WEEK OF JANUARY 25, 2024
VOLUME 22 | ISSUE 47
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Douglas County’s steps to lower property taxes
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BY ELLIS ARNOLD EARNOLD@COLORADOCOMMUNITYMEDIA.COM
As homeowners around the Denver metro area face steep hikes in their property tax bills, officials in Douglas County are working to give back some of the money they expect to collect. “We are saying: ‘We are not asking you to give us a windfall,’” Commissioner Lora Thomas told Colorado Community Media. Local taxes are in the spotlight after homeowners around the Denver area saw their home values jumped by shocking amounts. In Douglas County, residential properties faced increases between 30% and 60%. With values surging, property taxes across the metro area are expected to do the same. Douglas County’s commissioners, all Republicans, have been looking for ways to ease the burden on taxpayers. They have decided to refund some of what they collect, sending homeowners $190 back on average. A homeowner’s property tax bill in Douglas County can be several thousand dollars. So, the county’s relief on its own may not make a huge dent for some homeowners. But the county’s leaders felt that the government’s budget didn’t need the boost. “We have tightened our belt as tight as we can without reducing services to the residents, and keeping them safe,” Thomas said. Douglas County’s tax action comes after a flurry of initiatives, from Proposition HH, which voters killed, to a plan from lawmakers to revive some elements of HH in a special session at the state Capitol last year, to other decisions that affected the tax landscape – and a lawsuit in the mix to add another potential challenge. Here’s a look at how it all adds up for homeowners.
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A vast view of homes from Bluffs Regional Park and Trail in Lone Tree in October 2022. PHOTO BY TAYLER SHAW
How the tax spike changed
Some homeowners may wonderwhy their property values jumped so high. It’s because properties get revalued every two years in Colorado — and because the data lags behind. The property valuation that homeowners received from county assessors around early May is based on data as of June 2022, near the recent peak in the real-estate market. Property taxes partly fund county governments, but they also fund school districts, fire and library districts, and many other local entities. Homeowners can blame the realestate market, but what they ultimately owe in taxes depends on state policy too.
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In Douglas County, the median increase in residential property values compared to the prior year was about 47%, said Toby Damisch, who heads Douglas’ property valuation office. Another piece of the property tax equation, along with a home’s value and the local government tax rate, is a number called the “assessment rate.” Colorado lawmakers come into the picture with state Senate Bill 22-238, a law that effectively adjusted home values and reduced the assessment rate, Damisch said. That knocked the estimated tax increase for a typiSEE TAXES, P10
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