Tax for education rejected

Judge tosses law to raise $1.7 billion; appeal is expected

By Dan Elliott, Associated Press

Saturday, May 31, 2008

A law expected to raise $1.7 billion for Colorado schools over the next 11 years is unconstitutional because it gives the state more tax revenue without required approval from voters, a judge ruled Friday.

State officials immediately vowed to appeal.

The 2007 law freezes property tax rates in some school districts where they had been expected to decline and funnels the extra money to education.

It raised $118 million in its first year.

Denver District Judge Christina Habas ruled the additional revenue should have been approved in advance by voters under the Taxpayer's Bill of Rights, or TABOR, a voter-approved state constitutional amendment that limits taxes and spending.

Habas rejected the state's argument that the education finance law only redistributes revenue, rather than raising it.

Gov. Bill Ritter's spokesman said the state will ask the Colorado Supreme Court to hear the case on appeal, bypassing the state Court of Appeals.

"We're really a little surprised at her ruling," said the spokesman, Evan Dreyer.

"We remain confident in our position. (The tax freeze) was the right thing to do last year for the kids of Colorado, for the schools of Colorado and for the fiscal health of the state education fund," he said.

Jon Caldara, president of the Independence Institute, one of the backers of a lawsuit challenging the tax plan, called the ruling "a smashing success."

"For everyday citizens, it means they still have a right to vote before their taxes are raised," he said.

State Attorney General John Suthers, who disagreed with Ritter in 2007 and said the law was unconstitutional, also hailed Habas' ruling.

Habas denied the plaintiffs' request that she order a tax refund, saying she doesn't know if she has that authority and that neither side has had time to argue that point.

The lawsuit was filed by the Mesa County Commissioners, a business owner and four taxpayers with help from the Independence Institute, a free-market think tank based in Golden.

Caldera said that in Mesa County, property values rose 32 percent, so the law made a significant difference in taxes paid.

Evan Gluckman, a plaintiff and owner of the Main Street Cafe in downtown Grand Junction, said he paid $6,000 in property taxes for his business primarily because of the county's assessment of his cafe.

An assessor told him that had the rates had not been frozen, he would have paid $5,200 to $5,500 less this year, he said.

"I thought it was an illegal tax increase, and it should have gone before TABOR," said Gluckman, 56. "All the mill levies were set to go down, but everybody's property tax increased.

"I think the best-case scenario for the residents of Colorado is that we'll have a tax credit in 2009," Gluckman said.

Habas' 15-page ruling noted the complexity of the case.

"Untangling the various provisions of TABOR . . . presents a difficult task indeed," she wrote.

A voter-approved amendment requires the state to boost education funding each year. When legislators were considering the property tax freeze, the state education fund was forecast to run out of money by 2012.

"While this court candidly expresses its concern as to the resulting consequences of this decision, it must nonetheless perform its duties in a manner consistent with its oath to uphold the Constitution," Habas wrote in her ruling.

Rocky reporters Ann Imse and Hector Gutierrez contributed to this report.

Collected from school districts in 2007-08

A 2007 law that freezes property tax rates and blocks taxes from declining brought in the following amounts:

School district Amount

Aspen $3.2 million

Boulder $6.6 million

Denver $29 million

Eagle $8.2 million

Jefferson $9.3 million

Littleton $2.3 million

Mesa Valley $8.0 million

• May 31, 2008

  5:01 a.m.

  Suggest removal

  Michael writes:

  We're really a little surprised at her ruling, We remain confident in our position. (The tax freeze) was the right thing to do last year for the kids of Colorado, for the schools of Colorado and for the fiscal health of the state education fund." said the spokesman, Evan Dreyer.
  The "right" thing to do??? Yes, who cares if it is legal or not. After all, its for the children.

• May 31, 2008

  5:18 a.m.

  Suggest removal

  RockiesWin writes:

  What an idiot....who cares if it is legal or not???? You are a fool! And way to use the worn out line....its for the children. Our children deserve the best but not at the expense of breaking the law.....what message does that send to kids.

  The reality is that the schools need to focus on education and not themselves! The poor me attitude has become quite tiresome. And I speak from a position of knowledge having worked in educational finance for over 16 years.

  How about giving up some of your PERA retirement benefits???? No, didn't think so. And no, you aren't underpaid!

• May 31, 2008

  5:36 a.m.

  Suggest removal

  Earl writes:

  7.7% increase for dps and the teachers and their union say they need more free time away from kids for 'planning' on how to teach a class they have taught for 5 years. yep its for the kids.

  notice how ditter the tax guy is up in arms and wants to go to the supreme court where his buddies are so he can have his tax increase. to bad he didnt think to call this a 'fee'.

• May 31, 2008

  6:48 a.m.

  Suggest removal

  tiero writes:

  If you would deal with the GD illegals, you would have the money needed. A tremendous amount of money is wasted for those illegals leaving the system is havoc. Several years back a bond issue in district 12 passed to help the unwanted to speak english on my dime. Well, the right thing to do is deport them all or vote NO on all taxes. So ritter, think of something else than agricultural trespass. Thank god my grandkids go to private school instead of the sanctuary state's regressive educational system

• May 31, 2008

  7:01 a.m.

  Suggest removal

  tiero writes:

  All tax increases are a direct result of a need for money because of the illegal problem. PERIOD>

• May 31, 2008

  7:23 a.m.

  Suggest removal

  alwaysright writes:

  Down with more TAX

  Let's go to the harbor and thow some Tea off a ship.

• May 31, 2008

  7:38 a.m.

  Suggest removal

  FCZ writes:

  " this Court must be concerned only with enforcement of the Colorado Constitution"

  Something the Governor will not do.

  Power to the people...until his next clever dis-honest scheme.

• May 31, 2008

  7:43 a.m.

  Suggest removal

  LOUIE writes:

  The politicians sure don't like having to ask the people for more of peoples money; isn't it always considered polite to ask first? When you take without asking, it kind of has a tendency to upset people; people will start thinking of you along the same lines as a thief. Catch the drift Mr. Romanooff? Education is important, still you ask first. TABOR seems to be working to make the politicians a bit more polite about taking other peoples money, don't you think?

• May 31, 2008

  8:08 a.m.

  Suggest removal

  raysmom writes:

  Yes, I DO think it is! I actually thought Ritter was smarter than to do this- even the judge, who, in her ruling, admitted she "regretted the possible outcome" of this ruling, showing her liberal bent, just HAD to find this unconstitutional, because it is. I'm not sure what they are going appeal. I used to believe more strongly in gov't by representation, but with all the special interest groups running the show while we break our backs to fill their trough have made it necessary to control them constitutionally. Get your money the way the taxpayer does, PUBLIC SERVANTS: Earn it, don't try to steal it!

• May 31, 2008

  8:10 a.m.

  Suggest removal

  lissmth writes:

  The Democrat Machine owns the supreme court. The supremes will take care of friends like Ritter and company. Taxpayers, kiss your money good-bye! The law means nothing when the Democrat Machine gets ahold of it.

• May 31, 2008

  8:17 a.m.

  Suggest removal

  justright writes:

  The law violation was going to increase taxes 1.7 Billion Dollars over the next 11 years!! That is not a tax increase according to the guv and the democrat party. There is still at least one judge in Denver who has the ability make the honest easy judgement and enforce the law. Thank you Judge Christina Habas!

  Denver spends $10,383.00 per pupil in 2006-2007 school year.
  Douglas County spends $8,186.00 per pupil in 2006-2007 school year.

  The average class size is around 25 kids per class. That is $259,575.00 per class in Denver and $204,650.00 per class in Douglas county. The average teachers salary is between $45,685.00 in Denver and $49,438.00 in Douglas County. Where is the other $150,000.00 to $200,000.00 per class going?????????????

• May 31, 2008

  9:04 a.m.

  Suggest removal

  Shaggy writes:

  HaHaHa, Do nothing TaxRitter got caught again trying to end run the people of Colorado and this isn't the first time he has tried it.

  Critter is nothing but a puppet to special interest groups who got him elected.
  He tried to send an innocent man to prison for exposing his "agriculture trespass" practices for illegals that commit crimes against the citizens of Colorado.
  The very first thing he did when taking the reins was give unions bargaining powers.
  Now he just signed into Law making it LEGAL for a man to walk into a womans restroom, locker room and take a shower, use the john ect...
  He is a coward, not a leader.
  So are all his little clingons like Evan Dryer and Mitch Morrisey.

  Which special interest group is next in line to pull your strings Ritter?

• May 31, 2008

  9:07 a.m.

  Suggest removal

  Shaggy writes:

  Ohhh and Thanks John Caldera for standing up for the people and exposing him and his practices.
  We need more people like you and Corey Voorhis to expose these idiots.

• May 31, 2008

  9:09 a.m.

  Suggest removal

  rushrulesbaby writes:

  Thank you TABOR! This education giant is a bottomless pit of envy and greed and cannot ever be satisfied until it has every single cent we as taxpayers have. Get back to traditional education and end this teacher power grab!!!! Ooooooooooorrrrrrrraaaaaahhhhhhh!!!!

• May 31, 2008

  10:27 a.m.

  Suggest removal

  LOUIE writes:

  I love labels; some even swear by the label. Any wonder why they buy counterfeit? Look for quality of product, not the label; you might see the genuine article!

• May 31, 2008

  11:13 a.m.

  Suggest removal

  BikerChick writes:

  ..
  Thanks go to Jon Caldara and his amigos.

  Not even the co-conspirators can support Ritter as he plays the unlawful progressive anarchy game. As you read this, ask yourself… how long will this guy get away with his socialist approach ? We-the-People are suffering a serious economic recession, and this clown wants more tax-money from us for 'education ?'

  Perhaps he should consider this; More than 200,000 of Colorado’s K-12 students are children of ILLEGAL ALIENS. We have more than 600,000 illegal aliens now fully-employed in Colorado. We host more than 7,300 criminal aliens in our jails and prisons. In the aggregate, our taxes (local, county, state and federal) include more than NINE BILLION COLORADO TAXPAYER DOLLARS to provide primary (required by federal laws), secondary (illegally provided) and tertiary (illegally provided) 'fringe-benefits' to illegal aliens and their family members in Colorado.

  And here’s the kicker; according to a recent South Carolina University poll, fully 62% of the 'immigrants' intend to return to their 'home-nation' after accumulating a nest-egg… and do NOT have any desire to become U S citizens. Why should YOU invest in that ? When was the last time YOUR MINDLESS progressive leaders and media mimics told you that ?

  THINK ROOT-CAUSE for a mement.

  When Governor Tax Ritter and the mayors of Colorado cities (Hickenlooper, etc) take their eyes off their precious, EXPENSIVE 'DNC Coronation Prize'— and realize that their progressive creed is decimating our beloved state and nation… and they decide to gather together to hammer the criminals who illegally entice, hire and employ foreign nationals in order to increase their profits… no matter what they tell us – the employer peers will suddenly 'get legal' and the 'immigrants' will voluntarily repatriate, taking their children with them.

  So simple.

  $9 BIL/yr – IMAGINE LESS TAXES, SHORT HOSPITAL E R LINES, NO NEED FOR SCHOOL CONSTRUCTION, AND NO NEED FOR MORE COURTS-JAILS.
  ..

• May 31, 2008

  12:21 p.m.

  Suggest removal

  LOUIE writes:

  Bikerchick, illegal immigration is a problem that goes beyond the illegal iimigrant; it goes to the nations of the illegal's origin. For too long we have strained our nations law enforcement with a problem that should be brought to bear on the nations and governments of Latin America. These nations are currently reaping millions in oil revenues, yet they do nothing to improve the lot of thier citizens. At least Saudi Arabia is currently building 3 new cities for her citizens, even if she is gouging the west to do so. What has the governments of Latin America done for thier people? We need Latin America to compete worldwide with China and other global powers. I understand why the illegals are here in America from Latin America; isn't it time for America to put pressure where it belongs, not on the individual who seeks to improve his lot, but instead the government who would finaciaaly starve her people to seek new opportunities? It's time we send the educational, medical, whatever bill the illegal accrues to the government of thier origin; or we bring a new ideas to the poor they oppress to bring change. The later is most unstabilizing, thus recognizing diplomacy, we need grater accords with Latin America. You can build your walls, create draconian laws that will affect the liberty of all, or you hold the true offender liable: government. We need Latin America to compete worldwide, so instead of going after the individual illegal, let's hold the truest oppressor responsible, his country's government. Latin America as Castro has shown with his mercenary involvement is not as stable as many are led to believe; maybe we should exploit thier enemies agenda to bring them to the table. Castro has no purse to pursue anything now in Pan America with the collapse of his finacier, the Soviet Union.

• May 31, 2008

  12:26 p.m.

  Suggest removal

  LOUIE writes:

  Girl, I apologize for the many gramatical and spelling errors. Education was never my forte. Thanks for suffering my writting...

• May 31, 2008

  12:43 p.m.

  Suggest removal

  cdmdenver writes:

  SPEND, SPEND, SPEND

  TAX Ritter is up to his old tricks again!
  Ritter was a former prosecutor, his knowledge
  of the law (TABOR) is Superior to most citizens...

  So why does Tax Ritter think he sneak an unauthorized
  TAX Burden without the consent of the citizens he
  purports to represent?? Above the law??

  Thank Goodness for people like John Suthers, Jon Caldara
  who hold these politicians (Ritter) accountable.
  In case CZAR Ritter doesn't understand the fact
  that most families are struggling to meet basic
  needs, and this TREMENDOUS tax burden will cost
  taxpayers for years, not considering it's illegal
  and unauthorized!

  One final point, if the judge Habas appologizes that
  she had to rule against Tax Ritter, SHAME ON THIS
  JUDGE!!! In legal terms they call that "complicity"
  just enforce the laws judge, don't re-write them...
  Laws are made by the Legislature, not judges!!

• May 31, 2008

  2:06 p.m.

  Suggest removal

  dugbek writes:

  The judge should be commended. The fact that the gov is wasting more taxpayer money on the appeal is appalling. The support for this illegal law is nonexistent outside of the the teachers union circle. I see there is no outpouring of support for the guv in these comments. We nee a governer that spends less time bowing to his union bosses.

• May 31, 2008

  2:52 p.m.

  Suggest removal

  SirRealist writes:

  Our governmental officials KNEW that doing this was unconstitutional but that didn't stop them from doing it. They follow that old adage that "It's better to ask for forgiveness than for permission." I, for one, am damned tired of having "our representatives" take advantage of us this way. There is a lesson they must learn, and that is that they must live within the budget the people approve for them. They simply don't have the right to take whatever they please. Remember this when it's time to vote.

• May 31, 2008

  3:19 p.m.

  Suggest removal

  pak writes:

  One should not be surprised at all by the
  Democrats attempt to tax and spend without permission of the voters. It is a core value to their very soul that tells them to raise taxes for a "good" that they have determined, even if they violate the constitution. It is what drives the Democrats...tax and spend. TABOR works perfectly, all the liberals need to do is ask the voters for the tax increase, not force it upon them!!

• May 31, 2008

  3:28 p.m.

  Suggest removal

  windskull writes:

  Truer words could not be spoken Sir Realist however let us remember who it has been crafting the deceptions in play for 40 years AND who it was that pushed so hard for Ref C passage Gov "Highways To Nowhere" Owens and the little spoken,(try not one word)purpose behind his incessant drive to "temporarily" suspend TABOR was quite simple it gave him access to "projected revenue" clear out to 2019 and why Colorado is $19 Billion in the hole

• June 1, 2008

  4:34 a.m.

  Suggest removal

  Armie writes:

  IS IT TIME TO RECALL Governor Tax Ritter. Lets stop talking and start action before he taxes all of us out of business.

• June 1, 2008

  6:24 a.m.

  Suggest removal

  SirRealist writes:

  Windskull is correct. Owens was widely accused of being a "Rino", a Republican In Name Only. He alienated his party members by circumventing TaBOR - in fact, he led the charge. I can blame Hank Brown for wanting more money for CU, but sometimes they have to be told "No" as well. It seems that the taxpayers can foot any bill, no matter the cost.

• June 1, 2008

  8:19 a.m.

  Suggest removal

  SirRealist writes:

  Sorry, in the previous post, it should say "I can't blame Hank Brown....".

  You all just watch what happens when Referendum C runs out in a couple year - there will be a HUGE push to renew it, and they'll say things like "You lived without it for 5 years, so you obviously don't need it now", and "The schools will collapse without it". Government is the only entity that can just keep throwing (other people's money) at a problem trying to fix things.

• June 1, 2008

  5:13 p.m.

  Suggest removal

  bugmenot writes:

  "We remain confident in our position. (The tax freeze) was the right thing to do last year for the kids of Colorado, for the schools of Colorado and for the fiscal health of the state education fund"

  Referring to this sneaky and unconstitutional maneuver as a "tax freeze" is exactly the sort of dishonest audacity that has earned politicians of all parties the contempt of people everywhere. However, while the phrase is inside the quotes, it is also in parenthesis. This -- plus the similarly clueless tile of the article -- leads me to suspect the phrase may have been inserted by a Rocky editor. Which is it? And why should I even have to ask?

• June 1, 2008

  7:04 p.m.

  Suggest removal

  Lowtaxequalsfreedom writes:

  The judge did the right thing by upholding the Constitution and the will of the people. How much more money Will Ritter waste fighting this thing?

  RITTER TAKE ANY MONEY YOU WOULD WASTE ON THE FIGHT AND USE IT TO GO TO THE VOTER! ASK FIRST!