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County GOP calls for tax relief
Illustration by yellowman/AdobeStock
News
By Mike Wiggins mike@ouraynews.com, on December 6, 2023
Some are concerned residents can't afford to keep living here with increased tax costs
County GOP calls for tax relief

Party leaders urge taxing districts to reduce mill levies in face of pending spike

Ouray County Republican Party leaders are urging local property taxing districts to temporarily reduce their mill levies to provide relief to homeowners who are staring down soaring property taxes the next two years.

The party’s 11-member Central Committee on Monday called on every taxing district in the county to forgo collecting a portion of its property tax revenue by temporarily lowering its mill levy rate in 2024. Committee members say that assistance is needed for property owners in a county where residential real estate property values jumped nearly 65%, from $1.7 billion last year to $2.8 billion this year.

“Everybody is effectively impacted,” said Ouray resident Kathy Elmont, the secretary of the Ouray County Republican Party. “Even if you don’t own property, you’re likely renting and your landlord is probably going to pass taxes onto a renter.”

 

Illustration by yellowman/AdobeStock

 

The committee’s urging came days after Gov. Jared Polis, a Democrat, called on local governments across the state to temporarily reduce their mill levies.

In a special session last month, lawmakers approved a bill reducing the residential assessment rate for the 2023 tax year from 6.765% to 6.7% and increasing the amount of a home’s value that is exempt from taxation from $15,000 to $55,000. The bill, though, didn’t provide any relief for commercial property owners.

In a letter to local governments, Polis effectively said the property tax relief adopted in the special session isn’t enough.

“Now, it’s up to you — local elected officials — to do more, which is why I am urging you to reduce the tax rate (mill levy) in your district,” he said.

Polis convened the special session after voters rejected Proposition HH, a complicated ballot measure that would have used Taxpayer’s Bill of Rights refunds for property tax relief.

Elmont said the local Republican Party’s call for taxing districts to temporarily reduce their mill levies grew out of a weekly Zoom meeting organized by former state Sen. Kevin Lundberg of Berthoud. In a recent meeting, she said she learned Larimer County Republicans issued a similar call to action in their community.

She asked local party Chairman Lin Neal to poll the Central Committee via email about seeking a tax break from local districts.

Elmont approached the Ouray City Council and Ouray County Board of County Commissioners earlier this fall about taking a provisional property tax credit. The City Council agreed to reduce its general fund mill levy by nearly 3.4 mills in 2024, giving up roughly $200,000 in property tax revenue. County commissioners have thus far rejected Elmont’s request, and have moved forward with a budget adding more county staff and increasing expenditures. County officials in September said they expected to collect up to $4.2 million in property tax revenue in 2024, compared to $2.7 million this year — a nearly 54% increase Local taxing districts have long had the ability to temporarily reduce their mill levies — and they can restore those mill levies to their former levels without voter approval. But the issue didn’t move into the spotlight until this year when it became clear how much assessed property valuations in Colorado would increase.

Elmont, a former clerk and treasurer for the city of Ouray, said she knows local Republicans’ request comes as local governments are finalizing their 2024 budgets. But she noted the legislature in its special session extended the deadline by which counties must certify their mill levies from Dec. 15 to Jan. 17. She also pointed out that if taxing districts feel like it’s too late to consider a mill levy reduction for 2024, they could instead do it in 2025, since properties are reassessed every two years.

Elmont said as Republicans try to rebuild in the county, they are focused on bringing local issues to the forefront and helping people understand how those issues may affect them. She said she and others are concerned that some longtime residents may be forced to move out of the county because they can no longer afford to pay the taxes on their homes.

“We don’t want to lose people (because) taxes are too high,” she said.

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