Last Week's Program - May 31

Last week, recently retired CSU Political Science Professor John Straayer reviewed TABOR’s impact on state and local budgets, governance and our economy overall.  He noted it took three times to pass TABOR, and the author, Douglass Bruce is now in jail.  A few of Dr. Straayer’s remarks:
  • TABOR castrated the fiscal authority of the legislature.  We now have a “5.5 million-person Finance Committee”.  
  • Causes more voting by citizens, even though they may not be well informed.  We are making more decisions by ballot.
    • Estimates say we need $9 B to fix our transportation infrastructure, yet legislature this past session could not even agree on a bill to propose to the public for a November vote.     
    • In the 60’s, 75% of cost of higher education was funded by state.  Due to a combination of TABOR, recessions and other constitutionally protected items, higher education has taken the largest cut, and now only 25% is funded by the state.  
    • Colorado seems to have one foot on gas and one on the brakes as a result of the interaction of several requirements:  amendment #23 requiring spending on K-12 and unavoidable prison and Medicaid costs etc. keeps the gas pedal down, while Gallagher and TABOR keep the brakes on. 
    • Why?  The near impossibility of reversing past legislative tax cuts, or either eliminating TABOR or adjusting its formula.  Voters have repeatedly defeated state-wide ballot measures to raise taxes or retain TABOR overages.
    • Colorado’s Per capita income is between #7 and #11 (depending on who’s counting) in the nation, yet we rank #49 in support for education per million dollars of personal income.  We are also 37th in the nation in terms of dollars per pupil, dropping us into the bottom quarter of states. 
    • In 2016, state appropriations for higher education per student:  CO $3769;  Arizona $4489; Utah $6147; Nevada $6528; New Mexico $8321; Kansas $5679; Wyo $17,620; USA $6954. 
    • Higher education dollars per $1,000 personal income (2016) CO $2.80; New Mexico $12.69; Kansas $7.70; Wyoming $13.59.     
    • 39th in gas tax; gas tax has not been raised since 1992. 
    • 43rd in beer tax
    • Personal income tax Colorado 4.63%, one of the lowest in the nation.
    • Referendum C passed, Referendum D failed.  70% of donations to defeat both referendums came from outside Colorado
    • Chances for changes to TABOR or any tax increases to fund transportation or education are very slim.
    • TABOR has become a sacred cow.  Any Republican who even hints at supporting a tax increase or restriction on TABOR will face a primary challenge, and likely to lose.
    • We are in an era of tribal politics.  Very difficult to get out.  
    • What are we going to do?  Live with it until it becomes completely unworkable, or do what past citizen have done, and invest more in their state.