DENVER — Despite seeing home values soar by double digits, Colorado voters have rejected Proposition HH.
The Associated Press called the race less than an hour after polls closed.
Politics
Live updates: Colorado voters reject Prop HH, seemingly approve Prop II
Democrats in the Colorado General Assembly, along with Gov. Jared Polis, pushed Proposition HH as immediate relief for property owners facing huge property tax increases. Home values rose as much as 45% in the Denver area and even more in parts of the mountains.
In exchange for property tax relief, Proposition HH would have allowed the state to keep some of the money that would otherwise go back to taxpayers in the form of TABOR refunds. Instead, the state would use this surplus money to “backfill” or replace funding for counties, fire, ambulance, hospital, and school districts that depend on property taxes.
Nonpartisan analysts with the Legislative Council of the Colorado General Assembly said if Proposition HH passed, a homeowner with a home valued at $500,000 would see their property tax increase decline anywhere from $186 to $276 dollars for this tax year. That would be followed by another reduction in the increase in 2024.
As for TABOR refunds, those same nonpartisan analysts said every Colorado taxpayer, regardless of income, would get an equal amount next year — which was estimated to be $898.
Lower-income earners, many of whom are renters, would have seen the biggest increase in TABOR refunds. However, higher earners, starting with those making over $99,000, will see a decrease in their TABOR refunds.
Legislative Council analysts said everyone would see a decrease in TABOR refunds in 2024 and 2025.
Critics feared that savings from lower property tax bills would eventually be outweighed by the elimination of TABOR refunds, which returned $750 to each taxpayer last year.
2023 Colorado Coordinated Election Results
Colorado Democratic Party Chair Shad Murib said the party is "disappointed" Proposition HH didn't pass.
"We’re disappointed Proposition HH didn’t pass, but we’re thrilled that Proposition II will put people ahead of tobacco companies.
The next frontier of Colorado politics is local and we’re excited about the pending results in Woodland Park, Douglas County, Jefferson County, Lakewood, Adams12, and more.
Coloradans are rejecting MAGA far-right extremists who put their politics ahead of our kids and cities.
While many votes are still being counted, I want to thank election officials for their tireless work. Colorado leads the nation in safe and secure elections — we look forward to building on local victories in 2024."
In a statement, a spokesperson from the governor's office said Polis was "disappointed" in the results.
"The Governor thanks everyone who voted in this year's election. While he is disappointed voters didn't pass a long-term property tax cut, he is currently considering next steps."
The Associated Press contributed to this report.
