Amendment 61 critics say Colorado borrowing prohibition would trickle down to businesses
September 23, 2010
A measure on the November ballot to prohibit the state from borrowing would end Colorado’s ability to issue unemployment checks to laid-off workers, and it would result in a massive federal tax increase on businesses, state officials say.
A wide swath of business groups already are opposing Amendment 61 because it would prohibit the state from financing construction projects and greatly limit the ability of local governments to bond.
An analysis by the Colorado Department of Labor and Employment of Amendment 61’s effect on the state unemployment insurance fund is sending shock waves through the business community.
“It’s absolutely frightening,” said Dan Pilcher, spokesman for the Colorado Association of Commerce
and Industry. “It’s hard to think of a worse dent being put in our business climate in terms of being able to recruit companies and keep ones here.
“It would be a financial tsunami for the business community,” Pilcher said.
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It would be worse, said Kelly Brough, president of the Denver Metro Chamber of Commerce. “The difference is that a tsunami ends and you can start to rebuild after that,” she said. “This would forever be part of our constitution. It would never end.”
Read more: Amendment 61 critics say Colorado borrowing prohibition would trickle down to businesses – The Denver Post http://www.denverpost.com/election2010/ci_16148957#ixzz10M724ov1