The Acumen - May 2024

measure adding a new 0.25 percent sales tax in Arapahoe County that is estimated to cost the average county household about $4.30 per month and would raise about $45 million each year. Cuts to essential services This would require $35 million in immediate cuts to essential services, such as public safety, roads and homelessness prevention and response programs. This would also leave the $316 million of deferred maintenance projects and unmet needs unfunded, affecting road safety, quality and congestion. How did we get here? Arapahoe County is the state’s third largest county and has continued growing exponentially with more than 655,000 residents who need and demand services. The additional strain caused by population growth has been made worse by inflation that has increased the cost of many items tenfold. One-time federal funds from the American Rescue Plan Act (ARPA) helped the County stay afloat during the global pandemic. We were able to help our residents with rental assistance, food and shelter, and mental/physical health programs while helping small businesses and nonprofits with a needed lifeline. ARPA funds were also used to offset the County’s annual budget by covering some operations, such as temporary staffing and water/sewer infrastructure projects. ARPA funding is drying up and funds must be spent by the end of the year, putting additional pressure on us to find a sustainable funding solution. Many residents have asked about the historic increase in property values last year — shouldn’t that be able to cover the cost of business? Not exactly. Arapahoe County receives only 12% of property tax revenue. That’s an average of about $32/month for all services for a home valued at $500,000; the rest is distributed to more than 500 other taxing entities such as schools, recreation districts, libraries and other utilities. Without

Ongoing parking lot repairs. (Photo: Arapahoe County)

Possible solutions Black residents make up almost 12 percent of the County’s population, or more than 78,000 residents, so any changes we make to essential services would be felt deeply and immediately. That’s why commissioners are considering three basic funding alternatives and why we are interested in hearing from you before making any decisions. Funding for essential services (“County Property Tax”) With this option, voters would be asked to approve a ballot measure permitting the County to raise its mill levy (tax rate) back to its pre- TABOR level, costing the average owner of a $500,000 home about $13 more per month and providing the County about $74 million each year. New funding for essential services (“County Sales Tax”) This would ask voters to approve a ballot

34 The Acumen

Powered by