PALMER LAKE, COLORADO

PALMER LAKE , COLORADO

ORDINANCE NO. 7 OF 2006

AN ORDINANCE CONCERNING REVENUE, AND IMPOSING A SALES TAX ON THE SALE OF TANGIBLE PERSONAL PROPERTY AT RETAIL AND THE FURNISHING OF TAXABLE SERVICES IN THE TOWN OF PALMER LAKE, COLORADO, AND IMPOSING A USE TAX FOR THE PRIVILEGE OF STORING, USING OR CONSUMING IN PALMER LAKE, COLORADO ANY CONSTRUCTION AND BUILDING MATERIALS AND MOTOR AND OTHER VEHICLES ON WHICH REGISTRATION IS REQUIRED, PURCHASED AT RETAIL AND AMENDING ORDINANCE 11-1985.
BE IT ORDAINED BY THE BOARD OF TRUSTEES OF THE TOWN OF PALMER LAKE, COLORADO:
This Ordinance may be known and cited as the Town of Palmer Lake Sales and Use Tax Ordinance. Portions of Ordinance 11-1985 and Chapter 3.40 of the Palmer Lake Municipal Code are amended to read as follows:

            Section 1.  Part I – Sales Tax – “Purpose” of Ordinance 11-1985 and Section 3.40.010 are amended to read as follows: 

Section 3.40.010 – Purpose

            The purpose of this Article is to impose a sales tax upon the sale at retail of tangible personal property and the furnishing of certain services in the Town of Palmer Lake, Colorado, pursuant to the authority granted to incorporated towns of the State of Colorado by Article 2 of Title 29, Colorado Revised Statutes, as amended.  This Article shall be so construed and interpreted as to effectuate the general purpose of making it uniform with the sales tax of the State of Colorado, levied by Article 26 of Title 39, Colorado Revised Statutes, as amended.

            Section 2.  Part I – Sales Tax – “Definitions” of Ordinance 11-1985 and Section 3.40.020 are amended to read as follows: 
Section 3.40.020 – Definitions
            For the purpose of this Article, the definition of words herein contained shall be as said words are defined in 39-26-102, Colorado Revised Statutes, as amended, except the definition of food in 39-26-102(4.5) and said definitions are incorporated herein by this reference.

            Section 3.  Part I – Sales Tax – “Licenses” of Ordinance 11-1985 and Section 3.40.030 are amended to read as follows: 
Section 3.40.030 – Licenses

1. It shall be unlawful for any person to engage in the business of selling tangible personal property at retail, or to furnish certain services as herein specified, without first having obtained a license therefore, which license shall be granted and
2. issued by the Department of Revenue of the State of Colorado, and shall be in force and effect until the thirty-first day of December of the year in which it is issued, unless sooner revoked.  Such license shall be granted or renewed only upon application stating the name and address of the person desiring such license, the name of such business and location, and such other facts as the Department of Revenue may require.
3. It shall be the duty of each licensee on or before January first of each year during which this Article remains in effect, to obtain a renewal thereof if the licensee remains in retail business or liable to account for the tax herein provided.
4. For each license issued, a fee as set by the Department of Revenue shall be paid, which fee shall accompany the application together with any deposit required by the Department of Revenue.  Except for licenses issued pursuant to Section 39-26-103 (9)(b), Colorado Revised Statutes, as amended, all licenses issued pursuant to this section shall be renewed on a biennial basis, effective January 1, 1986.
5. In case business transacted at two or more separate places by one person, a separate license for each place of business shall be required.
6. Each license shall be numbered and shall show the name and place of business of the licensee and shall be posted in a conspicuous place in the place of business for which it is issued.  No license shall be transferable.
7. Any license may be revoked for cause as provided in Section 39-26-103, Colorado Revised Statutes, as amended, which provision is incorporated herein by this reference.
8. No license shall be required for any person engaged exclusively in the business of selling commodities which are exempt from taxation under this Article, i.e., wholesalers, contractors, barber and beauty shops.
9. Any person engaged in the business of selling tangible personal property at retail, or the furnishing of certain services as herein specified, without having first secured a license therefore as provided in this Article, shall be guilty of a violation of this Article.

            Section 4.  Part I – Sales Tax – “Property and Services Taxed” of Ordinance 11-1985 and Section 3.40.040 are amended to read as follows: 
Section 3.40.040 – Property and Services Taxed

1. There is hereby levied and there shall be collected and paid a sales tax in the amount as in this Article provided, upon the sale at retail of tangible personal property and the furnishing of certain services, as provided in "The Emergency Retail Sales Tax Act of 1935", set forth in Article 26 of Title 39, Colorado Revised Statutes, as amended, which provisions are incorporated herein by this reference, and upon the sale at retail of tangible personal property, on sales of food and purchases of machinery or machine tools, and the furnishing of services on sales and purchases of electricity, coal, gas, fuel oil and coke for domestic and commercial consumption.
2. The amount subject to tax shall not include the amount of any sales or use tax imposed by Article 26 of Title 39, Colorado Revised Statutes, as amended.
3. The gross receipts from 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, as amended, regardless of the place to which delivery is made.
4. Notwithstanding any other provision of this article, the value of construction and building materials on which a use tax has previously been collected by an incorporated town, city, or county shall be exempt from the town, city or county sales tax if the materials are delivered by the retailer or his agent to a site within the limits of such town, city or county.

            Section 5.  Part I – Sales Tax – “Exemptions” of Ordinance 11-1985 and Section 3.40.050 are amended to read as follows: 
Section 3.40.050 – Exemptions.

1. There shall be shall be exempt from taxation under the provisions of this Article, all of the tangible personal property and services which are exempt under the provisions of "The Emergency Retail Sales Tax Act of 1935", as set forth in Article 26, Title 39, Colorado Revised Statutes, as amended, which exemptions are incorporated herein by this reference, except the exemption allowed by Section 39-26-709, Colorado Revised Statutes, as amended, for purchases of machinery or machine tools as provided in Section 39-26-709 Colorado Revised Statutes, as amended, and except the exemption of sales and purchases of electricity, coal, gas, fuel oil and coke as provided in Section 39-26-715(1)(a)(II), Colorado Revised Statutes, as amended.
2. All sales of tangible personal property on which a specific ownership tax has been paid or is payable shall be exempt from sales tax when such sales meet both of the following conditions:
1. The purchaser is a nonresident of, or has its principal place of business outside of the Town; and
2. Such tangible personal property is registered or required to be registered outside the limits of the Town under the laws of the State of Colorado.

            Section 6.  Part I – Sales Tax – “Amount of Tax and Schedule” of Ordinance 11-1985 and Section 3.40.060 are amended to read as follows: 
Section 3.40.060 – Amount of Tax and Schedule

1. There is hereby imposed upon all sales of tangible personal property and the furnishing of certain services, as specified in Property and Services Taxed Section of this Article, a three percent (3%) sales tax upon the sale at retail of tangible personal property and the furnishing of certain services as provided herein.
2. The imposition of the tax on the sale at retail of tangible personal property and the furnishing of certain services subject to this tax shall be in accordance with schedules set forth in the Rules and Regulations of the Department of Revenue of the State of Colorado.

            Section 7.  Part I – Sales Tax – “General Provisions” of Ordinance 11-1985 and Section 3.40.070 are amended to read as follows: 
Section 3.40.070 – General Provisions

1. For the purposes of this Article, all retail sales are consummated at the place of business 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 Town or to a common carrier for delivery to a destination outside the limits of the Town.
2. In  the event a retailer has no permanent place of business in the Town, or has more than one place of business, the place or places at which the retail sales are consummated for the purpose of the sales tax imposed by this Article shall be determined by the provisions of Article 26 of Title 39, Colorado Revised Statutes, as amended, and by rules and regulations promulgated by the Department of Revenue of the State of Colorado.

           
Section 8.  Part I – Sales Tax – “Collection, Administration and Enforcement” of Ordinance 11-1985 and Section 3.40.080 are amended to read as follows: 
Section 3.40.080 – Collection, Administration and Enforcement

1. The collection, administration and enforcement of the sales tax imposed by this Article shall be performed by the Executive Director of Revenue of the State of Colorado in the same manner as the collection, administration and enforcement of the Colorado State Sales Tax.  Accordingly, the provisions of Articles 26 and 21 of Title 39 and Article 2 of Title 29, Colorado Revise Statutes, as amended, and all rules and regulations promulgated by the Executive Director of Revenue pertaining to such collection, administration and enforcement, are incorporated herein by this reference.
2. At the time of making his return of the tax, as required by this Article, every retailer shall be entitled to subtract from the tax so remitted a sum equal to three and one-third percent (3 1/3%) of said tax as his fee, said fee to be known as the "Vendor's Fee".
3. If said retailer shall be delinquent in remitting said tax, he shall forfeit the "Vendor's Fee", unless good cause can be shown for such delinquent remittance.

            Section 9.  Part I – Sales Tax – “Revenues Derived – Disposition”  of Ordinance 11-1985 and Section 3.40.090 are amended to read as follows: 
Section 3.40.090 – Revenues Derived – Disposition

1. One-third (1/3) of all revenues derived shall be added to the Roads Fund of the Town of Palmer Lake.
2. One-third (1/3) of all revenues derived shall be added to the General Fund of the Town of Palmer Lake.
3. One-sixth (1/6) of all revenues derived shall be added to the Essential Police Service Fund.
4. One-sixth (1/6) of all revenues derived shall be paid to the Town of Palmer Lake for use by the Essential Fire Service Fund.

Section 10.  Part III “Election” of Ordinance 11-1985 and Section 3.40.140 are amended to read as follows: 
Section 3.40.140- Election. 
The sales and use taxes in this Ordinance were approved in an election by the registered electors of the Town of Palmer Lake and the additional sales taxes were approved in subsequent elections by the registered electors of the Town of Palmer Lake.

Section 11.  Part IV – “Effective Date” of Ordinance 11-1985 and Section 3.40.150 are amended to read as follows: 
Section 3.40.150- Effective Date. 
            The tax increase reflected in this Ordinance having been approved by the registered electors as herein provided, this Ordinance shall become effective and in force at 12:01 A.M. on the first day of January, 2007. As soon as practical after said approval, the Board of Trustees of the Town shall request the Executive Director of Revenue of the State of Colorado to collect, administer, and enforce this Ordinance as herein provided and shall at the time of said request submit a true and complete certified copy of this Ordinance and all necessary proceedings in connection herewith to the Executive Director of Revenue.

            Section 12 Severability.  It is hereby declared to be the intention of the Board of Trustees of the Town of Palmer Lake, Colorado that the sentences, clauses and phrases of this ordinance are severable, and if any sentence, clause or phrase of this ordinance be declared unconstitutional or invalid by the valid judgment or decree of Court of competent jurisdiction, such unconstitutionality or invalidity shall not affect any of the remaining sentences, clauses or phrases of this ordinance since the same would have been enacted by the Board of Trustees without the incorporation of any unconstitutional or invalid sentence, clause or phrase.

                Section 13.  Publication and Effective Date.  The Town Clerk shall certify to the passage of this ordinance and cause notice of its contents and passage to be published or posted.  This Ordinance shall become effective upon adoption.

PASSED AND ADOPTED THIS 9 DAY OF NOVEMBER, 2006

MALCOLM PARKER, MAYOR

ATTEST:

DELLA GRAY, TOWN CLERK