Referenda critical to Colorado.

• Author: Berry, Chuck

COLORADO BUSINESS LEADERS STATEWIDE ARE ALMOST unanimous in their support for Referenda C & D, which will be on the statewide ballot on Nov. 1. Much has been written and said about the referenda. The case for business support has been well stated and argued. With only a few weeks left until the election, therefore, I would like to raise three important points about the campaign:

* Business leaders should directly educate their employees about the importance of the referenda.

* We need to clear up the misconception that passage of Referenda C will result in taxpayers losing their individual tax refunds.

* What will happen if the referenda fail?

First, business leaders now have a narrow window of time to demonstrate their support for the referenda by directly educating their employees about why passage of the two proposals is essential for the future health of their companies and the preservation of their jobs and for Colorado's overall economic climate.

Most business leaders are deeply concerned about the vitality of two key building blocks for our state's economic future: a quality public higher-education system and an efficient transportation system. Without these basic foundations, the ability of companies to compete in the global economy will be severely impaired as will the ability of businesses to retain and create jobs for our citizens. Referenda C and D will allow Colorado's roads, bridges, schools and colleges to keep up with the demands of a growing state. Knowing that Colorado voters are famously skeptical about how state government spends their money, business leaders must impress upon others that the fine print of Referendum C will require the state to report to taxpayers annually how much will be spent on education, transportation and health care.

Second, taxpayers will not lose their annual state income-tax refund that they receive after they file their tax returns. Their refunds result when they overpay their personal income tax through the withholding system. Their refunds are not the same thing as the TABOR "refund" that taxpayers received for five years, beginning with the state's 1996-1997 fiscal year. The TABOR refund comes from state sales-tax revenues when such revenues exceed revenues from the year before, when adjusted for the growth in inflation and population. TABOR refunds to individuals only occur after surplus TABOR funds have first been allocated to 16 different tax credits enacted by the legislature.

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