Amendment 52 -- Use of Severance Tax Revenue for Highways

Severance taxes are paid by companies that extract nonrenewable natural resources (e.g. oil, natural gas, coal). The state and local governments equally split the revenue. This measure would cap future amounts going to current state programs, primarily water projects. Growth in the state portion of the severance tax revenue would go toward a new highway fund with a priority on congestion relief on Interstate-70.

Unwarranted CONSTITUTIONAL Change – ADDS Section 22 to Article X.

Amendment 52 and Amendment 58 have conflicting provisions on the allocation of severance tax revenue. If voters approve both amendments, Amendment 52 would presumably take precedence since it is a constitutional amendment.

Recommendation: NO
In my humble opinion, water is a more vital need than highways. Also this would be the first mention of severance tax revenue in the Colorado Constitution, opening up a whole can of worms by having severance tax rules in both the Colorado Revised Statutes and the state constitution.


Website for Yes side (Better Roads Now)
http://www.betterroadsnow.com/

Website for No side (Responsible Colorado)
http://responsiblecolorado.com/


Amendment 52 (Approved ballot title below)

Use of Severance Tax Revenue for Highways

Shall there be an amendment to the Colorado constitution concerning the allocation of revenues from the state severance tax imposed on minerals and mineral fuels other than oil shale that are extracted in the state, and, in connection therewith, for fiscal years commencing on or after July 1, 2008, requiring half of the revenues to be credited to the local government severance tax fund and the remaining revenues to be credited first to the severance tax trust fund until an annually calculated limit is reached and then to a new Colorado transportation trust fund, which may be used only to fund the construction, maintenance, and supervision of public highways in the state, giving first priority to reducing congestion on the Interstate 70 corridor?

Yes ________________ No ________________


To see the full text of the proposed measure, click here, then click on “2008 State Ballot Information Booklet” at the top of the page.