TC Ord. No. 2007-17 Amending sections 3.12.020 and 3.12.060 Avon Muni code relating to exemptions from the real estate transfer taxTOWN OF AVON
ORDINANCE NO. 07-17
SERIES OF 2007
AN ORDINANCE AMENDING SECTIONS 3.12.020 AND 3.12.060, AVON MUNICIPAL
CODE, RELATING TO EXEMPTIONS FROM THE REAL ESTATE TRANSFER TAX
COLORADO:
BE IT ORDAINED BY THE TOWN COUNCIL OF THE TOWN OF AVON,
Section 1: Amendment. Section 3.12.020, Chapter 3.12 of Title 3, Avon
Municipal Code, is amended by the addition of the following definition:
Eagle County Employee means an employee, working in Eagle County who
works an average of at least thirty (30) hours per week on an annual basis or earns 75% of
his/her income and earnings by working in Eagle County; or, a retired individual, sixty years or
older, who has worked a minimum of five years in Eagle County for an average of at least thirty
(30) hours per week on an annual basis.
Section 2. Amendment. Section 3.12.060, Chapter 3.12 of Title 3, Avon
Municipal Code, is amended by the addition of a Paragraph (16) to provide as follows:
(16) The first one hundred sixty thousand dollars ($160,000.00) of the consideration
for any sale or conveyance of real property and completed improvements for
occupancy as a primary residence, provided the following conditions are met:
a. The applicant has satisfied the conditions of Paragraph (15) of this section;
and
b. an application for exemption is filed with the Town Manager or his or her
designee prior to payment of the tax, which application is accompanied by:
1. An affidavit that the applicant's current primary residence used to
satisfy the requirements of paragraph 15 is within the Town, that the
applicant meets the definition of an Eagle County Employee, that the
real property is being purchased for use as a new primary residence
and not for investment; and,
2. A promissory note in the amount of the tax otherwise owing,
together with interest accruing at the rate hereinafter provided,
providing that the tax and the promissory note including accrued
interest shall be due and payable in full in the event that the applicant
shall cease to use the property as his or her primary residence or
shall cease to meet the definition of an Eagle County Employee
within one (1) year after closing and granting to the Town a lien
Ordinance No. 07-17 RE TT Final
Page 1 of 2
securing such indebtedness, which lien shall be subordinate to any
first mortgage or deed of trust of record; and
c. The exemption applies only to the portion of the transfer tax actually paid by
the buyer, and will not reduce any portion of transfer tax that seller agrees to
pay in the transaction.
Section 3. Amendment. Paragraph (16), Section 3.12.060, Chapter 3.1.2 of Title
3, Avon Municipal Code, is renumbered to be Paragraph (17).
INTRODUCED, APPROVED, PASSED ON FIRST READING AND
ORDERED POSTED the 27th day of November, 2007, and a public hearing on this ordinance
shall be held at the regular meeting of the Town Council on the 11th day of December, 2007, at
5:30 P.M. in the Council Chambers, Avon Municipal Building, 400 Benchmark Road, Avon,
Colorado.
wN OF P ~C
~0 •lb d C. Wolfe, Mayor
:5EA~•
P4a' Mc kenny, T yt - Jerk
INTRODUCED, FINALLY APPROVED, PASSED ON SECOND READING
AND ORDERED POSTED the 11th day of Decen 2007.
~0~~ OF
SEAL
Mc1 envy, To~~' . r\(*)
C. Wolfe, Mayor
APPROVED AS
John W. Dunn, Town Attorney
Ordinance No. 07-17 RETT Final
Page 2 of 2
I
Memo
To: Honorable Mayor and Town Council
Thru: Larry Brooks, Town Manager
From: Scott Wright, Asst. Town Manager - Finance Director
Date: November 28, 2007
Re: Ordinance No. 07-17 Amendment of Real Estate Transfer Tax Exemptions
Summary
As passed on first reading by Council at the last Town Council meeting, this ordinance
amends Chapter 3.12 of the Town's Municipal Code by adding an additional exemption for
• Town residences who have previously utilized the primary residence exemption and who are
now purchasing a subsequent primary residence within the Town.
In order to qualify for an exemption of up to $160,000 of the purchase of a subsequent
primary residence, the applicant must have previously satisfied the conditions of the first
primary residence exemption along with a further qualification that the applicant meet the
definition of an Eagle County Employee as defined in the ordinance.
Financial Implications:
Based on assumptions previously discussed with Council, the estimated financial impact to the
Town is $80,000 per year.
Recommendation:
Staff recommends that the Council adopt Ordinance No. 07-17 at second reading.
Town Manager Comments:
Attachments:
A - Ordinance No. 07-17 - Markup and Final
0 Page 1
TOWN OF AVON
ORDINANCE NO. 07-17
AN ORDINANCE AMENDING SECTIONS 3.12.020 AND 3.12.060, •
AVON MUNICIPAL CODE, RELATING TO EXEMPTIONS
FROM THE REAL ESTATE TRANSFER TAX
BE IT ORDAINED BY THE TOWN COUNCIL OF THE TOWN OF
AVON, COLORADO:
Section 1: Amendment. Section 3.12.020, Chapter 3.12 of Title 3, Avon
Municipal Code, is amended by the addition of the following definition:
Eagle County Employee means an employee, working in Eagle County
who works an average of at least thirty (30) hours per week on an annual basis or earns
75% of his/her income and earnings by working in Eagle County; or, a retired individual,
sixty years or older, who has worked a minimum of five years in Eagle County for an Deleted: s
average of at least thirty (30) hours per week on an annual basis.
Section 2. Amendment. Section 3.12.060, Chapter 3.12 of Title 3, Avon
Municipal Code, is amended by the addition of a Paragraph (16) to provide as follows:
(16) The first one hundred sixty thousand dollars ($160,000.00) of the
consideration for any sale or conveyance of real property and completed
improvements for occupancy as a primary residence, provided the
following conditions are met:
a. The applicant has satisfied the conditions of Paragraph (15) of this
section; and
b. an application for exemption is filed with the Town Manager or his or
her designee prior to payment of the tax, which application is
accompanied by:
An affidavit that the applicant's current primary residence
used to satisfy the requirements of oaraeraph 15 is within the
Town, that the applicant meets the definition of an Eagle
County Employee, that the real property is being purchased
for use as a new primary residence and not for investment,
and the applicant is the purchaser of the primary residence;
ands
2. A promissory note in the amount of the tax otherwise owing,
together with interest accruing at the rate hereinafter
provided, providing that the tax and the promissory note
including accrued interest shall be due and payable in full in
•
Deleted: and
Deleted: ¶
B. A
Formatted: Indent: Left: 1.63"
Formatted: Bullets and Numbering
40
Memo
To: Honorable Mayor and Town Council
Thru: Larry Brooks, Town Manager
From: Scott Wright, Asst. Town Manager -Finance Director
Date: November 20, 2007
Re: Ordinance No. 07-17 Amendment of Real Estate Transfer Tax Exemptions
Summary
As directed by Council at the last Town Council meeting, this ordinance amends Chapter 3.12
of the Town's Municipal Code by adding an additional exemption for Town residences who
have previously utilized the primary residence exemption and who are now purchasing a
subsequent primary residence within the Town.
In order to qualify for an exemption of up to $160,000 of the purchase of a subsequent
primary residence, the applicant must have previously satisfied the conditions of the first
primary residence exemption along with a further qualification that the applicant meet the
definition of an Eagle County Employee as defined in the ordinance.
Financial Implications:
Based on assumptions previously discussed with Council, the estimated financial impact to the
Town is $80,000 per year.
Recommendation:
Staff recommends that the Council adopt Ordinance No. 07-17 at first reading.
Page 1
Town Manager Comments:
G:
,X6
Attachment
A - Ordinance No. 07-17
9 Page 2