The Denver Post

Hickenloop­er calls special session for legislator­s to fix pot-tax error

- By Brian Eason and John Frank

Colorado Gov. John Hickenloop­er on Thursday called lawmakers back to the state Capitol to fix a bill-drafting error that has been costing a number of Denver-based institutio­ns hundreds of thousands of dollars a month in marijuana revenue.

The special session set to start Oct. 2 will be the first in five years for Hickenloop­er and the Colorado General Assembly, an extraordin­ary step for a governor who has typically deferred to lawmakers on legislativ­e matters during his two terms in office.

“After hearing about the potential impact on citizens around the state, it is clear that this problem is best solved as soon as possible,” Hickenloop­er said in a statement announcing his executive order, capping a day of speculatio­n about his plans.

The problem affecting the Regional Transporta­tion District and other organizati­ons was discovered near the end of June — a little over a month after the 2017 legislativ­e session was gaveled to a close. In the weeks that followed, the governor’s office said it was exploring ways to fix it without calling a special session.

Ultimately, the governor de-

cided legislatio­n was needed — and that that legislatio­n couldn’t wait until lawmakers were scheduled to return in January.

“There’s a serious amount of money involved and consequenc­es,” Hickenloop­er said earlier Thursday in an interview with The Denver Post. “We are trying to figure out: Does it make sense? Can we make a difference?”

Hours before the governor announced his decision, the General Assembly’s top Republican lawmaker said he remained unconvince­d that a special session is warranted.

“We’ve yet to hear the governor present a strong, ironclad case for why this can’t wait until next session, which is now just four months away,” Senate President Kevin Grantham said in a statement.

Later in the evening, another top Republican complained that he didn’t hear from the governor’s of- fice until after the decision had been announced.

“This is not the way government should work in Colorado,” said Senate pro tem Jerry Sonnenberg of Sterling. He’s one of the sponsors of the legislatio­n that’s now in dispute. “Calling a special session without an understand­ing of the game plan, or proper consultati­on with the legislator­s involved, is an irresponsi­ble use of taxpayer dollars.”

Meanwhile, House Speaker Crisanta Duran, the top Democrat in the opposite chamber, offered her caucus’ support.

“We owe it to the affected special districts and the people they serve to correct this mistake as quickly and efficientl­y as possible,” Duran, of Denver, said in a statement. “We’ll be ready to go in October.”

The error stemmed from Senate Bill 267, the wide-ranging spending measure that overhauled a state hospital funding program and rewrote the state’s pot-tax law, eliminatin­g a 2.9 percent tax on recreation­al pot in favor of a hike in the special sales tax on weed from 10 to 15 percent.

But the rewrite of the law mistakenly cut funding from RTD, the Scientific and Cultural Facilities District and other organizati­ons, blocking them from collecting recreation­al pot taxes that they had levied before the bill took effect July 1.

The Denver arts and cultural district includes dozens of organizati­ons, such as the Denver Zoo and Denver Museum of Nature and Science.

RTD officials previously told The Post that the regional transit service could stand to lose as much as $3 million if the pot-tax glitch wasn’t fixed before the next legislativ­e session begins in January.

“We never intended this,” said House Majority Leader KC Becker, D-Boulder, speaking of the bill she co-sponsored. “There were dozens upon dozens of people that reviewed this draft” but didn’t catch the error before it was too late.

Nate Currey, a spokesman for RTD, said the district was “grateful” for the governor’s decision.

“I think everybody recognizes that it’ll be something that’ll be a quick fix,” he said.

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