Title
Ordinance No. 15-48 amending Section 450 (Sales and Use Tax in a Commercial Aeronautical Zone) of Part 4 (Exempt Transactions, Commodities and Persons; Deductions) of Article 7 (Sales and Use Tax) of Chapter 2 (Business Licensing, Liquor Regulation and Taxation) of the Code of the City of Colorado Springs 2001, as amended, pertaining to expanded geographical area for commercial aeronautical zone and approving and adopting commercial aeronautical zone map.
Body
From:
Dan Gallagher, Director of Aviation, Airport
Summary:
In April of 2014, City Council approved Ordinance No. 14-22 creating a Commercial Aeronautical Zone (CAZ) within which businesses engaged in qualifying commercial aeronautical activities would be exempt from City sales and use tax.
Since its inception, the CAZ has exceeded all expectations, creating greater development opportunities and demand than initially anticipated. Therefore, Airport staff is requesting authority to expand the current boundaries of the CAZ to accommodate present and future demand while fostering business retention, expansion and attraction.
Previous Council Action:
City Council previously approved Ordinance No. 14-22 on April 8, 2014.
Background:
In an effort to encourage businesses to remain, expand and relocate to Colorado Springs, City Council approved Ordinance No. 14-22 and created a Commercial Aeronautical Zone (CAZ) recognizing tax incentives for aeronautical businesses. Companies located within the CAZ benefit from sales and use tax exemptions for engaging in a variety of qualifying aeronautical activities.
As currently defined by City Code, the CAZ is the area within the geographical boundaries of the Airport and properties with frontage on a roadway within, or contiguous to, the geographical boundaries of the Airport.
The CAZ program, along with other Airport marketing and business initiatives, has produced results that have far exceeded our expectations. The Airp...
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