Tax Day in Avon – July 1st 2013

by  no fan of the IRS

The ECT folks think this is a local Scandal.

Why?   Because (so far) no one but the ECT is willing to tell you what is going to happen in Avon on Monday,  July 1st 2013.

What?

Know where the Wal~Mart and Home Depot are in Avon?

The land in and around that location is what’s known legally as the “Village at Avon”.Walmart-Logo   They have a nice big flag pole you may have noticed.

So?

So,  everyone shopping in any of the stores at the “Village at Avon” will be paying an additional 0.75% Tax (yes, the ECT calls it a TAX) starting on Monday, July 1st 2013.

Why?  Because as part of the lawsuit Settlement Agreement between the Town of Avon and the Village at Avon Developer (Traer Creek) – their combined lawyers of both litigants have agreed that the folks who shop there – will now pay more – to shop there.

Now for “the hook”…

The Hook?  (smell a rat yet?)

Yes, since the lawyers have in their combined Settlement Agreement – decided to use the legal verbiage “FEE” (as opposed to using the legal term TAX) – these Juris Doctor (rip off artists) claim they have sidestepped the legal requirements of Colorado’s TABOR law.  At least they both think they have…

Bottom Line:  The litigants now believe they don’t have to meet the legal requirement of going to Avon voters – to ask permission to raise Taxes in the Town of Avon…because you see TABOR aficionados…it’s really just a “FEE” and not a “TAX”.  Got it?

Can your wallet tell the difference?

Bottom Line:  The total Tax (yes, the ECT still calls it a Tax) is now as of (1JUL2013) just under 10% for all purchases made at the Village at Avon…

home-depot-logoJust a few feet west of the Wal~Mart is a Traer Creek building (also in the Village at Avon) known as Traer Creek Plaza – home to Castle Peak Grille – a liquor store – and of course the offices of the “Vail Valley Partnership”…Eagle County’s main cheerleader for all things related spending money to promote a strong local Economy.

One wonders what these VVP folks have to say about this latest “economic development”.  Do they even know about it?

Q.)  Why should the folks that choose to shop in the Village at Avon – be required to pay more (0.75%) when they were never part of the original litigation nor a party to any of the legal disputes that sparked that (years old now) lawsuit?

Do you believe these local politicians are any different than the ones on display in Washington, D.C. these days?

 

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7 responses

  1. That is not a scandal, that is just a normal developers promise not fulfilled. It happened before and it will happen again. Soon in Eagle and Wolcott.

    The nice thing is, that the taxpayer is always picking up the tab.

    • MountainMan – did you read the complete story? Lawyers from BOTH SIDES of the lawsuit – are trying to take advantage of the folks who choose to shop – at the Village at Avon (Home Depot/WalMart)
      This report is not just about what one side (just the developer) is doing.

  2. No Mr. Eagle County Times, you don’t seem to understand the real problem here. Developers come in with all kinds of wonderful projections how they will pay for all the infrastructure and little goodies like the bus service to Buffalo Ridge for example, with all the sales tax they get in their Metro district.

    Unfortunately everybody seems to forget that you also need enough shoppers to get that done. And the ugly truth is we don’t have enough of them in our tiny happy Vail Valley. That is also the reason why Lindholm never found enough interest in all his land from the nations great retailers. It also seems that nothing is happening in Eagle, a good year after the vote the developer has to turn the first stone yet. My guess is that he is not finding enough tenants to get the bonds of the east Eagle interchange started.

    You are blaming now the people who try to make it somehow work. I don’t really agree with this decision myself but we are all in the same boat. People forget, that they voted for all these retailers, jobs and construction work at one point, now we have to pay the bill and the Wolcott project is the next in line.

    • MM: No Mr. Eagle County Times, you don’t seem to understand the real problem here. Developers come in with all kinds of wonderful projections how they will pay for all the infrastructure and little goodies like the bus service to Buffalo Ridge for example, with all the sales tax they get in their Metro district.

      ECT: Unfortunately Avon Bus Service was never part of the original legal “Annexation Agreement”. What makes you think it was? At the time the topic of “affordable housing” was all the rage (due to the Fishwrap folks) hence the Buffalo Ridge Housing complex – WAS – part of the original Annexation Agreement. You are entitled to your own opinion…however ECT is not convinced you have your “facts” straight…

      We agree about ERS. Hard to get your Bond Financing if you don’t have any real (anchor tenants?) to start your project with. The original Bond financing in Avon (Traer Creek pays each month) also paid for the I-70 4 way interchange at the Village.

  3. The ECT seems to be right:

    http://www.vaildaily.com/article/20060422/NEWS/104220036
    http://www.vaildaily.com/article/20070106/NEWS/70105006
    http://www.postindependent.com/article/20070430/LETTER/70429009
    http://www.vaildaily.com/article/20070424/NEWS/70424029

    But my point is, that you have to look at the bigger picture with everything. In the Buffalo Ridge example it was maybe a mistake to build the houses there in the first place if you are not able to maintain a reasonable infrastructure like a bus service there.

    If I am not mistaken again Traer Creek is not paying the Town of Avon enough and that is why that whole lawsuit thing came up. The reason of it all is that the retail sales numbers don’t add up as nicely as they supposed too according to the developers projection. Maybe it’s time to trust these developers’ numbers not so much anymore. The Wolcott project would be a good start.

    • MM: If I am not mistaken again Traer Creek is not paying the Town of Avon enough and that is why that whole lawsuit thing came up.

      ECT: No that is 100% completely wrong. In short – here is what provoked the lawsuit by Traer Creek…(3) now gone Avon Councilmembers – Tamra Underwood, Kristy Ferraro and Ron Wolfe…decided (one day) they did NOT LIKE the original TOA “Annexation Agreement” that legally created the entity “The Village at Avon”. So what did these ATC members do? They tried to CHANGE the original Agreement by passing Ordinances…that violated the terms of the original agreement! That’s what provoked the lawsuit. An that FACT was the legal basis for Traer Creek’s complaint – it was based on the legal fact – these new Avon Ordinances violated the terms of the original agreement. Unfortunately, the legal discovery documents (these Councilmembers and others – testimony) will not become Public Record – because of the Settlement Agreement…ECT folks know some of what is in those legal documents however can’t legally expose it – because it’s not public record. ECT folks where hoping for a Trial – that would (then) make this Discovery Public Record – once exposed as evidence – at Trial.

      The Fishwrap (their reporting on this issue) was (and still is) being influenced by large paid print advertiser (read; one local developer in particular) – that had an interest in the outcome of the litigation.

      A real shame the discover material cannot legally be exposed…Trust the ECT on this one…there is some real interesting reading to be done there…

  4. Pingback: From the Street « News from Eagle County, Colorado

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