Larimer OKs asking voters to OK tax hike for roads

FORT COLLINS — Larimer County commissioners voted unanimously Tuesday morning to ask voters in November to approve a 15-year, 0.15% sales and use tax increase, which if approved would generate an estimated $15 million annually to fund various transportation projects across the county.

Commissioner Jody Shadduck-McNally described the measure as a “transparent, accountable and prudent choice” that had been “well-thought-out and presented” by the county’s staff, led by County Engineer Mark Peterson, Road and Bridge Director Todd Juergens and Lesli Ellis, the county’s community planning, infrastructure and resources director.

Recent polling of more than 3,500 Larimer County residents showed that transportation remains one of the top concerns, leading the Board of County Commissioners to revisit the issue of a dedicated funding source as part of its 2024-2028 Strategic Plan.

If the measure were to pass, the tax — equivalent to 15 cents on a $100 purchase and exempting groceries — would provide dedicated funding for infrastructure projects including roadway and bridge safety enhancements, pedestrian crossing improvements, updated signaling, bicycle accommodations and increased access to transit.

The county can pay for some of the work through grants, noted Commissioner Kristin Stephens, but “there just aren’t enough grant dollars to support the work we want to do. We’re left with these gaps that have been identified today.”

Noting that improving county roads would be vital for quick response by emergency services, she called the ballot request “modest” and added that “we can use these dollars to leverage other dollars.”

Commission chairman John Kefalas noted that the revenue “will not go for any purpose other than transportation” and added that it would have benefits for air quality as well because, “if cars are idling in a traffic jam, there’s more pollution.”

Ann Hutchison, CEO of the Fort Collins Area Chamber of Commerce, and Bill Becker, advocacy director for the Loveland Chamber of Commerce, also spoke in favor of asking voters to approve the measure.

During a presentation in support of the ballot question, Peterson noted that this year, “a typical residential property valued at $600,000 will pay approximately $3,500 in property tax. Of that, $800 is used to fund Larimer County services, and of that $800, $15 is collected for road and bridge maintenance and improvement activities.

“Due to state statutes,” according to Peterson’s presentation, “Larimer County is mandated to send 40% of that $15 to the cities and towns in the county, leaving $9 of the total property-tax payment available for county transportation purposes.”

Peterson noted that Larimer County’s sales tax is 0.8%, or 80 cents on a $100 purchase. “All sales taxes are voter-approved, and can only be used for specific purposes,” according to his presentation. In Larimer County, he said, 25% of that revenue is used for the Open Lands Fund, 15% goes to the fairgrounds and events center at The Ranch complex, 25% funds behavioral-health services and 15% goes to jail expansion.

“No sales tax dollars in Larimer County go toward maintaining or improving county roads,” he said.

Ellis said that if voters approve the measure, the tax would be levied beginning on Jan. 1 and would expire on Dec. 31, 2039.

After all three commissioners approved asking voters to decide on the sales- and use-tax increase, Kefalas observed, “I believe there’s a little bit of work ahead for all of us.”