Colorado Springs, Colorado, Ballot Issue 2C, Temporary Sales and Use Tax (November 2019)
| Ballot Issue 2C: Colorado Springs Temporary Sales and Use Tax |
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| The basics |
| Election date: |
| November 5, 2019 |
| Status: |
 Approved
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| Topic: |
| Local sales tax Expires in: 5 years |
| Related articles |
| Local sales tax on the ballot November 5, 2019 ballot measures in Colorado El Paso County, Colorado ballot measures City tax on the ballot |
| See also |
| Colorado Springs, Colorado |
A city tax measure was on the ballot for Colorado Springs voters in El Paso County, Colorado, on November 5, 2019. It was approved.
| A yes vote was a vote in favor of authorizing the extension of the temporary sales and use tax for road repairs and improvements and reducing it from 0.62 percent to 0.57 percent with an expiration date of December 31, 2025. |
| A no vote was a vote against authorizing the extension of the temporary sales and use tax for road repairs and improvements, thereby allowing the current tax rate to expire on December 31, 2020. |
Election results
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Colorado Springs Ballot Issue 2C |
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| Result | Votes | Percentage | ||
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75,864 | 65.10% | ||
| No | 40,664 | 34.90% | ||
Text of measure
Ballot question
The ballot question was as follows:[1]
| “ |
Without imposing any new tax or increasing the rate of any existing tax, shall the existing temporary sales tax and use tax authorized exclusively for road repairs and improvements, at a rate reduced from 0.62% (6.2 pennies on $10 purchase) to 0.57% (5.7 pennies on $10 purchase), be extended for a five-year period after its current expiration on December 31, 2020 to and until December 31, 2025, with all revenues derived therefrom to be placed in a dedicated fund to be expended only upon road repairs and improvements within the city, including residential streets, park and city golf course access roads and cemetery roads, and road reconstruction where severe deterioration does not allow repair, as a voter approved revenue change and exception to revenue, spending and other limitations which would otherwise apply under section 7-90 of the city charter, Article X, Section 20 of the Colorado Constitution, city ordinances, or any other law?[2] |
” |
Full text
The full text of the measure is available here.
Support
Arguments
- The arguments in favor of the measure as provided in the Colorado Springs November 2019 election notice are below:[3]
| “ | Perhaps nothing exemplifies the progress Colorado Springs has made over the last several years more than the road improvements accomplished under Issue 2C. For two decades, the City had underfunded its transportation infrastructure. By 2015, our roads were terrible. Sixty percent were in poor condition. City engineers indicated it would take at least 10 years of significantly increased spending to get back on track. Then in November 2015, Colorado Springs voters overwhelmingly passed Issue 2C that increased the City sales tax rate by .62 percent and allowed us to spend approximately $50 million per year for five years on road repairs. The results have been dramatic. By the end of the five years, we will have paved or reconstructed over 1,000 miles of City roads. The work has been done on time, on budget, and has been fully inspected. Claims for vehicle damage due to potholes have decreased over 90% since 2015. There is much more work to be done to bring our roads to desired levels. The vast majority of road improvements done in the first five years of 2C have been to major arterials. Only 10% of the improvements have been made to residential streets. That’s why the City Council voted unanimously to refer a five year renewal of Issue 2C to the November 2019 ballot. If passed, the sales tax rate will be lowered from .62 percent to .57 percent beginning in 2021 upon the conclusion of the original voter-approved measure. However, because of an improved economy, it’s estimated to collect an average of about $56 million per year over the five year period. All the money will go toward road improvements with at least 50% of the funds to be spent on residential streets. A list of roads to be repaved or reconstructed under the 2C renewal has been published by the City and can be found at www.coloradosprings.gov/2C. As was the case with the original 2C, gas, groceries, prescriptions, and more will remain exempt from the sales tax. Likewise, all work under the 2C renewal will be done by private contractors and no new City employees will be hired. The City will also maintain the level of general fund spending it had for street maintenance efforts before the passage of Issue 2C. Renewing Issue 2C for another five years is critical to improving our public infrastructure and maintaining the momentum we have in Colorado Springs.[2] | ” |
Opposition
Arguments
- The arguments in opposition to the measure as provided in the Colorado Springs November 2019 election notice are below:[3]
| “ | In 2015, voters in the City of Colorado Springs passed 2C, a tax increase for road maintenance and repair. It was colloquially known as the “pothole tax.” Urging voters to vote NO commenter states, politicians broke their promise of a five-year temporary tax hike and now want another five years of this largest tax increase in City history. The five-year sunset gives us an opportunity to assess if our tax dollars have been well spent. As of the 2018 4th Quarter 2C report on the spending; only 53% of the money has gone to actual paving or pothole projects. Additionally, 2C funds have been used to remove and replace sidewalks and curbs in order to comply with ADA regulations. 39% of the funds have been poured into concrete work. 2C is a tax increase and a sales tax. It is not “5.7” pennies, but $55 million yearly. Sales taxes hurt the most vulnerable among us the most —those on a fixed income and those living paycheck to paycheck. Many Colorado Springs citizens struggle to survive, as wages have not risen in relation to the cost of living. Colorado Springs now has a cost of living that is growing more than twice as fast as the national average. Taxes, including sales taxes, are a part of that cost of living. We have a higher total sales tax rate (8.25%) than Denver. City salaries exceed our median household incomes; many exceed the mayor's salary. We pay three extra taxes for police, parks, and roads, on top of the $308 million base budget. We little taxpayers pay for infrastructure costs (roads, police and fire stations, drainage, parks, etc.) caused by the Mayor’s developer pals. City government has grown in the 4 years since the original 2C passed in 2015. The general fund has increased from over $258 million in 2015, to more than $308 million in 2019. Those General Fund numbers do not include 2C and Stormwater Fee funds, asserted to be an illegal “rain tax” of $17 million/year. The City has added 96 full time public safety employees and 85 additional employees in that time, including jobs such as “bicycle planner” and a new office of innovational and sustainability. The City also gets a $32 million kickback from utilities, more dirty dealing and illegal taxation. Voters should not reward liars. Commenter asserts that the City's back room deal with contractors accepts poor quality roads that last only two years, while other cities require five or seven-year guarantees. City road contractors make huge donations to City politicians, including the mayor. Taxpayers are again left holding the bag. We have not seen an announcement from the City that it has even looked to reduce costs on anything, or to find efficiencies. Not one dime. We believe the money to maintain our roads is there- without passing 2C. It’s time the City of Colorado Springs live within its means.[2] | ” |
Background
Colorado Springs voters passed a measure, Ballot Issue 2C, in November 2015, which authorized the .62 percent sales tax for transportation funding purposes and was set to expire on December 31, 2020. Colorado Springs Mayor John Suthers (R) said, "When we went to the voters in November of 2015, we said this is a 10-year project to get us to the point where we're back in the ballgame on road improvements. But let's do it five years to prove we can do it to your satisfaction then we're going to ask you for a five-year renewal."[4]
Path to the ballot
Ballot Issue 2C was put on the ballot through a vote of the governing officials of Colorado Springs City Council on Resolution 76-19 and signed by the council president on August 13, 2019.[5]
See also
External links
Footnotes
- ↑ Colorado Springs Elections, "Voter Information," accessed September 6, 2019
- ↑ 2.0 2.1 2.2 Note: This text is quoted verbatim from the original source. Any inconsistencies are attributable to the original source.
- ↑ 3.0 3.1 Colorado Springs, "Notice of election on a referred measure, city of Colorado Springs," accessed October 26, 2019
- ↑ KKTV, "Colorado Springs voters asked to decide whether to keep 2-C going through 2025," accessed October 26, 2019
- ↑ Colorado Springs, "Resolution 76-19," accessed October 26, 2019
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