2021 Election

Keep Castle Rock special

Most who live here agree: Castle Rock is special. It’s safe, it’s scenic – most anything one wants is available here, including a great quality of life.

To help ensure the Town can continue to preserve these qualities residents love about Castle Rock, Town Council is considering placing four questions on this November’s ballot to strengthen the Town’s financial position over the long term.

  1. New housing construction tax for police and fire
  2. Parks and recreation sales tax on lodging
  3. Open space sales and use tax
  4. Use of all excess revenues solely for police, fire and roads
  1. Shall Castle Rock taxes be increased by $13,900,000 annually in the first full year of such increase, and by whatever additional amounts are raised annually thereafter, for the sole purpose of providing police, fire protection, and emergency medical services from a new housing construction tax imposed and paid upon issuance of a building permit at a rate up to and including $7.00 per square foot of new residential construction; provided that:

    (I) commencing January 1, 2023, the maximum rate shall be adjusted for inflation in future years in accordance with the Consumer Price Index for all urban consumers in the Denver-Aurora-Lakewood statistical area;

    (II) the rate of such tax may be increased or decreased without further voter approval so long as the rate does not exceed $7.00 per square foot as adjusted for inflation; and 

    (III) all revenues from such tax shall be collected, retained, and spent as a voter-approved revenue change and as an exception to the limits that would otherwise apply under Article X, Section 20 of the Colorado Constitution or any other applicable law?

    YES ____ NO ____

Castle Rock voters have not approved an increase to Town tax rates since 1994. In fact, the Town’s property tax mill levy rate has declined by more than 92% since that time.

Here are the four revenue requests Castle Rock voters could see on this November’s ballot:

New housing construction tax – A tax of up to $7 per square foot on permits for new single- and multi-family homes built in Castle Rock, to use solely to fund 75 additional police and fire positions over the next five years, along with related equipment, training and operational needs.

Lodging tax – A 6% tax on overnight stays of less than 30 days in Town, to use solely to bolster the Town’s parks and recreation services, including park maintenance.

0.1% sales tax increase – An additional tax of one penny on every $10 taxable purchase to use solely for open space and trails purposes, including for acquiring more open space.

10-year TABOR timeout – Without raising taxes, temporarily lifting restrictions on Town revenues to use solely for police, fire, EMS and transportation purposes – including to construct a new interchange at Interstate 25 and Crystal Valley Parkway. The Town cannot complete the interchange without this exemption, which 21 of Colorado’s 25 largest cities have in place.

Unless a resident builds a brand new home or stays in a local hotel or short-term rental property, only the proposed sales tax increase would apply to residents’ purchases. The proposed revenue sources help ensure those moving into or visiting the community are paying their fair share for Town services.

These alternatives are being considered now to help ensure the Town can:

  • continue providing outstanding emergency medical, fire and police services
  • maintain the Town’s award-winning open space, parks and trails systems
  • enhance the Town’s roadway network – including through construction of a new interchange at Interstate 25 and Crystal Valley Parkway

Share what you think about the proposals – fill out an online formForms

  1. New housing construction tax FAQs
  2. Lodging and sales tax FAQs
  3. TABOR timeout and general FAQs

Background

In March, Town staff presented Town Council an analysis of alternative revenue options. Also at that time, Council heard from the Fire and Police departments about their staffing and other needs over the next five years, given the Town’s expected growth. Details of those needs are in the infographic on this page.

Discussions continued, and the Town in June 2021 sought public feedback on some of the alternatives that were evaluated. A voter opinion poll explored the community’s thoughts about potential tax questions Town Council could place on the November 2021 ballot.

Council received and began discussions on the results of the poll during a June 15 study session. Council continued its discussion of this issue in July and may decide to ask voters for permission to initiate new revenue streams or increase existing ones as part of this fall’s election.

The second page of the infographic explains the potential revenues being explored for open space, trails parks and recreation needs and a "TABOR time-out" that could help with funding the interchange and other needs.