Category Archives: Fees

Oct 07

EDITORIAL: Politicians mismanage funds; don’t reward them with more

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EDITORIAL: Politicians mismanage funds; don’t reward them with more

  • The Gazette editorial board
Colorado Capitol

The Colorado state Capitol in Denver.

The political class can never get enough of the private sector’s money. That is why politicians are trying to con voters into passing Proposition CC in November.

Do not give politicians a blank check. They have proven unable to manage what they already have.

Colorado is not a low-tax state where politicians scrape to fund basic services. Our state did not make Kiplinger’s top-10 list of the most tax-friendly states this year, released last week, despite having a one-of-a-kind Taxpayer’s Bill of Rights in the state constitution. Weakening this protection, as Proposition CC would do, will only make things worse.

By calling taxes “fees,” and because of Colorado’s booming economy, the state government finds itself awash in surplus revenue. It has so much excess income, estimates anticipate constitutionally mandated returns of nearly $400 million for fiscal year 2020 and 2021.

To read the rest of this article, please click (HERE):

Sep 26

The Democratic agenda came with a big price tag. Now Colorado budget writers worry about paying the bill.

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The Democratic agenda came with a big price tag. Now Colorado budget writers worry about paying the bill.

The rising costs of Gov. Jared Polis’ full-day kindergarten program is part of an estimated $100 million in additional costs lawmakers will need to cover

John Frank

The Colorado Sun — johnfrank@coloradosun.com

To pass their expansive legislative agenda, the new Democratic majority at the Colorado Capitol spent big this year. Real big. And now even Democratic budget writers are worried about how to make ends meet.

“There were a lot of bills passed last (session) that have continued spending … and some of those were very large,” said Rep. Daneya Esgar, D-Pueblo. “I don’t think we completely all truly understand what we have obligated ourselves to.”

The incoming chairwoman of the Joint Budget Committee issued the extraordinary warning about the forthcoming spending constraints Friday, two months before lawmakers will meet to craft the spending plan for the next fiscal year.

A preliminary estimate prepared for budget writers shows the legislation approved in the 2019 session will cost an additional $80 million to $100 million in the next budget. One factor is a low-ball estimate for the cost of full-day kindergarten, Democratic Gov. Jared Polis’ chief legislative priority in his first year.

The additional costs anticipated don’t include other major obligations that will come due, such as a projected $175 million to expand inpatient treatment for opioid and substance abuse under legislation approved in 2018 and another $30 million more for the state’s share in a federal children’s health insurance program.

Right now, projections show Colorado may not have the money to cover all the bills and continue spending at its current rate in other priority areas, such as education, transportation and health care.

To read the rest of this story, please click (HERE):

Sep 25

Griswold v. Nat’l Federation of Independent Business—Taxpayer’s Bill of Rights — Summary Judgement

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“In November 2018, the TABOR Foundation joined the Colorado Union of Taxpayers and others in filing a “friend-of-the-court” brief.  The lawsuit was brought by the National Federation of Independent Business against the Colorado Secretary of State.  The issue was about whether the fees charged by that government department are excessive and used to cover government activities that should be funded by general fund taxes.

Jim Manley, the attorney who represented the TABOR Foundation et al, commented on the substance and importance of our brief:  “(On September 23) the Colorado Supreme Court issued a narrow ruling against NFIB in its TABOR challenge to the Secretary of State’s business licensing “fees.” The Court’s narrow ruling sidestepped the two issues we addressed in our amicus brief: (1) the proper standard of review for constitutional challenges and (2) the definition of fees vs. taxes. The Court ruled that the business licensing fees were authorized before TABOR’s enactment and—despite changes to the fees since TABOR—the fees were therefore not subject to TABOR’s prospective limits. The ruling reinstates the trial court’s summary judgment in favor of the Secretary of State and likely ends the case.”

The TABOR Foundation chairman observed, “This narrow ruling does little mischief to the Taxpayer’s Bill of Rights,” said Penn Pfiffner.  He continued, “The Court could have, and should have, used the opportunity to honor the TABOR mandate to rule such that the outcome ‘reasonably restrain(s) most the growth of government’.”

To read the Summary Judgement opinion, click (HERE):

To read the Amicus from the Colorado Supreme Court website, please click (HERE):

Sep 24

In its latest ruling, Colorado Supreme Court once again avoids question at heart of TABOR debate

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In its latest ruling, Colorado Supreme Court once again avoids question at heart of TABOR debate

NFIB filed a lawsuit five years ago arguing that fees levied by the secretary of state’s office violated the Taxpayer’s Bill of Rights. The ruling left them unsatisfied.

The Colorado Sun — johnfrank@coloradosun.com

More than 25 years since the Taxpayer’s Bill of Rights won voters approval in Colorado, one question continues to vex policymakers and judges: What qualifies as as tax?

The question sat at the center of a 5-year-old case before the Colorado Supreme Court challenging the fees the secretary of state’s office charges businesses. The 22-page ruling issued by the court Monday, however, once again avoids a direct answer.

What is clear in the decision: The fees the Department of State charges to businesses for registration, licenses and other purposes do not equate to a tax that needs approval for voters under the requirements of TABOR.

The National Federation of Independent Business, which represents small businesses, filed a lawsuit in 2014 challenging this system as unconstitutional. The group argued that the charges to businesses were taxes — rather than fees — because the revenue paid for other unrelated agency services, such as overseeing elections. And if true, any increase in the charges or alteration in the policy would run afoul of TABOR, which mandates such moves need consent from voters.

The state Supreme Court’s decision rejecting the claim affirmed a lower court ruling that sided with the secretary of state and vacated a Court of Appeals determination that kept the case alive. The case started under Republican Secretary of State Scott Gessler and continued under his GOP successor Wayne Williams. But in the end it carried the name of Secretary Jena Griswold, a Democrat, who applauded the decision.

To read the rest of this story, please click (HERE):