Lawmakers kick off 2020 session

Lawmakers headed back to the state Capitol Wednesday, Jan. 8, for the 2020 legislative session. The big question: Will it be like last year?

There has been a lot of activity since the 2019 session ended last May. Several groups attempted but failed to recall Democratic lawmakers, including Senate President Leroy Garcia, D-Pueblo; two state senators; and a state House representative who was one of the chief sponsors of the red flag law that went into full effect Jan. 1.

One lawmaker — Rep. Rochelle Galindo, D-Greeley — resigned in the wake of sexual harassment accusations involving a campaign worker. Another — Rep. Kimmi Lewis, R-Kim — died in December after a long battle with breast cancer.

That means two new members of the House will begin their first terms next week. That’s Rep. Mary Young, D-Greeley, wife of state Treasurer Dave Young, who was appointed by a Democratic vacancy committee and sworn in last July, and Rep.-elect Richard Holtorf, R-Akron, who was appointed by a Republican vacancy committee on Dec. 28 to replace Lewis (he hasn’t been sworn in yet).

Another change for 2020: the budget. After several years of higher than normal revenues, the forecast released by state economists Dec. 20 show state revenues won’t be as generous for the 2020-21 budget year. In addition, several programs funded in the 2019-20 budget are likely to cost more than was estimated a year ago, including taxpayer-funded full-day kindergarten and a reinsurance program that is expected to result in a substantial drop in health insurance premiums for those who buy their own health insurance.

That said, taxpayers could see more than $1 billion in refunds from the Taxpayer’s Bill of Rights between this April and 2022. TABOR refunds are paid the year after the revenues are collected. The tax refunds will come through three mechanisms: property tax refunds to seniors and disabled military veterans, known as the homestead exemption; a temporary reduction in the state income tax, paid to individual and corporate tax filers; and a reduction in the state sales tax, paid out based on income.

The TABOR refund expected to be paid to tax filers in April is estimated at $428.3 million; in 2021 it is estimated at $304.3 million and the following year at $367.3 million.

TABOR refunds are at the top of the legislative agenda for state Sen. Jerry Sonnenberg, R-Sterling, in the 2020 session. He told this reporter that his first bill will seek a reduction in the state’s income tax. “We continue to have TABOR refunds, so there’s no sense in collecting it to begin with,” he said. “We need a lower tax rate to accommodate future dollars we will have to give back.”

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