Boulder tech titans clash with county over tax proposal
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Boulder's tech and county leaders are on opposite sides of a proposed tax hike on Colorado's highest earners.
Why it matters: Amendment 87 would replace Colorado's flat income tax with a graduated system, potentially raising billions for public services while fueling concerns about the state's business climate.
Driving the news: Boulder entrepreneur Dan Caruso, former CEO of Zayo Group, is leading opposition to the measure, warning in a Denver Gazette opinion column that higher taxes could drive wealthy entrepreneurs and investors out of Colorado.
- Caruso helped organize a signature campaign last month among Colorado technology and business leaders opposing Amendment 87 and supporting Proposition 136, a competing measure that would cap the state's income tax rate at 4.4%.
- Among the Boulder figures to sign include Foundry venture capitalist Seth Levine, Outside CEO Robin Thurston, Infleqtion CEO Matt Kinsella, Fivetran co-founder Taylor Brown, and JumpCloud co-founder Greg Keller.
- Gov. Jared Polis, himself a former Boulder tech entrepreneur, also signed on and emerged as a vocal opponent.
The other side: Boulder County commissioners endorsed Amendment 87, joining local nonprofits and advocacy groups that say the measure would make Colorado's tax system fairer.
- Supporters argue the additional revenue would strengthen schools, healthcare and childcare — investments they say would also benefit local businesses.
The big picture: Fears of a millionaire exodus might be overstated.
- Massachusetts raised taxes on its top earners in 2022, but the predicted mass departure of wealthy residents never materialized, The Colorado Sun reports.
Follow the money: Millions of dollars from conservative political groups — including those that don't disclose donors — are pouring into the fight against Amendment 87, The Colorado Sun reported.
- Two opposition committees received a combined $2.05 million from Ready Colorado and Common Sense America.
Flashback: Caruso previously rallied hundreds of business and technology leaders to warn the state's business climate is deteriorating.
- Colorado fell 14 spots to No. 25 in CNBC's annual Top States for Business rankings this year.
What's next: Voters will decide Amendment 87 on Nov. 3, after a Denver judge dismissed a lawsuit challenging how it qualified for the ballot.