In November, it was brought to the attention of the Salida Hospital District that the District may have been setting its mill levy for operating purposes in a manner that did not comply with the Taxpayer’s Bill of Rights.
The District’s Chief Financial Officer Lesley Fagerberg began an internal investigation.
At the time of the District’s formation in 1963, it has been authorized to impose a maximum of 2 mills for operating purposes. In 1987, state law changed to remove that 2 mill cap, but required voter approval to impose a levy to exceed the cap. There is no evidence that the District held such an election but continued imposing an operating levy that did not exceed 2 mills.
The voters approved TABOR in 1992 that required voter approval for any tax increase.
The issue is that under TABOR, property tax mill levies, once decreased, cannot be increased again without voter approval. There is no evidence that the District obtained this voter approval.
As a result of the internal investigation, it has been determined that the District has been collecting property taxes that were in excess of the amount allowed. The District is working with its auditor to determine the exact amount of the over collection.
As soon as that amount is known it will be communicated to the public.
Any property taxpayer who owns property within the District as of January 1, 2023, will be issued a refund based on amounts determined to be owed under TABOR.
