2 in GOP seek tax law override

Pair eye bill for rate-freeze repeal on Nov. '08 ballot

April M. Washington, Rocky Mountain News

Tuesday, September 25, 2007

Colorado voters would get a chance to override a law that has the effect of increasing property taxes for public schools under a bill being drafted by two Republican lawmakers.

Rep. Cory Gardner, R-Yuma, and Sen. Mike Kopp, R-Littleton, plan to introduce legislation next session that would refer the question to repeal the new law to the November 2008 ballot.

A bill approved by the legislature last spring at Gov. Bill Ritter's urging freezes property tax rates in most school districts. The rates would otherwise decline under a 1994 school finance law, reducing the amount property owners pay in taxes.

Ritter offered the proposal after budget analysts predicted the state education fund will become insolvent by the 2011-12 school year without more revenue.

Kopp and Gardner argue the law amounts to a tax hike for property owners and should have gone to the voters as required by the Taxpayer's Bill of Rights.

"This is a property tax increase that seems to be nothing more than a Jedi mind trick . . . where Democrats wave their hands and say, 'There is no tax increase here. Move along,' " Kopp said.

A nonpartisan report indicates property tax revenue statewide would be $114.1 million higher this year, more than double the estimate when the legislature passed the bill in May.

Schools get to keep the $114.1 million, freeing up money the state would have had to spend to support district budgets.

"The governor's plan averted a crisis and will keep the education fund from going broke in a few short years," said Ritter's spokesman Evan Dreyer. Opponents are "trying to make the facts fit their extreme, narrow view and out-of-touch political views."

TABOR requires a vote on any tax change that raises more revenue for the state or a district.

Democrats argue Ritter's plan does not constitute a tax hike because voters in 175 of 178 school districts waived such votes on the school portion of their property taxes over the years.

washingtonam@RockyMountainNews.com or 303-954-5086