A month before his second term, Gov. John Hickenlooper is painting a bleak picture of Colorado’s future budget situation, even as he touts the state’s improving economic fortunes.
“We are going to have real difficult challenges in terms of how we address pretty much any basic infrastructure (spending need): transportation, K-12 education, higher education, healthcare,” he told the Denver Forum at a luncheon Tuesday. “Some of the things we’ve taken for granted and counted on in terms of our quality of life, we probably won’t be able to continue to afford.”
The reason for the strife, as the Democrat made clear, is the state’s constitutional spending limit known as the Taxpayer’s Bill of Rights, or TABOR. It’s politically volatile to point the finger at TABOR and Hickenlooper sought to walk a fine line as he raised the stakes.
Next year, Colorado lawmakers are anticipating budgeting taxpayer refunds because the state’s revenues are exceeding the inflation-plus-population-growth-cap for the first time in 15 years.
Unless lawmakers seek to keep the money (which is an idea being floated at the Capitol), the refunds will go out the door even as the state struggles to meet its constitutional requirement to fund education under what is known as Amendment 23. The state is short $900 million on education funding, according to analysts.
“Amendment 23 requires us to spend more. TABOR requires us to spend less. It really is a Gordian knot,” he said.
Hickenlooper expects this to come to a head two years from now, when refunds are expected to continue and grow.