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TABOR and Education Funding in Colorado

On November 5th, 2019, an off-year election, Coloradoans went to the polls to vote on different initiatives throughout the state, including Proposition CC. Proposition CC was an initiative that allowed the state to retain revenue it is required to refund under the Taxpayer's Bill of Rights (TABOR), and these retained funds were designed to be used for education and transportation purposes across the state, (Ballotpedia, 2019). Before discussing Proposition CC it is important to understand the history of TABOR and education in Colorado, as well as past initiatives to fund education in Colorado. 
In 1992, the TABOR amendment passed, which limits the amount of money that Colorado can retain and spend, (TABOR, 2018). On the Colorado General Assembly website, it explains that “the TABOR limit ‘base’ is equal to the lesser of the prior fiscal year’s revenue limit grown by Colorado inflation and population growth, or the current fiscal year's revenue,” (TABOR, 2018). In 2005, Colorado voters passed Referendum C, which increased the TABOR limit, which means that the state can keep more of the state's revenue instead of giving it back to the taxpayers, (TABOR, 2018). The amount is limited by the Referendum C “cap,” and the surplus revenue in excess of the Referendum C cap must be refunded to Colorado taxpayers, the money is refunded from the state’s general operating fund. (TABOR, 2018). Ever since 1992, voters in Colorado have to approve tax increases in order to increase the budget. 
Colorado's public education is majority funded by taxes: state taxes, local specific ownership (vehicle registration) taxes, and local property taxes, (School Finance Unit). In the 2018/19 fiscal year, 7 billion dollars were set aside in the Colorado budget for education, (School Finance Unit). In 2018, there were a series of teachers strikes across the country, Colorado teachers also protested in Denver on the States Capitol. Since then, Colorado teachers have continued to protest. After three days of protesting in early 2019, Denver teachers got 23 million dollars in pay raises, (Campbell, 2019). Colorado teachers are one of the most underpaid teachers in the country, (Campbell, 2019). Also, Colorado is currently 46th out of the 50 states in funding for higher education, (Hitt, 2019). Colorado is also one of the lowest spenders per pupil for education across the United States, (Maciag, 2019). 
In 2018, during the midterm elections, Colorado voters also voted on numerous state initiatives, including Amendment 73. Amendment 73 would increase the state's education budget by 1.6 billion dollars by increasing property taxes, corporate taxes, and income taxes on the wealthy, (Colorado Public Radio Staff, 2018). Amendment 73 was rejected by Colorado voters, and this after a two-day teacher walkout that took place in Denver in April 2018, (Colorado Public Radio Staff, 2018). 

Since Amendment 73 failed in 2018, Proposition CC was on the ballot in 2019 to increase funding for Colorado schools. The difference between Proposition CC and Amendment 73 is that in Proposition CC doesn’t raise taxes, but it does keep revenue above the state’s spending cap. The Colorado Legislative Council Staff estimated that if Proposition CC was approved, the state would have retained $310 million above the TABOR limit in the 2019-2020 fiscal year, (2019 State Ballot Information Booklet, 5). As I stated above, Proposition CC failed to pass by 11 points. Only 12/ 64 counties had a majority of its citizens vote yes on this proposition, and most of these counties were on Colorado's western slope. Even though the western slope has higher property taxes than other parts of the state, but the population of these counties is lower, (Colorado Property Tax Rates, 2019). Yet, even with this difference between counties, Colorado voters continue to decide not to increase education funding. 
For the past few decades, there has been a battle between voters in Colorado about increasing funding for institutions, like education, by raising taxes, and the right that TABOR gives the voters. Yet, it seems that both sides agree that there is a problem with education funding in the United States. Those who are against increasing funding for education believe that this isn’t an issue to the problem, while others believe if we increase funding, education in Colorado will improve. In 2020, Coloradoans will be looking to the General Assembly to see what their solutions will be for education in Colorado. 




Word Reference
“The 2019 Tax Resource.” Colorado Property Taxes By County - 2019, Tax Rates.org, 2019, 
www.tax-rates.org/colorado/property-tax.
Campbell, Alexia Fernández. “The Denver Teachers Strike Is over. They Won.” Vox, Vox, 14 
Feb. 2019, www.vox.com/2019/2/14/18224848/denver-teachers-strike-over-deal.
 “Colorado Proposition CC, Retain Revenue for Transportation and Education TABOR Measure 
(2019).” Ballotpedia, 2019, ballotpedia.org/Colorado_Proposition_CC,_Retain_Revenue_for_Transportation_and_Education_TABOR_Measure_(2019)#cite_note-bluebook-2.
Colorado Public Radio Staff. “Colorado Amendment 73, Tax Increase For Public Education, Has 
Failed.” Colorado Public Radio, Colorado Public Radio, 7 Nov. 2018, www.cpr.org/2018/11/07/colorado-amendment-73-tax-increase-for-public-education-has-failed/.
Hitt, Matthew P. (2 Dec. 2019). Colorado/State Legislative Process. [PowerPoint slides]. Retrieved from Colorado 
State University POLS 304 Canvas site.
“Proposition CC.” 2019 State Ballot Information Booklet, State of Colorado. 
Maciag, Mike. “A Breakdown of Education Funding, Sources and Spending in Every State.” 
Governing.com, 4 June 2019, www.governing.com/topics/education/gov-state-education-spending-revenue-data.html.
“Proposition CC (Statutory).” Election Night Reporting, 3 Dec. 2019, 
results.enr.clarityelections.com/CO/97143/web/#/detail/100.
“School Finance Unit.” CDE, Colorado Department of Education,
www.cde.state.co.us/cdefinance.
“TABOR.” Colorado General Assembly, 2019, 

leg.colorado.gov/agencies/legislative-council-staff/tabor#1.

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