HomeMy WebLinkAbout760560.tiff friflOWInDUrz-
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To BARTON BUSS August 19, 1976
6O f Date
COLORADO From Kay McEver, Assistant County Attorney
su bjecc Effect of H.B. 1139 (1976) on Weld County Home Rule
Charter Provisions on Limitation of Annual Tax Levy.
CONCLUSION: A determination must be sought from the Division of Local
Government, Colorado Department of Local Affairs, of
whether Weld County ' s Home Rule Charter is less restrictive
in its limitations on ad valorem tax levies than state law
limiting increases in statutory tax levies . If the Charter
is found to be less restrictive, increases over 7% will
probably have to be approved by the electorate.
DISCUSSION: Section 29-1-301 (3) , CRS 1973 , as amended, (H. B . 1139 (1976) ,
provides that the limitations imposed by the newly amended
state law on local government tax revenues will apply to
home rule counties unless the provisions of a county home
rule charter are equal to or more restrictive than those
imposed by state law. The state law, H.B. 1139 , requires
that increases of more than 7% in levies from one year to
the next be reviewed by the Division of Local Government
of the Colorado Department of Local Affairs or be submitted
to the electorate. The 7% limitation must be computed
without including increased valuation for assessment due
to growth within the taxing district.
The Weld County Home Rule Charter, Section 14-7 , contains
a 5% ceiling on increase in ad valorem tax levies . Any
increases over 5% are to be reviewed by the County Council ,
which is authorized to make such increased levies as it
deems appropriate so long as the increase does not exceed
an amount which is computed by applying the previous year ' s
mill levy to the current year ' s assessed valuation. In-
creased valuation due to growth is apparently included in
the formula. Any further increases must be submitted to
the electorate.
Because of the flexibility of the Weld County Home Rule
Charter provisions, the restrictiveness of the Charter
limitation in relation to the state ' s 7% ceiling will vary
from year to year, depending upon increases in valuation.
In years in which a large increase in assessed valuation
occurs, the Weld County procedure would allow the County
Council to authorize increases far in excess of 7% before
the Charter ceiling forced a special election. On the
other hand, if there is little change in the assessed
valuation, the County Council ' s power to grant increases
above 5% might be so limited that it could authorize little
or no increase .
760560
Mr . Barton Buss
August 19 , 1976
Page 2
H.B. 1139 provides that the Division of Local Affairs will
make the determination whether a county home rule
charter is more or less restrictive than state law. We
have requested such a determination . Should the Division
of Local Affairs determine that the Weld County Home Rule
Charter is less restrictive than state law, the result
may be that the County Council will have the power to
authorize increases from 5% to 7%, but any increases over
7% must be either authorized by the Division or by election.
Since the Division of Local Affairs has expressed a policy
of reviewing fewer such increases , the effect would be a
requirement of an election for increases over 7% .
KM: cc
1 n76
1 � . 1,,. , et ))
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IInl1,SE BILL NO. 1139. BY REPRESENTATIVES Kirscht, Arnold,
Barragan, Boley, Brinton, Durham, Elliott, Planery, Friedman,
Gaon, Hamlin, Herzberger, Hinman, Kramer, Lloyd, Lucero, Marks,
Miller, Smith, Sprague, Taylor, Valdez, and Zakhcm; also SENATORS
L. Fowler, Brown, Cisneros, Schieffelin, Stockton, and
Strickland.
CONCERNING THE LIMITATION ON LOCAL GOVERNMENT PROPERTY TAX
REVENUES.
Be it enacted the General Assembly of the State of Colorado:
SECTION 1. 29-1-301, Colorado Revised Statutes 1973, is
amended to read:
29-1-301. Levies reduced - limitation. (1) Except as
otherwise provided, all statutory tax levie,s _when_applied_-to the
total, valuation forasses_sment of the state,._..eachf the
counties, cities, and towns NOT CHARTERED AS LUTE RULE, and each
of the fire, sanitation, irrigation, drainage, conservancy, and
other special districts established by law, shall he so reduced
as to pro a it the levying of a greater_,amoint tha of revenue n
was Ievied in__the preseding_year_plus five SI:Y1N, percent except
to_provide for the payment of bonds and interest thereon.
(2) If an increase over said five SEVEN percent is allowed
by the division of local government in the department of local
affairs or voted by the electors of a taxing district under the
provisions of section 29-1-302, the increased revenue resulting
therefrom shall be included in determining the five SEVEN percent
limitation in the following year.
(3) TEE..LIMITATIONS._OLTIEIS_.PART_3_.SHALL_APPLY TO_HOME._RIJLE
COUNT IES_IINLESS_PROVISIONS_ARE -INCLUDLD-_IN_TUI COI IMLY.._-IMEE__.RULE
CHARTER WlICEI ARF,. nS i)F.;IGRh7INED—BY_T1Ui 1)WIS.ION._ nE_IAI.AL,
Lapital letters indicate new material added to existing statutes;
dashes through words indicate deletions from existing statutes and
such material not part of act.
COW WENT,_IiQIIALTO._OR...MORE_RLSTRIC'fM; :/iIAN DIE PROVISIONS OF
'f1 EIS PART 3.
SECTION Z. 29-1-302 (1) and (2) , Colorado Revised Statutes
1973, are amended to read:
29-1-302. Increased levy - submitted to division of local
_government - to people at election. (1) If any board authorized
to levy a tax, except school boards, or any officer charged with
the duty of levying a tax in any taxing district is of the
opinion that the amount of tax limited by section 29-1-301 will
be insufficient for the needs of such taxing district for the
current year, the question_of_an,increasexl levy may)be-submitted
to the division�of_local_government in the department_ of local
affairs and it is its duty to examine the needs of such taxing
district and ascertain from such examination the financial
condition thereof, and, if in the opinion of the division such
taxing district is in need of additional funds, the said division
may grant an increased levy for such taxing district above the
limits specified in this part 3, and such taxing district is -
authorized to make such excess levy. 11IE_DIVISION OF LOCAL
GOVERMENT SI I:ALL__ NOT___01113211NY._CIRCUt•1S1:ANCI'._ (;RAI-T }UJ_INCRIv1SII)
LEVY I1ASID UPON INCRI.(1S1:1,)_VALUATION-.l•ORASSESSf11;NT Pl1RPOSIS FROM
RLAgPRAISALS4 1N COMPUTING 1111.__SIVLN__P_ER( ENT_ -LIMITTani
INCIU2ASLD VALIJA'FION 101L14SSliSSTIITIJ' ATTRI11I17NtL1 TO MINE(ATION_ OR
INCLIISION_s)F ADamoNAE._LAND MU) 'IIII: IMPROV) mNTs 'IIIIRJnN WI711IN
_;IUII;..TAXINGI)LSIIZICI' FOR DIE PRECEDING YEAR OR ATTRIBUTABLE 10 NEW
CONSTRUCTION WIIIIIN_(1-IF`JAXING`.UISTRICLIOR___11II_,._PIUCJJIt[JG YEAR
SI NLL BE EXCLUDED.
(Z) In case the division of Jocal governMn refuses or
fails within ten days after submission.xo-itV.oLan_adopted. budget
to _gxanit7such -increased levy, the question may)_• be_.,-submitted_.,to
the qualified _electors of •said, district_at, a._general or, special
election called for the purpose_and in the manner provided by law
for calling'-Special—elections in such taxing district. 1lIE
TAXING___UISTRIC'f_,.MAY AT.-,ITS_ DISCRLTION_SUliMIT._DIP. QUESTION OF AN
.,INCRL\SI4) LEVY DIRECTLY TO AN ELECTION OF DIE QUALIFIED ELECTORS
WITHOUT FIRST SUBMITTING 'lifE QU]STION' OF AN INCREASE]) LEVY TO TUE
DIVISION OF LOCAL covERNmENt.
SECTION 3. 39-1-111 (1) , Colorado Revised Statutes 1973, as
amended, is rurended to read:
39-1-111. Taxes levied by hoard of county commissioners.
(1) No later than the fifteenth day of November in each year,
except when a school district is conducting an election to
increase the authorized revenue base and is making certification
under the provisions of section 22-40-102 (1) , C.R.S. 1973, OR
1111EN A C(XINI'Y, CITY, TOWN, OR SPIEIAL DISTRICT IS CONDUCTING AN
ELECTION FOR AN INCREASED PROPERLY TAX LEVY AND IS MAKING
CERTIFICATION UNDER 711E PROVISIONS OF SECTION 39-5-128 (1) , the
board of county commissioners in each county of the state, exeept
PAGE 2-11OUSE BILL NO. 1139
to--the--eity-and-enHnty-ef-Denver OR such other body IN THE CITY
AND CUINIY OF 1)!JIVEIt as shall be authorized by law to levy taxes,
shall , by an order to be entered in the record of its
proceedings, levy against the valuation for assessment of all
taxable property located in the county on the assessment date,
and in the various towns, cities, school districts, and special
districts within such county, the requisite property taxes for
all purposes required by law.
SECTION 4. 39-5-121, Colorado Revised Statutes 1973, is
amended to read:
39-5-121. Notice of increased valuation. (1) No later
than the first day of June in each year, the assessor shall mail
to each person whose taxable personal property has been valued at
an amount greater than that returned by him in his personal
property schedule and to each person whose land or improvements
has HAVE been valued at an amount greater than the same was WERE
valued in the previous year a notice setting forth the amount of
such increase in valuation.
(2) TIT! ASSESSOR SHALL NO LATER TITAN THE FIFTEENTH DAY OF
SEPTIMBER IN EAU! YEAR NOTIFY 1A01 TAXING DISTRICT SUBJECT TO THE
PROVISIONS OF SECTION 29-1-301 AND NOTIFY TIB! DIVISION OF LOCAL
GOVERI UNI' 'Dlli TOTAL VALUATION FOR ASSESSMENT OF LAND AND
IMPROVEMENTS WITHIN THE DISTRICT AND SMALL ALSO REPORT THE AMOUNT
OF '11[E TOTAL VALUATION FOR ASSESSMENT ATTRIBUTABLE TO ANNEXATION
OR INCLUSION OF ADDITIONAL LAND AND THE IMPROVEMENTS THIREON
WITHIN THE TAXING DISTRICT FOR TILE PRECEDING YEAR AND TFIE AMOUNT
ATTRIBUTABLE TO NEW CONSTRUCTION WITHIN THE TAXING DISTRICT FOR
THE PRECEDING YEAR.
SECTION 5. 39-5-128 (1) , Colorado Revised Statutes 1973, is
amended to read:
39-5-128. Certification of valuation for assessment. (1)
No later than the first-day-of-October FIFTEENTH DAY OF S1iPTIMBIR
in each year, the assessor shall certify to the clerk of each
town and city and to the secretary of each special district
within his county the total valuation for assessment of all
taxable property located within the territorial limits of each
such town, city, or special district and shall notify each such
clerk and secretary to officially certify the levy of such town,
city, or special district to the hoard of county connissioners no
later than the sixteenth-day-ef-Heteber FIRST DAY OF NOVEMBER;
EXCEPT THAT SUCH CLERK OR SECRETARY SHALL MAKI SUCH CIRTIFICATION
NO LATER TITAN THE FIFTEENTH DAY OF DECIMBER IF AN ELECTION FOR AN
INCREASED PROPERTY TAX LEVY IS HELD PURSUANT TO SECTION 29-1-302,
C.R.S. 1973.
SECTION 6. Effective elate - applicability. This act shall
take effect July 1, 1976, and shall apply to local government
budgets adopted in 1976 for the 1977 budget year and in
PAGE 3-HOUSE BILL NO. 1139
successive years.
SECTION 7. Safety clause. The general assembly hereby
finds, determines, and declares that this act is necessary for
the immediate preservation of the public peace, health, and
safety.
Ruben A. Valdez Fred E. Anderson
SPEAKER OF mu HOUSE PRESIDENT OF
OF REPRESENTATIVES ThE SENATE
Evelyn T. Davidson Marjorie L. Rutenheck
CHIEF CLIRK OF THE HOUSE SECRETARY OF
OF REPRESENTATIVES TIIE SENATE
APPROVED
Richard D. Lamm
GOVERNOR OF 171E STATE OF COLORADO
PAGE 4-HOUSE BILL NO. 1139
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