Major Provisions: If this measure passes, Lafayette will adopt an ordinance so that the city can retain and spend all of certain revenues and the earnings of investment of those revenues, in 1995 and later years. This ballot question is concerned with revenues collected from non-dedicated sales and use tax as well as the money from development-related fees and charges. If the measure does not pass, the city will be required to refund the amount from both sources which exceed the spending limits of the TABOR amendment. Under this measure, the excess amount will not be refunded, but will be spent for library, police, and fire protection services.

Background: The TABOR constitutional amendment passed in 1992 limits increases in government spending. For Lafayette and other municipal governments, the limit is inflation plus change in actual real property values. Voter approval is required in advance for any increase in tax or debt or policy change which results in revenue gain.

Arguments FOR the measure:

-- Local government revenues fluctuate in unpredictable ways. City officials should be able to make decisions for their community without being held to arbitrary and inflexible limits in the state constitution.

-- Local residents have already voted and shown their support for a new library; library, police and fire protection services are expenditures which will benefit all residents.

-- The cost of processing and mailing refunds could use up a significant chunk of the money. It is better that the full amount be spent in a way which provides tangible benefits to Lafayette residents.

Arguments AGAINST the measure:

-- Lafayette spending is now permitted to grow at the same rate as its economy. If the city expects to collect more than it is allowed to spend, it should not increase its services, but should reduce its tax rate.

-- The ballot question mentions general categories of services but does not inform voters exactly how the money would be spent. The voters deserve a precise breakdown of how their taxes are to be spent.

-- What is proposed is to be in effect with no time limit. The needs of residents in Lafayette may change in unforeseen ways. There should be a definite ending date.