|
PUBLIC
STAFF SUMMARY OF MEETING
INTERIM COMMITTEE ALTERNATIVES TO THE GALLAGHER AMENDMENT INTERIM STUDY COMMITTEE
| Date |
07/13/2018 |
| Attendance |
| Bridges |
X |
| Court |
X |
| Rankin |
X |
| Tate |
X |
| Smallwood |
X |
| Esgar |
X |
|
| Time |
08:35:06 AM to 03:38:47 PM |
| Place |
HCR 0112 |
| This Meeting was called to order by |
Esgar |
| This Report was prepared by |
Jeanette Chapman |
|
| Hearing Items |
Action Taken |
| hCommittee Deadline & Administration |
Committee Discussion Only |
| hProperty Taxation |
Committee Discussion Only |
| hOperation & History of Target Percent and Residential Assessment Rate |
Committee Discussion Only |
| hSchool Finance & Mills |
Committee Discussion Only |
| hImpact of Residential Assessment Rate on Prop Tax Revenue |
Committee Discussion Only |
| hImpact of Residential Assessment Rate on Residential Property |
Committee Discussion Only |
| hPueblo City-County Library District |
Committee Discussion Only |
| hImpact of Residential Assessment Rate on Non-Residential Property |
Committee Discussion Only |
| hPublic Comment |
Committee Discussion Only |
|
|
Committee Deadline & Administration - Committee Discussion Only
|
|
|
08:37:18 AM |
Ed DeCecco, Office of Legislative Legal
Services, discussed committee legislation deadlines. He provided
a handout to the committee (Attachment A).
|
|
08:37:46 AM |
Chris Creighton, Legislative Council Staff,
discussed preparation of fiscal notes for interim committee bills. He
provided a copy of the committee charge memo (Attachment B).
|
|
08:38:48 AM |
Representative Rankin discussed his experience watching the firefighter response to forest fires in his district.
|
|
08:41:06 AM |
Senator Court made comments related to
the committee's charge.
|
Property Taxation - Committee Discussion Only
|
|
|
08:42:47 AM |
Keith Erffmeyer, Denver Assessor, introduced
himself and provided a presentation of the process for property tax assessment
and the disbursement of property taxes to local governments (Attachment
C).
|
|
09:02:44 AM |
Mr. Erffmeyer responded to questions from the committee.
|
|
09:03:17 AM |
Mr. Erffmeyer responded to questions from
the committee regarding challenges to assessments on properties.
|
|
09:18:49 AM |
Committee discussion continued. Members
discussed which entities can request exemptions to property tax assessments
or can challenge assessments.
|
|
09:23:41 AM |
Mr. Erffmeyer returned to his discussion
of the assessment process. He responded to questions from the committee
regarding how smaller counties conduct assessments.
|
|
09:24:15 AM |
Mr. Erffmeyer made closing comments and
responded to final questions from the committee.
|
Operation & History of Target Percent and Residential Assessment Rate - Committee Discussion Only
|
|
|
09:35:30 AM |
Joanne Groff, Property Tax Administrator,
State of Colorado, provided a discussion of the history of the target percentage
and residential assessment rates (Attachment D). She responded to
questions from the committee regarding how assessments are determined in
other states.
|
|
09:44:23 AM |
Ms. Groff continued her presentation, discussing the interaction between the Gallagher amendment and TABOR. She responded to questions from the committee.
|
|
10:01:05 AM |
Ms. Groff made concluding remarks and discussed
court cases that were intended to clarify the conflicting requirements
of Gallagher and TABOR. She responded to questions from the committee.
|
|
10:16:26 AM |
The committee recessed.
|
School Finance & Mills - Committee Discussion Only
|
|
|
10:30:18 AM |
Craig Harper, Joint Budget Committee Staff,
discussed the interaction of school finance with Gallagher and TABOR including
property taxes and education funding in Colorado. He discussed the
way the Gallagher Amendment affects school district property tax revenue
and the state budget for school finance. He provided a handout to
the committee (Attachment E).
|
|
10:35:10 AM |
Mr. Harper responded to questions from
the committee.
|
|
10:46:09 AM |
Mr. Harper made closing comments to his
presentation and responded to final questions from the committee.
|
|
11:07:37 AM |
Committee discussion continued.
|
Impact of Residential Assessment Rate on Prop Tax Revenue - Committee Discussion Only
|
|
|
11:11:46 AM |
Byron Pelton, Logan County Commissioner,
discussed the impact of the Gallagher Amendment on county financing. He
provided an handout to the committee (Attachment F).
|
|
11:14:24 AM |
Ben Tisdel, Ouray County Commissioner,
discussed the impact of the Gallagher Amendment in rural areas.
|
|
11:14:58 AM |
Commissioner Pelton responded to questions
from the committee regarding local awareness of issues raised by the restrictions
of the Gallagher Amendment.
|
|
11:21:27 AM |
Commissioner Tisdel discussed the likelihood
of passing local ballot measures to address funding conflicts.
|
|
11:23:55 AM |
Ann Terry, Special District Association, discussed the concerns specific to special districts related to the Gallagher Amendment. She provided a handout to the committee (Attachment G).
Attachment G
|
|
11:33:50 AM |
Al White, Fraser Valley Metropolitan Recreation
District, talked about the impact of a descreased residential assessment
rate on the district.
|
|
11:36:29 AM |
Ms. Terry responded to questions from the
committee.
|
|
11:38:13 AM |
Senator White discussed the difference
between commercial property tax revenues in rural areas and the Front Range.
|
|
11:39:48 AM |
Committee discussion continued regarding
the changes over time to the residential assessment rates and how Gallagher,
TABOR, and Amendment 23 requirements have created the current concerns
over decrease in local government revenue.
|
|
11:51:06 AM |
Don Lombardi, West Metro Fire Protection
District and the Colorado State Fire Chiefs, discussed concerns of local
fire districts related to reductions in the assessment rate.
|
|
11:55:04 AM |
Stuart Mills, Larkspur Fire Protection
District, discussed the impact of a reduction in the residential assessment
rate on a small fire district.
|
|
12:06:28 PM |
Chief Lombardi responded to questions from
the committee.
|
|
12:10:08 PM |
The committee recessed.
|
Impact of Residential Assessment Rate on Residential Property - Committee Discussion Only
|
|
|
01:23:36 PM |
Senator Dennis Gallagher, representing
himself, provided the committee with historical context for the passage
of the amendment that bears his name.
|
|
01:36:52 PM |
Senator Gallegher discussed the interactions
of the Gallagher Amendment with the TABOR amendment. He responded
to questions from the committee.
|
Pueblo City-County Library District - Committee Discussion Only
|
|
|
02:00:39 PM |
Jon Walker, Executive Director Pueblo Library
District, discussed impact of the Gallagher Amendment on the district and
the problems associated with disparate growth in property values in different
parts of the state. He provided a handout to the committee (Attachment
H).
|
|
02:06:41 PM |
Sheri Baca, Chief Financial Officer, Pueblo
Library District, discussed the financial impacts on the library district
under different assessment rate calculations.
|
|
02:12:51 PM |
Mr. Walker discussed his suggestions for
reforming the Gallagher Amendment.
|
|
02:14:29 PM |
Doreen Martinez, President, Pueblo Library
Board of Directors, discussed the importance of libraries to the Pueblo
community. She discussed the communities willingness to support changes
to the Gallegher amendment. Discussion ensued.
|
Impact of Residential Assessment Rate on Non-Residential Property - Committee Discussion Only
|
|
|
02:39:08 PM |
Tyler Carlson, Managing Principal for Evergreen
Development, discussed the impacts of the property tax structure on small
businesses. He discussed other potential options regarding the valuation
of commercial properties in Colorado.
|
|
02:47:14 PM |
Larry Lance, Managing Partner of Everwest
Real Estate Investors, discussed the affordability of properties for small
business. He commented on recent increases in property tax levels
for businesses. Mr. Lance and Mr. Carlson then responded to questions
from the committee.
|
|
02:55:28 PM |
Ms. Groff returned to the table to respond
to questions about which valuation approach was allowable for various classes
of property.
|
Public Comment - Committee Discussion Only
|
|
|
03:08:46 PM |
David Wissel, Park County Assessor, provided
comments on the impacts of Gallagher Amendment on Park County. He
discussed the gap between residential and nonresidential assessment rates.
|
|
03:13:58 PM |
Pam Feely, President, West Metro Fire District,
discussed concerns about what happens when property values plateau and
start to decline.
|
|
03:15:52 PM |
Gail Lindley, Denver Bookbinding Company,
discussed the impact of increasing property taxes on her business.
|
|
03:19:45 PM |
Gini Pingenot, Colorado Counties, Inc.,
discussed the impacts of the Gallagher Amendment on counties that rely
primarily on property taxes to fund local needs. She expressed support
for counties to be permitted to address the problem. She responded
to questions from the committee.
|
|
03:28:26 PM |
Mr. Wissel discussed the possibility of
eliminating the assessment ratios and instead using market values.
|
|
03:29:55 PM |
TJ Steck, Elizabeth Fire District, discussed
revenue impacts to his fire district as a result of the declining residential
assessment rate. He talked about the option of de-Gallagherizing
and the conflicts between the Gallagher Amendment and TABOR requirements.
He responded to questions from the committee.
|
| 03:38:47 PM |
Committee Adjourned |
