Sep 21

Most Coloradans aren’t getting a TABOR tax refund – for now – according to latest revenue forecast

Most Coloradans aren’t getting a TABOR tax refund – for now – according to latest revenue forecast

The state collected $37.5 million more than it’s allowed under TABOR

PUBLISHED:  | UPDATED: 

Most Coloradans won’t get a TABOR tax refund next spring even though the state collected millions more dollars than it’s allowed to keep, according to the quarterly revenue forecast presented to lawmakers Thursday.

The Taxpayer Bill of Rights, or TABOR, limits how much money Colorado can collect from residents each year. Whatever comes in above the limit has to go back to the people. And for the fiscal year that ended in June, that’s a total of about $37 million.

However, a 2017 law requires the first refunds go to the state-administered senior homestead exemption and disabled veterans property tax exemption before they go to everyone else.

Exceeding the TABOR limit is a sign of the Colorado economy’s continued growth — even beyond the expectations of just a few months ago. In the last quarterly report, in June, state forecasters thought revenue would come in under the TABOR cap by $93 million.

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

Sep 13

Little-known flood-control district asks Denver metro voters for first tax hike

Little-known flood-control district asks Denver metro voters for first tax hike

Urban Drainage and Flood Control District proposes tax-restoration measure on Nov. 6 ballot

Andy Cross, The Denver Post

Greenway Foundation educator Kate Ronan, right, checks Annalena Tylicki’s net for bugs and other living creatures she collected in the South Platte River during a SPREE day camp at the restored Johnson-Habitat Park on June 9, 2015. The restoration, which included improvements to reduce flood risk, was paid for partly by the Urban Drainage and Flood Control District.

By JON MURRAY | jmurray@denverpost.com | The Denver Post

September 13, 2018 at 6:00 am

 

In an election season full of proposed tax hikes, one of the less familiar ballot measures facing voters across the Denver metro area this fall comes from a regional district that aids dozens of cities and counties in flood control.

The little-known Urban Drainage and Flood Control District hasn’t asked for an increase in its property tax since its formation nearly five decades ago. That means it has actually lost ground, with its tax rate falling by 44 percent since the early 1990s under revenue growth limits in the voter-passed Taxpayer’s Bill of Rights.

On the Nov. 6 ballot, the district’s Ballot Issue 7G asks voters across its jurisdiction for permission to restore its full taxing authority, as many cities, counties and other special districts have done. The district covers 1,600 square miles across Denver and all or part of Boulder, Broomfield, Jefferson, Adams, Arapahoe and Douglas counties.

Next year, a partial increase is expected to generate $14.9 million. Further increases within the restored limit would be left up to the district’s board, made up of elected officials from around the region, the UDFCD says.

Once that happens, the full tax increase would raise an estimated $24 million a year, doubling the current funding level for projects and programs. The hit for the owner of a $400,000 home would be an extra $13 a year.

The flood-control district faces no organized opposition to its proposed tax increase, but it does face a big challenge: Most voters don’t know what the district is or what it does.

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

 

Sep 10

Hospital Provider lawsuit Sept 2018 development

The TABOR Foundation may have seen the final task for one of our lawsuits completed last Thursday, at least at the District Court level.  Our supporters will undoubtedly remember that we are suing the State government about how it implemented a new $600 million/year bed tax without first obtaining voter approval, as required by the Taxpayer’s Bill of Rights.  The money is funding the Hospital Provider program.  The Foundation had to enhance the scope of the lawsuit after SB17-267 passed.  That egregiously bad legislation moved the Hospital Provider program off the books, as well as cobbling together transportation plans, changing Medicaid reimbursement, sale & leaseback of state buildings, a net $400 million increase in the fiscal spending cap, increasing State debt by $2 Billion  and more (so much for the single-subject mandate).

 

What happened last week, and where does the lawsuit stand?

 

All written arguments and counter-arguments have been submitted (“the case is fully briefed”) for the Summary Judgment phase.  The Judge still owes a ruling on the Motion to Dismiss made by the State’s attorneys.

 

Although not a standard action in Colorado, we had a formal Hearing last week for both sides to present their arguments for the Summary Judgment.  Each side was given roughly an hour to present its arguments, and there were questions from Judge Buchanan.  Lee Steven, the lead attorney from Cause of Action Institute, was the legal representative from our side there.  The Foundation’s Chairman, Penn Pfiffner, was present to represent the Plaintiffs.

 

Because it is not common to have oral argument for Summary Judgment, no clear Order was issued well in advance and as of just 10 days (+/-) before at least one of the attorneys for the Hospital Association was not sure that the Hearing had indeed been scheduled.  That’s why formal notice came up so soon before the scheduled court date.

 

The important development is that both Plaintiffs and Defendants agreed that the ruling will be on the constitutionality and on interpretation of facts already in evidence.  Therefore, it is more likely than not that the Judge will reverse (“vacate”) his Order for a five-day trial which is now scheduled to start on October 29.  He promised to make this case a high priority.  Given the circumstances, Judge Buchanan likely will release his ruling on the Motion to Dismiss and issue a final ruling on the case without any further action on the part of either Plaintiffs or Defendants.  We can be reasonably certain that the losing side will appeal.

 

At this point, all of us – Defendants, Plaintiffs, attorneys – are set for a waiting game until we learn what Court wants to do about the scheduled trial, and then for the rulings.

Penn

 

 

 

 

 

 

 

 

 

Sep 05

Amendment 73 property tax changes detrimental to non-school district taxing authorities

Miller: Amendment 73 property tax changes detrimental to non-school district taxing authorities

There would be four additional income tax brackets on top of the current 4.63 percent single rate for individual filers, with a top rate of 8.25 percent, along with a 30 percent increase in the corporate income tax.

To stabilize school district property tax revenues, the writers of the amendment went into the property tax laws and did some embellishing there, too. They should have stopped with the income tax.

The Gallagher Amendment, passed in 1982, is the foundation of our property tax system. Gallagher specifies that 45 percent of all property taxes paid statewide are paid on residential properties and that 55 percent are paid on nonresidential properties. That 45:55 proportion is the “Gallagher ratio”.

Continue reading

Aug 30

Nonprofit leaders back TABOR ballot issue

Nonprofit leaders back TABOR ballot issue

County would reap benefits, they say

Nonprofit leaders back TABOR ballot issue

Carol Skubic, secretary and treasure, left, and Sharon Raggio, CEO of Mind Springs Health and West Springs Hospital, right, answer questions about the county’s proposed TABOR exemption outside the West Springs Hospital on Tuesday.

A ballot measure that would allow Mesa County to accept state grants as a revenue stream outside strict governmental growth limits could open potential funding sources for local projects, ranging from a psychiatric hospital facility to a new space for a nonprofit that services developmentally disabled adults, advocates said at a Tuesday press conference.

Leaders of Mind Springs Health, the Grand Junction Area Chamber of Commerce and other local organizations called the event Tuesday morning, the day after the Mesa County Commission voted to place Issue 1A on the November ballot.

The ballot issue involves Mesa County’s relationship with the Taxpayer’s Bill of Rights, which limits governmental income, including grants, unless an exception is made. Mesa County voters in November will decide whether the county can permanently make that exception for state grants, which are often applied for by nonprofits using the county government as a pass-through agency.

The still-under-construction Mind Springs Health psychiatric hospital project became a case study on the legal tangle last year when the county decided not to apply for a $5 million grant that could have made a major dent in the group’s fundraising goals in anticipation of going over TABOR limits.

“Had we been able to partner with the county as well as other communities in being able to secure some TABOR funds, that would have really put us over the top (of fundraising efforts),” said Mind Springs President and CEO Sharon Raggio at the event outside the facility.

HopeWest President and CEO Christy Whitney said she hopes voters will agree.

“There’s a lot of state money available to make some amazing things happen in Mesa County, but we have just fundamentally not been able to access it because of the really outdated view of the TABOR law,” Whitney said.

Diane Schwenke, president and CEO of the Grand Junction Area Chamber of Commerce, said both her organization and the Grand Junction Economic Partnership are behind the measure, in part because they believe that local nonprofits provide important services that serve the workforce, that the ballot measure is in “the spirit”of TABOR, and that state grants are partially funded by severance taxes that local businesses pay.

“It’s only right that those dollars can come back and help the nonprofits that are doing the good work,” Schwenke said.

http://www.gjsentinel.com/news/western_colorado/nonprofit-leaders-back-tabor-ballot-issue/article_ca9261ce-ab50-11e8-9dbe-10604b9f7e7c.html

Aug 30

Arvada, Lakewood each put spending measures on November ballot that avoid tax increases

Arvada, Lakewood each put spending measures on November ballot that avoid tax increases

Measures would fund transportation improvements, open space purchases

By JOHN AGUILAR | jaguilar@denverpost.com | The Denver Post

PUBLISHED: August 28, 2018 at 6:11 pm |

Suburban voters west of Denver will weigh in on more than $100 million in municipal spending proposals on this fall’s ballot, with Arvada residents set to vote on two major road projects and residents in Lakewood ready to decide whether the city can hang on to extra revenues to fix roads, buy open space property and purchase law enforcement equipment.

Each ballot measure was sent to the Nov. 6 ballot Monday night by a vote of the city council in its community. Neither would raise taxes.

Lakewood’s measure asks voters if the city can retain and spend $12.5 million in revenues it collected in 2017 that exceed what the Taxpayer Bill of Rights, or TABOR, permits governments in Colorado to keep. The measure also asks if the city can do the same with any excess money it collects through fiscal year 2025. Continue reading

Aug 30

Candidates traveled different paths to Treasurer’s office race

Candidates traveled different paths to Treasurer’s office race

As a member of the Joint Budget Committee for the past four years, retired math teacher and term-limited State Representative Dave Young has had a front row seat to how every department of the state functions.

As a self-made entrepreneur and CEO of an investment firm, Brian Watson has spent most of his career managing other people’s money.

Despite two very different paths to the Colorado Treasurer’s office, both men believe they have the skills necessary to do the job.

As different as their experience is, what they’ll do when they get there is equally different, in everything from the role the Treasurer should play on the Public Employees Retirement Association (PERA) board, state policy formation, and the Taxpayer’s Bill of Rights (TABOR).

“The Treasurer sits on several boards, the big one being the PERA board,” said Young, the Democrat nominee. “Having sat on the joint budget committee, I see the financial crisis the state is in. We a have a deep hole in every aspect of our budget, and it’s because we have the most restrictive tax and expenditure provision in our constitution of any state in the union. The collision of TABOR and Gallagher — they are working against us.”

The Gallagher Amendment is a provision in the Colorado Constitution passed by voters in 1982 that made major changes to property tax assessments in Colorado, including lowering the tax burden immediately on certain types of property and exempting certain property (such as household furnishings, non-business personal items, business inventory, livestock, and farm or ranch equipment, to name a few). Most importantly, perhaps, is Gallagher limits how fast the assessed value can grow on residences. Because residential property value has grown much faster than commercial property, residential assessment rates have dropped from 21 percent in 1982 to 7.20 percent today.  Over the same time period, however, inflation adjusted property tax revenues have risen from $1.35 billion in 1982 to nearly $9 billion in 2017.

TABOR is another amendment to the Colorado Constitution. It was passed by voters in 1992. It limits the growth of government to the annual inflation rate and population change. It requires government entities to take all new debt and tax increases to voters.

“I will use my business experience to help the legislature be a positive force in addressing the budget issues the state has,” said the Republican nominee Watson about working under Gallagher/TABOR restrictions. “I will meet with them as well and work with them.  I think the people of Colorado have made clear their priorities.”

Continue reading

Aug 30

Poudre Valley Fire Protection District, Community Meetings Aug. 30/Sept. 4

Poudre Valley Fire Protection District, Community Meetings Aug. 30/Sept. 4

The PVFPD stands to lose at least $860,000 per year, on an ongoing basis starting in 2020.
Poudre Fire Authority Logo

Madeline Noblett, Public Affairs and Communication Manager

Residents and owners of property within the Poudre Valley Fire Protection District are invited to two upcoming public meetings at which officials will provide information about a possible ballot question voters may be asked to consider for November’s mid-term election.

The meetings are 6:30 to 7:30 p.m. and open to the public. The first meeting is Aug. 30 in Laporte at Station 7, 2817 N. Overland Trail. The second meeting is Sept. 4 in Timnath at Station 8, 4800 Signal Tree Drive, in the station’s community room. There is no need to RSVP.

The Poudre Valley Fire Protection District Board is considering a ballot question that would ask district residents and property owners to annually adjust the District-assessed mill levy – a term referring to the property tax rate – so the district may maintain its current level of funding. City of Fort Collins residents would not vote on the possible question.

The Poudre Valley Fire Protection District, or PVFPD, encompasses the Town of Timnath, the communities of Laporte and Bellvue, Horsetooth Reservoir, Redstone Canyon, and areas of unincorporated Larimer and Weld counties. Poudre Fire Authority was established in 1981 through an Intergovernmental Agreement between the PVFPD and the City of Fort Collins. Simply put, PFA’s firefighters provide services to people within Fort Collins and the PVFPD.

Because of a collision between the Gallagher Amendment and the Taxpayer Bill of Rights, or TABOR, the PVFPD stands to lose at least $860,000 per year, on an ongoing basis starting in 2020. At this time, the PVFPD can’t specify how this would impact the District; that’s ultimately up to the PVFPD Board to decide. However, board members would likely have to consider a range of options that could include closing a fire station or eliminating positions. To learn more about the intersection of TABOR and Gallagher, watch this video from the nonprofit non-partisan Colorado Fiscal Institute: http://youtu.be/BXbrsdQQrZ8

Approved in 1992, TABOR demands that Colorado voters approve all tax increases. The Gallagher Amendment stipulates that residential property taxes are capped at 45 percent of the state’s total property tax revenue, while non-residential property taxes comprise the other 55 percent. Non-residential property is taxed at 29 percent of its value. Residential property is currently taxed at 7.2 percent, but the residential rate can fluctuate to maintain the 45-55 split. It may go down to 6.11 percent, which could lead to the loss in revenue for the PVFPD.

http://northfortynews.com/poudre-valley-fire-protection-district-community-meetings-aug-30-sept-4/

Aug 15

IN RESPONSE | We don’t need a tax hike to fix Colorado’s highways

In this Jan. 7 photo, traffic backs up on Interstate 70 in Colorado, a familiar scene on the main highway connecting Denver to the mountains. (AP Photo/Thomas Peipert)

(Re: “Only one ballot issue can tackle Colorado’s transportation challenges,” Aug. 10.)

Let’s fix our roads without a massive 21 percent increase of our state sales tax. The collaborative cronyists’ proposal, “Let’s Go Colorado” — a huge tax increase, allegedly for transportation — hurts everyday, hardworking Coloradans who are chasing their American dream.  If the politicians, bureaucrats, governmental appointees and interested parties behind the proposal, get their way, we’ll pay an additional 21 percent in state sales tax on basic items that make our lives better such as diapers, toilet paper and school supplies.

When enjoying a craft brew with colleagues, buying a good book or meeting friends for dinner, we would pay an additional 21 percent in state sales tax.  And those new school clothes, soccer balls, books and dance shoes for the kids?  You got it!  An additional 21 percent in state sales tax.  If passed, Colorado would be the 13th-highest state in the country for taxes at the register.

Politicians, bureaucrats, governmental appointees and interested parties are selling this new tax as only cents on the dollar.  Here’s the reality: Currently, Colorado state sales tax sits at 2.9 percent.  Let’s Go Colorado would increase the state sales tax to 3.52 percent, which is a significant 21 percent increase.  And it’s a regressive tax that disproportionately hurts people in the toughest situations and who trying to get ahead, such as the poor, vulnerable, elderly and our young people.

There is a better way to get Colorado going. “Fix Our Damn Roads” is a ballot initiative that directs the state legislature to dedicate a portion of Colorado’s growing revenue to fix our roads and bridges, without increasing taxes. Colorado has the money.  Our revenue continues to increase.  Colorado is expected to collect an additional $1.29 billion next fiscal year, thanks to federal tax cuts, economic growth and a resurgent oil and gas industry.  Colorado has the money.

Gas taxes were created as a user tax.  The tax was charged at the pump and the tax revenue was to be used for our roads and bridges.  However, the state has been spending our gas tax money on pet projects and other stuff.  Per an Institute of Energy Research report, 16 percent of federal gas tax money is siphoned off for non-road and bridge projects such as transit, pedestrian and bicycle paths and facilities, recreation trails, landscaping, environmental mitigation and transportation museums.  If the money would have gone to where it was promised and purposed, our roads and bridges would be in good condition and repair.

Let’s compare the two competing transportation ballot questions for this November.  Fix Our Damn Roads:  (1) Fixes our roads and bridges without a tax increase; (2) designates exactly where the money will be spent; (3) names the projects (From CDOT’S Tier One list) in the ballot measure; (4) honors the will of the people and TABOR, the Taxpayer’s Bill of Rights; (5) does not include carve-outs for special interests, and (6) bonds for $3.5 billion with a repayment cost, including interest, of $5.2 billion to fix our roads and bridges.

Let’s Go Colorado: (1) Proposes a massive 21 percent state sales tax increase; (2) provides a goody bag of money for politicians, bureaucrats, lobbyists and interested parties to spend on pet projects; (3) lacks transparency and accountability to everyday, hardworking Coloradans, i.e. there are no specific projects named in the ballot measure; (4) includes language that money collected above the TABOR limits is not returned to the people; (5) includes an exemption for aviation and jet fuels, and (6) bonds for $6 billion with a repayment cost, including interest, of $9.4 billion.  Fix Our Damn Roads saves hardworking Coloradans at least $4.2 billion.

We all agree that our roads and bridges could use a little love.  Together, we can do this.  It’s time to Fix Our Damn Roads and let’s do it without a massive tax increase!

Kim Monson
Lone Tree

The author is a former city councilwoman for Lone Tree and co-hosts the “Americhicks — Molly Vogt & Kim Monson” radio show on KLZ 560 AM and the “WWII Project” on KEZW 1430.  

 

http://coloradopolitics.com/in-response-we-dont-need-a-tax-hike-to-fix-colorados-highways/