{"id":27,"date":"2026-05-07T16:06:13","date_gmt":"2026-05-07T16:06:13","guid":{"rendered":"https:\/\/coloradorelocationreport.com\/?p=27"},"modified":"2026-05-07T16:06:13","modified_gmt":"2026-05-07T16:06:13","slug":"road-funding-fight-roils-colorado-capitol-with-days-left-in-legislative-session","status":"publish","type":"post","link":"https:\/\/coloradorelocationreport.com\/?p=27","title":{"rendered":"Road funding fight roils Colorado Capitol with days left in legislative session"},"content":{"rendered":"<div>\n<p>After transportation funding took the brunt of last year\u2019s state budget cuts, the Colorado Contractors Association came up with a plan to stop it from happening again.<\/p>\n<p>Read more <a href=\"https:\/\/coloradorelocationreport.com\/?p=25\">Man pleads guilty in Colorado firebombing attack on pro-Israel demonstrators<\/a><\/p>\n<p>Their proposal, a constitutional amendment known as Initiative 175, would enshrine road funding in the state constitution, giving it legal protections from funding cuts that are only provided to one other public service: K-12 education.<\/p>\n<p>The state\u2019s budget woes have only grown in the meantime, leading lawmakers to slash spending on healthcare, childcare, affordable housing, state worker pay and higher education as they try to address recurring shortfalls of over $1 billion a year. Legislators even scaled back a top bipartisan priority at the statehouse: Colorado\u2019s new K-12 funding formula, which aimed to pump tens of millions of additional dollars into schools each year.<\/p>\n<p>With more state budget cuts anticipated in 2027, the contractors association\u2019s position only appears to have hardened. Supporters of Initiative 175 say Colorado\u2019s roads are in such disrepair that if lawmakers won\u2019t prioritize roads, voters should make them. The group has submitted most of the signatures it needs to qualify for the ballot, with a May 27 deadline approaching.<\/p>\n<p>The measure\u2019s backers have rejected calls to pull it from the ballot, dismissing cries from a wide range of interest groups that it will lead to $700 million in additional cuts to other services.<\/p>\n<p>Now, with just days left in the legislative session, top state lawmakers are rushing to pass a bill to neutralize the ballot measure. If the ballot measure passes, House Bill 1430 would offset the spending required by Initiative 175 by temporarily cutting Colorado\u2019s main funding source for roads, the state gas tax, as well as other transportation fees. That would effectively limit how much money the state has to spend on roads, sparing other programs from funding cuts.<\/p>\n<p>Restore Our Roads, the campaign behind the ballot measure, accused lawmakers of subverting the will of the voters before they even have a chance to weigh in.<\/p>\n<p>\u201cBy moving this bill now, legislators are telling Coloradans their votes don\u2019t matter,\u201d Tony Milo, president and CEO of the Colorado Contractors Association, said in a statement.<\/p>\n<p>But \u2014 after years of playing defense against conservative ballot measures that have exacerbated the state\u2019s budget crisis \u2014 statehouse Democrats say they\u2019ve lost patience with groups that use the initiative process as leverage to get what they want from the Capitol. The contractors association and several other top supporters of Restore Our Roads are construction companies that would benefit financially from the measure\u2019s passage.<\/p>\n<p>\u201cThere is an immense frustration that we are experiencing when special interests legislate at the ballot for funding their particular special interest,\u201d Joint Budget Committee Chair Emily Sirota told The Colorado Sun.<\/p>\n<p>\u201cWhen one deep-pocketed special interest is able to present a very narrow question to the voters like that, it\u2019s really misleading because you\u2019re not being asked the rest of the question,\u201d added Rep. Sirota, a Denver Democrat. \u201c\u2018Would you prefer to fund roads instead of your hospitals and schools and other services that your community relies upon?\u2019\u201d<\/p>\n<h2>How Initiative 175 would increase road funding\u00a0<\/h2>\n<p>The language voters will see if Initiative 175 makes the ballot doesn\u2019t sound controversial.<\/p>\n<p>It would require state and local governments to spend \u201cany state revenue collected to support road transportation on road transportation.\u201d<\/p>\n<p>But the fine print of the measure would represent a major expansion of road funding in Colorado.<\/p>\n<p>Under Initiative 175, sales taxes paid to buy a motor vehicle would be classified as \u201crevenue collected to support road transportation,\u201d preventing those dollars from being spent on general state services as they are today. It does the same for 67% of sales taxes collected on auto parts.<\/p>\n<p>Nonpartisan state fiscal analysts say the sales tax changes would blow a $264 million hole in next year\u2019s general fund budget, which starts July 1, plus $539 million the year after that.<\/p>\n<p>And, because the measure would amend the state constitution, lawmakers wouldn\u2019t be able to make future cuts to road spending without voter approval. Budget writers in both parties say that will require immediate and ongoing cuts to healthcare and education.<\/p>\n<p>\u201cOur two biggest areas are K-12 and Medicaid, and that\u2019s where it\u2019s going to come from,\u201d Rep. Rick Taggart, a Grand Junction Republican who serves on the Joint Budget Committee, said Wednesday on the House floor. \u201cIf we don\u2019t do something right now, we\u2019re shirking our responsibilities.\u201d<\/p>\n<p>Milo, the CEO of the contractors association, told The Sun in an interview that the constitutional protections were needed. That means a higher bar for passage \u2014\u00a055% of the vote, instead of a simple majority for a statutory change.<\/p>\n<p>\u201cIf we were to pass a statutory measure, we have no confidence that the General Assembly won\u2019t just reverse it,\u201d Milo said. \u201cWe felt like we had to go to the constitution to get it locked in.\u201d<\/p>\n<p>But that argument has fallen flat among others who rely on the state for funding, but have no such protection from budget cuts.<\/p>\n<p>At a committee hearing Tuesday, Jennifer Riley, CEO of Memorial Regional Health in Craig, told lawmakers that her rural hospital may have to reduce services as a result of compounding cuts at the state and federal level. If things get worse, she said, her patients may have to travel more than 50 miles away to find care.<\/p>\n<p>\u201cWe\u2019re not talking about belt-tightening,\u201d Riley said. \u201cWe\u2019re talking about survival.\u201d<\/p>\n<h2>The dismal state of road funding<\/h2>\n<p>For decades, Colorado has primarily funded road construction through the 22-cent state gas tax, which is losing value to inflation and the rise in electric vehicles. The state also charges a number of fees on drivers, including vehicle registrations and an additional surcharge on gasoline.<\/p>\n<p>All told, the taxes and fees generate more than  for state and local transportation projects.<\/p>\n<p>Lawmakers have also passed measures over the years to devote general fund dollars to transportation, most recently in 2021 with the passage of . But when the budget gets tight like it is now, transportation funds are often among the first to wind up on the chopping block.<\/p>\n<p>In the wake of the Great Recession, lawmakers eliminated transportation spending from the general fund for six years before restoring some funding. Last year, the legislature cut more than $100 million from the 2021 transportation funding package to help close a $1 billion budget gap.<\/p>\n<p>\u201cRoads have just been completely thrown aside as the forgotten stepchild,\u201d Milo said.<\/p>\n<p>Read more <a href=\"https:\/\/coloradorelocationreport.com\/?p=23\">What\u2019s Happening: The Cookie Factory turns 1<\/a><\/p>\n<p>Colorado\u2019s not alone in funding transportation primarily with gas taxes and vehicle fees. The average state spends just 1.8% of its general fund on transportation, according to .<\/p>\n<p>But even critics of the ballot measure agree that Colorado roads are poorly funded. The Colorado Department of Transportation says the state still needs to spend as much as $350 million a year more to keep up with maintenance and construction needs, according to . The American Society of Civil Engineers give Colorado\u2019s roads a D+ on their annual infrastructure report card.<\/p>\n<p>Still, lawmakers say that given the budget situation, it\u2019s irresponsible to force the state to spend more on roads without new taxes or fees to pay for it.<\/p>\n<p>\u201cThey\u2019re just essentially taking money from one hand and putting it in the other and pretending the other hand still has money inside of it,\u201d said state Rep. Andrew Boesenecker, a Fort Collins Democrat, who is co-sponsoring House Bill 1430 with Sirota.<\/p>\n<p>Milo says it\u2019s been tried, pointing to a 2018 measure that voters rejected that would have raised sales taxes to fund transportation.<\/p>\n<p>\u201cThe problem right now is, they\u2019re frustrated,\u201d Milo said. \u201cThey\u2019re feeling pinched. There\u2019s not an appetite for a tax increase from the voters right now.\u201d<\/p>\n<h2>Protecting the state budget<\/h2>\n<p>Legislative Democrats and the governor\u2019s staff have met off and on with the Colorado Contractors Association since the ballot measure cleared its initial procedural hurdle in December.<\/p>\n<p>But both sides say the sticking point remains the same: Democrats won\u2019t negotiate unless the ballot measure goes away, and the contractors are unwilling to do that without a deal in place.<\/p>\n<p>In recent weeks, the ballot fight spilled out into public view, when a coalition of healthcare organizations, education groups and liberal advocates sent a letter warning of the damage it would do to public services.<\/p>\n<p>\u201cInitiative 175 decimates Medicaid, K-12 and education funding by design,\u201d wrote the group, called Keep Kids First. \u201cColorado absolutely needs thoughtful solutions to address transportation challenges. However, steep cuts to health care, education, and other essential services are not the answer.\u201d<\/p>\n<p>Restore Our Roads replied with a letter of its own dismissing the concerns as fearmongering, and said budget cuts weren\u2019t their problem.<\/p>\n<p>\u201cNothing in Initiative 175 cuts a single dollar from healthcare or classrooms,\u201d the Restore Our Roads campaign wrote back. \u201cDecisions about how to prioritize funding for each and every state program rests with elected officials and are not attributable to this proposed measure.\u201d<\/p>\n<p>With just days left before the legislative session ends on Wednesday, Democrats have taken a harder line, advancing a bill to nullify its effects on the state budget.<\/p>\n<p>House Bill 1430 would cut the state gas tax by 8 cents, and cut other transportation fees as needed to cancel out the cost of Initiative 175.<\/p>\n<p>In any other state, cutting taxes amid a budget crisis would only make matters worse. But in Colorado, those cuts will free up room under the state spending cap, allowing more income and sales taxes to flow into the general fund, where they can make up for the money diverted to roads.<\/p>\n<p>For taxpayers, it\u2019s largely a wash \u2014 much of what they gain from a lower gas tax will be offset by a reduction in taxpayer refunds, according to a legislative fiscal analysis. But budget writers say it will give them flexibility to fulfill the constitutional requirements of Initiative 175 without making further cuts to other services.<\/p>\n<p>In a statement, Gov. Jared Polis signaled support for the bill, which received preliminary approval in the House on Wednesday.<\/p>\n<p>\u201cThe price of gas is now over $4 a gallon thanks to President Trump and his war in Iran,\u201d spokesperson Eric Maruyama said in a statement. \u201cOf course the governor would support a bill to cut taxes and save Coloradans money, and that includes cutting the gas tax while protecting the state budget.\u201d<\/p>\n<h2>Negotiations continue as tensions rise<\/h2>\n<p>At a testy Tuesday committee hearing, supporters and opponents of Initiative 175 alike accused the other side of engineering something akin to a hostage situation.<\/p>\n<p>House Republicans railed against the Democrats\u2019 proposed solution, saying it was an affront to democracy. Some local officials, including Kevin Ross, a Weld County commissioner, joined in, criticizing lawmakers for repeatedly balancing the state budget at the expense of roads.<\/p>\n<p>\u201cFrankly, it\u2019s appalling the condition that our roads are in,\u201d Ross said. \u201cYet this legislature is now saying, \u2018we know better than the voters.\u2019\u201d<\/p>\n<p>In response, Sirota used the word \u201cappalling\u201d six times to describe the state of other public services in Colorado.<\/p>\n<p>\u201cFrankly, the premise put forward by Initiative 175 proponents is appalling to me,\u201d Sirota said. \u201cIt is placing the interests of one industry over the needs of the state as a whole.\u201d<\/p>\n<p>Milo, meanwhile, says discussions continue \u2014 but he has no plans to withdraw the ballot measure without a firm commitment from the legislature.<\/p>\n<p>\u201cWe\u2019re definitely open to some kind of compromise, some kind of middle ground that moves the needle forward on building and maintaining our roads,\u201d Milo said. \u201cBut it\u2019s got to be significant \u2014 enough money to move the needle. And it\u2019s got to be guaranteed.<\/p>\n<p>\u201cWe\u2019ve had too many situations with this General Assembly over the years where we get promised something and the next thing you know, it\u2019s taken away.\u201d<\/p>\n<p>Read more <a href=\"https:\/\/coloradorelocationreport.com\/?p=22\">What\u2019s Happening: The Cookie Factory turns 1<\/a><\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>After transportation funding took the brunt of last year\u2019s state budget cuts, the Colorado Contractors&#8230;<\/p>\n","protected":false},"author":1,"featured_media":26,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[11],"tags":[],"class_list":["post-27","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-transportation"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.5 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Road funding fight roils Colorado Capitol with days left in legislative session - 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