HomeMy WebLinkAbout07472As Amended 6112106
ORDINANCE NO. 7472
AN ORDINANCE CALLING A SPECIAL MUNICIPAL ELECTION TO BE HELD ON NOVEMBER 7,
2006, SUBMITTING TO THE ELIGIBLE ELECTORS OF THE CITY OF PUEBLO, COLORADO AT
THE SPECIAL MUNICIPAL ELECTION TO BE HELD ON NOVEMBER 7, 2006, A QUESTION
RELATING TO THE EXTENSION OF THE ONE -HALF PERCENT SALES AND USE TAX RATE
FOR FIVE YEARS FOR PRIMARY JOB CREATING CAPITAL IMPROVEMENT PROJECTS
WITHIN THE CITY AND THE PUEBLO MEMORIAL AIRPORT BOUNDARIES AND
INCIDENTALLY, NOT MORE THAN TWO PERCENT OF REVENUES THEREFROM FOR
PRIMARY JOB TRAINING PROGRAMS OF NOT MORE THAN $800.00 FOR EACH QUALIFIED
EMPLOYEE AND THE ADOPTION OF AN ORDINANCE TO EFFECT THE EXTENSION
WHEREAS, the City of Pueblo, Colorado (the "City ") presently imposes, pursuant to
Chapter 4, Title XIV of the Pueblo Municipal Code (the "Act'), a sales and use tax rate of three and
one -half percent; and
WHEREAS, revenues from a one -half percent sales and use tax rate (of the three and
one -half percent rate) are deposited in a special fund known as the "1992 to 2006 Sales and Use
Tax Capital Improvement Projects Fund" (the "Fund "); and
WHEREAS, moneys in the Fund are used for job creating capital improvement projects
within the City and the Pueblo Memorial Airport boundaries; and
WHEREAS, the capital improvement projects funded by moneys from the Fund have been
successful in creating jobs and thereby promoting the public peace, health, safety and welfare of
the City and its residents; and
WHEREAS, the Act was initially enacted by the voters of the City, who also enacted
ordinances creating and extending the one -half percent sales and use tax rate used to fund such
job creating capital improvements projects; and
WHEREAS, the provisions in the Act effecting the one -half percent sales and use tax rate
presently expire on December 31, 2006; and
WHEREAS, the City Council of the City has determined and hereby finds and determines
that extending the one -half percent sales and use tax rate dedicated to primary job creating capital
improvement projects within the City and the Pueblo Memorial Airport boundaries and, incidentally,
not more than two percent (2 %) of such revenues for primary job training programs would promote
the public peace, health, safety and welfare of the residents of the City; and
WHEREAS, Section 18 -5 of the Charter of the City requires that ordinances such as the
Act, which have been adopted by an affirmative vote of the electorate, be amended only upon a
vote of the electorate adopting the amending ordinance; and
WHEREAS, the City Council has proposed an ordinance ( "Ordinance No. 7464 "), which is
attached hereto and which if adopted by the voters of the City would extend the one -half percent
sales and use tax rate for an additional five years; and
-1-
WHEREAS, Article X, Section 20 of the Colorado Constitution as interpreted by the
Colorado Supreme Court in Bruce v. City of Colorado Springs 129 P.3d 988 (Colo. 2006) requires
voter approval in advance for any extension of an expiring tax; and
WHEREAS, the City desires to ask the electors of the City, pursuant to Article X, Section 20
of the Colorado Constitution and Section 18 -5 of the Charter, to approve Ordinance No. 7464 and
thereby extend the one -half percent sales and use tax rate for another five years for the purposes
stated above; NOW THEREFORE,
BE IT ORDAINED BY THE CITY COUNCIL OF PUEBLO, that
SECTION 1
A special municipal election of the City of Pueblo, a Municipal Corporation, is hereby called
to be held on November 7, 2006. The special municipal election shall be conducted as either a
mail ballot election or as part of a coordinated election as the City Council in its discretion shall
determine.
SECTION 2
The question of Adopting Ordinance No. 7464 and thereby extending the one -half percent
sales and use tax rate dedicated to primary job creating capital improvement projects and,
incidentally, not more than two percent of the revenues therefrom for primary job training program
shall be submitted to a vote of the eligible electors of the City at the City's special election to be
held on November 7, 2006. The ballot question (submission clause and title) therefor shall be as
follows:
QUESTION NO. _ - (EXTENSION OF THE ONE -HALF CENT SALES TAX)
WITHOUT RAISING ADDITIONAL TAXES, SHALL THE EXISTING ONE -HALF
PERCENT CITY SALES AND USE TAX RATE BE EXTENDED FOR A FIVE -YEAR
PERIOD FROM ITS CURRENT EXPIRATION OF DECEMBER 31, 2006
THROUGH DECEMBER 31, 2011 BY ADOPTING ORDINANCE NO. 7464, THE
REVENUES THEREFROM TO BE SPENT TOGETHER WITH ALL INVESTMENT
INCOME THEREON AS A VOTER - APPROVED REVENUE CHANGE AND AN
EXCEPTION TO THE LIMITS WHICH WOULD OTHERWISE APPLY PURSUANT
TO ARTICLE X, SECTION 20 OF THE COLORADO CONSTITUTION OR ANY
OTHER LAW, AND BY CONTINUING TO DEDICATE THE REVENUES FROM
THE ONE -HALF PERCENT SALES AND USE TAX RATE FOR PRIMARY JOB
CREATING CAPITAL IMPROVEMENT PROJECTS WITHIN THE CITY AND THE
PUEBLO MEMORIAL AIRPORT BOUNDARIES AND, INCIDENTALLY, NOT
MORE THAN TWO PERCENT OF SUCH REVENUES FOR PRIMARY JOB
TRAINING PROGRAMS OF NOT MORE THAN $800.00 FOR EACH QUALIFIED
EMPLOYEE, CREATING A SPECIAL FUND FOR THE DEPOSIT OF SUCH
REVENUES, AND FINDING AND DETERMINING THAT THE EXPENDITURE OF
SUCH REVENUES FOR PRIMARY JOB CREATING CAPITAL IMPROVEMENT
PROJECTS AND PRIMARY JOB TRAINING PROGRAMS ARE PUBLIC
PURPOSES AND MUNICIPAL FUNCTIONS?
FOR THE ORDINANCE
AGAINST THE ORDINANCE
-2-
SECTION 3
The officers and employees of the City are authorized and directed to take all action
necessary, appropriate or required to effectuate the provisions of this Ordinance.
SECTION 4
This Ordinance shall become effective upon final passage.
INTRODUCED May 22, 2006
BY Jeff Chostner
Councilperson
APPROVED:
President of City Council
ATTESTED BY:
CITY CLERK
PASSED AND APPROVED June 12, 2006
-3-
[ c) �1 0
�J D
Background Paper for Proposed
ORDINANCE
DATE: May 22, 2006
DEPARTMENT: Law Department
U� 0 7y72
AGENDA ITEM # 30
TITLE
AN ORDINANCE CALLING A SPECIAL MUNICIPAL ELECTION TO BE HELD
ON NOVEMBER 7, 2006, SUBMITTING TO THE ELIGIBLE ELECTORS OF
THE CITY OF PUEBLO, COLORADO AT THE SPECIAL MUNICIPAL
ELECTION TO BE HELD ON NOVEMBER 7, 2006, A QUESTION RELATING
TO THE EXTENSION OF THE ONE -HALF PERCENT SALES AND USE TAX
RATE FOR FIVE YEARS FOR PRIMARY JOB CREATING CAPITAL
IMPROVEMENT PROJECTS WITHIN THE CITY AND THE PUEBLO
MEMORIAL AIRPORT BOUNDARIES AND INCIDENTALLY, NOT MORE THAN
TWO PERCENT OF REVENUES THEREFROM FOR PRIMARY JOB TRAINING
PROGRAMS OF NOT MORE THAN $800.00 FOR EACH QUALIFIED
EMPLOYEE AND THE ADOPTION OF AN ORDINANCE TO EFFECT THE
EXTENSION
ISSUE
Should the City Council approve an ordinance submitting to the eligible electors
at the special municipal election to be held November 7, 2006 a question
extending the one -half percent sales and use tax rate for five (5) years from
January 1, 2007 to December 31 2011.
RECOMMENDATION
Approve the Ordinance.
BACKGROUND
The City's one -half percent sales and use tax rate for job creating capital
improvement projects will expire December 31, 2006. The Ordinance will extend
the one -half percent sales and use tax rate for 5 years from January 1, 2007 to
December 31, 2011 with 2% of the revenues therefrom to be made available for
primary job training programs of not more than $800 for each qualified employee.
It is anticipated that the one -half percent sales and use tax rate will generate
approximately $6,770,000 in 2007 and subsequent years, subject to fluctuation in
sales and use tax revenue collected during those years.
The Ordinance also calls a special municipal election for November 7, 2006 to be
conducted as either a mail ballot election or as part of a coordinated election as
the City Council in its discretion shall determine.
FINANCIAL IMPACT
See Background.