The November 2019 midterm election was a mixed bag for the state. Proposition DD, a statewide ballot measure legalizing sports betting, passed with 51.4% of the vote and is set to effective in six months. The state was less fortunate on Proposition CC, a measure to end the cap on state tax revenue as required by the Taxpayer’s Bill of Rights. Compared to the November 2018 election, which approved $1.6 billion of bond issuance, this election was a success for local governments. Although results are preliminary and have yet to be certified, nearly $1.0 billion of general obligation bonds were approved by Colorado voters. By election measure, approximately 50% of issues were approved, which represents 72% of the total requested par amount.
There were more than 100 municipal measures on November ballots in Colorado. Ballot measures covered affordable housing, broadband, bond proposals for public improvements, economic development, governance, marijuana, tax increases, sports betting and transportation. All four TABOR over-ride ballot measures were approved by voters in addition to $124.4 million of city bond issues.
Colorado voters were faced with $1.2 billion of school bond issues and mill levy overrides in 22 school district elections, almost on par with the $1.4 billion school districts requested from voters in 2018. School district bond issues on the ballot ranged from $1.6 million to $400 million. Voters approved five of the twelve school district bond issues for $900 million that will fund new schools and capital improvements. In addition, voters also approved $27.0 million in school districts mill levy overrides.
Overall, voters continue to demonstrate a willingness to approve local bond issues, which provide new schools and other capital improvements throughout the state. The results of these elections will provide a significant source of additional supply to the Colorado bond market later this year and into 2020.