The TABOR Committee urges a YES vote on Proposition 120, “Property Tax Assessment Rate Reduction.”
The proposal would put into law the assessed values for residential and commercial property for purposes of calculating annual property taxes. It would lower the calculated tax burden by about $1 Billion.
The repeal of the Gallagher Amendment was argued as a way to simplify the tax system and make it more rational. It also resulted in higher expected property taxes. This proposal reduces the expected property taxes. After the measure qualified for the ballot, the legislature acted to thwart the will of the people by passing a bill which vastly reduced the effect. Voting for the measure will certainly lead to a necessary legal challenge, based on the standing legal theory that the most recent change in statute (the passage of the Proposition) becomes the new controlling law. Not only is this measure’s underlying tax reform a good idea, but the fall-out will be critical in preventing future legislators from denying the people the right of the initiative through dishonest subterfuge.