Denver's Debt Dilemma: Who Really Pays for Our Parks and Roads?

The Illusion of Free Money

Denver's leaders are pushing for more bonds to fund new parks, recreation centers, and roads. But bonds are not free money. They are loans that must be repaid with interest. This means that every time the city takes on more debt, it is the taxpayers who will ultimately foot the bill.

The Reality of Bonds

Bonds are often misleadingly presented as a way to get things done without raising taxes. But in reality, bonds are a form of debt. They do not create new revenue. Instead, they shift the cost of projects to future taxpayers. When the city takes on debt, it is essentially borrowing money from banks and promising to pay it back with interest. This means that the city will have less money to spend on other important needs in the future.

The True Cost of Bonds

Politicians often claim that bonds pay for things, but this is not true. It is the taxpayers who pay for everything. Bonds are just a tool used to document how much money the city owes to the banks. When politicians praise bonds, they are praising debt. And debt is not a vibrant solution for Denver's future.

Prioritizing Spending

The city has a limited amount of money to spend each year. When it takes on debt, it is choosing to prioritize certain projects over others. For example, the city recently decided to spend $70 million on a new soccer stadium. This was a priority for the city council, so they approved the expense. But what if the city had chosen to prioritize something else, like fixing potholes or improving schools? The point is, the city has to make choices about how to spend its money.

A Call for Transparency

Instead of taking on more debt, the city should focus on prioritizing its spending. This means making tough decisions about what projects are truly important and worth the investment. It also means being transparent with taxpayers about how their money is being spent.

The Burden on Taxpayers

Taxpayers are the ones who ultimately pay for everything. Every time someone pays sales tax at the store or property tax on their home, they are contributing to the city's budget. Even renters are paying property tax indirectly, as landlords pass on the cost of property taxes to their tenants.

A Smarter Approach

The city should not be wasting time and money campaigning for more debt. Instead, it should be focused on finding ways to make the most of the revenue it already has. By prioritizing its spending and being transparent with taxpayers, the city can make sure that it is getting the most bang for its buck.

The Solution

In the end, the answer to how the city should pay for things is simple: prioritize and be transparent. It is time for Denver's leaders to stop throwing away the city's future on debt and start making smarter choices about how to spend taxpayer money.