‘I think it would put the state out of business,’ says small business owner.
Amendment 69 Continues to Gain Opposition in Colorado
Colorado voters face a momentous decision in November when they decide whether to pass Amendment 69, which would create a single-payer healthcare system known as ColoradoCare. The system would cover Coloradans’ medical costs.
However, the plan would require a $25 billion tax increase the first year alone—almost as much as the entire annual state budget of $27 billion. That tax increase would come in the form of a 10 percent payroll tax, of which employers would pay 6.67 percent and workers 3.33 percent.
The heavy tax increase could push businesses out of the state, while free healthcare would encourage people to pour in, worries NFIB member Jim Noon.
“I think it would put the state out of business. I can’t think of anything worse than Amendment 69,” said Noon, who owns Centennial Container in Denver. “Whenever we make something free, it gets really, really expensive. Even though it’s $25 billion, it’ll be double that in a couple years. Companies that don’t have to be here will leave.”
Self-employed people would also pay 10 percent of their net income.
“At my age, a 10 percent hit on income tax for what I consider less insurance is quite a big deal,” said Bob Weaver, who owns B&A Properties LLC. “I don’t want to leave town, but I would have to.”
A recent poll found an astonishing 98 percent of NFIB members in Colorado oppose the amendment.
“It will drive Colorado’s basic tax right to 14.6 percent. We will be the state with the highest income tax rate in the nation,” said Colorado NFIB State Director Tony Gagliardi. “What company is even going to consider relocating or expanding in Colorado? I have already had members say, ‘If this passes, I am out of here.’”
Amendment 69 would create a 21-member board of trustees who would have full control of the healthcare program without oversight of other elected officials, who could not be recalled and who would not be subject to the TABOR Amendment that requires voters to approve tax increases.
“You’re putting a $38 billion business in the hands of 21 people—this is going to be the ultimate insider deal,” Gagliardi said. “There is no accountability … there’s not one specific thing in this amendment that addresses coverage, mandated coverage, provider fees, reimbursement rates.…”
The amendment leaves much uncertainty regarding future tax increases as well as healthcare offerings, making it hard for small business owners to plan for the future.
