March 18, 2013

The Week in Review

Tamra Ward

Thank you to so many of you for joining us for lunch with Governor Hickenlooper last Wednesday. Not only was it a beautiful day outside, but the atmosphere and conversation inside the Carriage House was upbeat and convivial.

That's not to say that the questions posed to the Governor were not challenging or in depth. Members raised concerns about the impact of Amendment 64 on Colorado's brand, expected legislation to modify our workers' compensation system - which is currently hailed as one of the best in the country - and discussions around migrating Colorado to a graduated income tax system.

The graduated tax issue received the most focus, and members voiced their opposition. This new tax system proposal has been raised in the context of SB13-213 (Johnston-Hamner), a rewrite of the School Finance Act, which calls for up to $1 billion in new revenue to modernize the system. It would require a vote of the people.

Colorado Concern cares deeply about the future of our education system and the students who utilize it. We have spent time and effort to put in place key reforms to strengthen educational outcomes, and the policy outlined in SB13-213 is sound. However, we cannot support a graduated tax system as the funding source because we believe it would have detrimental economic impacts that far outweigh the benefits contemplated in the legislation. One needs only to look to California, which has instituted a graduated income tax and is experiencing an exodus of businesses due to that tax policy change, to see that such a move would be ill advised. Additionally, other states we consider competitors have no income tax, or are considering elimination. Moving counter to that would be a step in the wrong direction.

Also, Colorado currently has the second most educated workforce in the country. Some are born and raised here, but many we import. If we move to a tax system that penalizes the best and the brightest that come to Colorado to start their companies and are successful, or move here to join a business that is healthy and growing, are we not harming ourselves?

To ensure our position was clearly articulated and understood,

this letter was delivered to the Governor and the bill sponsors on Friday. The Denver Metro Chamber of Commerce, Colorado Competitive Council (C3) and NFIB co-signed the correspondence.

We will keep you informed as the discussion around SB13-213 and the proposed financing source for this policy continues to move forward. Measures for consideration on the 2013 statewide ballot must be filed with the Title Board on Friday, and we will know more at that time.

Please do not hesitate to contact me if you have questions or concerns.

Warmly,

Tamra

Colorado Concern Legislative Tracking

Click here to find out what legislation Colorado Concern is tracking. The report includes links to bill text, sponsors, Colorado Concern's positions, bill status, and additional notes.

Click here to download the Colorado Concern At a Glance Status Sheet for quick tracking of Colorado Concern's bills of interest.

Members in the News

Kim Day

DIA's focus: flights and finances

Denver Post: March 13

Features Kim Day

Walter Isenberg

Union Station's massive renovation under way

Denver Business Journal: March 15

Features Walter Isenberg

Steve Farber

Brownstein Hyatt names new leaders; Bruce James returning to full-time law

Denver Business Journal: March 15

Features Steve Farber

After 50 years, FirstBank is firmly entrenched as a giant

Denver Business Journal: March 15

Features John Ikard

Check back next week for upcoming Colorado Concern events. including an April membership networking breakfast or lunch. Click here for more information or to register to attend events.

Colorado Concern News Clips