VAIL, Colo. (CBS4) – Voters in yet another Colorado resort town -overwhelmed with parking woes – may be asked if resort lift ticket sales tax should be increased to pay for more parking.
READ MORE: Record Travel On Easter Weekend Follows Updated CDC GuidelinesThe Vail Town Council is seeking public input on a potential November ballot question to increase the town’s current four percent lift ticket tax.
In recent months, Breckenridge worked out a deal with Vail Resorts to help pay for improved parking and transportation in that town, following a similar trend across the country.
The frontage road in Vail (credit: CBS)
The proposal in Vail’s electorate to consider increasing the lift tax was initially posed by councilman Dick Cleveland as a way to fund the construction of additional parking in town.
According to city staff, Vail’s lift tax was first imposed by ordinance in 1966 as an occupation and business tax on places of business operating a ski lift or ski tow. This was the same time a similar two percent occupation and business tax was imposed on lodges, restaurants, liquor stores and retailers.
In May 1992, the name of the tax was changed to Ski Area Lift Ticket Admissions Tax and the rate increased to four percent. Revenues from the tax are used to support the town’s general fund.
If the Vail Town Council wishes to set a November ballot question for a lift tax increase, the ballot language would need to be adopted by councilmembers via resolution no later than the Sept. 6 council meeting.
The gondola “One” at Vail Resorts (credit: CBS)
The discussion will take place during Tuesday’s evening Town Council meeting which begins at 6 p.m. in the Vail Town Council Chambers.
A proposed ballot question has been drafted for review and discussion at Tuesday’s meeting as follows:
READ MORE: Noodles & Company Holds Fundraiser To Help Support Boulder Shooting Victims' Families“SHALL THE TOWN OF VAIL SKI AREA LIFT TICKET
ADMISSIONS TAX BE INCREASED BY $____________ IN THE
FIRST FISCAL YEAR AND BY WHATEVER ADDITIONAL
AMOUNTS ARE RAISED ANNUALLY THEREAFTER BY THE
IMPOSITION OF AN ADDITIONAL TAX OF 4%, COMMENCING
JANUARY 1, 2017 AND CONTINUING THEREAFTER, SO THAT
THE TOTAL LIFT TICKET ADMISSIONS TAX IS 8%, WITHOUT
MODIFYING THE MANNER IN WHICH SUCH TAX IS
ASSESSED OR COLLECTED OR THE PRIVILEGES SUBJECT
TO SUCH TAX; WITH ALL REVENUES COLLECTED,
RETAINED AND EXPENDED FOR SUCH TAX TO BE USED
FOR GENERAL TOWN PURPOSES; AND SHALL ALL SUCH
REVENUES BE COLLECTED, RETAINED AND EXPENDED AS
A VOTER-APPROVED REVENUE CHANGE
NOTWITHSTANDING ANY RESTRICTION UNDER ARTICLE X,
SECTION 20 OF THE COLORADO CONSTITUTION OR ANY
OTHER LAW?”
According Information from the Town of Vail:
“The ballot question must include an estimate of the additional amount of tax revenue that would be collected by the town in the first fiscal year, 2017. The estimate must be high enough that the revenues do not exceed the estimate because any revenues collected in excess of the estimate must be returned to the taxpayers.
Annual revenue from the lift tax collected in 2015 was $4.7 million, and has averaged $4 million annually over the past five years. Lift tax is consistently among the town’s top five revenue sources, with sales tax, real estate transfer tax and parking ranking higher.
For additional details about this agenda item, visit the town’s website at vailgov.com or to comment in advance of Tuesday’s discussion, email the Town Council at towncouncil@vailgov.com. “
Statement From Vail Mountain:
We think a thoughtful, measured and cooperative process needs to be put in place before we rush into doubling the lift ticket tax on skiers and snowboarders. Fortunately, the Town’s economics are strong and the existing lift ticket tax is already generating almost $5 million a year so the community has the time and flexibility to take a comprehensive, holistic view of the problem.
– Chris Jarnot, Executive Vice President & Chief Operating Officer, Vail Mountain
MORE NEWS: Watch The Derek Chauvin Trial LiveMatt Kroschel covers news throughout Colorado working from the CBS4 Mountain Newsroom. Send story ideas to mrkroschel@cbs.com and connect with him on Twitter @Matt_Kroschel.
