HomeMy WebLinkAbout09684ORDINANCE NO. 9684
AN ORDINANCE AMENDING SECTIONS 14-4-27, 14-4-28 AND
14-4-33 OF TITLE XIV OF THE PUEBLO MUNICIPAL CODE
RELATING TO REVIEW AND APPEAL PROCEDURES WITH
RESPECT TO SALES AND USE TAX DETERMINATIONS
BE IT ORDAINED BY THE CITY COUNCIL OF PUEBLO, that: (brackets indicate matter
being deleted, underscoring indicates new matter being added)
SECTION 1.
Section 14-4-27 of the Pueblo Municipal Code is amended to read as follows:
Sec. 14-4-27. – \[Complaints as to assessments\] Review; petition; hearing; notice.
(a) The taxpayer may \[request a hearing on the proposed tax by application to\]
appeal a notice of deficiency or rejection of refund claim by filing a petition with the
Director of Finance within thirty (30) days of the mailing of a notice of deficiency or rejection of
refund claim. If a petition is not timely or properly filed as herein required, the notice of
deficiency or rejection of refund claim shall be final, and no further review shall be
available. Matters not timely raised in the petition shall not be considered by the Director
nor preserved for review.
(b) \[The request for hearing shall set forth the taxpayer's reasons for and the
amount of the requested changes in the deficiency.\] The petition shall be in writing and shall
set forth in detail the factual and legal basis upon which the taxpayer maintains that the
notice of deficiency or rejection of refund claim was in error. The petition shall also set
forth the amount of the requested change in the notice of deficiency or rejection of
refund claim and shall otherwise comply with applicable rules and regulations
promulgated by the Director of Finance. Failure of Taxpayer to file a petition in
conformance with the requirements herein stated shall result in the petition being
rejected and returned to the Taxpayer.
(c) \[The Director of Finance shall notify the taxpayer in writing of the time and place
for such hearing thirty (30) days prior thereto.\] Hearings.
(1) A hearing, if any, shall be held and a decision issued within one
hundred eighty (180) days from the date a petition is received by the Director of
Finance, unless the taxpayer and the Director of Finance agree in writing: (a) that
the hearing shall be held and a decision issued within such further agreed time or
(b) that no hearing shall be held before the manager, in which case, the taxpayer
may pursue further review in accordance with Section 14-4-33.
(2) If none of the events described in Subsection (c)(1) of this Section
have occurred, the Director of Finance may notify the taxpayer in writing that the
manager does not intend to conduct a hearing, in which case, the taxpayer may
pursue further review in accordance with Section 14-4-33.
(3) If none of the events described in Subsections (c)(1) and (c)(2) of
this Section have occurred, the taxpayer may pursue further review in accordance
with Section 14-4-33 any time after one hundred eighty (180) days or such further
agreed time has passed.
(d) After a hearing, if any, under this Section, the taxpayer shall not be entitled to a
second hearing before the Director of Finance on the matters set forth in his or her previous
request for hearing.
(e) \[The\] Any hearing shall be held before the Director of Finance or before such
person within the Department as the Director shall designate. The Director or his or her
delegate is authorized to administer oaths and take testimony and exercise all other powers
authorized under this Chapter including those powers set forth in Section 14-4-7. The
Director of Finance or his or her delegate is further authorized to issue such orders
which in their discretion are deemed appropriate to properly frame the issues prior to
hearing. \[At the hearing, the taxpayer may assert any facts, make any arguments and file any
briefs and affidavits he or she believes pertinent to his or her cause.
(f) In lieu of the request for hearing within the time provided by this Section, the
taxpayer may, at his or her election, file a written brief and such other written materials or
documents as he or she deems appropriate and request that the Director of Finance reconsider
the deficiency without a hearing. The Director shall reconsider the deficiency in the same
manner as if the written material submitted had been presented at a hearing pursuant to this
Section. The submission of written material shall be considered for all purposes the same as a
request for and submission of the material at a hearing.
(g) Based on the evidence presented at such hearing or filed in support of the
taxpayer's contentions or after the expiration of thirty (30) days from the mailing of the notice of
deficiency, if no request for hearing or brief has been filed by the taxpayer, the Director of
Finance shall make a final determination within a reasonable time and shall send the taxpayer a
notice of final determination by first-class mail as set forth in Section 14-4-26 accompanied by
notice and demand for payment. The Director may modify the tax, penalty and interest
questioned at the hearing and may approve a refund; except that no additional tax shall be
assessed for less than one dollar ($1.00). Unless an appeal is taken as provided in Section 14-
4-33, the tax, together with interest thereon and penalties, if any, shall be paid within thirty (30)
days after mailing of the notice and demand for payment by the Director. If, however, a request
for hearing or brief is not timely filed by the taxpayer, the tax, together with interest thereon and
penalties, if any, shall be paid within ten (10) days after mailing of the notice and demand for
payment by the Director.\]
(f) After any hearing, the Director of Finance shall make a final determination
within a reasonable time and shall send the taxpayer a notice of final determination by
first-class mail as set forth in Section 14-4-26 accompanied by notice and demand for
payment. The Director may modify the tax, penalty and interest contested and may
approve a refund.
SECTION 2.
Section 14-4-28 of the Pueblo Municipal Code is amended to read as follows:
Sec. 14-4-28. - Rejection of refund claims.
Upon rejection, in whole or in part, of a claim for refund filed by a taxpayer, the Director
of Finance shall send a notice of rejection to the taxpayer in writing by first-class mail. \[to the
last address on file with the Department as indicated on the last return filed by such taxpayer;
and, within twenty (20) days from the mailing thereof, the taxpayer may request a hearing or file
a brief with the Director, except\] A taxpayer may request review of such rejection by filing
a petition pursuant to Section 14-4-27; provided, however, no petition may be filed where
the claim is for refund of a deficiency in taxes assessed \[after hearing or determination on
written briefs had under\] pursuant to notice of final determination issued under the
provisions of Section 14-4-27. Thereafter, both the taxpayer and the Director shall proceed as
provided in Section 14-4-27. \[with respect to the hearing or determination on written brief. Upon
reaching a decision upon such claim for refund after hearing had thereon or consideration of the
written brief, the Director shall send to the taxpayer, by first-class mail directed to the last
address on file with the Department as indicated on the last return filed by such taxpayer, notice
of final determination of claim for refund, stating therein the grounds for allowance or rejection in
whole or in part. This Section shall not prevent a taxpayer from suing for a refund in the District
Court within the time provided by law, whether or not he or she requests a hearing or presents a
written brief.\]
SECTION 3.
Section 14-4-33 of the Pueblo Municipal Code is amended to read as follows:
Sec. 14-4-33. - Appeals.
(a) The taxpayer may appeal the final determination of the Director of Finance
issued pursuant to Section 14-4-27 \[or 14-4-28\] within thirty (30) days of the mailing of such
determination.
(b) The District Court of the Tenth Judicial District of the State shall have jurisdiction
to hear and determine appeals from any final determination of the Director of Finance under the
provisions of this Chapter.
(c) Appeal to the District Court shall be taken by filing with the Clerk of the District
Court a copy of the notice of final determination received by the taxpayer, together with a written
notice stating that the taxpayer appeals to the District Court and alleging the pertinent facts
upon which such appeal is grounded.
(d) The District Court shall try the case de novo, reviewing all questions of law and
fact, such review being conducted in accordance with the Colorado Rules of Civil Procedure.
The taxpayer shall present his or her case in the same manner as the plaintiff in other civil
actions and the normal rules of evidence shall apply. The taxpayer shall have the burden of
proof with respect to the issues raised in the notice of appeal except as to the issue of whether
the taxpayer has been guilty of fraud with intent to evade tax. The burden of proof shall be on
the Director of Finance to show that a petitioner is liable as a transferee of property of a
taxpayer but not to show that the taxpayer was liable for the tax. The District Court may affirm,
modify or reverse the determination of the Director and may enter judgment on its findings.
(e) Upon filing of the Notice of Appeal, the Director of Finance shall be deemed to be
a party to such appeal; and the Clerk of the District Court shall docket the cause as a civil
action. The appellant shall cause summons to be issued and cause the same to be served upon
the Director of Finance, in accordance with the manner provided by law in civil cases. Notice of
the date of trial shall be mailed to the taxpayer and to the Director of Finance, at least twenty
(20) days prior thereto.
(f) The final decision made in such appeal shall be entered as a judgment, as in
other civil cases, against the taxpayer or against the Director of Finance as the case may be.
(g) In lieu of filing an appeal pursuant to this Section, the taxpayer may appeal
the final determination of the Director of Finance issued pursuant to Section 14-4-27
under and subject to the requirements of Section 29-2-106.1, C.R.S., as amended.
SECTION 4.
The officers and staff of the City are authorized and directed to perform any and all acts
consistent with the intent of this Ordinance to effectuate the policies and procedures described
herein.
THE REMAINDER OF THIS PAGE INTENTIONALLY LEFT BLANK
SIGNATURE PAGE TO FOLLOW
SECTION 5.
This Ordinance shall become effective thirty (30) days after the date of final action
by the Mayor and City Council.
Action by City Council:
Introduced and initial adoption of Ordinance by City Council on February 24, 2020 .
Final adoption of Ordinance by City Council on March 9, 2020 .
President of City Council
Action by the Mayor:
☒ Approved on March 12, 2020 .
☐ Disapproved on based on the following objections:
Mayor
Action by City Council After Disapproval by the Mayor:
☐ Council did not act to override the Mayor's veto.
☐ Ordinance re-adopted on a vote of , on
☐ Council action on __________________failed to override the Mayor’s veto.
President of City Council
ATTEST
City Clerk
City Clerk’s Office Item # R-11
Background Paper for Proposed
Ordinance
COUNCIL MEETING DATE: February 24, 2020
TO: President Dennis E. Flores and Members of City Council
CC: Mayor Nicholas A. Gradisar
VIA: Brenda Armijo, City Clerk
FROM: Charles Hernandez, Director of Finance
Robert P. Jagger, Sr. Assistant City Attorney
SUBJECT: AN ORDINANCE AMENDING SECTIONS 14-4-27, 14-4-28 AND 14-4-33 OF
TITLE XIV OF THE PUEBLO MUNICIPAL CODE RELATING TO REVIEW AND
APPEAL PROCEDURES WITH RESPECT TO SALES AND USE TAX
DETERMINATIONS
SUMMARY:
The proposed Ordinance implements desired and necessary changes to the review and appeal
procedures with respect to sales and use tax determinations.
PREVIOUS COUNCIL ACTION:
Not applicable to this Ordinance.
BACKGROUND:
The review and appeal procedures as set forth in the Ordinances relating to sales and use tax
determination have not been updated since 1986. During said period the State of Colorado also
enacted appellate procedures with respect to contested sales and use tax when imposed by
municipalities. The proposed Ordinance makes desired and necessary changes to conform our
Ordinances with the general manner in which review is provided in most other home rule
municipalities and further identifies and makes our Ordinances clearly consistent with the
appellate procedures enacted by the State of Colorado.
FINANCIAL IMPLICATIONS:
None.
BOARD/COMMISSION RECOMMENDATION:
Not applicable to this Ordinance.
STAKEHOLDER PROCESS:
Not applicable to this Ordinance.
ALTERNATIVES:
If the proposed Ordinance is not passed and approved, the review and appeal procedures will
continue to remain outdated and will fail to identify and be clearly consistent with appellate
procedures enacted by the State of Colorado.
RECOMMENDATION:
The proposed Ordinance be passed and approved.
Attachments: Proposed Ordinance