Politics
Colorado income-tax ballot measure survives challenge as appeal looms
A Denver judge rejected an effort to remove Amendment 87 from Colorado’s November ballot, finding the challenger had not shown that petition-circulator registration issues invalidated signatures. The plaintiff plans an expedited appeal, with voting about two weeks away.
A proposal to replace Colorado’s flat income tax with graduated rates will remain on the November ballot for now, after a Denver District Court judge rejected a legal challenge Wednesday. The measure’s future is still uncertain: the plaintiff’s lawyer said he intends to seek an expedited appeal to the Colorado Supreme Court, with Election Day about 13 days away.
Judge Heidi Kutcher ruled that Centennial resident Michael A. Hancock did not meet his burden of showing that petition organizers’ registration practices or alleged training gaps violated the law in a way that would invalidate signatures. The lawsuit focused on paid circulators who gathered signatures for Amendment 87.
Hancock argued that signatures collected by 69 paid circulators—more than 11,000 in total—should be thrown out. That could have removed the measure from the ballot: state officials certified 130,938 valid signatures, only modestly above the 124,238 required.
Evidence presented in court narrowed the dispute. The Secretary of State’s Office said some circulators identified in Hancock’s filing had completed the required steps, while others had not formally been linked to the measure or had no registration record. Organizers argued they had substantially complied with the rules and that state law does not specify that missed registration steps invalidate otherwise valid voter signatures.
Kutcher agreed that the law and the Secretary of State’s rules do not make a circulator’s incomplete registration a basis for invalidating an otherwise valid signature. She wrote that doing so would significantly restrict registered voters’ ability to participate in Colorado’s initiative process. The ruling leaves open the possibility of other remedies for violations by petition entities.
The lawsuit was filed in September. Hancock’s attorneys, including former U.S. Attorney Jason Dunn, argued that the registration requirements should have been enforced during the state’s petition review. The Secretary of State’s Office said it does not verify whether paid circulators completed every step after petitions are submitted.
Voters are being asked to decide whether to replace the state’s current 4.4% flat income-tax rate with a graduated system. Under Amendment 87, individuals and businesses earning below $500,000 would pay less, while higher earners would pay more. The proposal’s estimates include a $175 tax reduction for someone earning $25,000 and an increase of $55,925 for someone earning $2 million. One proposal could raise roughly $2 billion more, according to the ballot-measure figures described in court coverage.
A competing measure would cap the rate at 4.4%, the current flat rate for individuals and corporations. If both proposals pass, lawmakers’ prevailing view is that the measure receiving more votes would control, although courts could ultimately be asked to resolve the conflict.
Chris deGruy Kennedy, co-chair of the coalition backing Amendment 87, welcomed the ruling but said the campaign expects further legal challenges. Secretary of State Jena Griswold said her office would continue to follow state law and enable voters to decide measures that qualify for the ballot.