Friday, October 13, 2017

City of Boulder 2M – Extend Community, Culture and Safety Tax

Once again a government is asking us to extend a tax that was originally labeled as temporary. In 2014 voters approved a 3-year 0.3% sales tax (or 30 cents per $100 purchase) to fund the Civic Area construction and landscaping project, Creek Path improvements, lighting in the University Hill Commercial District, public art and funds for non-profit organizations such as the Museum of Boulder, the Dairy Center and Chautauqua.

Since the tax expires at the end of this year, the city naturally created a Capital Improvement Tax Renewal (CITR) Stakeholder Committee to recommend more projects that could be funded by a tax extension. Tax extensions, where the language reads “without raising the existing tax rate,” tend to be easier for voters to swallow than new taxes.

The proposed tax extension is for 4 years, expiring at the end of 2021. About $31M (80%) would go toward the following 6 capital improvement projects in the city.
$12.5M relocate 50-yr-old Fire Station #3 from 30th & Arapahoe floodplain
  Includes money to acquire land. Price expected to be steep.
$ 5.5M new police and fire radio system and infrastructure
$ 5.0M build a bigger north Boulder library branch
  From current 570 sq feet to size comparable to other branches
$ 4.2M help pay to replace Scott Carpenter Pool and make associated improvements
$ 3.5M Fourmile Canyon Creek greenways improvements
  Multi-use paths and flood mitigation
$ 0.4M public art

About $7.9M (20%) would go toward the following 7 community non-profit groups for capital improvement projects. These groups are expected to raise matching funds.
$1.75M Studio Arts education center at Diagonal Crossing
  Land is at Hwy 119, 47th St and Independence Rd
  Expand from Pottery Lab offerings to woodworking, printmaking, etc.
$1.60M new Meals on Wheels facility at Diagonal Crossing
  Current West Sr Center facility not available in Civic Area plan
$1.40M build Zero Waste Community Center for 4 non-profits at 6400 Arapahoe
  Official applicant is the Center for ReSource Conservation.
  Mayor, aka Eco-Cycle exec dir, recused herself from ordinance vote.
$1.25M new Community Media Center at KGNU Radio
  Construct a second floor at current location, 4700 Walnut St
$1.00M Boulder Museum of Contemporary Art (BMoCA)
  Phase I renovations to a city-owned building
  Originally asked for $6M as part of a $12M expansion project
$822.5K new Community Cycles Center in Boulder Junction
  $2.25M total cost. $200K of funding from county’s Worthy Cause tax.
  Includes L. Bohm Education Center; his widow chairs Yes campaign.
$ 87.0K Growing Gardens – Pollinator Pavilion
  88% of funding will come from other sources.
  $87K to pay for a kitchen, walk-in cooler and solar power system.

If the accompanying ballot issue 2N passes, then about $1.5M more could go to interest on debt. Any other tax money collected in excess (forecasted at another $1.5M) would go into a contingency fund to cover unanticipated expenses for the above projects or for other city capital improvement projects. The projects for the original 2014 ballot measure have a “healthy contingency” fund, but city staff want to wait until next year when all the projects should be completed before committing any of those contingency funds.

The CITR Stakeholder Committee noted that the original 2014 ballot measure focused on the city core. They wanted to focus more on the city’s outskirts this time. One city project which requested funding but wasn’t recommended by the CITR committee was the Civic Area project which received about 1/3 of the funding under the 2014 measure.

The CITR committee also expressed dismay about the city’s large backlog of deferred maintenance. Originally the committee proposed $3.2M for maintenance backlog which didn’t make the ballot. The CITR presented 2 tax renewal plans – one for 5 years and another for 7 years.

The council decided to pursue a 4-year renewal, and all amounts for the city projects were cut from the CITR committee’s recommended amounts. The recommended amounts for the non-profit groups were left intact except for a massive cut to BMoCA. The CITR committee had been quite hesitant about BMoCA’s plans in their final report; subsequently BMoCA had widely reported personnel problems. Generally, the city council’s changes honored the intent of the CITR committee.

The CITR Committee focused on stable, well-known Boulder non-profit organizations with well-developed projects. Twelve groups made presentations to the committee requesting funding. Only Growing Gardens and Community Cycles would receive the full amount they requested. The other community group projects will need to fill in the funding gap elsewhere or downsize their projects.

Don’t be fooled into thinking that this tax will quietly expire at the end of 2021. The city council had a long discussion about whether the tax renewal should be for 3, 4 or 5 years because the timeline affects how long community groups will have to wait before a funding opportunity in the next tax renewal.

Recommendation: for the measure

As voters consider a tax renewal to fund capital improvements, the city manager’s proposed 2018 draft budget for about $390M is a 21% increase of the $322M budget for 2017. Of the new budget requests, $32M is for construction of the Carter Lake Pipeline. It’s obvious that what gets onto a ballot measure is only a small portion of the city’s budget, and politics plays a role in that process. See comments under this year’s 1A for a similar situation in Boulder County.

Some council members have noted that it’s the non-profit groups’ grants that will excite the public and help this measure pass. Others say that we should first fund city projects with city money. Meanwhile, the city has a long list of unfunded projects and deferred maintenance.

If this process interests you, consider asking to be on the citizens’ committee for the next tax renewal. Or get a job with the city or run for city council. Meanwhile, vote for this measure to support our community, culture and safety. A lot of people worked very hard on this ballot measure. The outcome is an admirable package.

Website for the Yes side (Community, Culture, Safety YES)
https://communityculturesafetyyes.org/

City’s webpage with information about the CITR process
https://bouldercolorado.gov/planning/capital-tax-renewal

Website for the No side
No known website – Info on an opposition website appreciated.


Approved Ballot Language

BALLOT ISSUE 2M CITY OF BOULDER 0.3 CENTS CAPITAL IMPROVEMENT TAX EXTENSION
WITHOUT RAISING THE EXISTING TAX RATE, SHALL THE EXISTING COMMUNITY CULTURE AND SAFETY SALES AND USE TAX OF 0.3 CENTS, SCHEDULED TO EXPIRE DECEMBER 31, 2017, BE EXTENDED TO DECEMBER 31, 2021, WITH THE REVENUE FROM SUCH TAX EXTENSION AND ALL EARNINGS THEREON BE USED TO FUND CITY CAPITAL IMPROVEMENT PROJECTS SUCH AS: APPROXIMATELY $12,500,000 TO RELOCATE FIRE STATION #3; APPROXIMATELY $5,000,000 FOR LIBRARY - NORTH BOULDER BRANCH; APPROXIMATELY $5,500,000 FOR CITYWIDE RADIO INFRASTRUCTURE REPLACEMENT; APPROXIMATELY $3,500,000 FOR FOURMILE CANYON CREEK GREENWAYS IMPROVEMENTS - 19TH TO BROADWAY; APPROXIMATELY $4,200,000 FOR SCOTT CARPENTER POOL REPLACEMENT; AND APPROXIMATELY $400,000 FOR PUBLIC ART; NON-PROFIT ORGANIZATION CAPITAL IMPROVEMENT PROJECTS SUCH AS: APPROXIMATELY $87,000 FOR GROWING GARDENS - POLLINATOR PAVILION; APPROXIMATELY $822,500 FOR COMMUNITY CYCLES COMMUNITY CYCLING CENTER; APPROXIMATELY $1,600,000 FOR MEALS ON WHEELS NEW FACILITY CONSTRUCTION; APPROXIMATELY $1,750,000 FOR STUDIO ARTS BOULDER - COMMUNITY STUDIO ARTS EDUCATION CENTER; APPROXIMATELY $1,400,000 FOR CENTER FOR RESOURCE CONSERVATION – ZERO WASTE COMMUNITY CENTER; APPROXIMATELY $1,250,000 FOR KGNU - COMMUNITY MEDIA CENTER; AND APPROXIMATELY $1,000,000 FOR BOULDER MUSEUM OF CONTEMPORARY ART - MUSEUM RENOVATION; ANY PAYMENTS FROM THIS TAX TO NON-PROFIT ORGANIZATIONS SHALL BE MADE IN COMPLIANCE WITH TERMS, CONDITIONS, TIMING AND FUNDRAISING MATCHING REQUIREMENTS APPROVED BY THE BOULDER CITY COUNCIL; AND ANY REMAINING FUNDS TO BE APPROPRIATED BY THE BOULDER CITY COUNCIL TO FUND CAPITAL IMPROVEMENT PROGRAM PROJECTS; AND IN CONNECTION THEREWITH, SHALL ANY EARNINGS FROM THE REVENUES FROM SUCH TAX EXTENSION CONSTITUTE A VOTER APPROVED REVENUE CHANGE AND AN EXCEPTION TO THE REVENUE AND SPENDING LIMITS OF ARTICLE X, SECTION 20 OF THE COLORADO CONSTITUTION?

For the Measure ____
Against the Measure ____

See Ordinance No. 8197 to put Issue 2M to the voters
https://bouldercolorado.gov/central-records/document-archive then click on Browse City Council Records > Ordinances > 2017 > 8197

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