Proposition 120: Property Tax Assessment Rate Reduction
Why we support Proposition 120
This measure would reduce residential and non-residential property tax rates* beginning on January 1, 2022. Colorado home values rose on average by more than 20 percent over the last year. That means homeowners will owe much more in property taxes with nothing to offset that added cost. At the same time, inflation on the basic goods and services we all purchase have risen by over 5 percent and the price of gas has risen by over 50 percent, squeezing household budgets.
The Gallagher Amendment prevented these drastic upswings in home values from translating into skyrocketing property tax bills for homeowners. Had it not been repealed, assessment rates would have dropped this year, largely offsetting the tax increase from rising home values. While Coloradans and policymakers work to find a new long-term protection for homeowners to replace Gallagher, the measure’s 9 percent reduction in residential property assessment rates will help to offset the property tax increases resulting from the soaring real estate market.
*Note: After this citizen-initiated measure made the ballot, the progressive legislature passed a bill to undercut its impact. It will now only lower the property assessment rate for multi-family and lodging property. It’s still worth passing, but this subversion of the will of the people shows how out-of-control our state government is.