Here’s what the ballot question asks: “Without raising taxes and to better fund public schools, higher education, and roads, bridges, and transit, within a balanced budget, may the state keep and spend all the revenue it annually collects after June 30, 2019, but is not currently allowed to keep and spend under Colorado law, with an annual audit to show how the retained revenues are spent?”
What it really means: Prop. CC is asking for voter permission to end the limits on state tax revenue embedded in the Taxpayer’s Bill of Rights, known as TABOR.
If voters agree, the state would be allowed to keep an additional $542 million to $1.7 billion more in the next three years and split the money evenly between K-12 education, higher education and transportation.
If voters say no, money would be returned to taxpayers as a TABOR refund, and likewise in any years when tax collections exceed the limits. The latest projections from legislative economists show taxpayers would receive anywhere from $20 to $62 for single filers and $40 to $124 refunds for joint filers, depending on a person’s income. But the rebate could reach as much as $248 for single filers and $638 for joint filers over three years, if estimates from the governor’s office are correct.
The supporters say: Led by education advocates, colleges and the transportation industry, the measure’s advocates argue that the money is required to help keep pace with Colorado’s economic growth and meet long-ignored needs in the state. It doesn’t increase the tax rate but allows the state to keep existing tax revenues, and retains the TABOR requirement that voters approve new taxes.
The opponents say: A consortium of fiscal conservatives believe state government collects enough taxes under the TABOR cap and doesn’t need the additional money. The critics also point out that it holds no guarantee that the three priority areas — education, higher education and transportation — will get new dollars. State lawmakers can change the law directing how the money is spent or move existing appropriations in the budget.
What to know more? Click below.
- Proposition CC explained: What it means to end the spending caps in TABOR and the money at stake
- Is Proposition CC really a tax hike? The answer is sort of.
- The political stakes for Proposition CC are huge. It’s a test case for a major fiscal overhaul in Colorado.
- New projections show how much money is at stake on the 2019 ballot with Proposition CC and TABOR refunds in Colorado
- Here’s what you should know about how TABOR led to this moment.