This content was originally published by the Longmont Observer and is licensed under a Creative Commons license.
Letter to the Editor:
Currently Colorado has one of the best economies in the country, which is why it’s difficult to understand that education funding and funding for most state services is a challenge.
To understand, we must look at the history of tax rates. The gas tax has not increased since 1991. Colorado’s state income tax rate has dropped twice since 1998, from 5% to its current rate of 4.63%. The residential assessment rate on property has dropped ten times, from 21% in 1982 to its current rate of 7.2%. Our property taxes already rank between third and tenth lowest in the nation, but next year that rate is predicted to drop again to 6.1%. Of the 44 states that levy a corporate income tax, Colorado is the third lowest.
That’s one reason why funding for schools is a perennial challenge. As the local share goes down, the state’s General Fund must backfill the difference. The General Fund is limited to population growth plus inflation according to TABOR. Anything above that must be refunded to taxpayers. In good economic times, Colorado can’t save for the next downturn.
Colorado is $2800 below the national average in per pupil funding. PreK-12 funding today, adjusted for inflation, is below pre-recession levels in 2009. Amendment 73 is a tax increase which results in additional funding dedicated to public schools. 92% of filers will see no increase in their state income taxes. The corporate tax rate will go to 6%, still 9th lowest of the 44 states with this tax. It will stabilize property tax assessment rates. The measure will bring our per pupil funding closer to the national average and fund full-day Kindergarten. As one of the highest earning states in the nation, we can do better. Please vote yes on Amendment 73.
Lisa Granat
Niwot
