For the 22nd year in a row, the Broomfield City Council is choosing to retain the current mill levy, and instead opting to pursue property tax relief through expansion of existing programs.
The council unanimously voted to certify the mill levies in Broomfield without lowering the mills under the city and county’s control, a decision some residents have disagreed with.
“Affordability is something we talk about constantly — you pass this mill levy at its current rate and I would say affordability is getting lip service,” Ward 3 resident Peter Crouse said during public comment in Tuesday’s meeting.
“Council could and should provide the most equitable amount of relief for the greatest number of citizens, by reining in the mill levy rate.”
Crouse was a Ward 3 councilmember candidate in this year’s election, and his platform included promises to reduce the city and county mill levy.
While discussing the resolution — and in previous meetings — the council expressed concern over possible changes to the mill levy, partially because the staff estimates that even large decreases would result in overall small savings for residents. Reducing the levy by 20% would cost Broomfield $11.5 million, and save the average homeowner $25 per month.
“My property taxes are going up by $125 a month,” Ward 1 Councilmember James Marsh-Holschen said. “Would I like to save $25 a month? Yeah, of course, but I’m paying (that) partially to fund a new police and courts building.”
The council has set aside $10 million of the estimated $15 million increase in property tax revenue in the city and county for a new police and courts building, as the department has outgrown its current space. The $10 million would be used to qualify for a bond to pay for the project, which will cost an estimated $78 million.
“It’s critical infrastructure, and it’s for public safety,” Mayor Guyleen Castriotta said after the vote. “I feel the hardship as much as anyone else … but public safety has to be our top priority, and I hope you will understand that.”
In place of a mill levy reduction, the council previously directed the staff to explore expansions to existing tax relief programs, in an effort to offer targeted support to those with the highest need. In Tuesday’s meeting, City and County Manager Jennifer Hoffman presented the council with a report regarding cost estimates for the proposed expansion.
The expansion would focus on Broomfield’s existing property tax refund program for seniors and disabled residents. Under the current program, residents who otherwise qualify for the refund must make 60% or less of the area median income, which is just over $60,000 annually for a two-person household in Broomfield.
The staff presented a variety of expansion options, all focused on increasing the qualifying income. The council decided to pursue an expansion to the program that would raise the limit to 80% of the area median income, just under $80,000 annually for a two-person household. The expansion and the current program both offer qualified residents refunds on their property tax payments equal to the annual increase on their bill, but refunds are capped at $1,000.
In addition, the existing program for residents who make 60% or less of the area median income bases the refund amount on their entire property tax bill. With the expansion the staff is exploring, residents making between 61% and 80% of the area median income would have their refund based only on the portion of their property taxes that goes back to the city and county — about 25% of the total bill. Both refunds would still be capped at $1,000.
The current program is funded by Broomfield’s housing division. Any expansions would be funded by a portion of the estimated $15 million increase in property tax revenue. City staff estimates that the yearly cost for the new expanded program would be $2.3 million.
The report did not involve a vote to institute any changes, but rather provided city and county staff with further direction from the council to explore the costs of the expansion. Further discussion on next steps are scheduled for a study session early next year.
The council also unanimously approved two resolutions regarding open space in Broomfield, authorizing and approving plans for two open spaces near the intersection of 136th Avenue and Sheridan Boulevard.
The two open space areas, Markel and Wottge, constitute a combined 98 acres and are slated to include a number of trails and shaded tables as well as benches and other improvements. City and county staff estimate the combined cost of the projects at $2 million, which falls within the budgeted amount for the project.
The council also approved some administrative changes to the council’s order of business. They will further discuss amendments to council procedures in a focus session next year.
Lastly, council members were appointed to vacant positions on boards and commissions that require an elected official. These appointments are made every two years following the municipal election.
This week’s meeting was the last of the year, and the council will reconvene in January.