FOX31 Denver

Coloradans reject plan to let state keep excess tax revenue under TABOR

Colorado State Capitol in Denver, Colorado

DENVER — A ballot measure to let state government keep instead of refund excess tax revenue was rejected by Colorado voters on Tuesday, according to the Associated Press.

Proposition CC would have allowed state government to permanently keep revenue in years when it exceeds a complicated cap set in part by the Taxpayer’s Bill of Rights.

As of results posted about 9 p.m., the measure was failing with 44% voting for the measure and 56% voting against it.

The measure was sent to the ballot by the Democrat-led Legislature, in accordance with TABOR, a 1992 amendment to the state constitution that requires voter approval of any tax increases, bonding or revenue retention measures.

Supporters of Proposition CC hoped its passage would have led to the state investing billions of dollars in modernizing roads and schools to keep up with rapid population growth.

The money would have been split three ways among K-12 schools, higher education and roads. Voters in dozens of municipalities had approved similar measures for schools and public safety.

Republicans and other opponents, including Americans for Prosperity, argued that TABOR has allowed the private sector to fuel the state’s robust economy and checked state government growth.

Legislative economists estimated state refunds at $264 million in fiscal year 2019-2020 and $143 million in 2020-2021.