h_jud_2016a_2016-05-03t13:34:45z4 Hearing Summary

Date: 05/03/2016

03:43 PM -- HB16-1303



The committee recessed.





03:59 PM



The committee returned to order. Representative Landgraf, prime sponsor, presented House Bill 16-1303, concerning prohibiting a regional transportation authority from levying sales tax on vacant land annexed by a nonmember jurisdiction. Representative Landgraf explained the effect of the bill and discussed its need. Representative Landgraf responded to questions regarding a recent annexation by the City of Fountain, and other annexations that may be analogous to the situation that initiated HB 16-1303. Discussion ensued regarding annexations by the City of Fountain.





04:18 PM



Representative Landgraf responded to questions regarding a potential fact pattern involving a reduction in tax collections by a municipal government, and the applicability of the bill to certain types of land parcels. Representative Landgraf responded to further questions regarding the parties to a lawsuit involving properties annexed by Fountain. The following persons testified regarding HB 16-1303:



04:27 PM -- Mr. Peter Forbes, representing the Pikes Peak Regional Transportation Authority, testified in opposition to the bill. Mr. Forbes provided an update on the previously referenced lawsuit, and outlined how regional transportation authority laws apply to the case. Mr. Forbes responded to questions regarding the intrusion issue contained in the Fountain lawsuit, as well as the concept of disconnection in annexations.





04:41 PM



Mr. Forbes responded to questions regarding a number of annexation-related court cases, and certain expressions made about the City of Fountain annexation case. Mr. Forbes responded to further questions regarding the level of taxation levied on those shopping at the property that is the subject of the Fountain case. Discussion ensued regarding infrastructure improvements that may benefit the properties that are party to the Fountain case. Committee members received a packet of background information on the Fountain case (Attachment H), and an additional map of the subject property (Attachment I).



16HouseJud0503AttachH.pdf Attachment I can be viewed at Legislative Council.



04:57 PM



Discussion ensued regarding infrastructure improvements made to the property shown in Attachment I. Mr. Forbes responded to questions regarding how taxes collected by the Pikes Peak Regional Transportation Authority are allocated.



05:02 PM -- Ms. Sallie Clark, representing El Paso County and Colorado Counties, Inc., testified in opposition to the bill. Committee members received a report on Pike's Peak Regional Transportation Authority projects (Attachment J), and an additional map (Attachment K). Ms. Clark provided background on the Pikes Peak Transportation Authority, and the property subject to the Fountain lawsuit. Discussion ensued regarding the process by which the subject property came to be annexed. Ms. Clark responded to questions regarding planned uses for the subject property.



Attachment J can be viewed at Legislative Council. Attachment K can be viewed at Legislative Council.



05:15 PM



Ms. Clark responded to questions regarding how HB 16-1303 might affect certain outlying communities in El Paso County, and certain improvements made to the property annexed by Fountain. Ms. Clark responded to further questions regarding the benefits to property owners of being annexed into a municipality.



05:20 PM -- Mr. Scott Trainor, representing the City of Fountain, testified in support of the bill. Mr. Trainor provided background on how the previously discussed property came to be annexed, and addressed issues raised during earlier testimony. Mr. Trainor explained the purpose of HB 16-1303. Mr. Trainor responded to questions regarding the financial ramifications of the annexation, and what entity has made infrastructure improvements to the property.





05:31 PM



The committee recessed.





10:10 PM



The committee returned to order.



10:11 PM -- Mr. Tony Gagliardi, representing the National Federation of Independent Business, testified in support of HB 16-1303. Mr. Gagliardi discussed situations of double taxation. Mr. Gagliardi responded to questions regarding the trickling down to consumers of taxes levied on businesses.





10:17 PM



Representative Lawrence explained the effect of amendment l.008 (Attachment L). Discussion ensued regarding the merits of the amendment.



16HouseJud0503AttachL.pdf

10:21 PM



Representative Landgraf provided closing remarks in support of HB 16-1303. Various committee members provided their positions on the bill. Representative Landgraf discussed the process by which the bill matriculated through the legislative process.

10:33 PM



The committee adjourned.