There’s a myth that tax policy has to be complicated. But when it comes to Colorado’s current property tax crisis, it comes down to dollars and cents and common sense. We need to reduce and cap property taxes.
Across the state, property taxes have soared, and many homeowners have been surprised to receive increases of 30% or more. It’s a jarring change that strains household budgets and can be devastating for people on fixed incomes, including seniors.
Several years ago, voters decided to repeal the Gallagher Amendment, a decades-old measure that severely capped residential property taxes and shifted the burden to commercial property owners. The removal of that cap and the accompanying increases in property values led to the difficult circumstances we face today.
The legislature and the governor knew this drastic tax increase was coming. But they don’t want to face the fact that property taxes are becoming unaffordable and that taxpayers need relief, not rhetoric.
If taxes are too high, there is no complicated solution: lower them.
But that’s not what we got when they tried to “help” us last year. Remember Proposition HH?
While those in charge at the State Capitol would rather forget it, HH was very complicated and confusing. This made many voters think that maybe the politicians were hiding something and that this wasn’t really the tax cut they claimed it was and that the people of Colorado want.
Proposition HH wasn’t a tax cut at all. In fact, it was a tax increase. It took our TABOR refund and used it to fund the property tax abatement, meaning it shifted your own money around, costing you more, not less. An online calculator from the Common Sense Institute allowed homeowners to plug in some basic information and see the direct and detailed impact of HH on their own tax bill.
For most people, the numbers were worrying.
The result was a clear victory for HH, despite strong opposition across the political spectrum.
There is a far better, far simpler, and very transparent way to solve the property tax crisis. It is a do-it-yourself solution that uses direct democracy to address important problems that state leaders are stubbornly trying to avoid.
Advance Colorado has proposed the citizen tax cut.
This is a package of two electoral initiatives that couldn’t be simpler.
The plan’s first initiative is to reduce property taxes to 2022 levels before property taxes skyrocket. It then requires state government to allocate a small portion of its bloated $40 billion state budget and help offset the revenue that local government may lose. One very positive aspect of this plan is that it will use more state tax dollars to fund local services, including public safety and emergency services.
Even better, the plan has no impact on schools’ revenues or teachers’ salaries.
The second part of the Citizens’ Tax Cut sets a 4% cap on property taxes. This will provide local governments, school districts, and other local entities with a solid increase in revenue each year, while stopping the “bankrupt” tax increases we are seeing today.
Most Coloradans, regardless of political party, who tend toward fiscal discipline and efficient use of local tax dollars, will find much to like about this plan. It is clear and concise. And, more importantly, it is a real, permanent tax cut that will benefit family budgets across the state.
I will support the citizen tax cut and encourage everyone to do the same.
It turns out that doing the right thing for taxpayers is not complicated at all.
Christy Fidura is a member of the Republican National Committee and lives in Pueblo
