- November 20, 2016
Residents of Colorado should know how their tax burden compares with Americans throughout the nation. Colorado ranks 26th nationally, compared to all other states for the combined state and local tax burden, on a per capita basis.READ MORE
Proposition 103 is an initiative that will increase Colorado tax rates and require the state to spend the money on government schools. Prop 103 increases the personal income tax, the corporate income tax, and the statewide sales and use tax for the years 2012 through 2016.
The Fiscal Impact Statement prepared by Colorado’s Legislative Council Staff estimates the cost of the tax increase at $2.9 billion. However, the cost for Colorado taxpayers will be significantly greater than staff estimates. Legislative Council uses static analysis, measuring only the direct impact of the higher taxes on state revenue. They ignore the negative impact the tax increase will have on economic growth and jobs in Colorado.READ MORE
This study focuses on the retiree health plan administered by the Colorado Public Employees’ Retirement Association (PERA). The PERA Health Care Program is a cost sharing multiple-employer plan. The “employers” in this context are the various governments that hire most public employees, such as public school teachers, fire fighters, police officers and state employees. Under this program, PERA subsidizes a portion of the premium for health care coverage, and the retiree pays any remaining amount of that premium. The Colorado legislature created the Health Care Trust Fund in 1999 to provide state subsidies to the Health Care Program.READ MORE
The world is seeing levels of unprecedented government debt. However, the media focuses mostly on debt levels of national and state governments. For the most part, the general public has ignored the subject of local government debt. The root cause of this ignorance lies in the difficulty associated with uncovering information on local debt.READ MORE
The Public Employees Retirement System (PERA) in Colorado is experiencing a funding crisis. The recent collapse of financial markets has resulted in a significant decrease in the value of the PERA portfolio. But the funding crisis in PERA is not just the result of problems in financial markets.READ MORE
Colorado appears to be at a crossroads similar to that in California in the late 1980s. At that point California was a dynamic growing economy. That prosperity reflected a fiscal constitution that kept the growth of government in line with the growth of the private economy. California’s GANN Amendment, which was a precursor of the TABOR Amendment in Colorado, limited the growth of state revenue and spending to the sum of inflation and population growth. In the late 1980s, under pressure from the education employee lobby, the California legislature abandoned the GANN Amendment, and the rest is history.READ MORE