The Centennial State — It was technically an election year in the United States, although this one had a lot fewer meaningful issues at play than in 2024. However, important measures were voted on in Colorado, as local city and town votes will affect the ski and tourism industry.
According to Jason Blevins of the Colorado Sun, voters typically follow the mantra “tax them, not us,” but that was not the case this time. Some lodging taxes were rejected by voters over fears that it would turn off tourists in what has been an up-and-down past few years. Meanwhile, the approval of new bonds in Denver will help grow the city, and a ballot measure in Telluride has increased tensions between the ski resort’s owner and locals. Here’s a recap of the ballot measures that will impact Colorado’s outdoor and ski tourism industries in the years ahead.
Airbnbs/VRBOs in Vail: Perhaps the most intriguing ballot measure occurred in Vail. A ballot measure asked voters whether to increase the tax on short-term rentals from 10.8% to 16.8%. It was defeated by 32 votes.
This faced opposition from owners of condominium hotel complexes and short-term rental companies. According to Vail Daily, Airbnb reportedly assisted opponents with their efforts, donating $30,000 to the campaign during the election cycle.
The tax was reportedly set to garner $7.2 million per year for new affordable housing options around town. Unsurprisingly, Vail voters shooting themselves in the foot regarding housing is nothing new.
Denver: Denver faces issues common to many U.S. cities, such as affordability, homelessness, and traffic. However, the quality of life seems likely to improve thanks to voters approving a $950 million Vibrant Denver bond package. Some highlights include funding for affordable housing, improving the road and transit infrastructure around the future home of the Denver Broncos, and revitalizing various parks and recreation areas. This means more people will be able to afford to live in Denver, and the outdoor recreation scene will be even better.
Eagle County: Lodging tax rates are set to increase in Eagle County, which is home to Vail and Beaver Creek. Voters approved increasing the lodging tax from 2% to 4%. The tax increase will help fund child care and public safety (police, fire department, and medical emergency) efforts, and promote responsible local tourism. This means tourists will be staying at hotels and paying slightly more for their bills. They’re probably already spending $1,000,000 per night (rough guestimate) to stay at Vail or Beaver Creek, so I won’t be mourning little tax hike.
Pike’s Peak: After years of stimulating the Colorado economy, marijuana revenue is no longer getting higher, but rather nosediving. This has led to revenue shortfalls, prompting towns to explore new ways to generate money. In Manitou Springs, a ballot measure proposed increasing taxes on tourism attractions from 5% to up to 14%, including the Pikes Peak Railway and the Manitou Cliff Dwellings. This measure failed, meaning there will be no tax increase on tourism activities.
Lift Ticket Tax in Telluride: Tensions between the owner of Telluride Ski & Golf (Chuck Horning) and the communities that make up the ski resort (Telluride and Mountain Village) continue to grow following years of questionable behavior by Chuck. Recent decisions by Chuck have made the situation worse. One of these decisions was Horning’s announcement that the ski resort would no longer financially contribute to the planned replacement of the gondola transit system.
In response, voters in both communities voted on measures that proposed taxes on lift tickets. While Mountain Village approved it, the Town of Telluride rejected it. Regardless, this means the ski resort will be subject to a 5% tax on lift tickets, but not season passes. Whether the owner will eat the costs or pass them on to consumers is to be determined. The generated funds will be used to fund a new transit gondola, replacing the system installed in 1996.
Yampa Valley Regional Transportation Authority (RTA): Steamboat Springs has a great local transit system, but the rest of Routt County isn’t as fortunate. That’s about to change, as voters across the towns in the Yampa Valley approved a regional transportation service. This will improve local transportation for residents, tourists, and workers in the area. One possibility that would benefit tourists is public transportation from the Yampa Valley Regional Airport to Steamboat.
Steamboat Resort will contribute $1 million a year over a three-year period. The ski resort and city council initially agreed to a more extensive deal (20 years) but backed out at the last minute, drawing ire from the Steamboat Springs City Council. While the Council considered adding a lift ticket tax to the ballot, they decided not to. The county is considering other funding options.
Image/Video Credits: Jesse Paul, Next 9News, The Colorado Sun, Mick Haupt
