DENVER — The Colorado Senate passed a bill Sunday during a special session to lower property taxes next year.
Senate Bill 23B-001 reduces the residential assessment rate from its current 6.765 percent down to 6.7 percent. The legislation also allows multifamily and single-family property owners to exempt between $15,000 and $55,000 from their property values.
"We have an obligation as the majority party to govern responsibly, which means making tough decisions to solve problems and deliver solutions responsive to the moment that we're living in," Senate President Steve Fenberg of Boulder said in a news release.
The legislation also makes $200 million in state funding available to schools and special districts to back-fill any lost revenue as a result of the lower assessment rate. $146 million of that will be transferred to the State Education Fund and the remaining $54 million will go to the general fund for local districts. This bill now goes to the house for consideration.
The senators passed another bill that creates a flat TABOR refund mechanism. The Taxpayers Bill of Rights (TABOR) Amendment to the Colorado Constitution requires the government to refund excess tax revenue to citizens each year that revenue surpasses a limit calculated by inflation and population growth. Under current law, refunds are distributed in a six-tier structure based on the Adjusted Gross Income of taxpayers.
Senate Bill 23B-003 is sponsored by Sen. Nick Hinrichsen of Pueblo. He estimates TABOR refunds will increase by an average of $500 for the majority of working families.
“Middle class folks in Colorado get hit particularly hard when it comes to taxes, which is why I am fighting to make our state’s tax code more just and equitable, because working folks deserve a break,” Hinrichsen said in a news release. This bill has passed in the senate and now heads to house for a vote.
Over in the House of Representatives, lawmakers passed a bill that aims to provide an additional $30 million in rent relief next year. Lawmakers had already passed legislation to provide $35 million in relief. House Bill 23B-1001 increases that total amount to $65 million.
“With Coloradans facing evictions at record rates, we are stepping up with emergency assistance that will help thousands of people have a fair chance to stay in their homes and catch up on rent,” sponsor Rep. Leslie Herod of Denver said in a news release. This bill has been assigned to a committee in the senate.
Governor Jared Polis announced the special sessionon November 9 following the defeat of Proposition HH.
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