DENVER — Denver voters will have a choice on Tuesday whether or not to raise the city's sales tax 5 cents for every $10 spent. The sales tax increase would not apply to many essentials like food, gas medical supplies and some person hygiene products.
Ballot Issue 2R asks voters to increase the city's sales tax to pay for affordable housing in Denver. City leaders said the money would also help with accessory dwelling units (ADUs) for low/middle-income households, increase investment in mixed-income developments and preserve existing income-restricted homeownership and rental units.
Denver
Denver voters to decide fate of affordable housing sales tax increase in Nov.
Supporters estimate the sales tax increase would generate $100 million per year to create around 40,000 affordable housing units over the next 10 years.
Mayor Mike Johnston joined Denver7 Mornings to talk about why he's for the city's tax increase.
"90% of Denverites have said their biggest concern is the cost of housing," Mayor Johnston said.
He argued that if the city can create the 40,000 more affordable units, it would make it possible for people to not pay more than 30% of what their salary on rent.
Hear Mayor Johnston's full interview in the video player below.
Kim Monson, also joined Denver7 Mornings to explain her opposition to Ballot Issue 2R.
She, like other opponents, points to the already high cost of living in Denver.
"If this measure passes, as well as the other sales tax increase, it would put Denver as one of the highest sales tax cities in the state, and really approaching that in the country as well, that makes it less affordable for people to be able to live their lives. So that's what we're really concerned about," Monson said.
Mayor Johnston responded directly to that argument.
"Important thing about the sales tax to know is we are still among the lowest quartile of the top 40 cities in total tax burden," Mayor Johnston said.
Monson cited a report from the National Home Builders Association that found rules and regulations contribute at least 25% to the cost of new single-family homes and 40% for multi-family homes. She said, reducing regulations and relaxing zoning rules would make everything more affordable.
Watch Kim Monson's full interview in the video player below.
You can read more about this ballot measure and others on the Colorado ballot in the Nov. 5 election in our voter guide.
Voter Guide 2024
