Littleton's $6.5M Revenue Shortfall: What To Know So Far

Littleton CO

13 July, 2021

2:00 PM

Description

LITTLETON, CO — Littleton City Council and the city's leadership team continue to grapple with a projected annual $6.5 million revenue shortfall in its Capital Projects Fund, and several solutions have been proposed. The projects fund pays for roadway maintenance, building enhancements and other infrastructure projects. The fund is set to reach zero in four years, and the city has a $98 million list of more than 70 unfunded capital infrastructure projects over the next 15 years. More than 330 people attended a telephone town hall in late June to discuss the shortfall, and the city has launched a webpage that's dedicated to a funding fix. Some proposed solutions include a new tax or tax-rate increases that would require voter approval in November. City Council said it wants to hear from the public Aug. 26 on the following potential solutions, which were published in the Littleton Report: Increasing the retail marijuana tax rate — would generate an additional $500,000 to $1 million per year Instituting a new lodging tax — charging hotel patrons and short-term rental guests a new tax that could generate up to $1 million per year Increasing the sales tax rate by 0.5 percent — a half-percent increase would generate an average of $6.5 million per year and cost an additional $0.50 on a $100 purchaseIncreasing the sales tax rate by 0.75 percent — a three-quarter percent increase would generate an average of $10 million per year and cost an additional $0.75 on a $100 purchase City council members may decide Aug. 17 whether to place a question or questions on the local ballot this November. If ballot language is introduced, a special meeting and public hearing will be held Aug. 26. Don't miss the latest news updates in Littleton: Free Littleton Patch Newsletters and Email Alerts | Facebook | Twitter "The notion of closing the Bemis Public Library and the Littleton Museum illustrated the depth of the problem during a 10-week research and community engagement effort, but both Mayor Jerry Valdes and City Manager Mark Relph have said closing treasured community assets like the library and museum do not represent a reasonable or realistic solution," the Littleton Report read. During the June town hall, Relph said that closing the library and museum would be "gutting a lot of the culture of the community." The closures would save around $4.2 annually. >> The latest information about how to attend public hearings and City Council meetings can be found here.