Property Tax Revenue Growth Limit

If approved by the voters of the state at the 2024 general election, the concurrent resolution will amend the state constitution to create a new annual property tax revenue growth limit (district limit) for each jurisdiction that levies property tax (district). The district limit limits a district's property tax revenue growth for any property tax year commencing on or after January 1, 2025, to an amount equal to the sum of:

• The amount of revenue generated by the district's mill levy for the immediately preceding property tax year (base revenue); plus
• An amount equal to the base revenue multiplied by a percentage equal to the percentage change allowed for state revenue growth under the Taxpayer's Bill of Rights (TABOR) plus 2 percentage points; plus
• The net dollar amount of district property tax revenue gained from newly taxed property such as new construction and lost from newly untaxed property such as taxable improvements to real property that are destroyed.

If the estimated amount of property tax revenue subject to the district limit that will be generated by a district's current mill levy will exceed the district limit, then the mill levy must be reduced so that the amount of property tax revenue generated does not exceed the district limit unless maintenance of the current mill levy is approved:

• By the voters of the district for a district that has not received voter approval to exceed its TABOR fiscal year spending and property tax revenue limits; or
• By the governing body of the district for a district that has received such voter approval.

Notwithstanding the TABOR voter approval for a mill levy increase above the mill levy for the prior year, if a district's mill levy is reduced as required to comply with the district limit, the district may increase the mill levy to any rate up to the pre-reduction rate without voter approval so long as the increase does not cause the district's property tax revenue to exceed the district limit.

(Note: This summary applies to this concurrent resolution as introduced.)