Thursday, September 12, 2024

Is Johnston’s Tax in Trouble?

Mayor Mike Johnston, joined by members of the City Council and community leaders, announces a new sales tax proposal to expand affordable housing in Denver on the steps of the City and County Building on July 8, 2024. (Photo by RJ Sangosti/The Denver Post)
Mayor Mike Johnston | Photo by RJ Sangosti/The Denver Post

A rising number of voices have been speaking out against Denver’s soaring tax rates and specifically the timing and justification of Mayor Johnston’s half cent sales tax increase (raises $100 million per).

Some of the positions of caution or opposition are:

  • Denver Post editorial said bad timing, already many new funds with surpluses.
  • Two-thirds (64%) of Denver voters believe city taxes are “already high” and 35% of them say “way too high.” (Colorado Polling Institute, July 2024)
  • City Councilman Kevin Flynn points to negative impact on residents and city’s affordability.
  • Former Mayor Wellington Webb believes hospital tax (.34 of a cent) is a higher priority. Calls for delay.
  • Businessman Walter Isenberg has concerns about taxes’ negative effect on business and employment.

Denver voters in recent years have said yes to most tax increases. The only “no” was the stock show arena property tax increase. Affordable housing is a high priority but the tax increases have piled up the last decade. Denver’s sales tax is now nearly 10 percent and becoming the highest in the metro area.

If the tax loses or even struggles in a narrow win, do the city council and Mayor take a message and manage priorities better within the current tax level?

RELATED:
Sales Tax Collection Falls Again 8/16/24
Denver Voters Inundated with Tax and Union Ballot Initiatives 8/12/24
Denver Health Takes Sales Tax Near Ten Percent 6/26/24

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