County may put tax hike to vote

A sales tax increase that would raise $70 million a year to bail out law enforcement and health agencies will be proposed next month for the November ballot.

The ballot question being considered is a 1 percent sales tax on purchases anywhere in the county that would be shared among El Paso County, Colorado Springs and other towns.

The county government faces the most urgent financial needs, according to Citizens for Effective Government, a Colorado Springsbased coalition that is recommending the tax increase.

The county commissioners have said for several years that revenues aren't keeping up with rising costs, warning that services would have to be slashed unless more money started coming in.

The county reached the breaking point this year, commissioners said Thursday. The county has already closed most offices on Fridays, and officials are exploring other options includ- ing selling county parks.

"The commissioners don't want to sell off any park land, but it is something that we have to consider," said Commissioner Sallie Clark. "We cannot not balance the budget."

Adding 1 percentage point would bring the total sales tax rate in Colorado Springs to 8.4 percent. Rates vary in other parts of the county. For a $20,000 car, the additional tax would add $200 to the cost.

Citizens for Effective Government expects to present a detailed proposal to the county commissioners in June, and the commissioners have until July 25 to decide whether to put it to a vote in November.

The money would be directed to areas such as the county jail and Health Department, freeing up money to keep providing other services, such as plowing county roads during winter, and restoring cuts. The jail is so badly crowded that Sheriff Terry Maketa has worried publicly over the safety of deputies watching inmates. The Health Department says it doesn't have enough money to inspect restaurants and pools or fight disease outbreaks.

Persuading voters to approve a tax hike could be tough, said Mike Kazmierski, co-chairman of Citizens for Effective Government. Kazmierski is also in charge of the Greater Colorado Springs Economic Development Corp.

Tax rates here are generally lower than those in other parts of the state, and voters are often leery of any expansion of government. Still, voters have approved several tax increases in recent years, including a 1 percent sales tax in 2004 that pays for road building and maintenance in most parts of the county.

"The word ‘taxes' has a negative connotation, it's like the taking of money," Kazmierski said. "The reality is . . . we need to decide what we want government to do and then fund them to do it."

Tax rates can't be raised without voter approval because the Taxpayer's Bill of Rights, an amendment to the state constitution, forbids it.

County services include the Sheriff's Office, the Department of Health and Environment, management of welfare programs, and road building and maintenance. The county gets money from property taxes, sales taxes, fees and other sources.

The county predicts its revenue for the year will be $3.5 million short of expectations. But the county's revenue from some sources has not declined - both sales and property tax collections during the first three months of 2008 were higher than during the same period last year. County officials blame the budget crunch on higher costs such as gasoline and health insurance claims.

A volunteer group called the Citizen Budget Oversight Committee was scheduled to settle on recommended budget cuts during a meeting Thursday night. The county commissioners will hear about the suggested cuts Tuesday.

FOR MORE INFO

- To contact Citizens for Effective Government, e-mail concernedcitizens@csceg.org or visit www.csceg.org.

- The El Paso County commissioners will discuss budgetcutting options at a meeting starting 9 a.m. Tuesday on the third floor of the County Office Building, 27 E. Vermijo Ave. Anyone may attend.