The Colorado Capitol was not built for summer.
There’s not much air conditioning under the gold dome. The parking lot surrounding the building is typically crawling with construction workers when the legislature isn’t in session. A much-patronized taco truck down the block is in a different location.
But lawmakers are returning to Denver anyway Monday — braving the sweltering weather, restricted parking and displaced Mexican food — with the hopes of pausing the perennial property tax drama that’s engulfed the General Assembly for more than four years. Legislators may not want to be there, but many feel they need to show up to prevent two property tax ballot measures, Initiatives 50 and 108, from going before voters in November and, if passed, melting down the state budget.
“The only reason we’re going back to the Capitol is because 50 and 108 are so reckless,” Senate President Steve Fenberg said. The Boulder Democrat, because of term limits, thought his time in the legislature had ended in May when the General Assembly’s normal lawmaking stretch ended.
The special session will last at least three days — the minimum time it takes to pass a bill in Colorado’s legislature — and force lawmakers who are term-limited, whose reelection bids faltered in the June primary and who are simply quitting the Capitol to gather for a final time.
“It’s a little awkward because I’ve already said goodbye,” said Sen. Rachel Zenzinger, D-Arvada. “I was already thinking of myself as having moved on. And now I have to get back in the game.”
Zenzinger said while the special session is inconvenient — she had already packed her office and has been focusing on her campaign to become a Jefferson County commissioner —protecting K-12 funding is worth it. Initiatives 50 and 108 would jeopardize the state’s new school finance formula. Even worse, state budget officials say it could return Colorado to the days of the budget stabilization factor — the period following the Great Recession in which plummeting property tax rates contributed to a cumulative school funding shortfall of over $10 billion.
But not everyone is on board with the governor’s call.
“I did not believe a special session was necessary,” said House Speaker Julie McCluskie, a Dillon Democrat. “I believed that we could find a path forward to creating a possible compromise framework that could have been considered by the General Assembly in January.”
And some aren’t so optimistic about the special session’s ability to resolve the property tax debate for the long run. State Rep. Richard Holtorf, an Akron Republican, said it’s too big an issue to be solved quickly and that House Republicans haven’t gotten enough information on the compromise to analyze its efficacy.
“They want to do a wham-bam-thank-you-ma’am and call it good on something this controversial?” he said. “If we’re really going to have a special session on property taxes, it’s going to take more than three days.”
Welcome to The Unaffiliated, the politics and policy newsletter from The Colorado Sun. Each week, we take you inside the political arena to deliver news and insights on Colorado politics. Keep reading for even more exclusive news.
If you’re reading this newsletter but not signed up for it, here’s how to get it sent directly to your email inbox. Please send feedback and tips to jesse@coloradosun.com.
COMPLICATING FACTORS
There are signs that the special session may be as complicated as Holtorf believes. A group of liberal Democrats wants to make the tax code more progressive.
Rep. Lorena Garcia, D-Adams County, plans to introduce a bill that would offer more relief to people who own lower-value homes.
“Most of the bills you’ll see from us are ensuring we are offering targeted relief where it’s most needed,” Garcia said.
She brushed off concerns that it may roil any deal made to prevent Initiatives 50 and 108 from being on the ballot.
“A deal can only be made when everybody who has to take part in a deal is engaged,” Garcia said, lamenting how only a few lawmakers were involved in negotiating the compromise. “We still have our jobs to do. If there is any finger-pointing, any deal-breaking, that lies solely with the proponents of 50 and 108. It’s on them.”
Another bill may attempt to offer a bigger break on people’s primary residence than on their second or third homes. That’s irking the short-term rental industry, with Airbnb encouraging Coloradans to tell legislators not to make such a change.
There’s also a push to pass a resolution that would place a measure on the November ballot asking voters to amend the state constitution to prevent property tax changes from happening anywhere but on the local level. To pass, the resolution would need two-thirds support in each the House and Senate, and then require 55% of voters’ approval to be adopted.
“I know we’re scared,” state Rep. Steven Woodrow, a Denver Democrat who is part of the special session push to make the tax code more progressive, told his House Democratic colleagues Thursday during a virtual caucus meeting. “We have a gun to our heads. They’re making us the proverbial offer that we can’t refuse. I just want to put on record that that’s a pretty terrible way to legislate.”
Michael Fields, who leads Advance Colorado, the conservative political nonprofit behind Initiatives 50 and 108, wouldn’t say what bills may cause him to back out of his promise to remove the measures from the ballot.
“I don’t even know what bills are coming,” he said, “so I’m not going to comment on any of them. We have a deal with the legislature and I hope that that works out and we are able to pull down our measures.”
Oh, and the dress code? Business casual instead of coats and ties in the Colorado House to help representatives beat the heat.
THE NARRATIVE
Why Democrats came around on a property tax cap
In the early days of Colorado’s Property Tax Commission, which was formed during the last special session in November, there was one thing that most of the bipartisan committee agreed on: They didn’t want a property tax cap.
Experts in public finance say caps are generally a bad idea. Their impacts depend on how they’re structured, and the effects aren’t always equitable. Over time, they can also deplete a key source of revenue that funds schools and local governments.
Ultimately, though, Colorado lawmakers came around to the idea. Senate Bill 233, passed in May, contained a cap on local governments, while the proposed property tax deal has a cap on school districts, as well.
So what changed?
For one thing, conservative groups outside the Capitol and Gov. Jared Polis insisted that a cap had to be a part of any long-term property tax deal.
And, a solution aimed at preventing large spikes makes political sense, given the specific challenges Colorado homeowners face. Property taxes in Colorado are actually quite low, relative to the national average. The most recent backlash has largely been a reaction to the rapid increase in property values after the pandemic — just as the protection of the tax-limiting Gallagher Amendment went away due to its 2020 repeal.
More importantly, the cap featured in the proposed deal differs from that of Initiative 50 in a few key ways:
WHAT TO WATCH
COLORADO GOP WON’T RECOGNIZE RESULTS OF SATURDAY MEETING
The Colorado GOP says it won’t count as valid any actions taken during the meeting Saturday, which is being organized by El Paso County GOP Vice Chair Todd Watkins.
“Any actions taken at Watkins’ fraudulent meeting will NOT settle whatever dispute exists, and their invalid and divisive efforts will only ensure the conflict continues for months to come,” the party wrote in an email last weekend to central committee members.
GOP leaders said only votes taken at the Aug. 31 meeting in Castle Rock scheduled by the party will be valid.
“If members wish to overturn the State Executive Committee and remove officers, then they can only pursue those ends at the Aug. 31 meeting,” the email said.
Meanwhile, an Arapahoe County judge ruled last week that he lacked jurisdiction to consider the dispute about the validity of the meeting since the Colorado GOP’s bylaws state the central committee is responsible for settling such disagreements. The party appealed the ruling and asked for an injunction stopping the gathering Saturday, but was denied.
“What is clear is that, no matter which side prevails in this internal dispute, the other will dispute the result — meaning that, regardless of any injunction, the dispute will not end and the injury resulting from the uncertainty and disruption of party leadership will continue,” Arapahoe County District Court Judge Thomas Willard Henderson IV wrote Wednesday in his ruling.
STATE PARTIES
Colorado GOP has its worst monthly fundraising haul of 2024
The Colorado GOP raised a paltry $12,897.89 last month, according to its Federal Election Commission campaign finance report, the party’s smallest haul of the year by far as embattled Chairman Dave Williams fights to keep his job.
The party reported spending nearly $110,000 in July. One of its biggest single expenses was the $10,000 it paid to the law firm that filed a lawsuit seeking — so far unsuccessfully — to prevent a special meeting in Brighton of the Colorado GOP’s central committee to vote on whether to oust Williams as chairman.
The party also reported spending more than $9,000 on a mailer supporting former state Rep. Janak Joshi in his failed Republican primary bid in the 8th Congressional District. Joshi, who was endorsed by the party, lost to state Rep. Gabe Evans by 55 percentage points.
The spending on Joshi was categorized as an “itemized coordinate expenditure,” the same category used to describe the roughly $60,000 the party spent to help Williams in his failed congressional primary bid.
Williams’ campaign donated roughly $60,000 to the party after the fact in what appeared to be a reimbursement. The party hasn’t reported receiving any such donation from Joshi.
The Colorado GOP began August with $431,000 in the bank.
The Colorado Democratic Party raised $125,000 in July and spent $141,000. It ended the month with $334,000 in cash.
The CDP spent about $60,000 on payroll and associated taxes. The Colorado GOP, by comparison, doesn’t have a paid staff, though the party has occasionally paid Williams’ consulting firm.
REPUBLICAN CONGRESSIONAL CANDIDATES GO IT ALONE
Three Republican congressional candidates in Colorado have joined with the National Republican Congressional Committee to form a fundraising coalition.
Grand Junction attorney Jeff Hurd, state Rep. Gabe Evans and conservative commentator and activist Jeff Crank are part of Colorado Red Wave Victory Fund, a joint fundraising committee created Wednesday.
Hurd is running to represent the 3rd Congressional District, while Evans is running to represent the 8th Congressional District and Crank is running in the 5th Congressional District.
Also part of the joint fundraising committee are America’s Mountain PAC, Thin Blue Line PAC and the Colorado Western Political Action Committee.
America’s Mountain PAC is Crank’s leadership PAC, Thin Blue Line PAC is Evans’, and the Colorado Western Political Action Committee is Hurd’s leadership PAC.
Why it matters: State parties are usually the conduit for these joint fundraising committees. Hurd, Evans and Crank have called on Williams to resign, while the NRCC has privately made clear its distaste for and frustration with the chairman.
“Jeff is proud to help raise money to get responsible and serious Republicans elected,” said Nick Bayer, Hurd’s general consultant. “Unfortunately, the state party has failed in being a responsible steward of Republican donors’ money, instead wasting it on David Williams’ petty and personal revenge. The state GOP leadership has failed to raise money, spend money or be recognized as a serious player in any race across the state. Thankfully, leaders across the state have stepped up to assist each other and fight back against the Democrats.”
Want to reach Colorado political influencers and support quality local journalism? The Sun can help get your message attention through a sponsorship of The Unaffiliated, the must-read politics and policy newsletter in Colorado. Contact Sylvia Harmon at underwriting@coloradosun.com for more information.
THE POLITICAL TICKER
ELECTION 2024
Fairshake, a super PAC that supports candidates who are open to the cryptocurrency economy, is buying up a lot of TV ad time in the Denver market apparently with the intention of supporting Democratic U.S. Rep. Yadira Caraveo, D-Thornton, in her reelection bid. The group has supported Caraveo and U.S. Rep. Brittany Pettersen, D-Lakewood, in the past. Last week, Caraveo spoke at a “Crypto4Harris” town hall supporting Vice President Kamala Harris’ presidential bid.
VOTING
Colorado Voters First, the Kent Thiry-backed group supporting Initiative 310, has reserved $5 million in broadcast and cable TV time from September through Election Day. That’s on top of the nearly $1 million the committee is already spending to run TV ads right now. The measure, which hasn’t qualified for the ballot yet, would change most of Colorado’s primaries so candidates from all parties run against each other, followed by a ranked choice voting general election.
GUNS
Ian Escalante is the new executive director of Rocky Mountain Gun Owners, the hard-line gun rights group. Escalante, who had been the organization’s operations director and one of its chief operatives at the state Capitol, posited on social media that he is “ready to launch a frontal assault on (Democrats’ gun policy) efforts and ensure that our rights are protected here in the American West.” He takes over from Taylor Rhodes, who is moving to Alabama.
3RD CONGRESSIONAL DISTRICT
Democrat Adam Frisch has released a new campaign TV ad focusing on inflation, immigration and abortion. “Corporate greed and government spending are driving inflation,” Frisch says. “I’ll spend less. … My priorities are to cut inflation, protect our water, secure the border and guarantee women the right to make their own health care decisions.” Frisch also says he “won’t be a ‘yes man’ for either party.”
8TH CONGRESSIONAL DISTRICT
The liberal political nonprofit Rocky Mountain Values has purchased a billboard supporting Democratic U.S. Rep. Yadira Caraveo’s reelection bid in the 8th Congressional District. The billboard will tout her work to lower prescription drug costs. Rocky Mountain Values, which doesn’t disclose its donors, says it will start dedicating resources to help Caraveo. Previously, the group battled to unseat then-U.S. Sen. Cory Gardner and U.S. Rep. Lauren Boebert, both Republicans.
READ MORE
🔑 = source has article meter or paywall
THIS WEEK’S PODCAST: Another Colorado special session on property taxes
YOU HEARD IT HERE
Colorado’s delegates to the DNC reiterated their support for Vice President Kamala Harris this week. And a few of the state’s big-name Democrats got a moment on the national stage.
U.S. Rep. Joe Neguse, D-Lafayette, shared the story of his immigrant parents on Thursday. U.S. Rep. Jason Crow, D-Centennial, talked about his military experience and how the armed forces would be affected by another Trump presidency.
Polis seized the opportunity to go full nerd.
MICHAEL BENNET
Jonathan Martin, a senior political columnist at Politico, said he heard U.S. Sen. Michael Bennet’s name floated in Chicago as a possible chief-of-staff candidate for Harris should she win the presidency.
Harris and Bennet served in the Senate together and have a close relationship. Bennet, who ran unsuccessfully for president in 2020, was a tier-two candidate to be her running mate. He was never fully vetted for the job, but he was in the mix.
Keep in mind: Bennet’s term ends in early 2029. If he leaves his seat for any reason, the governor would get to pick Bennet’s temporary replacement. State law dictates the seat be filled during the next general election and that the winner serves out the rest of the departing senator’s unexpired term.
THE BIGGER PICTURE
🔑 = source has article meter or paywall
The Colorado Sun is part of The Trust Project. Read our policies.
Corrections & Clarifications
Notice something wrong? The Colorado Sun has an ethical responsibility to fix all factual errors. Request a correction by emailing corrections@coloradosun.com.