COLORADO SPRINGS, Colo. A new study examining the relationship between growth, land use patterns and fiscal impacts on the city of Colorado Springs was released today by the Center for Colorado Policy Studies at the University of Colorado at Colorado Springs.
The study’s key findings include:
· Between 1980 and 2000, both population and developed land increased rapidly within the city of Colorado Springs. Total developed land area increased by 32 percent while population grew by 68 percent. As a result, there was an increase in density within the city of almost 27 percent during the last two decades. Density in the metropolitan region fell by almost 16 percent over the same period, indicating that much of the urban level development occurring outside of the city limits was characterized by less dense, sprawling patterns of development
· Colorado Springs experienced similar relationships between density and per capita expenditures as other communities around the nation. Locally, per capita spending on roads and traffic engineering fell substantially between 1980 and 2000. The study suggests that some of the reduced spending was made possible by increased density efficiencies and some by underinvestment in infrastructure. Per capita police and fire operating expenditures were relatively constant, in line with previous research across the nation that show little relationship of public safety spending to density. However, infrastructure investments in public safety rose from 1980-2000 in real per capita terms.
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· Unlike most cities, Colorado Springs spent more per capita on water as population increased. There was a small increase in water infrastructure investment expenditures per person, along with increases above inflation for water rates during most of the period.
· Total city expenditures declined on a real per capita basis after adjustment for inflation and population. For 1980-2000, there was a decline of 7 percent per resident after adjusting for price changes. City tax revenues increased, but not as fast as population and inflation increased. The city adjusted to falling revenues per capita during the last two decades by increasing the share of its budget devoted to public safety and decreasing the share for roads, drainage and traffic engineering.
The report also highlights recent long-term growth forecasts for the region, which show El Paso County growing from 540,000 residents today to more than 700,000 by 2020, which would make it the most populous county in the state.
Greenwood said the study raises important questions about how to pay for future growth.
“Given our dependence on sales taxes, combined with the TABOR and Gallagher limits, population growth doesn’t result in more city revenues per person,” Greenwood said. “The only way it can pay for itself is with more compact new development. Our figures on density changes show this is beginning to happen in Colorado Springs, but the trend is the opposite in the county.”
Rich McClintock, program director of the Livable Communities Support Center, a nonprofit group that commissioned the study, said: “This study shows that development patterns matter when it comes to the bill for taxpayers. It is important that decision makers both in Colorado Springs and El Paso County take a close look at future growth patterns to see what it will cost depending where it is located and how it is paid for.”
The report made the following recommendations for further research and public policy discussion:
· Further research on cost and land use patterns for parts of El Paso County outside the city
· An analysis of any differences in costs of services to the nine city planning zones
· Use of performance indicators which are consistent across time by all major city departments
· Further emphasis on financial incentives and permitting processes that encourage contiguous development so as to minimize public infrastructure costs
· Continued development agreements with the private sector regarding capital improvements and/or the expansion of impact fees to areas beyond utilities
· Increased coordination between jurisdictions in the region on development issues
· An exploration of the impact of potential changes in tax policy and public fees, including methods of paying for services such as utilities, emergency services, and schools
The report will be shared with decision makers and public policy leaders in the Pikes Peak region to generate discussion about development patterns and future fiscal policies, especially important given the projections that the region is projected to grow by 50 percent by 2020.
Greenwood said she hopes to start that dialogue at the upcoming conference entitled “Colorado’s Future,” which scheduled for Sept. 26 on campus. The conference will bring together policymakers and researchers from Colorado’s nonprofits and universities. For a full copy of the report or more information on the Colorado’s Future Forum, visit http://web.uccs.edu/ccps.
The Center for Colorado Policy Studies of the University of Colorado engages in applied research and policy analysis on issues facing the Pikes Peak Region and the state of Colorado. . The Center operates under all laws governing the University of Colorado, including the Rules of the Regents. Statements and publications issued from researchers at the Center do not necessarily reflect the views of the University of Colorado or the members of the Center Advisory Board. Research is funded by contracts, grants, and donations. For more information about the Center for Colorado Policy Studies visit web.uccs.edu/ccps or call (719) 262-4031.
The Livable Communities Support Center provides information, analysis, technical assistance and strategic advice to citizen groups, nonprofit organizations and local governments working on growth and livability issues at the local and regional levels. For more information about the Livable Communities Support Center, visit www.livablecenter.org. or call (303) 477-9985.
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