TABOR, or the Taxpayer Bill of Rights, is an amendment to the Colorado Constitution voters approved in 1992. The amendment limits the amount of revenue a government can collect and spend, and requires voter approval for tax increases and to issue general obligation or revenue bond debt.
Voters may lift this provision, known as "de-Brucing." Eighty-seven percent of municipalities and virtually all school districts in Colorado are exempt from TABOR revenue restrictions.
When revenues exceed TABOR limits, the Town has two choices:
1. Refund the money in some manner
2. Ask voters to keep and spend the money on local services (up to a year retroactively)
Both options have occurred in Castle Rock the past.
The Town's current TABOR status
Town Council in June 2014 directed staff to manage Town finances to keep revenues within TABOR limits to the extent possible, and staff has done so.
Still, due to favorable economic conditions and increased Town revenue, the Town has exceeded its TABOR revenue cap for 2015 by $714,580, according to preliminary 2015 year-end financial information. Various factors contributed to the surplus, including strong sales tax growth and contributions for the construction of the North Meadows Extension and Philip S. Miller Park.
Council recently decided to send the 2015 TABOR matter to a public vote, which will occur as part of the Nov. 8, 2016 general election. View additional details.