Complete Colorado

Amendment 87: Tax hike hits the gas on Colorado’s decline

A ballot initiative that imposes higher income taxes won’t fix Colorado. It will accelerate its decline.

The Bell Policy Center is attempting to overturn Colorado’s Taxpayer’s Bill of Rights (TABOR) with Amendment 87, raising the top income tax rate to as high as 8.4% on individuals and corporations to give big-spending politicians a blank check to spend billions more.

We do not need to guess the consequences; just look at Massachusetts, New York, California, and Washington, which have all raised tax rates with disastrous consequences for their residents.

Massachusetts: Passed its millionaire surtax in 2022. The next year, the state lost $4.2 billion in net adjusted gross income.

New York: Lost $9.9 billion of adjusted gross income from 2022 to 2023, per the IRS, from interstate migration. Governor Hochul publicly begged wealthy New Yorkers to come back from Florida this year.

California: The California Tax Foundation estimates that nine billionaires who have already left the state due to the proposed Billionaire Tax will cost the state $2.7 billion in annual tax revenue.

Washington: Seattle’s mayor cheered Jeff Bezos’s departure and, in the process, waved goodbye to $1.5 billion in state taxes on his 2024–2025 stock sales.

The pandemic, remote work, and technological innovation allow wealthy individuals and corporations to seamlessly move to lower tax states. As Texas, Tennessee, and Florida roll out the red carpet with zero income tax, they attract jobs, investment, and billions of dollars in sales taxes, property taxes, and fees.

If Amendment 87 passes, Colorado’s workers, families, and government services will lose.

What you need to know

This initiative doesn’t guarantee a single dollar for education or healthcare. It hands a blank check up to $2.7 billion to a legislature that has proven it cannot turn money into results.

Colorado’s budget has grown 124% since 2012 against a population growth of just 16%, eight times faster. What did Coloradans get for it?

Per-pupil education spending is up 92% since 2013. Reading scores are below pre-pandemic levels. Since peaking in 2013, Colorado’s national rank under the National Assessment of Educational Progress (NAEP) has fallen 11 places to 17th in 4th-grade math and down to 14th in 8th-grade math.

Medicaid spending doubled from $8 billion to $16 billion between 2015 and 2025, despite enrollment growing by only 7%.

Police protection spending statewide increased 72% from 2012 to 2023, yet Colorado is ranked the second most dangerous state, according to U.S. News & World Report.

The state transportation department has an annual budget of about $1.55 billion, yet the Texas A&M Transportation Institute’s study found that metro Denver drivers spend an average of 76 hours a year stuck in traffic, up from 62 in 2019, which is the seventeenth-worst in the nation.

The state increased funding and delivered worse results. Now they want $2.7 billion more, with zero accountability, taken directly from the people who create Colorado’s jobs.

Here is the reality: The people who can afford to leave, will. The people who can’t, and the jobs that disappear with them, are the real casualties. Amendment 87 doesn’t threaten the wealthy. It threatens the small business owner down the street, the startup that was about to hire, your job, upward mobility for every Coloradan, and your community’s economic future.

Vote No on Amendment 87 and Vote Yes for the Flat Tax Proposition 136.

Alan Philp is a political consultant who has worked on dozens of Colorado political campaigns.

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