Ballot Issue 2A: What to know about raising the lodging tax to fund child care in Pueblo

James Bartolo, Pueblo Chieftain
·4 min read

An ordinance to make child care more affordable by raising the lodging tax 1.5% is on general election ballots throughout the city of Pueblo this year.

Ballot Issue 2A has bipartisan support from some Pueblo City Council members and county commissioners alike, who say Pueblo is in the midst of a child care "crisis."

Opponents of 2A, including the Pueblo Lodger's Association, see the tax as another burden on Pueblo's already suffering tourism industry.

Whether 2A gets passed or not is up for voters to decide this November. This voter guide intends to explain what 2A is, how it works and outline some of the common arguments for and against it.

The Chieftain will not endorse any ballot measures or candidates this year. Arguments for and against 2A are from interviews with proponents and opponents of the measure, public statements and a ballot summary from the Pueblo County Clerk and Recorder's Office.

What is Ballot Issue 2A?

Through establishing a 1.5% increased lodging tax in Pueblo, 2A would create a special fund for child care programs. The lodging tax would generate about $630,000 per year for the city. Funds would be distributed in the form of financial awards for families to use on child care costs.

The special fund intends to expand child care access to families who do not qualify for the Colorado Child Care Assistance Program (CCAP) — a program that may not serve households making over 85% of Colorado's median income, according to the Colorado Department of Early Childhood.

Teachers aide Gabby Espinoza, right, and Elijah Stallones, 2, create shapes with building blocks at the Life Center Academy at St. Mary-Corwin PCC Campus on Thursday, July 6, 2023.
Teachers aide Gabby Espinoza, right, and Elijah Stallones, 2, create shapes with building blocks at the Life Center Academy at St. Mary-Corwin PCC Campus on Thursday, July 6, 2023.

Tax increases established through 2A would only impact visitors staying in the city of Pueblo's motels and hotels. On average, visitors would pay an average of about $1.77 per night as a result of the tax, according to a written statement supporting 2A in the Pueblo County Clerk's Office ballot summary.

The lodging tax increase and special fund for child care has a sunset option after 2028.

Who supports 2A and why?

Pueblo city councilors Dennis Flores, Heather Graham, and Sarah Martinez and county commissioners Daneya Esgar and Zach Swearingen authored an editorial supporting 2A that published in the Chieftain on Sunday, Oct. 22.

"The average monthly childcare cost can be as high as $1,200/mo for one full-time child in a licensed childcare facility in Pueblo which is $100/mo more than a rental payment, and nearly $200/mo more than a mortgage payment," the group wrote in the editorial.

Supporters of a ballot question to raise Pueblo's lodging tax to pay for childcare wave signs in city council chambers on August 14, 2023.
Supporters of a ballot question to raise Pueblo's lodging tax to pay for childcare wave signs in city council chambers on August 14, 2023.

Individuals earning between 200% and 735% of the federal poverty line would qualify for assistance under 2A. In 2023, 200% of the federal poverty line for a family of four is an income of $60,000, according to the 2023 U.S. Poverty Guidelines. Those with incomes under that threshold qualify for CCAP.

Brittny McAlister is the mother of two kids, ages 2 and 6 years old. As her and her husband's household income is too high to qualify for CCAP, the cost of licensed child care is about a month's worth of their rent, McAlister said.

"We live in a society where you have to have a dual income household because of how expensive the cost of living is," she said. "I can't stay home. My husband can't stay home. We have to have child care, but it's so stinking expensive."

Who opposes 2A and why?

Justin Salazar is the general manager of the Courtyard by Marriott Pueblo Downtown hotel. While he is not opposed to making child care more affordable, he is opposed to increasing the lodging tax as outlined in 2A.

Salazar told the Chieftain that Pueblo hotel guests' overall tax rate would be about 13.4% under 2A, which is higher than the 10.25% rate in Colorado Springs. Chris Crosier, a Pueblo Lodger's Association representative, shared the same statistics at an Aug. 14 city council meeting.

"If our occupancy continues to lower and we don't invest in tourism... there could be (hotel) job loss," Salazar told the Chieftain.

Pueblo City Councilor Regina Maestri listens to a pressentation during a council meeting on Monday, October 16, 2023.
Pueblo City Councilor Regina Maestri listens to a pressentation during a council meeting on Monday, October 16, 2023.

Regina Maestri, a councilwoman and candidate for mayor, also told the Chieftain she opposes 2A in a mayoral candidate questionnaire.

"The city cannot administer or maintain a childcare program. That is what the Community Services Advisory Commission and other programs are funded for... there are not enough funds to serve all the people, so in reality it's not even fair or the best use of municipal taxpayer money," she said.

Puebloans can vote on 2A during the Nov. 7 election.

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Pueblo Chieftain reporter James Bartolo can be reached at JBartolo@gannett.com. Support local news, subscribe to The Pueblo Chieftain at subscribe.chieftain.com.

This article originally appeared on The Pueblo Chieftain: What is Pueblo Ballot Issue 2A? And how would it fund child care?