HomeMy WebLinkAbout2010-058-08/17/2010-AMENDING RESOLUTION 2010-047 SUBMITTING TO THE REGISTERED ELECTORS OF THE CITY A PROPOSED .85% INCRE RESOLUTION 2010-058
OF THE COUNCIL OF THE CITY OF FORT COLLINS
AMENDING RESOLUTION 2010-047 SUBMITTING TO THE REGISTERED ELECTORS
OF THE CITY A PROPOSED .85% INCREASE IN THE CITY'S SALES AND USE TAX
RATE ON ALL NON-EXEMPT TAXABLE ITEMS, TO BE USED FOR CERTAIN
SPECIFIED PURPOSES
WHEREAS, on July 27, 2010, the City Council approved Resolution 2010-047 submitting
to the registered electors of the City a proposed.85%increase in the City's sales and use tax rate on
all non-exempt taxable items, to be used for certain specified purposes; and
WHEREAS, since the adoption of such resolution, various members of the business
community have expressed concern about the impact that an increase in the amount of use tax
imposed on manufacturing equipment may have on local manufacturers and their ability to contribute
to the City's recovery from the current economic downturn; and
WHEREAS, through its existing use tax rebate program on manufacturing equipment for
qualifying manufacturers, the City already acknowledges the need for furthering economic
development by providing incentives, including tax relief, to local manufacturers; and
WHEREAS, because of the important role that local manufacturers play in promoting the
overall economic health of the City,the City Council wishes to respond to this community concern
by amending the tax measure to exempt from the proposed.85%use tax increase all manufacturing
equipment, as defined in Section 25-63 of the City Code, that is used, stored, distributed or
consumed in the City.
NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF FORT
COLLINS AS FOLLOWS:
Section 1. That the question to be submitted to the registered electors of the City
pursuant to Resolution 2010-047 is hereby amended so as to read in its entirety as follows:
SHALL CITY OF FORT COLLINS TAXES BE INCREASED BY AN ESTIMATED $18.7
MILLION FOR THE FIRST FULL FISCAL YEAR(2011), AND BY SUCH AMOUNTS AS
MAY BE GENERATED ANNUALLY THEREAFTER, BY INCREASING THE RATE OF
THE CITY SALES AND USE TAX FROM 3.00% TO 3.85% COMMENCING JANUARY
1,2011,AND ENDING AT MIDNIGHT ON DECEMBER 31, 2020,WITH ALL REVENUE
GENERATED THEREFROM TO BE SPENT AS FOLLOWS:
• 33% FOR STREET MAINTENANCE AND REPAIR;
• 17% FOR OTHER STREET AND TRANSPORTATION NEEDS;
• 17% FOR POLICE SERVICES;
• 11% FOR FIRE PROTECTION AND OTHER EMERGENCY SERVICES;
• 11% FOR PARKS MAINTENANCE AND RECREATION SERVICES; AND
• 11%FOR COMMUNITY PRIORITIES OTHER THAN THOSE LISTED ABOVE,AS
DETERMINED BY THE CITY COUNCIL,
PROVIDED THAT THIS INCREASE IN THE SALES AND USE TAX SHALL NOT APPLY
TO ITEMS THAT ARE EXEMPT FROM TAXATION UNDER THE CITY CODE,SUCH AS
FOOD AND PRESCRIPTION DRUGS, AND THAT THE INCREASE IN THE USE TAX
SHALL NOT APPLY TO MANUFACTURING EQUIPMENT,AND FURTHER PROVIDED
THAT THE CITY MANAGER SHALL ANNUALLY REPORT TO THE CITY COUNCIL
ON THE PURPOSES FOR WHICH THE REVENUES FROM THE TAX INCREASE HAVE
BEEN DESIGNATED OR USED IN THE PRECEDING CALENDAR YEAR AND THE
COST SAVING MEASURES THAT WERE UNDERTAKEN BY THE CITY IN SUCH
YEAR,AND FURTHER PROVIDED THAT THE FULL REVENUES DERIVED FROM THE
TAX, AND ANY INVESTMENT EARNINGS THEREON, MAY BE RETAINED AND
EXPENDED BY THE CITY FOR SUCH PURPOSES,NOTWITHSTANDING ANY STATE
REVENUE OR EXPENDITURE LIMITATIONS INCLUDING BUT NOT LIMITED TO
ARTICLE X, SECTION 20 OF THE COLORADO CONSTITUTION?
YES
NO
Section 2. That in all other respects Resolution 2010-047 shall remain in full force and
effect.
Passed and adopted at a regular meeting of the Council e City of Fort Collins this 17th
day of August A.D., 2010.
Mayor
ATTEST:'
City Clerk
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