentstatutoryorhomerulecounty.(4)Nosalestaxofanystatutoryorhomerulecityandcounty,city,ortownshallapplytothesaleoftangiblepersonalpropertyatretailorthefurnishingofservicesifthetransactionwaspreviouslysubjectedtoasalesorusetaxlawfullyimposedonthepurchaseroruserbyanotherstatutoryorhomerulecityandcounty,city,ortownequaltoorinexcessofthatsoughttobeimposedbythesubsequentstatutoryorhomerulecityandcounty,city,ortown.Acreditshallbegrantedagainstthesalestaximposedbythesubsequentstatutoryorhomerulecityandcounty,city,ortownwithrespecttosuchtransactionequalinamounttothelawfullyimposedlocalsalesorusetaxpreviouslypaidbythepurchaserorusertothepreviousstatutoryorhomerulecityandcounty,city,ortown.Theamountofthecreditshallnotexceedthesalestaximposedbythesubsequentstatutoryorhomerulecityandcounty,city,ortown.(5)Thefollowingprovisionshallapplyindefiningtheapplicabilityofitshigherratetothesalestaxordinanceorresolutionofanystatutoryorhomerulecity,town,cityandcounty,orcountywhichprovidesahigherrateoftaxationonpreparedfoodorfoodforimmediateconsumptionthanitsgeneralrateoftaxation:Preparedfoodorfoodforimmediateconsumptionshallexcludeanyfoodfordomestichomeconsumption.(6)Nosalesorusetaxofanystatutoryorhomerulecity,town,cityandcounty,orcountyshallapplytothesaleoffoodpurchasedwithfood stamps.Forthepurposesofthissubsection(6),"food"shallhavethesamemeaningasprovidedin7U.S.C.sec.2012(g),assuchsectionexistsonOctober1,1987,oristhereafteramended.(7)Nosalesorusetaxofanystatutoryorhomerulecity,town,cityandcounty,orcountyshallapplytothesaleoffoodpurchasedwithfundsprovidedbythespecialsupplementalfoodprogramforwomen,infants,andchildren,42U.S.C.sec.1786.Forthepurposesofthissubsection(7),"food"shallhavethesamemeaningasprovidedin42U.S.C.sec.1786,assuchsectionexistsonOctober1,1987,oristhereafteramended.(B)Anystatutoryorhomerulecity,town,cityandcounty,orcountywhichprovidesanexemptionforthesaleoffoodshalldefine"food"asdefinedinsection39-26-102(4.5).C.R.S.(9)Notwithstandinganyprovisionofthissectiontothecontrary,salesofcigarettesshallbeexemptfromatown,city,county,orcityandcountysalestaxthatiscreatedpursuanttotheauthoritysetforthinthisarticle.(10)(a)Notwithstandinganyprovisionofthissectiontothecontrary,andexceptasprovidedinparagraph(b)ofthissubsection(10),atown,city,orcountymayexemptfromitssalestaxsalestoatelecommunicationsproviderofequipmentuseddirectlyintheprovisionoftelephoneservice,cabletelevisionservice,broadbandcommunicationsservice,ormobiletelecommunicationsservice.{b}Atown,city,orcountymaynotadoptasalestaxexemptionpursuanttotheauthoritysetforthinparagraph(a)ofthissubsection(10)unlesstheexemptionappliesinauniformandnondiscriminatorymannertothetelecommunicationsprovidersoftelephoneservice,cabletelevisionservice,broadbandcommunicationsservice,andmobiletelecommunicationsservice.HistorySource:L.67:p.661,§5.C.R.S.1963:§138-10-S.L.69:pp.1145,1146,§ §1,1.L.73:p.242,§26.L.77:(1)(b)amended,p.1398,§1,effectiveJuly1.L.79:(1)(d)amended,p.1429,§13,effectiveJuly3.L.80:(1)(d)amended,p.684,StevenZwickPage4of5C.R.S.29-2-105§7,effectiveMay1;(1)(d)amended,p.734,§4,effectiveMay2;{1}(d}amended,p.799,§68,effectiveJune5.L.81:(1}amendedand(1)(f)added,p.1402,§2,effectiveJune9.L.83:(1}(d)amended,p.1208,§1,effectiveApril28.L.85:(2),(3),and(4)added,p.1030,§1,effectiveJanuary1,1986.L.87:{5)to(8)added,p.1462,effectiveOctober1.L.94:(1){d)amended,p.1325,§7,effectiveMay25.L.95:(1}(d)amended,p.329,§2,effectiveApril27.L.99:(1)(d)amended,p.980,§3,effectiveMay28;(1)(d)amended,p.1324,§5,effectiveJuly1;(1)(d)amended,p.1275,§3,effectiveJuly1;(1)(d)amended,p.1356,§4,effectiveJanuary1,2000.L.2000:(1)(d)amended,p.550,§5,effectiveJuly1.L.2001:(1)(d)amended,p.382,§3,effectiveJuly1.L.2002:(1.5)added,p.253,§3,effectiveApril12;(1)(f)amended,p.1036,§81,effectiveJune1.L.2004:(1){d)amended,p.1036,§3,effectiveJuly1.L.2008:(1)(d)R&RE,p.1321,§5,effectiveMay27;(1)(d)R&RE,p.1545,§3,effectiveMay28;(1)(d)R&RE,p.967,§1,effectiveAugust5;(1)(f)repealed,p.991,§9,effectiveAugustS;(1)(d)R&RE,p.971,§1,effectiveSeptember1.L.2009:(1)(d)(I)(J)amended,(HB09-1126),ch.254.p.1149,§4,effectiveMay15;(9)added,(HB09-1342),ch.354,p.1847,§3,effectiveJuly1.L.2011:(1)(d)(ll)repealed,(SB11-1781.ch.216,p.945,§1,effectiveAugust10;(10)added,(HB11-1109),ch.221.p.954,§1,effectiveAugust10.L.2012:(1)(d)(l)(l)amended,(HB12-1045),ch.191,p,765.§2,effectiveMay21;(1)(d)(I)(H)amended,(HB12-1037!.ch.251,p.1247,§1,effectiveJune4.L.2014:(1)(d)(I)(N)added,(HB14-1159),ch.229,p.852.§2,effectiveMay17;(1)(d)(I)(K)and(1)(d)(I)(L)amendedand(1)(d)(I)(M)added,(HB14-1178),ch.234.p.867,§3,effectiveMay20.AnnotationsNotesEditor'snote:(1)Amendmentstosubsection(1)(d)byHouseBill99-1002,HouseBill99-1015,HouseBill99-1271,andHousewereharmonized.(2)Amendmentstosubsection(1)(d)byHouseBill08-1269,HouseBill08-1013,HouseBill08-1358,andHouseBill08-1368wereharmonized.(3)Subsection(1)(d)(I)(H)providedfortherepealofsubsection(1)(d)(I)(H),effectiveJune30,2013.Crossreferences:(1)Forthelegislativedeclarationcontainedinthe1999actamendingsubsection{1)(d),seesection1ofchapter318,SessionLawsofColorado1999.(2)Forthelegislativedeclarationcontainedinthe2002actenactingsubsection(1.5),seesection1ofchapter92,SessionLawsofColorado2002.(3)Forthelegislativedeclarationcontainedinthe2008actamendingsubsection(1)(d),seesection1ofchapter332,SessionLawsofColorado2008.(4)Forthelegislativeintentcontainedinthe2008actamendingsubsection(1)(d),seesection9ofchapter302,SessionLawsofColorado2008.(5)Forthelegislativedeclarationcontainedinthe2009actamendingsubsection(1)(d)(I)(J),seesection1ofchapter254,SessionLawsofColorado2009.(6)ForthelegislativedeclarationinHB14-1178,seesection1ofchapter234,SessionLawsofColorado2014.CaseNotesANNOTATIONPriortothesubmissionofaproposalinitiatedpursuanttosubsection(1)totheelectorate,acountyhasadiscretionarydutytoreviewtheproposalforcompliancewiththeproceduralrequirementsofthecountysalestaxStevenZwickPage5of5 C.R.S. 29-2-105 act and

a court

has jurisdiction

to determine

whether

such

an iniTiative complies

with those procedural requirements. In contrast

to

a municipal

or statewide

initiative

explicitly

allowed

by the Colorado Constitution,

a statutorily authorized

county initiative

is limited

and defined

by the procedural

and substantive

provisions

of the authorizing statute

and

the exerdse

of the statutory

power

of the initiative

must comply

w'ith

that statute.

Bd.

of Countv Comm'rs

v. Countv

Road

Users

Ass'n.

11 P.3d

432 {Colo.

2000). Writ

of mandamus

ordering

a county

to submit

a proposal

initiated pursuant

to subsection

(1)

to the electorate

was inappropriate

where

the proposal

failed

to comply with

the procedural requirements

of the county

sales

tax

act.

Bd. of County Comm'rs

v. Countv

Road

Users

Ass'n.

11 P3d

432 {Colo.

20001. Applicability

of use

tax

to ratable

aircraft

parts

held constitutional

and

not violative

of the commerce

clause

of the federal constitution.

United

Air Lines.

Inc.

v. City

and County

of Denver.

973 P2d

647 (Colo.

App.

1998/. This section

cannot

be extended

by statutory construction

to allow

the regional transportation

district

to impose sales

or use

tax

on transactions

exempt

from

state taxation

other

than transactions

exempted

from

state taxation pursuant

to§ 39-26-114

f11)(d).

Ball Com.

v. Fisher,

51 P3d

1053 (Colo.

App. 2001). Applied

in Associated

Drv Goods

Com.

v. City

of Arvada.

197 Colo.

491.

593

P.2d

1375 (1979). COLORADO

REVISED STATUTES

Steven

ZwickC.R.S.29-2-106ThisdocumentreflectschangescurrentthroughalllawspassedattheFirstRegularSessionoftheSeventiethGeneralAssemblyoftheStateofColorado(2015)ColoradoRevisedStatutes>TITLE29.GOVERNMENT-LOCAL>GENERALPROVISIONS>ARTICLE2.COUNTYANDMUNICIPALSALESORUSETAX29-2-106.Collection-administration-enforcement(1)Thecollection,administration,andenforcementofanycountywideoranycityortownsalestaxadoptedpursuantto thisarticleshallbeperformedbytheexecutivedirectorofthedepartmentofrevenueinthesamemannerasthecollection,administration,andenforcementoftheColoradostatesalestax.Unlessotherwiseprovidedinthisarticle,theprovisionsofarticle26oftitle39,C.R.S.,shallgovernthecoltection,administration,andenforcementofsalestaxesauthorizedunderthisarticle.Incollecting,administering,andenforcingasalestaxauthorizedunderthisarticle,thestatesalestaxauthorizedunderpart1ofarticle26oftitle39,C.R.S.,oranyothersalestaximposedwithintheboundariesofacounty,theexecutivedirectorofthedepartmentofrevenuemayenterintoanintergovernmentalagreementwithacountypursuanttotheprovisionsofsection39-26·122.5.C.R.S.,toenhancesystemicefficienciesinthecollectionofsuchtaxes.(2)TheeffectivedateofanycountywidesalestaxorcityortownsalestaxadoptedundertheprovisionsofthisarticleshallbeeitherJanuary1orJuly1followingthedateoftheelectioninwhichsuchcountysalestaxproposalisapproved;andnoticeoftheadoptionofanycounty salestaxproposalshallbesubmittedbythecountyclerkandrecorderorbytheclerkofthecitycouncilorboardoftrusteesofacityortowntotheexecutivedirectorofthedepartmentofrevenueatleastforty"fivedayspriortotheeffectivedateofsuchtax.Ifsuchasalestaxproposalisapprovedatanelectionheldlessthanforty-fivedayspriortotheJanual)'1orJuly1followingthedateofelection,suchtaxshallnotbeeffectiveuntilthenextsucceedingJanuary1orJuly1.Editor'snote:Thisversionofsubsection(2)iseffectiveuntil(seeeditor'snotefollowingthissection).(2)Theeffectivedateofanycountywidesalestaxorcityortownsalestaxadoptedundertheprovisionsofthisarticleshallbeassetforthinsection39"26-104(2)(c),C.R.S.Editor'snote:Thisversionofsubsection(2)iseffective(seeeditor'snotefollowingthissection).(3)(a)Theexecutivedirectorofthedepartmentofrevenueshall,atnocharge, exceptasprovidedinparagraph(b)ofthissubsection(3),administer,collect,anddistributeanysalestaximposedinconformitywiththisarticle.Theexecutivedirectorshallmakemonthlydistributionsofsaleslaxcollectionstotheappropriateofficialineachcountyandineachincorporatedcityortownintheamountdeterminedunderthedistributionformulaestablishedinaccordancewiththisarticle.Exceptasprovidedinsection39"26"208C.R.S.,anyusetaximposedpursuanttosection29-2-109shallbecollected,administered,andenforcedbythecity,town,orcountyasprovidedbyordinanceorresolution.(b)Theexecutivedirectorisherebyauthorizedtocontractandenterintoagreementswiththecountyclerkandrecorderandmunicipalitiesforthecollectionofstate,county,andcityortownusetaxesuponmotorvehicles,andthecountyclerkandrecordermaychargeandretainafeeasthedirectormayapprovetofullycoverthecostofsuchcollectionbythecountyclerkandrecorder.(c)(I)Aqualifiedpurchasermayprovideadirectpaymentpermitnumberissuedpursuanttosection39-26-103.5CR.S.,toanyvendororretailerthatisliableandresponsibleforcollectingandremittinganycountywidesalestaxorcityortownsalestaximposedonanysalemadetothequalifiedpurchaserpursuanttotheprovisionsofthisarticle.AvendororretailerthathasreceivedStevenZwickPage2of5C.R.S.29-2-106ingoodfaithfromaqualifiedpurchaseradirectpaymentpermitnumbershallnotbeliableorresponsibleforcollectionandremittanceofanysalestaximposedonsuchsalethatispaidfordirectlyfromsuchqualifiedpurchaser'sfundsandnotthepersonalfundsofanyindividual.(II)Aqualifiedpurchaserthatprovidesadirectpaymentpermitnumbertoavendororretailershallbeliableandresponsiblefortheamountofsalestaximposedonanysalemadetothequalifiedpurchaserpursuanttothisarticleinthesamemannerasliabilitywouldbeimposedonaqualifiedpurchaserforstatesalestaxpursuanttosection39-26-105f3J.C.R.S{4)(a)(I)Theexecutivedirectorofthedepartmentofrevenueshall,atnocharge,administer,collect,anddistributethesalestaxofanyhomerulemunicipalityuponrequestofthegoverningbodyofsuchmunicipality:(A)Iftheprovisionsofthesalestaxordinanceofsaidmunicipality,otherthanthoseprovisionsrelatingtolocalproceduresfollowedinadoptingtheordinance,correspondtotherequirementsofthisarticleforsalestaxesimposedbycounties,towns,andcities;(B)Ifnousetaxistobecollectedbythedepartmentofrevenueexceptasprovidedinsection39-26-208,C.R.S.;and{C)Whetherornottheordinanceappliesthesalestaxtotheexemptionslistedinsection29-2-105(1)(d)ill(II)Whenthegoverningbodyofanyhomerulemunicipalityrequeststhedepartmentofrevenuetoadminister,collect,anddistributethesalestaxofsaidmunicipalityasspecifiedinsubparagraph(I)ofthisparagraph(a),saidgoverningbodyshallcertifytotheexecutivedirectorofthedepartmentatruecopyofthehomerulemunicipality'ssalestaxordinance.(b)Theexecutivedirectorofthedepartmentofrevenueshallfurnishthegoverningbodyofeachmunicipalityandcountyamonthlylistingofallreturnsfiledbytheretailersinsuchmunicipalityorcounty.Thegoverningbodyofsuchmunicipalityorcountyshallnotifytheexecutivedirectorofthedepartmentofrevenueofanyretailersomittedfromthislistingassoonaspracticable,butinnoeventmorethanonehundredeightydaysafterreceivingsaidmonthlylisting.Failureofthegoverningbodyofsuchmunicipalityorcountytonotifytheexecutivedirectorofthedepartmentofrevenueofanyomittedretailers,withinsuchperiod,shallprecludethemunicipalityorcountyfrommakinganyfurtherclaimsbaseduponsuchomissions.Neithertheexecutivedirectorofthedepartmentofrevenuenoranymunicipalityorcountyshallbeheldliableforanyomissionswhichhavenotbeencalledtotheexecutivedirector'sattentionwithinthisperiod.(c)(I)Notwithstandingtheprovisionsofsection39-21-113C.R.S.,theexecutivedirectorofthedepartmentofrevenueshallreportmonthlytoeachmunicipalityandcountyforwhichthedepartmentofrevenuecollectsasalestaxinformationidentifyinglicensedvendorswithinthemunicipalityorcountyand,wherethechiefadministrativeofficerorhisdesigneehasexecutedamemorandumofunderstandingwiththedepartmentofrevenueprovidingforcontrolofconfidentialdata,thestatusofeachvendor'saccountincludingtheamountofsuchmunicipality'sorcounty'ssalestaxcollectedandpaidbyeachsuchvendor.Theexecutivedirectorofthedepartmentmay,inhisdiscretion,provideadditionalinformationtoamunicipalityorcountyconcerningcollectionandadministrationofsuchmunicipality'sorcounty'ssalestaxifsuchamemorandumhasbeenexecuted.{II)Exceptinaccordancewithjudicialorderorasotherwiseprovidedbylaw,noofficialoremployeeofamunicipalityorcountyreceivingsalestaxinformationfromthedepartmentofrevenuepursuanttothisparagraph(c)shalldivulgeormakeknowntoanypersonnotStevenZwickPage3of5C.R.S.29-2-106anofficialoremployeeofsuchmunicipalityorcountyanyinformationwhichidentifiesorpermitstheidentificationoftheamountofsalestaxescollectedorpaidbyanyindividuallicensedvendor.Themunicipalorcountyofficialsoremployeeschargedwiththecustodyofsuchsalestaxinformationshallnotberequiredtoproduceanysuchinformationinanyactionorproceedinginanycourtexceptinanactionorproceedingundertheprovisionsofthisarticletowhichthemunicipalityorcountyhavingcustodyoftheinformationisaparty,inwhicheventthecourtmayrequiretheproductionof,andmayadmitinevidence,somuchofsaidsatestaxinformationasispertinenttotheactionorproceeding.Anymunicipalorcountyofficialoremployeewhowillfullyviolatesanyoftheprovisionsofthisparagraph(c)isguiltyofamisdemeanorand,uponconvictionthereof,shallbepunishedbyafineofnotmorethanonethousanddollarsandshallbedismissedfromoffice.(5)Theexecutivedirectorofthedepartmentofrevenuemaypromulgaterulesandregulationstocarryouttheprovisionsofthisarticle.(6)Theexecutivedirectorofthedepartmentofrevenuemay,inhisdiscretion,exchangeinformationwiththeproperofficialofanyhomerulecitywhichimposesasalesandusetaxrelativetogrosssalesreported,changesingrosssalesresultingfromaudits,andotherinformationconcerninglicensedvendorswithinthejurisdictionofthehomerulecity.(7)Forthepurposeoftheadministrationbythestateoftheprovisionsofthisarticle,aswellasanyotherstateorfederalprogram,eachcounty,homerulecounty,statutorytownorcity,homeruletownorcity,cityandcounty,orterritorialchartertownorcityshallfile,pursuanttosection29-2-110,withtheexecutivedirectorofthedepartmentofrevenueacopyofeachsalesorusetaxordinanceorresolution,oranyamendmentthereto,nolaterthantendaysaftertheeffectivedatethereof.AcopyofanysalesorusetaxordinanceorresolutionineffectonMarch11,1982,shallbefilednotaterthanJuly1,1982.Thefailuretofileacopyofanysuchordinanceorresolutionshallnotgiverisetoanyclaimforrefundbyanytaxpayer,otherthanforoverpaymentwhichisdeterminedtobeallowableundersuchordinanceorresolution.(8)Uniformcollectionprocedures.Eachhomerulecity,town,andcityandcountyshallfollow,andconformitsordinanceswherenecessaryto,thestatuteoflimitationsapplicabletotheenforcementofstatesalesandusetaxcollections,thestatuteoflimitationsapplicabletorefundsofstatesalesandusetaxes,theamountofpenaltiesandinterestpayableondelinquentremittancesofstatesalesandusetaxes,andthepostingofbondspursuanttosection39-21-105(4),C.R.S.(9)Standardsalesandusetaxreportingform.(a)Theexecutivedirectorofthedepartmentofrevenueshalladopt,byregulation,astandardmunicipalsalesandusetaxreportingform.Suchformshallbeseparatefromthestateformandshallbetheonlysalesandusetaxreportingfonnrequiredtobeusedbyanypersoncollectingthesalesorusetaxofanyhomerulecity,town,orcityandcountywhichcollectsitsownsalesorusetax.(b)Suchformshallbedesignedsoastopermitreportingofvariationsinbase,rate,andvendor'sfee,andshallcontainadequatelocationcodingandusetaxremittanceitems.Priortotheadoptionofandanyrevisiontotheform,eachhomerulecity,town,andcityandcountywhichcollectsitsownsalestaxshallbegiventheopportunitytocommentontheproposedformorrevisiontotheform.(c)Suchstandardformandanysubsequentrevisionsshallbeusedbyeachhomerulecity,town,andcityandcountywhichcollectsitsownsalestaxbythefirstfullmonthcommencingonehundredtwentydaysaftertheeffectivedateoftheregulationadoptingorrevisingthestandardform.(d)(1)Inadditiontothestandardmunicipalsalesandusetaxformsetforthinparagraph(a)ofthissubsection(9),onorbeforeDecember1,1994,theexecutivedirectorofthedepartmentofrevenueshallcooperatewithandassistlocalgovernmentsinthedevelopmentofacommonlocalsalesandusetaxform.Forpurposesofthisparagraph(d),"localgovernment"meansacity,StevenZwickPage

4 of

5 home

rule

city, town,

city

and county,

or other political subdivision

of the state which collects

its own sales

or use

tax. (II)

The common

local

sales

and

use

tax form

shall: {A) Allow

a person collecting

the sales

and

use

tax

of any local government

to report

all sales

and use taxes collected

for

a local government

on the common

local

sales

and

use

tax reporting form; (B)

Be accepted

by

all local governments;

and (C)

Be made available

at

all state

and local

sales

and

use

tax reporting

locations. (Ill)

The executive

director

of the department

of revenue

shall cooperate

with

and assist

local governments

in the development

of

a uniform

local government

sales

and

use

tax license application

form.

Any uniform

local government

sales

and

use

tax license application

form developed

shall

be made available

at

all state

and local

sales

and

use

tax reporting locations. (IV)

The provisions

of paragraph

(a)

of this subsection

(9) notwithstanding,

in addition

to the standard sales

and

use

tax form

set forth

in paragraph

(a)

of this subsection

(9),

the common

local sales and

use

tax form developed

pursuant

to this paragraph

{d) may

be used

by

a person collecting

the sales

or use

tax

of any

city, home

rule

city, town,

city

and county,

or other political subdivision

of the state which collects

its own sales

or use

tax. (10) Delayed distributions.

(a)

If any sales

tax

to

be distributed

pursuant

to this section

is not distributed

within sixty

days

after

the processing

date, interest

shall

be added

to the undistributed

amount

from

the sixtieth day after

the processing

date

until

the date

such

sales

tax

is distributed.

The

rate

of said interest

shall

be equal

to the average

rate, rounded

to one-thousandth

of

a percent,

being earned

by the investment

of moneys

in the state treasury

for

the same period. (b)

The provisions

of this subsection

(10)

shall

apply

only

to sales

tax collected

by the department

of revenue

with

a processing

date occurring

on

or after January

1, 2001.

The provisions

of this subsection

(10) shall

not apply

in the event

that

the distribution

of sales

tax was delayed

as

a result

of unforseen circumstances

or caused primarily

by

an entity

other

than

the department

of revenue.

Such determination

shalf

be made

in good

faith

by the department. History Source: L. 67:

p. 662,

§

6. C.R.S.

1963:

§ 138-10-6.L.

71:

p. 1267,

§ 1.L.

73: p.1478,

§ 3.L.

75: (3)(a) amended,

p. 963,

§ 5, effective

July

14.L.

77:

(4) amended,

p. 1400,

§

1, effective

May

26.L.

79: (4){a) amended,

p. 1430,

§ 14, effective

July

3.L.

80:

(2) amended,

p. 728,

§ 26, effective

May

1; (4)(a) amended,

p. 735,

§

5, effective

May

2.L. 81: (3)(b) amended,

p. 1404,

§

1, effective

July

1.L.

82:

{7) added,

p. 460,

§

1, effective

March

11.L.

85:

(8) and

(9) added,

p. 1031,

§

2, effective

January

1, 1986.L.

90: (3)(a) amended,

p. 1746,

§

2, effective

May

B.L

94: (9)(d) added,

p. 1314,

§

1, effective

May 25.L

97: (9)(d)(l)

and {9)(d){lll) amended,

p. 527,

§ 10, effective

July

1.L

99: (4)(a) amended,

p. 981,

§

4, effective

May

28; (4)(a) amended,

p. 1276,

§

4, effective

July

1; {4)(a) amended,

p. 1326,

§

6, effective

July

1; (3)(c) added,

p. 13,

§

5, effective

January

1, 2000;

(4)(a) amended,

p. 1357,

§

5, effective

January

1, 2000.L.

2000:

(4){a) amended,

p. 552,

§

6, effective

July

1; {4)(b) amended

and

{10) added, p. 421,

§

1, effective

August

2.L. 2001:

(4)(a) amended,

p. 163,

§

3, effective

July

1; (4)(a) amended,

p. 384,

§

4, effective

July

1.L. 2002:

(3)(a) amended,

p. 1036,

§ 82, effective

June

1.L. 2004:

(4)(a) amended,

p. 1038,

§

4, effective

July

1.L. 2008:

(4){a) R&RE,

p. 1322,

§

6, effective

May

27; (4)(a) R&RE,

p. 1546,

§

4, effective

May

28; (4)(a) R&RE,

p. 968,

§

2, effective

August

S.L. 2009:

(1) amended,

(HB 09-1130),

ch. 229.

p. 1042,

§

1, effective August

5.L. 2013:

(2) amended,

fHB 13-1295),

ch. 314,

p. 1655.

§

10, effective

see editor's

note. Steven

ZwickPage5of5C.R.S.29-2-106AnnotationsNotesEditor'snote:(1)Amendmentstosubsection(4)(a)byHouseBillHouseBillHouseBlii99M1271,andHouseBill99-1381wereharmonized.(2)Amendmentstosubsection(4)(a)bySenateBill01-055andHouseBill01-1256wereharmonized.(3)Section16(3)ofchapter314,SessionLawsofColorado2013,providesthattheactamendingsubsection(2)takeseffectonlyifcongressenactsanactthatauthorizesstatestorequirecertainretailerstopay,collect,orremitstateorlocalsalestaxesandtakeseffecteitherupontheeffectivedateofthisactortheeffectivedateofsuchactofcongress,whicheverislater.Thedepartmentofrevenueshallsendtherevisorofstatuteswrittennoticethatthisrequirementhasbeenmetwithinthirtydaysofenactmentofsuchanactbycongress.Asofthepublicationdate,therevisor'ofstatuteshadnotreceivedsuchnotice.Crossreferences:{1)Forthelegislativedeclarationcontainedinthe1999actamendingsubsection(4){a),seesection1ofchapter318,SessionLawsofColorado1999.(2)Forthelegislativedeclarationcontainedinthe2008actamendingsubsection(4)(a),seesection1ofchapter332,SessionLawsofColorado2008.(3)Forthelegislativeintentcontainedinthe2008actamendingsubsection(4)(a),seesection9ofchapter302,SessionLawsofColorado2008.CaseNotesANNOTATIONAppliedinRanchoColo.,Inc.v.CityofBroomfield.196Colo.444.586P.2d659(1978).COLORADOREVISEDSTATUTESStevenZwickC.R.S.29·2·111ThisdocumentreflectschangescurrentthroughalllawspassedattheFirstRegularSessionoftheSeventiethGeneralAssemblyoftheStateofColorado(2015)ColoradoRevisedStatutes>TITLE29.GOVERNMENT-LOCAL>GENERALPROVISIONS>ARTICLE2.COUNTYANDMUNICIPALSALESORUSETAX29·2·111.Pledgingofsalesandusetaxforcapitalimprovements(1)Asalesorusetaxproposalmadepursuanttothisarticleby,oronbehalfof,anycounty,city,orincorporatedtownmaycontainaprovisionforthecreationofaspecialfund,tobeknownasa"salesandusetaxcapitalimprovementfund",forthedepositofalloranypartoftherevenuefromthesalesorusetax,orboth,andtobeusedsolelytoprovidecapitalimprovements.Asalesorusetaxproposalofanycounty,city,orincorporatedtownwhichhasbeenapprovedbytheregisteredelectorsandwhichdoesnotcontainaprovisionforthecreationofsuchaspecialfundmaybesubsequentlyamendedbyordinanceorresolutionofthegoverningbodytoprovideforsuchaspecialfund.Anysuchamendmentshalltakeeffectonlyafterapprovalbyamajorityoftheregisteredelectorsofthecounty,city,ortownvotingataregularorspecialelection,butnoelectionshallberequiredinordertocreateacapitalimprovementfundforthedepositofanyportionofsalesorusetaxrevenueallocatedforcapitalimprovementpurposesinasalesorusetaxproposalpreviouslyapprovedbythevoters.(2)Acityortownbyordinanceadoptedbythegoverningbodymaypledgealloranypartofthesalesorusetaxrevenue,orboth,itreceivesfromthecountywidesalesorusetaxforcapita!improvementpurposes.Anysuchpledgeshalltakeeffectonlyafterapprovalbyamajorityoftheregisteredelectorsofthecityortownvotingataregularorspecialelection.(3)Whensalesorusetaxrevenue,orboth,ispledgedsolelyforcapita!improvementpurposes,itshallbedepositedimmediatelyuponbeingreceivedorcollectedintothesalesandusetaxcapitalimprovementfund.Upondepositinthisfund,suchrevenueisthereafternotavailabletobepledgedorexpendedforanygeneralmunicipalorcountypurpose.(4)Forpurposesofthissectionandsection29-2-112,"capitalimprovementpurposes"include:(a)Payingthecostsofacquiringorconstructinganycapitalimprovement;(b)Acquiringlandorequipment;(c)Thecostsofissuingbonds;(d)Thecostsofcapitalizedinterestandreserves;and(e)Thecostsofoperatingandmaintainingthecapitalimprovementstobefinanced.(5)Notwithstandinganyotherprovisiontothecontrary,nosalesorusetaxrevenuesinthesalesandusetaxcapitalimprovementfundmaybeexpendedinanyyearforthepurposesspecifiedinsubsection(4)ofthissectionunlesssaidfundcontainssufficientrevenuestopaytheanticipatedannualdebtserviceonanysalesandusetaxrevenuebondsforwhichmoneysinthefundhavebeenpledged.HistorySource:L.81:Entiresectionadded,p.1405,§1,effectiveJuly1.L.2001:(4)and(5)added,p.244,§1,effectiveAugust8.StevenZwickPage2of2C.R.S.29-2-111AnnotationsCaseNotesANNOTATIONLanguageofballotquestionthatspecifiedfinancingofcapitalimprovementswouldbeaccomplishedbyincreasingsalesandusetaxesisnotclearlymisleadingeventhoughitdidnotstatethatbondscouldbeissuedandsecuredbyafundcontainingtheincreasedtaxes.Leekv.CitvofGolden.870P2d580(Colo.App.1993).COLORADOREVISEDSTATUTESStevenZwick