Category Archives: Ballot Initiative

May 23

Colorado taxpayers to lose $2.8 billion in TABOR refunds due to legislature, study shows

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Common Sense Institute says the state reduced just less than half of expected TABOR refunds to Colorado taxpayers between 2024 and 2026

 

Capitol Building in Downtown Denver Colorado Photo Credit: Boogich (iStock).
Photo Credit: Boogich (iStock).

The $2.8 billion loss is just less than half of the projected $6 billion in TABOR refunds for the next three years, CSI found in its report following the 2024 Colorado legislative session.

“Legislators focused intensely on TABOR refunds this session,” CSI Mike A. Leprino Fellow Lang Sias said in a statement.

“What started a few years ago,” he said, “has snowballed into what we saw play out during the 2024 session where more than 100 bills redirected TABOR refunds.”

TABOR refunds come from excess state revenue that is sent back to Colorado taxpayers in the next fiscal year.

Over the next three years, Colorado taxpayers will lose $2.8 million in TABOR refunds mostly due to tax cuts, and due to the cost of the bills impacting TABOR, according to CSI’s TABOR refund report.

TABOR refund reductions will increase over the next three years, according to CSI’s report.

Continue reading →

Apr 05

California Businesses Take On Gavin Newsom Over Tax Hikes

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Meanwhile, in the state known for its historic gold rush, a coalition of California businesses gathered enough signatures for a ballot measure that would require two-thirds of voters to approve most local tax increases and roll back some already in place.

 

California Businesses Take On Gavin Newsom Over Tax Hikes

Governor says ballot measure would decimate funding for basic services; backers say it is needed in the high-cost state

By Christine Mai-Duc
April 4, 2024 9:00 pm ET

California Gov. Gavin Newsom was featured in an ad calling the tax measure ‘dangerous, an overreach and irresponsible.’ PHOTO: DAMIAN DOVARGANES/ASSOCIATED PRESS

A coalition of California companies is going to war with Gov. Gavin Newsom and his Democratic allies over taxes it says have grown out of control in the Golden State.

The businesses have gathered enough signatures to put a measure on November’s ballot that would require two-thirds of voters to approve most local tax increases and roll back some recently enacted ones. If passed, it would be one of the most significant changes to the way California funds its government since 1978’s Proposition 13, a voter-approved law that severely limited property tax increases.

Backers say it is necessary to stop continued tax increases that are making it too expensive to operate in California and pushing companies to leave the state. Real estate businesses in Southern California are among the biggest funders, according to state campaign finance records, partly in response to a surcharge on luxury home sales that Los Angeles voters passed in 2022.

Newsom, local officials and labor unions say the proposal would decimate funding for basic services such as trash collection and firefighting and would make budgeting decisions near-impossible.

The companies spent some $16 million to gather signatures to put their proposal before voters and are gearing up for a fight political analysts say could draw tens of millions of dollars in advertising by both sides.

“The business community is fed up, they want to start stepping up to make a positive change. And they recognize that if they don’t do it, nobody will,” said Rob Lapsley, president of the California Business Roundtable, an advocacy group representing some of the state’s biggest businesses and leading the “yes” campaign. Continue reading →

Mar 24

Water district subject to TABOR vote requirement

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Water district subject to TABOR vote requirement

Water districts are like all other government entities that are subject to the Taxpayer’s Bill of Rights when it comes to voters approving tax increases, the Colorado Appeals Court ruled Thursday.

In a precedent-setting case out of Logan County in the northeast corner of the state, a three-judge panel overturned a lower court’s decision that the Lower South Platte Water Conservancy District that serves four Eastern Plains counties violated TABOR by doubling its mill levy starting in 2019 because it did so without voter approval.

The lower court had ruled in favor of the district, saying its raising of the levy from 0.5 mills to 1 mill did not violate that 1992 constitutional amendment because the water district was formed before TABOR was approved, and is required under the state’s Water Conservancy Act to set a mill levy based on a mandatory and non-discretionary formula.

The water district tried to argue that the Colorado Supreme Court, in Huber v. Colorado Mining Association, allows such mill levy increases because of that formula.

But a three-judge panel said that high court ruling applies to entities that aren’t making a legislative or governmental act for a tax-rate increase, but a non-discretionary duty under pre-TABOR taxing statutes, such as the Colorado Department of Revenue making legally required adjustments to severance taxes. Continue reading →

Mar 24

TABOR: The enduring success story empowering Colorado taxpayers

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TABOR: The enduring success story empowering Colorado taxpayers

BY BARRY W. POULSON, OPINION CONTRIBUTOR – 03/22/24 7:00 AM ET

AP Photo/David Zalubowski

The dome of the State Capitol shines in the early morning sun Friday, May 28, 2021, in downtown Denver. (AP Photo/David Zalubowski)

 

Even as economists tout a soft landing for the U.S. economy, Americans are facing sticker shock at the grocery store, the gas pump, and fast-food restaurants, among other places.

After a long bout of double-digit inflation, not unlike that of the 1970s. We have learned once again that unconstrained growth in federal spending funded by borrowing and accommodative monetary policy eventually triggers high inflation.

In response to stagflation in the 1970s, Congress enacted statutory fiscal rules designed to balance the budget and stabilize debt. The Federal Reserve also pursued tighter monetary polies to stabilize prices. In the 1990s, a period referred to as “The Great Moderation,” the federal government achieved sustainable debt levels and low rates of inflation.

Unfortunately, over the last two decades, the federal government largely abandoned these fiscal and monetary policies. Federal spending has far outpaced the growth in national income, and federal debt has grown at an unsustainable rate. The statutory fiscal rules designed to constrain federal spending are routinely circumvented and suspended.

The Federal Reserve has again used monetary policy to accommodate these fiscal policies, resulting in wide swings in the rate of inflation. It is difficult to argue that we are experiencing a soft landing and that all is well. A more realistic forecast is that over the next decade we will again experience stagflation.

But there is a bright spot in this gloomy outlook.

In response to stagflation in the 1970s, citizens launched state and local tax revolts. Beginning with property tax limitations in California, citizens began to challenge profligate fiscal policies at the state and local level. Using the initiative and referendum, citizens enacted tax and expenditure limits to constrain fiscal policies. Continue reading →

Jan 12

ALEC on American Radio Journal: Colorado’s Taxpayer Bill of Rights Turns 30

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This month marks the 30th anniversary of Colorado’s Taxpayer’s Bill of Rights (TABOR), which was approved by voters in November of 1992 as a constitutional tax and expenditure limit (TEL). TABOR is considered the gold standard of state fiscal rules because it limits the growth of most of Colorado’s spending and revenue to inflation plus population. If the state government collects more tax dollars than TABOR allows, the money is returned to taxpayers as a TABOR refund. The receipt of tax rebates, totaling $8.2 billion since TABOR passed in 1992, has strengthened Colorado citizens’ confidence in the TABOR Amendment over the years. To learn more about TABOR and effective TELs, read our latest report and visit FiscalRules.org

 

Jan 12

Polis Pitches Tax Cuts, But His Democrat-Run Statehouse Isn’t On Board

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Polis Pitches Tax Cuts, But His Democrat-Run Statehouse Isn’t On Board

Patrick Gleason, Contributor
I cover the intersection of state & federal policy and politics.

Dec 15, 2023,05:40am EST

Colorado Governor Jared Polis (Photo by Michael Ciaglo/Getty Images)
GETTY IMAGES

If Texas Governor Greg Abbott (R) were to coauthor a New Republic column with Paul Krugman or another famous progressive economist touting the benefits of greater government spending, that would surprise many. Yet the ideological analog to that occurred recently, with Colorado Governor Jared Polis (D) coauthoring an article with economist Arthur Laffer, in which they tout the benefits of reduced tax rates. Governor Polis and Dr. Laffer also contend that the Taxpayer’s Bill of Rights (TABOR), Colorado’s thirty one year old constitutional amendment that prevents state spending from growing faster than population growth plus inflation and requires tax hikes to receive voter approval, is flawed.

In their op-ed, published in National Review on December 7, Polis and Laffer lament that tax limitation measures “such as Colorado’s Taxpayer’s Bill of Rights, that focus on tax payments rather than tax rates totally miss the opportunity to address the damage done by high tax rates.” Polis and Laffer bemoan the fact that TABOR surpluses are not automatically refunded in the form of tax rate reductions and instead go out as rebate checks.

“If there is an excess in tax revenues above population growth and inflation, as defined by TABOR, that means tax rates should have been lower but were not,” write Polis and Laffer. “The law serves as a signal that tax rates have been too high. The proper response to this signal is not to have it keep signaling, but to get the message and cut tax rates permanently.”

What’s more, Governor Polis’s stated desire for tax rate reductions is belied by his enactment of a bill that will make it more difficult to pass income tax cuts in the future by ballot measure. That new law, which was signed by Polis in 2021, mandates that citizen-initiated income tax cuts feature poison pill ballot language claiming the measure will reduce funding for education, healthcare, and other priorities, even when that’s not true.

Colorado House Minority Leader Mike Lynch (R) and Senator Byron Pelton (R) introduced a bill during last month’s special legislative session that would have reduced Colorado’s income tax rate from 4.4% to 4.0%. Governor Polis acknowledges the economic benefits of lowering income tax rates in his recent column, yet he did not support that bill, which was killed in committee along party lines.

Click (HERE) to go to Forbes to read the rest of this article

Nov 02

Only tax INCREASES have to go on the ballot. Vote NO on Prop HH

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Only tax INCREASES have to go on the ballot.

Tax DECREASES do not.

Prop HH is on the ballot. . . .

Don’t be fooled by Leftist smoke and mirrors.

This is one of the biggest money grabs in Colorado history.

#ItsYourMoneyNotTheirs
#DontBeFooled
#VoteNoOnPropHH
#TABOR

 

Oct 23

Hillman: How Proposition HH picks Colorado taxpayers’ pockets

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We didn’t need an election this November to receive a modest property tax reduction.  The legislature can cut taxes anytime; it doesn’t need voter approval.

But with Coloradans facing the largest property tax increase of our lifetime due to soaring home prices, the legislature chose to put a massive expansion of government on the ballot disguised as a property tax cut.

Remember this: even if Proposition HH passes, property taxes will still increase.  If property values double in the next 10 years, so will property taxes.

The deceptive ballot question asks: “Shall the state reduce property taxes for homes and businesses…”  That sounds good, so voters may not read much further.  Even if they do, the ballot never explains voting “yes” is agreeing to give up refunds under the Taxpayers Bill of Rights (TABOR) and to permanently increase the cost of state government. Continue reading →