Loading...
TC Ord. No. 2012-11 Amending chapter 3.12 of AMC regarding real property transfer taxTOWN OF AVON, COLORADO ORDINANCE NO. 12 -11 SERIES OF 2012 AN ORDINANCE AMENDING CHAPTER 3.12 OF THE AVON MUNICIPAL CODE REGARDING REAL PROPERTY TRANSFER TAX WHEREAS, the Town of Avon ( "Town ") is a home rule authority municipal corporation and body politic organized under the laws of the State of Colorado and possessing the maximum powers, authority and privileges to which it is entitled under Colorado law and as set forth in the Home Rule Charter of the Town of Avon; and WHEREAS, the Town Council finds that the taxation of transfers of real property is a matter of local concern and further finds that amendments to the definition of consideration as regards lease payments and the administration of leases which are not exempt from the application of the real estate transfer tax will improve the implementation and enforcement of Chapter 3.12 with regard to such leases; and WHEREAS, the adoption of this Ordinance shall resolve pending disputes related to the imposition and collection of real estate transfer taxes in the Village (at Avon) as such disputes are set forth in the Civil Action No 2010 CV 316 consolidated into Civil Action No 2008 CV 385 ( "Pending Litigation ") and the Town Council finds that the adoption of this Ordinance is not an admission fault, liability or change in any legal position asserted in the Pending Litigation; WHEREAS, it is the Town Council's opinion that the health, safety and welfare of the citizens of the Town of Avon will be enhanced and promoted by the adoption of this ordinance; and WHEREAS, approval of this Ordinance on first reading is intended only to confirm that the Town Council desires to comply with state law, the Avon Municipal Code and the Avon Home Rule Charter by setting a public hearing in order to provide the public an opportunity to present testimony and evidence regarding the application and that approval of this Ordinance on first reading does not constitute a representation that the Town Council, or any member of the Town Council, supports, approves, rejects, or denies the proposed amendment to the Avon Municipal Code. NOW, THEREFORE, BE IT ORDAINED BY THE TOWN COUNCIL OF THE TOWN OF AVON, COLORADO the following: Section 1. Recitals Incorporated The above and foregoing recitals are incorporated herein by reference and adopted as findings and determinations of the Town Council. Section 2. Amendment to Definition of Consideration in Section 3.12.020 The definition of Consideration in Section 3.12.020 of the Avon Municipal Code is hereby amended by adding the following language, which added language is depicted with double underlining so that the definition shall read in its entirety, and is hereby adopted in its entirety, as follows: Ord 12 -11 Amending 3.12 1V31 Nov. 19, 2012 ejh Page 1 of 5 "Consideration means and includes the actual cash paid and/or value of the property delivered, or contracted to be paid or delivered, in return for the transfer of ownership or title to, or any other possessory interest in, real property and shall include the amount of any lien, mortgage, contract indebtedness or other encumbrance, either given to secure the purchase price, or any part thereof, or remaining unpaid on the property at the time of sale. The term does not include the amount of any outstanding lien or encumbrance in favor of the United States, the state or of a municipal or quasi - governmental agency, corporation or district for taxes, special benefits or improvements. In the event that the transaction or transfer is by lease agreement not specifically exempted in Section 3.12.060, the consideration shall be computed based upon the capitalization or the current annual rental for ten (10) years, plus any additional consideration, paid or to be paid. When it is not possible to determine the annual rental, the tax shall be based upon the appraised value of the property covered by the lease, and this decision, that the annual rental cannot be determined, shall be solely at the discretion of the Town Manager. The lessee of anv taxable lease may elect to pay the real estate transfer tax based upon actua lease payments. The amount of tax shall be the real estate transfer tax rate char eg against the amount of the lease payment less the portion of lease payments for taxes . insurance, common area maintenance and similar costs. Any portion of lease Dayments which is attributable to capital improvements shall be included in the amount of the lease payment iect to the real estate transfer tax. For the purposes of this definition, capital improvement shall be defined as new construction, remodeling and installation of fixtures appurtenant to the leased property. The applicable real estate transfer tax shall be due within thirty (30) days after the lease payment is made for lessees who elect to pav real estate transfer taxes based upon the amount of actual lease Dayments. The Town Manager may permit lessees who elect to pav real estate transfer taxes based u op n the amount of actual lease payments to pay the applicable real estate transfer taxes on an annual basis for lease payments made during rn for year. The due dates. elinauencies, penalties and interest set forth in Section 3.12.090 shall otherwise a ly to payments by lessees who elect to pav real estate transfer taxes based upon the amount of actual lease payments. Section 3. Adoption of Reporting Requirement, Section 3.12.055 Chapter 3.12 is hereby amended by adopting Section 3.12.055 which shall read as follows: "3.12.055 Required Reporting of Leases. The lessee of any lease which is not exempt from the applicability of the real estate transfer tax as defined in Section 3.12.060(10) shall report such lease to the Town within thirty (30) days after execution of such lease in accordance with forms and procedures established by the Town Manager. The required reporting information shall include at a minimum the name and contact information of the lessee, the term of the lease with all possible extensions, and the amount of consideration to be paid. Failure to report a lease as required in this Section 3.12.055 shall be a violation of this Chapter." Section 4. Amendment of Section 3.12.060(10) Section 3.12.060(10) is hereby amended by adding the following language, which added language is depicted with double underlining so that Section 3.12.060(l 0) shall read in its entirety as follows: Ord 12 -11 Amending 3.12 [V3] Nov. 19, 2012 ejh Page 2 of 5 "(10) Any lease or other instrument or contract executed after [30 days after final adoption], 2012 which transfers to the transferee a possessory right in real property where the possessory right is granted for a period of twenty -five (25) years or less or where, at the time of assignment thereof, twenty -five (25) years or less of the term remains. (For purposes of this Chapter, where the initial term of the possessory right is for a period of less than twenty -five (25) years, but such right may be extended for a period exceeding twenty -five (25) years, or for periods which in the aggregate exceed twenty -five (25) years, the term of the possessory right shall be calculated as including the initial term and all extensions thereof. Leases which were executed on or prior to January 10, 2012 but are amended after January 10. 2012 to extend the term of the lease shall be treated as having been executed after January 10. 2012, provided that the real estate transfer tax shall be applicable only to the shorter period of (i) the term of such lease in excess of 25 years or (ii) the term of the extension approved by lease amendment after January 10. 2012 which exceeds the term of the lease that existed prior to January 10.2012 Section 5. Amendment of Section 3.12.130(a) Section 3.12.130(a) is hereby amended by adding the following language, which added language is depicted with double underlining so that Section 3.12.130(a) shall read in its entirety as follows: "(a) Any person who fails or refuses to pay any tax due under this Chapter fails to report a lease which is not exempt from the applicability of real estate transfer taxes as set forth in Section 3.12.060(10) or otherwise fails to comply with any provision of this Chapter may be punished in accordance with the provisions of Section 1.08.010 of this Code." Section 6 . Codification Amendments The codifier of the Town's Municipal Code, Colorado Code Publishing, is hereby authorized to make such numerical and formatting changes as may be necessary to incorporate the provisions of this Ordinance within the Avon Municipal Code. The Town Clerk is authorized to correct, or approve the correction by the codifier, of any typographical error in the enacted regulations, provided that such correction shall not substantively change any provision of the regulations adopted in this Ordinance. Such corrections may include spelling, reference, citation, enumeration, and grammatical errors. Section 7. Severability If any provision of this Ordinance, or the application of such provision to any person or circumstance, is for any reason held to be invalid, such invalidity shall not affect other provisions or applications of this Ordinance which can be given effect without the invalid provision or application, and to this end the provisions of this Ordinance are declared to be severable. The Town Council hereby declares that it would have passed this Ordinance and each provision thereof, even though any one of the provisions might be declared unconstitutional or invalid. As used in this Section, the term "provision" means and includes any part, division, subdivision, section, subsection, sentence, clause or phrase; the term "application" means and includes an application of an ordinance or any part thereof, whether considered or construed alone or together with another ordinance or ordinances, or part thereof, of the Town. Section 8. Effective Date This Ordinance shall take effect thirty (30) days after public notice following final passage in accordance with Section 6.4 of the Avon Home Rule Charter. Ord 12 -11 Amending 3.12 1V31 Nov. 19, 2012 ejh Page 3 of 5 Section 9. Safety Clause The Town Council hereby finds, determines and declares that this Ordinance is promulgated under the general police power of the Town of Avon, that it is promulgated for the health, safety and welfare of the public, and that this Ordinance is necessary for the preservation of health and safety and for the protection of public convenience and welfare. The Town Council further determines that the Ordinance bears a rational relation to the proper legislative object sought to be obtained. Section 10. No Tax Policy Change The amendments to Chapter 3.12 adopted by this Ordinance are not intended and shall not effect a tax policy change which has the result of increasing the real estate transfer tax without prior voter approval in accordance with Article X, Section 20 of the Colorado Constitution or which as the result of violating any other applicable law. In the event that a court of competent jurisdiction finds that any provision of this Ordinance is an unlawful tax policy change, then such provision shall be automatically stricken and void without causing any effect to the remaining provisions of Chapter 3.12. Section 11. Waiver of Claims of Violation, Rights of Enforcement and Penalties Upon the effective date of this Ordinance, this Ordinance shall operate as a complete waiver of any claims of violation, rights of enforcement or penalties the Town may have had which arose from leases executed prior to October 26, 2012 which are not exempt from the applicability of real estate transfer taxes under Section 3.12.060(l 0) of the Avon Municipal Code. Section 12. Publication by Posting The Town Clerk is ordered to publish this Ordinance by posting notice of adoption of this Ordinance on final reading by title in at least three public places within the Town and posting at the office of the Town Clerk, which notice shall contain a statement that a copy of the ordinance in full is available for public inspection in the office of the Town Clerk during normal business hours. [Execution Page Follows] Ord 12 -11 Amending 3.12 [V3] Nov. 19, 2012 ejh Page 4 of 5 INTRODUCED, APPROVED, PASSED ON FIRST READING, ORDERED POSTED AND REFERRED TO PUBLIC HEARING and setting such public hearing for Dece 2012 at the Council Chambers of the Avon Municipal Building, located at One Avon, Colorado, on November 27, 2012. - *-- �;715��Z� - Mayor Published by posting in at least three public places in Town and posting at the office W'/G�3£ Clerk at least six days prior to final action by the Town Council. ATTEST: APP D AS TO FO . " *- �AC� ?UC M y, T lerk il Eric J. H , T n Attorney I R D, FI A Y APPROVED, AND PASSED ON SECOND READING, AND ORDERED PUBLISHED BY POSTING on December 11, 2012. Mayor Published by posting by title in at least three public places in Town and posting by title at the office of the Town Clerk. • Ord 12 -I1 Amending 3.12 [V31 Nov. 19, 2012 ejh Page 5 of 5 MEMORANDUM TO: Honorable Mayor Carroll and Council members FROM: Eric Hell, Town Attorney RE: Ordinance No. 12 -11 Amendments to Chapter 3.12 of the Avon Municipal Code DATE: November 20, 2012 SUMMARY: This memorandum provides an overview of Ordinance No. 12 -11 Amending Chapter 3.12 of the Avon Municipal Code regarding Real Property Estate Transfer Tax. BACKGROUND: The Town's real property transfer tax applies to leases with terms in excess of 25 years. The applicability of the Town's real property transfer tax to existing long term leases in The Village (at Avon) is one of the pending claims in the current litigation with Traer Creek LLC and the affiliated Traer Creek Parties. The Traer Creek Parties brought to the Towns attention other long term leases in the Town for which the Town has not imposed and collected real property transfer taxes. As part of the comprehensive settlement and for the purpose of clarifying the application and administration of the Town's real property transfer tax on long term leases, Ordinance No. 12 -11 is presented for Town Council's consideration. REVISIONS: Ordinance No. 12 -11 adds to the definition of consideration to allow for the payment of the applicable real property transfer tax when lease payments are paid. I believe this is more equitable because it ties the amount and timing of the tax to the lease payments. The definition of consideration based on lease payments acknowledges that taxes, insurance and common area maintenance fees are not included in the lease payment amount so that the consideration amount upon which the tax is calculated is comparable to the purchase price for other real estate transactions. A new section 3.12.055 Required Reporting of Leases is added so that it is not a requirement to report long term leases. This enhances the ability of the Town to enforce the regulation. NO RETROACTIVE APPLICATION: Ordinance No. 12 -11 is expressly worded to have no retroactive application to leases entered into before January 10, 2012. TABOR CONSIDERATIONS: The Tax Payer's Bill of Rights does not allow any "tax policy change' which would increase the tax rate or revenues without approval by the voters at an election. Attention was given to structure these amendments so as not to create any increase in taxes or other tax policy change, primarily by retaining the existing language regarding the definition of consideration and allowing tax payers to elect to pay based on the amount of lease payments as an option. REQUESTED ACTION: Approve Ordinance No. 12 -11 on first reading and set a public hearing for December 11, 2012. Thank you, Eric Hell Law & Planning, LLC Office: 303.975.6120 2696 South Colorado Blvd., Suite 550 Fax: 720.836.3337 Denver, CO 80222 E -Mail: ericheillaw @gmail.com MEMORANDUM TO: Honorable Mayor Carroll and Council members FROM: Eric Heil, Town Attorney RE: Second and Final Reading of Ordinance No. 12 -11 Amending Chapter 3.12 of the Avon Municipal Code DATE: December 5, 2012 SUMMARY: This memorandum provides an overview of Ordinance No. 12 -11 Amending Chapter 3.12 of the Avon Municipal Code regarding Real Property Estate Transfer Tax. Council passed first reading of Ord. No. 12 -11 at the November 27, 2012 regular Council meeting. Ord. No. 12 -11 is presented for Second and Final Reading and is scheduled for a public hearing in accordance with Avon's Home Rule Charter. At first reading, Council requested optional language to delete the application of the real estate transfer tax ordinance to long -term leases altogether. Council also requested additional research concerning other communities experience with administration, enforcement and impact to commercial leases. These matters are addressed in this memorandum. BACKGROUND: The Town's real property transfer tax applies to leases with terms in excess of 25 years. The applicability of the Town's real property transfer tax to existing long term leases in The Village (at Avon) is one of the pending claims in the current litigation with Traer Creek LLC and the affiliated Traer Creek Parties. The Traer Creek Parties brought to the Town's attention other long term leases in the Town for which the Town has not imposed and collected real property transfer taxes. As part of the comprehensive settlement and for the purpose of clarifying the application and administration of the Town's real property transfer tax on long term leases, Ordinance No. 12 -11 is presented for Town Council's consideration. REVISIONS: Ordinance No. 12 -11 adds to the definition of consideration to allow for the payment of the applicable real property transfer tax when lease payments are paid. I believe this is more equitable because it ties the amount and timing of the tax to the lease payments. The definition of consideration based on lease payments acknowledges that taxes, insurance and common area maintenance fees are not included in the lease payment amount so that the consideration amount upon which the tax is calculated is comparable to the purchase price for other real estate transactions. A new section 3.12.055 Required Reporting of Leases is added so that reporting is now a requirement for long term leases. This requirement enhances the ability of the Town to enforce the regulation. NO RETROACTIVE APPLICATION: Ordinance No. 12 -11 is expressly worded to have no retroactive application to leases entered into before January 10, 2012. Heil Law & Planning, LLC Office: 303.975.6120 2696 South Colorado Blvd., Suite 550 Fax: 720.836.3337 Denver, CO 80222 E -Mail: ericheillaw @gmaii.com Avon Town Council Ord. No 12 -11 Amending RETT Regulations December 5, 2012 Page 2 of 3 TABOR CONSIDERATIONS: The Tax Payer's Bill of Rights does not allow any "tax policy change" which would increase the tax rate or revenues without approval by the voters at an election. Attention was given to structure these amendments so as not to create any increase in taxes or other tax policy change, primarily by retaining the existing language regarding the definition of consideration and allowing tax payers to elect to pay based on the amount of lease payments as an option. OPTIONAL LANGUAGE: The following Avon Municipal Code amendment would effectively render the Town's real estate transfer tax inapplicable to long term leases: AMC 3.12.020 Definitions, amend definition of Consideration as follows: Consideration means and includes the actual cash paid and/or value of the property delivered, or contracted to be paid or delivered, in return for the transfer of ownership or title to, or any other possessory interest in, real property and shall include the amount of any lien, mortgage, contract indebtedness or other encumbrance, either given to secure the purchase price, or any part thereof, or remaining unpaid on the property at the time of sale. The term does not include the amount of any outstanding lien or encumbrance in favor of the United States, the state or of a municipal or quasi - governmental agency, corporation or district for taxes, special benefits or improvements. r., th „„ ,,,4 that the paid. When it is fiet pessible to detef.mine the annual rental, the "awc si—M.14 be based upon the AMC 3.12.020 Definitions, amend definition of Transfer as follows: Transfer means any grant, conveyance or alienation of real property, as evidenced by deed, instrument of conveyance or exchange, or any other writing wherein or whereby title to real property is granted, conveyed or alienated, 11 ay o th er indieia of owner-s , ,:t h eti 4 the pass :,, b ,.s regal 64e (Ord. 07 -17 §1; Ord. 85 -5 §1; Ord. 83 -12 §l; Ord. 81 -12 §1; AMC 3.12.060 Exemptions, amend section (10) as follows: deleted fef a period of less d+am twefft� five (25) year-s, but sueh b a p er-ieds W-hieh in the b tNventy five (25) yeaFs, the tefm ef the pessessony right shall be ealettlated as ineluding the ;.,;4:.,r 4.,...,, .,,,,a „ rr ex4e,,c. 4r,efeef). Avon Town Council Ord. No 12 -11 Amending RETT Regulations December 5, 2012 Page 3 of 3 POLICY CONSIDERATIONS: Council expressed concerns about the negative impact on commercial leasing that Ord. No 12 -11 may create. As of the time of preparing this memorandum, I have not able to research the experience of other communities. The likely result from enforcing the imposition of real estate transfer taxes on long term leases in excess of 25 years is that an incentive will be created for leases with terms of 25 years or less. Neither I nor Town Staff has any direct evidence from commercial real estate brokers, consultants or prospective commercial leases as to whether imposing a tax on leases greater than 25 years makes an effective difference on a decision to locate a business in Avon. The Town has general authority to consider waiving, crediting, or rebating the imposition of the Town's real estate transfer tax (or any other Town tax or fee) at any time for specific projects provided that such action is approved by ordinance and provided that a finding of public benefit is made. Also, Town may further revise or amend the Town's real estate transfer tax regulations at any time after passage of Ord. No. 12 -11. Scott Wright, Finance Director, has indicated that the WalMart and Home Depot leases would have generated $559,884 and $340,883 in real estate transfer taxes had the tax been applied and collected. Based on information which Traer Creek provided, there are seven other commercial leases in excess of 25 years in addition to the WalMart and Home Depot leases. These other leases contained initial terms with options to extend that ranged from 28 years (1 lease) to 30 years (the other 6 leases). It appears that simply defining long term leases as leases in excess of 30 years, rather than 25 years, will adequately accommodate industry standard for the majority of commercial leases. WalMart and Home Depot have leases with options to extend that range from 50 years to 75 years. It appears that large retail format businesses are more likely to seek exceptionally long leases. I recommend against simply deleting the applicability of real estate transfer tax to long term leases because there are examples of where large commercial blocks are leased to multiple buildings and tenants for very long periods (e.g. 100 years), which transactions are effectively the same as transferring property. The two options I would recommend for consideration at this time are (1) amend the definition of long term lease as terms including options to extend in excess of 30 years, and (2) continue research on the impact of real estate transfer tax on long term leases before making any further revisions to the Town's real estate transfer tax regulations. REQUESTED ACTION: Approve Ordinance No. 12 -11 on second and final reading Thank you, Eric Attachment A TOWN OF AVON, COLORADO ORDINANCE 12 -05 SERIES OF 2012 AN ORDINANCE AMENDING SECTION 7.04.100 OF THE AVON MUNICIPAL CODE TO ALLOW THE TOWN COUNCIL TO ADOPT FLAT FEES THROUGH THE FEE SCHEDULE WHEREAS, the Town of Avon ( "Town ") is a home rule authority municipal corporation and body politic organized under the laws of the State of Colorado and possessing the maximum powers, authority and privileges to which it is entitled under Colorado law; and WHEREAS, the Town Council may adopt, amend and update fees from time to time; and WHEREAS, the Town Council has determined that certain development applications would be better suited as flat fees, thus further streamlining the development review process; and WHEREAS, the Town Council initiated an amendment to the text of the Town of Avon zoning code in accordance with Section 7.16.040 of the Avon Municipal Code; and WHEREAS, the Planning and Zoning Commission of the Town of Avon held a public hearing on March 20, 2012 and April 3, 2012, after posting notice of such hearing in accordance with the requirements of the Avon Municipal Code, and considered all comments provided before taking action to make a recommendation to the Town Council; and WHEREAS, the Town Council held a public hearing on May 8, 2012 after posting notice of such hearing in accordance with the requirements of the Avon Municipal Code, and considered all comments provided before taking action to make a recommendation to the Town Council; and WHEREAS, it is the Town Council's opinion that the health, safety and welfare of the citizens of the Town of Avon would be enhanced and promoted by the adoption of this ordinance; and WHEREAS, approval of this Ordinance on first reading is intended only to confirm that the Town Council desires to comply with the requirements of the Avon Home Rule Charter by setting a public hearing in order to provide the public an opportunity to present testimony and evidence regarding the application and that approval of this Ordinance on first reading does not constitute a representation that the Town Council, or any member of the Town Council, supports, approves, rejects, or denies this ordinance; NOW THEREFORE, BE IT ORDAINED BY THE TOWN COUNCIL OF THE TOWN OF AVON, COLORADO, the following: Section 1 Recitals Incorporated The above and foregoing recitals are incorporated herein by reference and adopted as findings and determinations of the Town Council. Ord 12 -05 Amending the ADC re Fees April 24, 2012 revision Page 1 of 4 Section 2 Amendment to Section 7.04.100, Fees Section 7.04.100, Fees, is hereby repealed and reenacted in its entirety to read as follows: 7.04.100 Fees (a) Fees. Reasonable fees sufficient to cover the costs of administration, peer review by professionals qualified in fields relevant to development applications, inspection, publication of notice and similar matters will be charged to applicants for all development applications. The Town Council may adopt, amend and update a schedule of fees by resolution. The Director may require additional fees when deemed necessary and reasonable based on the nature and character of the review required or where unusual issues are presented which may require additional review. (b) Pass Through Accounts. All development applications shall be treated as pass - through accounts, unless otherwise stated in the schedule of fees . adopted y_the T own Council through a resolution, whereby the Applicant shall be liable for all costs of review incurred by the Town. Additional review fees may be requested if the initial amount designated in the Fee Schedule is not sufficient for the cost of application review. Upon request by the Applicant, the Town shall provide an estimate of the cost for review of a development application. The Director may withhold processing and review of a development application where the Applicant has not provided sufficient fees to continue or complete the application review. The Town shall return the balance of any unused application review fees when the application process is complete. (c) Payment In -Full Required. All development applications shall be required to pay the Town in full for all costs incurred for the review of a development application. Payment in full to the Town of the costs incurred for development application review shall be a condition to each and every development application. The failure to pay the Town in full for the costs incurred for development application review within thirty -five (35) days of final approval shall render any such approval null and void. The Town Council may waive this requirement, reduce fees, or extend the time period for payment. (d) Interest on Delinquent Fees. Development application review fees and charges which are not paid within thirty (30) days of sending an invoice shall be deemed to be past due and shall bear interest at the rate and according to the terms set forth in Chapter 3.32. (e) Lien for Delinquent Fees. All delinquent development application review fees and charges along with such interest that has accrued thereon shall be subject to a lien on the property which the development application concerned and all such delinquent charges may be certified to the Treasurer of Eagle County, Colorado and may be collected and paid over to the Town of Avon by the Treasurer of Eagle County, Colorado in the same manner as taxes are as authorized by Title 31 of the Colorado Revised Statutes. Section 3 Codification of Amendments The codifier of the Town's Municipal Code, Colorado Code Publishing, is hereby authorized to make such numerical and formatting changes Ord 12 -05 Amending the ADC re Fees April 24, 2012 revision Page 2 of 4 as may be necessary to incorporate the provisions of this Ordinance within the Avon Municipal Code. The Town Clerk is authorized to correct, or approve the correction by the codifier, of any typographical error in the enacted regulations, provided that such correction shall not substantively change any provision of the regulations adopted in this Ordinance. Such corrections may include spelling, reference, citation, enumeration, and grammatical errors. Section 4 Severabili ty . If any provision of this Ordinance, or the application of such provision to any person or circumstance, is for any reason held to be invalid, such invalidity shall not affect other provisions or applications of this Ordinance which can be given effect without the invalid provision or application, and to this end the provisions of this Ordinance are declared to be severable. The Town Council hereby declares that it would have passed this Ordinance and each provision thereof, even though any one of the provisions might be declared unconstitutional or invalid. As used in this Section, the term "provision" means and includes any part, division, subdivision, section, subsection, sentence, clause or phrase; the term "application" means and includes an application of an ordinance or any part thereof, whether considered or construed alone or together with another ordinance or ordinances, or part thereof, of the Town. Section 5 Effective Date This Ordinance shall take effect thirty days after final adoption in accordance with Section 6.4 of the Avon Home Rule Charter. Section 6 Safety Clause The Town Council hereby finds, determines and declares that this Ordinance is promulgated under the general police power of the Town of Avon, that it is promulgated for the health, safety and welfare of the public, and that this Ordinance is necessary for the preservation of health and safety and for the protection of public convenience and welfare. The Town Council further determines that the Ordinance bears a rational relation to the proper legislative object sought to be obtained. Section 7 No Existing Violation Affected Nothing in this Ordinance shall be construed to release, extinguish, alter, modify, or change in whole or in part any penalty, liability or right or affect any audit, suit, or proceeding pending in any court, or any rights acquired, or liability incurred, or any cause or causes of action acquired or existing which may have been incurred or obtained under any ordinance or provision hereby repealed or amended by this Ordinance. Any such ordinance or provision thereof so amended, repealed, or superseded by this Ordinance shall be treated and held as remaining in force for the purpose of sustaining any and all proper actions, suits, proceedings and prosecutions, for the enforcement of such penalty, liability, or right, and for the purpose of sustaining any judgment, decree or order which can or may be rendered, entered, or made in such actions, suits or proceedings, or prosecutions imposing, inflicting, or declaring such penalty or liability or enforcing such right, and shall be treated and held as remaining in force for the purpose of sustaining any and all proceedings, actions, hearings, and appeals pending before any court or administrative tribunal. Section 8. Publication by Posting The Town Clerk is ordered to publish this Ordinance by posting notice of adoption of this Ordinance on final reading by title in at least three public places within the Town and posting at the office of the Town Clerk, which notice shall contain a Ord 12 -05 Amending the ADC re Fees April 24, 2012 revision Page 3 of 4 statement that a copy of the ordinance in frill is available for public inspection in the office of the Town Clerk during normal business hours. INTRODUCED, APPROVED, PASSED ON FIRST READING, ORDERED POSTED AND REFERRED TO PUBLIC HEARING and setting such public hearing for 5:30 on May S, 2012 at the Council Chambers of the Avon Municipal Building, located at One Lake Street, Avon, Colorado, on April 24, 2012. Rich Carroll, Mayor Published by posting in at least three public places in Town and posting at the office of the Town Clerk at least seven days prior to final action by the Town Council. ATTEST: APPROVED AS TO FORM: Patty McKenny, Town Clerk Eric Heil, Town Attorney INTRODUCED, FINALLY APPROVED, AND PASSED ON SECOND READING, AND ORDERED PUBLISHED BY POSTING on May 8, 2012. Rich Carroll, Mayor Published by posting by title in at least three public places in Town and posting by title at the office of the Town Clerk. ATTEST: Patty McKenny, Town Clerk Ord 12 -05 Amending the ADC re Fees April 24, 2012 revision Page 4 of 4