Downtown property owners are likely to lose a tax rebate for owning land in a designated downtown historic district as the city of Denver scrapes for money in the face of declining revenues.
Denver Mayor John Hickenlooper’s administration wants to suspend the rebate payments next year to evaluate the program.
The program, which has an average rebate of $431, was projected to cost the city $210,000. The administration points out that the proposal won’t do away with the existing downtown historic district, which protects historic buildings and prevents them from being torn down.
The City Council’s Finance Committee met to discuss the proposal Tuesday. The administration will bring more information to the committee and ask the council to vote to suspend the program.
The city created the tax-rebate program in 2000. In 2007, 297 parcels qualified for the rebates.
Hickenlooper proposed suspending the program to help the city close a projected $56 million budget gap this year.
Councilman Charlie Brown said during the committee meeting that by the year 2000, when the rebate program was instituted, the downtown area already was thriving. He wondered whether a letter sent to property owners should say the City Council or the city suspended the rebates.
Councilwoman Jeanne Faatz said the ordinance should specify the city is the culprit because the administration is asking for the suspension.
“I don’t mind if the mayor gets the calls on this,” she said.
Christopher N. Osher: 303-954-1747 or cosher@denverpost.com
