Manitou Springs voters to decide on potential increase to city’s amusement tax in November
MANITOU SPRINGS, Colo. (KRDO) -- Voters in Manitou Springs will decide on a proposed increase to the city's amusement tax this November.
Officials say the proposed tax increase is intended to generate municipal revenue for key community services and infrastructure. The measure would add an extra $4 tax for every $100 spent at ticketed venues and attractions across the city, including the Cog Railway and local zipline operators.
City leaders say funding from the tax would support downtown beautification projects, maintain municipal pool operations and continue funding the local fire department's ambulance service.
Supporters of the measure emphasize that the city has already exhausted minor budget cuts. Manitou Springs Mayor Natalie Johnson noted that further spending reductions would directly impact essential community facilities and public safety operations, like the city's ambulance service.
“Whether it's keeping our pool open, whether it's downtown beautification, whether it's continuing our fire department lead ambulance service; I mean, we're talking about really big things. We've made the cuts that we can make without really hurting individuals in our community,” Johnson said. “And this next step would really hurt.”
Johnson says the tax structure targets visitors rather than residents, minimizing the direct financial effect on local taxpayers. Johnson added that ticketed attractions are well-positioned to handle the change.
“It is primarily paid for by tourists,” Johnson said. “I do not believe it will negatively impact these businesses. And it is right that the right solution for this.”
Opponents of the initiative, however, express concern that added costs could harm local commercial operations. Greg Wellens, who owns Adventures Out West Pikes Peak Ziplines, pointed out that venue operators are already facing rising expenses across multiple areas.
“There's fewer people come in. We're already squeezing,” Wellens said. “A higher minimum wage, costs, and cost of goods sold are going up, and fuel.”
Wellens added that cumulative regulatory burdens and municipal tax hikes reduce commercial efficiency. Wellens wrote about his opposition to 2A, which you can read here.
“Higher taxes and higher regulation means less productivity, less profit margin,” he said. "There's fewer people coming. We're already squeezed. A higher minimum wage, costs, and cost of goods sold, are going up, and fuel. And then to add more on top, that doesn't make sense."
Manitou Springs voters will make a final decision on the proposed amusement tax increase on the ballot this November. It will appear as Ballot Measure 2A for the general election.
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