Code: Chapter 4


Revenue and Finance


Article 1 Annual Appropriation
Sec. 4-1-10 Budget contains appropriations
Sec. 4-1-20 No contract to exceed appropriation
Sec. 4-1-30 Amendments and authorized expenditures
Sec. 4-1-40 Public improvement contracts
Sec. 4-1-50 Notice to parties contracting with the Town
Sec. 4-1-60 Special Funds

Article 2 Sales Tax
Sec. 4-2-10 Purpose
Sec. 4-2-20 Definitions
Sec. 4-2-30 Tax imposed; amount
Sec. 4-2-40 Point of sale
Sec. 4-2-50 Exemptions
Sec. 4-2-60 Credit for taxes previously paid
Sec. 4-2-70 Collection, administration and enforcement
Sec. 4-2-80 Tax brackets

Article 3 Use Tax
Sec. 4-3-10 Tax imposed; amount
Sec. 4-3-20 Definitions
Sec. 4-3-30 Intent
Sec. 4-3-40 Exceptions
Sec. 4-3-50 Collection, administration and enforcement
Sec. 4-3-60 Effective date
Sec. 4-3-70 Motor vehicles
Sec. 4-3-80 Credit for taxes previously paid

Article 4 Telephone Utility Tax
Sec. 4-4-10 Definitions
Sec. 4-4-20 Levy of tax
Sec. 4-4-30 Effective date
Sec. 4-4-40 Filing statements
Sec. 4-4-50 Failure to pay
Sec. 4-4-60 Inspection of records
Sec. 4-4-70 Local purpose
Sec. 4-4-80 Tax in lieu of other taxes
Sec. 4-4-90 Liabilities to continue

Article 5 Unclaimed Property
Sec. 4-5-10 Purpose
Sec. 4-5-20 Definitions
Sec. 4-5-30 Procedure for disposition of property

ARTICLE 1
Annual Appropriation

Sec. 4-1-10. Budget contains appropriations.
The Town Council shall annually adopt a budget in a manner consistent with Article IX of the Town Charter. Upon the annual adoption of each year’s budget, levels of authorized expenditures from the funds indicated within the annual budget shall constitute the appropriation of the amounts specified therein for the purposes specified therein. During the course of each fiscal year, approval by the Town Council of contracts for goods or services, and/or approval of bids for the provision of specified goods or services, shall likewise constitute appropriations of the amounts specified therein for the purposes specified therein. (Ord. 2007-4 §1)

Sec. 4-1-20. No contract to exceed appropriation.
During each and any fiscal year, no contract entered into by or on behalf of the Town shall expend or contract to expend any money or incur any liability, nor shall any contract be entered into or any bid be awarded by or on behalf of the Town which, by its terms, involves the expenditure of money for any of the purposes for which provision is made either in the adopted budget, including any legally authorized amendments thereto, in excess of the amount appropriated in the budget or the approved contract or bid award. Any contract or bid award, either verbal or written, made in violation of the provisions of this Section shall be void as to the Town, and no Town moneys from any source whatsoever shall be paid thereon. (Ord. 2007-4 §1)

Sec. 4-1-30. Amendments and authorized expenditures.
Nothing contained in this Article shall preclude the Town Council from adopting a supplemental appropriation in a manner consistent with Section 9.12 of the Charter. Further, nothing contained in this Article shall prevent the making of contracts for governmental services or for capital outlay for a period exceeding one (1) year, if such contracts are otherwise allowed by the Charter; provided, however, that any contract so made shall be executory only for the amounts agreed to be paid for such services to be rendered in succeeding fiscal years. (Ord. 2007-4 §1)

Sec. 4-1-40. Public improvement contracts.
(a) All construction of public improvements of twenty-five thousand dollars ($25,000.00) or more in the Town shall be done by contract to the lowest responsible bidder on open bids after ample advertisement. It is unlawful for any person to divide any public improvement project into two (2) or more separate contracts for the sole purpose of evading or attempting to evade the public bidding requirement, unless the total cost of any such project would be less if divided than if performed as one (1) project. If no bids are received or if, in the determination of the Town Council, all bids received are too high, the Town may enter into negotiations concerning the contract price. No negotiated price shall exceed the lowest responsible bid previously received.

(b) All construction of public improvements of more than fifteen thousand dollars ($15,000.00) but less than twenty-five thousand dollars ($25,000.00) shall be done by contract awarded to a responsible person or entity providing the lowest written estimate to the Town. The Town need not advertise or receive formal bids for such contract, but if possible, the Mayor or his or her designee shall review a minimum of three (3) written estimates prior to selecting one (1). Such written estimates may be filed with the Town by facsimile, mail or in person.

(c) The Town shall not be required to advertise or receive bids for such technical, professional or incidental assistance as it may deem wise to employ in guarding the interest of the Town against the neglect of contractors in the performance of such work. (Ord. 94-4 §1; Ord. 2002-3 §1)

Sec. 4-1-50. Notice to parties contracting with the Town.
All persons contracting with, or selling goods or services to, the Town are placed upon notice of the provisions of this Article. The provisions of this Article shall incorporated into all other contracts entered into by or on behalf of the Town wherein Town funds are used to pay for such contract. (Ord. 2007-4 §1)

Sec. 4-1-60. Special funds.
Beginning with the 2010 budget, the Town Council, in accordance with Section 9.9 of the Town’s Charter, hereby creates the following two (2) discrete special funds for the discrete purposes set forth herein:

(a) Open Space Fund. The Town shall deposit into the Open Space Fund those funds received from the Jefferson County Open Space / Conservation Trust Fund. The Open Space Fund shall be used according to the terms and conditions imposed by Jefferson County.

(b) DEA Fund. The Town shall deposit into the DEA Fund those funds received from the federal Drug Enforcement Agency (“DEA”) as a result of the Town’s intergovernmental agreement with the DEA concerning the equitable sharing of federally forfeited property. The funds in the DEA Fund shall be used for authorized law enforcement purposes and in accordance with the U.S. Department of Justice publication, “A Guide to Equitable Sharing of Federally Forfeited Property for State and Local Law Enforcement Agencies,” published March 1994, as amended (Sec. 4-1-60 added by Ord. 2009-21)

ARTICLE 2
Sales Tax

Sec. 4-2-10. Purpose.
The purpose of this Article is to impose a sales tax on the sale of tangible personal property at retail and the furnishing of certain services upon every retailer in the Town pursuant to Title 29, Article 2, C.R.S. (Ord. 2007-4 §1)

Sec. 4-2-20. Definitions.
For purposes of this Article, the applicable definitions shall be those found in Section 39-26-102, C.R.S., and said definitions are incorporated herein by this reference. (Ord. 2007-4 §1)

Sec. 4-2-30. Tax imposed; amount.
There is hereby levied and imposed a tax of four percent (4%) on the sale of tangible personal property at retail and the furnishing of taxable services as provided in Article 26 of Title 39, C.R.S. (Ord. 2001-16 §1)

Sec. 4-2-40. Point of sale.
For 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 or her agent to a destination outside the limits of the Town or to a common carrier for delivery to a destination outside the Town. The gross receipts from such sales shall include delivery charges when such charges are subject to the state sales and use tax imposed by Article 26 of Title 39, C.R.S., regardless of the place to which delivery is made. If a retailer has no permanent place of business in the Town or has more than one (1) place of business, the place at which the retail sales are consummated for the purpose of this Article shall be determined by the provisions of Article 26 of Title 39, C.R.S., and by rules and regulations promulgated by the Department of Revenue. (Ord. 2007-4 §1)

Sec. 4-2-50. Exemptions.

(a) All sales of personal property on which a specific ownership tax has been paid or is payable shall be exempt from the tax imposed by this Article when such sales meet both of the following conditions:

(1) The purchaser is a nonresident of or has his or her principal place of business outside of the Town; and

(2) Such personal property is registered or required to be registered outside the limits of the Town under the laws of this State.

(b) All tangible property and services which are exempt from state sales tax pursuant to Article 26 of Title 39, C.R.S., are exempt from the sales tax imposed by this Article. (Ord. 2007-4 §1)

Sec. 4-2-60. Credit for taxes previously paid.
For transactions consummated on or after January 1, 1986, the Town’s sales tax shall not apply to the sale of tangible personal property at retail or the furnishing of services if the transaction was previously subjected to a sales tax lawfully imposed on the purchaser by another statutory or home rule municipality equal to or in excess of four percent (4%). A credit shall be granted against the Town’s sales tax with respect to such transaction equal in amount to the lawfully imposed local sales or use tax previously paid by the purchaser to the previous statutory or home rule municipality. The amount of the credit shall not exceed four percent (4%). (Ord. 2001-16 §1; Ord. 2007-4 §1)

Sec. 4-2-70. Collection, administration and enforcement.

(a) The collection, administration and enforcement of the sales tax imposed by this Article shall be performed by the Executive Director of the Department of Revenue in the same manner as the collection, administration and enforcement of the state sales tax and in conformity with Section 29-2-106, C.R.S.

(b) (Repealed by Ord. 2010-1)

Sec. 4-2-80. Tax brackets.
The exact tax brackets for the sales tax imposed by this Article shall be identical to and correspond with the sales tax brackets formulated by the State Department of Revenue. (Ord. 2007-4 §1)

ARTICLE 3
Use Tax

Sec. 4-3-10. Tax imposed; amount.
The purpose of this Article is to impose a three-percent use tax for:

(1) The storing, using or consuming in the Town any motor and other vehicle on which registration is required which is required and purchased at retailand

(2) The privilege of using or consuming any construction and building materials purchased at retail sale. (Amended by Ord. 2009-23)

Sec. 4-3-20. Definitions.
As used in this Article, the following terms shall have the meanings indicated:

Motor vehicle means any vehicle, including any device, in or upon which any person or property is or may be transported or drawn upon a public highway, road or street.

Nonresident vendor means any retailer/ vendor whose place of business is located outside the Town.

Purchase price means the price or cost to the user or consumer exclusive of any direct tax imposed by the federal and state governments and those imposed by this Article, inclusive of sales by exchange for property, less the fair market value of property exchanged.

Retailer or vendor means a person doing a retail business, known to the trade and public as such, and selling to the user or consumer and not for resale. (Ord. 94-9 §§2, 8; Ord. 2007-4)

Sec. 4-3-30. Intent.
It is hereby declared to be the legislative intent of the Town Council that for the purposes of this Article every person who stores, uses or distributes any motor vehicle licensed under the Uniform Motor Vehicle Act of the State of Colorado purchased at retail, and not stored or distributed in normal function of wholesaling, is exercising a taxable privilege. It is hereby declared that every resident of the Town or any person doing business within the Town who purchases or leases a motor vehicle as above-described registered for use within the Town from sources outside the Town and taxable hereunder, shall pay to the Town a three-percent use tax. (Ord. 94-9 §3)

Sec. 4-3-40. Exceptions.
The use tax shall not apply to:

(1) Any personal property on which a sales tax has been paid to the Town.

(2) A motor vehicle which, if it were sold at retail within the Town, would be exempt from sales tax.

(3) A motor vehicle of a resident which was acquired prior to his or her becoming a resident. (Ord. 94-9 §4; Ord. 2007-4 §1)

Sec. 4-3-50. Collection, administration and enforcement.
The use tax imposed by this Article shall be collected by the authorized agent of the Department of Revenue in Jefferson County. The proceeds of the use tax shall be paid to the Town periodically in accordance with an agreement entered into by and between the Town and the Department of Revenue. (Ord. 94-9 §5; Ord. 2007-4 §1)

Sec. 4-3-60. Effective date.
This Article became effective on January 1, 1995 pursuant to the vote of the registered electors of the Town. (Ord. 94-9 §7; Ord. 2007-4 §1)

Sec. 4-3-70. Motor vehicles.
No motor vehicle or any device used or designated for aviation or for flight in the air and upon which a specific ownership tax is imposed by the State, which is purchased by a resident of the Town or other person for use within the Town, shall be registered in Jefferson County, nor shall title to a motor vehicle as defined in Section 4-3-20 above be issued by the County Clerk or said vehicle be transported within the County if the tax imposed by the provisions of this Article has not been paid. (Ord. 94-9 §8; Ord. 2007-4 §1)

Sec. 4-3-80. Credit for taxes previously paid.
For transactions consummated on or after January 1, 1986, the Town’s use tax shall not apply to the sale of tangible personal property at retail or the furnishing of services if the transaction was previously subjected to a use tax lawfully imposed on the user by another statutory or home rule municipality equal to or in excess of three percent (3%). A credit shall be granted against the Town’s use tax with respect to such transaction equal in amount to the lawfully imposed local use tax previously paid by the user to the previous statutory or home rule municipality. The amount of the credit shall not exceed three percent (3%). (Ord. 2007-4 §1)

ARTICLE 4
Telephone Utility Tax

Sec. 4-4-10. Definitions.
For the purposes of this Article, the following words shall have the following meanings:

Line means a separate telephone number or telephone circuit identification number provided to a resident at retail.

Line count means the total number of lines for which US West (or its lawful successor) provides local telecommunications service to residents within the Town as of October 1, 2000.

Local telecommunications service means basic local exchange service or basic service, as defined by Section 40-15-102, C.R.S., which is authorized by a certificate of public convenience and necessity or otherwise pursuant to Title 40, Part 15, C.R.S. For the purposes of this Article, local telecommunications service shall not include wireless service.

Resident means any person, individual, corporation, partnership, joint venture, company, firm, association, proprietorship or other entity residing or having a place of business within the Town.

Telecommunications company means any company providing local telecommunications service within the Town. (Ord. 2000-5 §1)

Sec. 4-4-20. Levy of tax.
There is hereby levied on and against each telecommunications company within the Town a tax on the occupation and business of providing local telecommunications service at retail to residents of the Town. The annual amount of tax shall be computed as follows:

(1) Each telecommunications company shall pay a tax of no more than two thousand dollars ($2,000.00).

(2) The amount of tax shall be two thousand dollars ($2,000.00) divided by the line count, and multiplying the result by the number of lines the telecommunications company provides within the Town.

(3) The tax shall be calculated each October after the filing of the statement described in Section 4-4-40 below and shall be effective on the following January 1.

(4) The tax shall be due and payable in full on or before February 1 of each year, except as otherwise provided in Paragraph (5) below.

(5) Each new telecommunications company that first becomes subject to this Article during any calendar year shall calculate its tax, for that calendar year, as stated in Paragraph (2) above. The tax shall be prorated based on the number of months service is provided during that year. Each new telecommunications company that becomes subject to this Article within the first ten (10) months of a tax year shall pay the prorated tax during the month that it first provides service. Each new telecommunications company that becomes subject to this Article within the last two (2) months of a tax year shall pay the total prorated tax within sixty (60) days of the date it first provides service. (Ord. 76-1 §1; Ord. 2000-5 §1)

Sec. 4-4-30. Effective date.
The tax levied by the ordinance codified herein shall commence on January 1, 2001, or on any date after January 1, 2001, on which the telecommunications company first provides local telecommunications service in the Town. (Ord. 2000-5 §1; Ord. 2007-4 §1)

Sec. 4-4-40. Filing statements.
On October 1, 2000, each telecommunications company that will be subject to this Article on January 1, 2001, shall file with the Town Clerk, in such form as the Clerk may require, a statement showing the total number of lines in the Town on January 1, 2001. Thereafter, by October 1 of each year, each telecommunications company subject to this Article shall file a statement with the Town Clerk showing its total number of lines in the Town, to determine the tax for the following year. (Ord. 2000-5 §1)

Sec. 4-4-50. Failure to pay.
If any telecommunications company subject to the provisions of this Article fails to pay the tax as herein provided, the full amount of tax shall be due and collected from such company, with an additional penalty of ten percent (10%) of the amount of taxes due, which shall be a debt due and owing from such company to the Town. (Ord. 76-1 §5; Ord. 2000-5 §1)

Sec. 4-4-60. Inspection of records.
The Town, its officers, agents and representatives shall have the right, at all reasonable hours and times, to examine the books and records of any telecommunications company subject to the provisions of this Article and to make copies of the contents thereof. (Ord. 76-1 §3; Ord. 2000-5 §1)

Sec. 4-4-70. Local purpose.
The tax set forth in this Article is imposed upon occupations and businesses in the performance of local functions, and it is not a tax upon those functions relating to interstate commerce. This Article is not intended to be a grant of franchise to any telecommunications company. (Ord. 76-1 §4; Ord. 2000-5 §1)

Sec. 4-4-80. Tax in lieu of other taxes.
The tax set forth in this Article shall be in lieu of all other taxes on any telecommunications company subject to the provisions of this Article, other than ad valorem taxes. The tax set forth in this Article shall be in addition to any otherwise applicable fees. (Ord. 76-1 §7; Ord. 2000-5 §1)

Sec. 4-4-90. Liabilities to continue.
All tax liabilities incurred before July 10, 2000, under prior versions of the tax, shall be and remain unconditionally due and payable, shall constitute a debt to the Town and shall be treated as though all prior applicable ordinances and amendments thereto were in full force and effect. (Ord. 76-1 §6; Ord. 2000-5 §1)

ARTICLE 5
Unclaimed Property

Sec. 4-5-10. Purpose.
The purpose of this Article is to provide for the administration and disposition of unclaimed property which is in the possession of or under the control of the Town. (Ord. 2007-4 §1)

Sec. 4-5-20. Definitions.
Unless otherwise required by context or use, words and terms shall be defined as follows:

Unclaimed property means any tangible or intangible property, including any income or increment derived therefrom, less any lawful charges, that is held by or under the control of the Town and which has not been claimed by its owner for a period of more than two (2) years after it became payable or distributable. For purposes of this Article, unclaimed property shall not include lost, abandoned or recovered stolen personal property, as provided in Chapter 10 of this
Code. (Ord. 2007-4 §1)

Sec. 4-5-30. Procedure for disposition of property.

(a) Prior to disposition of any unclaimed property having an estimated value of fifty dollars ($50.00) or more, the Town Clerk shall send a written notice by certified mail, return receipt requested, to the last known address, if any, of any owner of unclaimed property. The last known address of the owner shall be the last address of the owner as shown by the records of the municipal department or agency holding the property. The notice shall include a description of the property, the amount or estimated value of the property and, when available, the purpose for which the property was deposited or otherwise held. The notice shall state where the owner may make inquiry of or claim the property. The notice shall also state that if the owner fails to provide the Town Clerk with a
written claim for the return of the property within sixty (60) days of the date of the notice, the property shall become the sole property of the Town and any claim of the owner to such property shall be deemed forfeited.

(b) Prior to disposition of any unclaimed property having an estimated value of less than fifty dollars ($50.00) or having no last known address of the owner, the Town Clerk shall cause a notice to be posted in the Town. The notice shall include a description of the property, the owner of the property, the amount or estimated value of the property and, when available, the purpose for which the property was deposited or otherwise held. The notice shall state where the owner may make inquiry of or claim the property. The notice shall also state that if the owner fails to provide the Town Clerk with a written claim for the return of the property within sixty (60) days of the date of the posting of the notice, the property shall become the sole property of the Town and any claim of the owner to such property shall be deemed forfeited.

(c) If the Town Clerk receives no written claim within the above sixty-day claim period, the property shall become the sole property of the Town and any claim of the owner to such property shall be deemed forfeited.

(d) If the Town Clerk receives a written claim within the sixty-day claim period, the Town Clerk shall evaluate the claim and give written notice to the claimant within ninety (90) days thereof that the claim has been accepted or denied in whole or in part. The Town Clerk may investigate the validity of a claim and may request further supporting documentation from the claimant prior to disbursing or refusing to disburse the property.

(e) If there is more than one (1) claimant for the same property, the Town Clerk may, in the Town Clerk’s sole discretion, resolve said claims or may resolve such claims by depositing the disputed property with the registry of the district court in an interpleader action.

(f) If all claims filed are denied, the property shall become the sole property of the Town and any claim of the owner of such property shall be deemed forfeited.

(g) Any legal action challenging a decision of the Town Clerk under this Article shall be filed pursuant to Rule 106 of the Colorado Rules of Civil Procedure within thirty (30) days of such decision or shall be forever barred.

(h) The Town Clerk is authorized to establish and administer procedures for the administration and disposition of unclaimed property consistent with this Article. (Ord. 2007-4 §1)

Updated 6/26/09