Category Archives: Legal Issues

Jul 04

Guest Commentary: Supreme Court’s order great for TABOR

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By Rob Natelson

Posted:   07/03/2015 

Activist Douglas Bruce, author of TABOR and a constant proponent for cutting taxes, explained his latest proposal for cutting taxes to reporters and

Activist Douglas Bruce, author of TABOR and a constant proponent for cutting taxes, explained his latest proposal for cutting taxes to reporters and journalists at the state Capitol in November 1999. (Denver Post file photo)

 

The U.S. Supreme Court’s recent order in the case against Colorado’s Taxpayer’s Bill of Rights (TABOR) is a devastating blow to those seeking to overturn that part of the state constitution. The Supreme Court’s order amounts to a polite directive to the lower court to dismiss the suit.

Colorado voters approved TABOR in 1992. It offers several protections for Colorado’s financial health. It allows voter review when legislative bodies pass increases in taxes or debt, or adopt unusually high increases in spending. Under TABOR, the state legislature and local councils continue to initiate all financial measures, but the people are allowed to review some of them.

Four years ago, 34 plaintiffs, including a handful of state lawmakers, sued in federal court to have TABOR declared void. They argued that allowing the people to` check the legislature’s financial powers violated the Guarantee Clause of the U.S. Constitution. That’s the section that says that “the United States shall guarantee to every State in this Union a Republican Form of Government.”

To read the rest of this article, click the following link:

http://www.denverpost.com/opinion/ci_28424187/guest-commentary-supreme-courts-order-great-tabor

Jun 25

U.S. Supreme Court set to report whether it will hear TABOR case

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Colorado court watchers are waiting with baited breath for the nation’s highest court to say whether it will consider a case challenging the Taxpayer Bill of Rights.

The U.S. Supreme Court isn’t considering the merits of a 2011 lawsuit, brought by a group of current and former elected officials, including state Sen. Andy Kerr, D-Lakewood, and House Speaker Dickey Lee Hullinghorst, D-Boulder. Instead, the court is expected to announce whether justices are granting certiorari and will hear the case or whether they’re sending it back to a lower court.

The lawsuit was filed in U.S. District Court in May 2011. Attorneys for the State of Colorado filed a motion to dismiss at that time, claiming the plaintiffs lack standing to file the lawsuit and arguing that the case itself is a political question, which federal courts typically avoid.

The District Court denied the motion and the 10th Circuit Court of Appeals then denied a request by the state for a rehearing, leaving the Supreme Court to decide.

“We’re not yet at the point where (the Supreme Court) could be asked the merits of the case,” said David Skaggs, an attorney for the group that filed the suit.

The court considered the Petition for Writ of Certiorari in conference on Jan. 9 but has not yet issued a decision on it, a delay Skaggs called unusual.

Typically, when the court considers what’s commonly known as a Cert Petition in conference, it announces whether the petition has been granted or denied within a week or two.

“I think it means they’re taking [the issues] seriously,” said David Kopel, an attorney with the Independence Institute, who wrote an amicus brief supporting the state’s arguments in the case.

If the court grants certiorari, then the case will be set for oral arguments during next year’s session, which begins on Oct. 5. If certiorari is denied, the case will return to U.S. District Court in Denver for a hearing on the merits of the lawsuit.

 

Continue reading →

Apr 26

As session wraps up, major work remains for Colorado lawmakers

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Colorado lawmakers begin a mad dash to the finish next week with more than a dozen significant bills in limbo and the session’s clock set to expire.

The final flurry before the May 6 adjournment is typical each session, but this year it is complicated by a divided legislature seeking elusive common ground on a wide range of issues and a series of late bills with huge implications.

The new bills include a repeal of the sales tax on soft drinks, a new$3.5 billion transportation bonds package, two resolutions to cut the length of the legislative session, an opt-out for mail ballots, the renewal of a state consumer watchdog and a ballot measure on how to spend $58 million of marijuana taxes.

To read the rest of this article, click the following link:

 

http://www.denverpost.com/politics/ci_27985297/session-wraps-up-major-work-remains-colorado-lawmakers?source=JBarTicker

Mar 21

Aurora leaders are lobbying against an anti-Gaylord bill that doesn’t exist yet

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It’s not uncommon for interest groups or local governments to go into defense-lobbying mode once they see a bill put forward that they don’t like or even once they hear the details of a bill before its introduction.

But Aurora officials on Thursday launched a pre-emptive strike against a bill to hurt the proposed Gaylord Rockies project that they feel is coming — even though they don’t know what its details might be or who might be sponsoring it.

Members of Aurora’s legislative delegation are writing a letter to colleagues in the Colorado House and Senate letting them know their concerns and pleading for a fair and open process.

Meanwhile, Mayor Steve Hogan told 60 people gathered for Aurora Day at the Capitol on Thursday that they should lobby legislators against taking any actions that could put up obstacles to construction of the 1,500-room hotel and conference center.

“We are concerned that anything that would shut down this project or anything that would affect the decision-making process of the Economic Development Commission would just close business in Colorado,” Hogan said. “If the rules are changed after they’ve been made, it is going to make it difficult for any business sector to come to Colorado with any confidence.” Continue reading →

Mar 10

Lessons from 30 Years of TEL Experience

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Yes, you can get involved in your city or state.  TABOR gives citizens the right to vote yes or no on the government increasing your taxes.  To learn more, send an email to info@theTABORcommittee.com

The first tax and expenditure limitation (TEL) was proposed by California Gov. Ronald Reagan in 1972. In the years since then, numerous states have adopted TELs. By studying these laws, we have discovered principles and design concepts for effective tax limitation.

State TELS

In spring 1978, under the leadership of State Rep. David Copeland, the people of Tennessee adopted the first constitutional tax limitation measure in the nation, the work product of a state constitutional convention.

Then came Proposition 13 in California in June 1978. While not itself a TEL (it was primarily a limitation on the growth of property taxes), Prop. 13 was the catalyst that ignited a national tax revolt. Things began to happen quickly across the country:

  • Arizona, under the leadership of then-Senate Majority Leader Sandra Day O’Connor, adopted a TEL referendum in 1978.
  • In November 1978, Michigan adopted the Headlee Amendment, which restricted state spending as a share of personal income.
  • In 1979, California adopted a Prop. 1-type TEL (the Gann Limit) that for the first time limited the growth of state spending by measuring it against inflation and population or per-capita personal income growth, instead of a percentage of state personal income growth, which really tightened the year-over-year control over taxes and government spending.
  • Also in 1979, Washington State adopted a TEL (Initiative 62).
  • In 1980, Missouri adopted the Hancock Amendment, again using a percentage of state personal income growth as the measure.
  • In 1980, Massachusetts’s Prop. 2 ½ drew heavily on the language of California’s Prop. 1 in order to control the growth of local governments.

Lessons Learned

Many other states have since adopted constitutional or statutory controls. But many were not tough enough or sufficiently well enforced or honored to be effective. Circumvention began in earnest in Missouri as the legislature and courts played games with the revenue base and school financing. In California in 1989, wily Assembly Speaker Willie Brown corrupted the Gann Limit formula in a statewide initiative devoted to improving California’s roads and highways. Continue reading →

Feb 25

Judge throws out Gaylord Rockies Hotel tax vote, Aurora appeals

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Judge throws out Gaylord Rockies Hotel tax vote, Aurora appeals

Gaylord Entertainment Aurora hotel

An artist rendering of Gaylord Entertainment’s plans to develop a resort and convention hotel in Aurora, Colo. (Provided by Gaylord Entertainment)

An Adams County district judge on Tuesday invalidated an election used to boost tax rates within the land set aside for the Gaylord Rockies Hotel, a decision that Aurora quickly filed to appeal.

“The city did not obtain the required voter approval for the tax increases purportedly authorized at that election,” ruled Ted C. Tow III, a judge in the 17th Judicial District.

Aurora filed a notice of appeal within hours of the ruling and said the project to create the state’s largest hotel remains on track.

To read the rest of this article, click the following link:
http://www.denverpost.com/business/ci_27589880/judge-throws-out-gaylord-rockies-hotel-tax-vote

RELATED STORIES
Feb 21

Ruling in Favor of County in Stormwater Utility Lawsuit

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Adams County Judge Mark Warner today ruled in favor of the county in a lawsuit filed by county residents who opposed the stormwater utility fee that was approved by the Board of County Commissioners in 2012.

“Throughout this process the county has maintained the belief that the stormwater utility is a fee, not a tax and is necessary to provide storm water related services and facilities,” said Commissioner Chaz Tedesco.

In his ruling (attached), Judge Warner validated that belief:

WHEREFORE, the Court GRANTS defendant’s Motion for Summary Judgment and DENIES plaintiff’s Motion for Summary Judgment. The utility is a government-owned business that receives less than ten percent of its funds from state and local authorities combined, and is therefore an “enterprise” that is exempted from TABOR. Further, defendant has not engaged in an unconstitutional “bait and switch” by imposing the fee and using it, in part, for administrative and personnel costs. Further, the Court concludes the stormwater utility fee is reasonably related to the overall cost of providing services related water drainage and water related activities in the service area. Thus, based upon the foregoing interpretation of Colorado law, the stormwater utility charge is a fee, not a tax and not subject to TABOR. The Court concludes the plaintiffs have not proved that the County’s legislative decision is unconstitutional beyond a reasonable doubt.

http://www.co.adams.co.us/CivicAlerts.aspx?AID=491

Jan 30

The Supreme Court is considering a challenge to Colorado’s TABOR law

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POLITICS

The Supreme Court is considering a challenge to Colorado’s TABOR law

By Mark K. Matthews
The Denver Post

POSTED:   01/12/2015 12:01:00 AM MST

Douglas Bruce, author of the state’s Taxpayer’s Bill of Rights, is pictured in 2005.

Douglas Bruce, author of the state’s Taxpayer’s Bill of Rights, is pictured in 2005.

 

WASHINGTON — If Colorado politics were like daytime TV, then the state’s controversial TABOR law would be its longest-running soap opera.

Few issues can match the drama — and staying power — of the 1992 measure, which has survived repeated attempts to dismantle its requirement that lawmakers get permission from voters before raising taxes.

Now, though, the so-called Taxpayer’s Bill of Rights is getting a shot at prime time. As soon as Monday, the U.S. Supreme Court is expected to decide the fate of a lawsuit against TABOR.

To read the rest of this article, click the following link:
http://www.denverpost.com/politics/ci_27302332/supreme-court-is-considering-challenge-colorados-tabor-law

Jan 29

Monday is the Trial date for TABOR vs RTD/SCFD court case

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TABOR Supporter,

The TABOR Foundation has filed a lawsuit against the Regional Transportation District and the Science and Cultural Facilities District for their violations of TABOR.  The first court appearance will be on Monday, February 2 at 2:30 in courtroom 424 in the City and County Building (1437 Bannock St, Denver, 80202).  It would be a great show of support to have friends of TABOR present for at least part of the proceedings.  If anyone is able to attend, it would be good to know that ahead of the hearing on Monday.

Bob Foland
Executive Director
TABOR Foundation

(To refresh your memory, this is what the lawsuit is about)

TABOR group sues 2 special districts — RTD, SCFD — over new tax

By Monte Whaley
The Denver Post

POSTED:   10/24/2013

The nonprofit TABOR Foundation is suing to stop the Regional Transportation District and the Scientific and Cultural Facilities District from collecting sales tax on food, beverages, cigarettes, advertising materials and food containers.

The foundation filed a request for preliminary injunction Thursday in Jefferson County District Court, asking that the districts be blocked from collecting the tax starting Jan. 1, as allowed by a new state law.

House Bill 1272 lifted exemptions on items the districts could tax. Previously, sales of food, beverages, cigarettes, advertising materials and food containers were off limits to RTD and SCFD.

The tax is expected to net $2.7 million for RTD and $270,000 for SCFD next year, according to the complaint. Continue reading →