Word has got around. There is a proposal to tax nothing, but for a good cause.

The Colorado Association of Ski Towns plans to ask Colorado lawmakers to pass a law that would allow local governments to ask voters to levy additional taxes on homes that sit vacant most of the year.

Sky-Hi News and Jason Blevins of the Colorado Sun report on the proposal, which is being seriously considered by the group that primarily represents mountain towns like this one in Grand County.

They also want the state to allow cities to ask voters whether they want to approve property transfer taxes in their communities. (Winter Park already has such a tax because it is a home rule municipality.) and it was enacted there long ago, but statutory cities such as Granby, Fraser and Grand Lake are not allowed to impose such a tax.)

These ideas are being floated and pushed because ski resorts and many mountain resorts in general are facing a housing crisis caused by the high cost and scarcity of housing for the general population. The revenue from these taxes would presumably provide some level of affordable housing.

I know it’s a sad story that we have a severe housing crisis here, which is fueling another crisis, which is a jobs crisis. Since ordinary people can’t afford to live here, they can’t afford to work here or in many other mountain towns. It’s a vicious cycle.

Don’t get me wrong, I think we really need to get a handle on this housing, job market and child care (preschool) crisis.

I must admit, however, that I have a certain ironic fear of the idea of ​​taxing real estate because it is unoccupied most of the time. I am used to the idea of ​​a use tax or an occupancy tax. Such taxes seem to make sense since they are levied on things that are done or used.

But a non-occupancy tax? It feels like a tax on, well, nothing. You could also call it emptiness.

I don’t believe for a second that this tax is being considered because CAST misses the many wealthy homeowners in their mountain communities, or because they miss them and the lasting sense of community their presence creates. It’s likely that many of these homeowners own so many homes that they can’t possibly spend enough time in their mountain home if they want to use and occupy their other homes equally.

Then there’s the question of the definition of “occupied” and the additional dilemma of enforcement. Will the county assessor now be tasked with checking to see if homes are occupied? Will we have occupancy police (or non-occupancy police) patrolling our neighborhoods to see if people aren’t home? This is sort of the exact opposite of the previous model of safety, when places were patrolled to see if people were home.

Or are we just going to adopt the code of honor where people check a box on their property tax bill that says, “I have lived in my home for no more than half the year and am therefore willing to pay the higher tax?”

That’s a difficult question.

Then there are the unintended consequences, as I fear such a move could exacerbate the very problem this proposal is intended to “solve.” I think it could drive up property prices as owners may sell their properties at higher prices to recoup the tax revenue, or charge higher rents to offset that tax.

And what is even more paradoxical: it could only encourage the vacancy crisis, because if I am so well off that I have to pay a vacancy tax, then I might see it as a kind of privilege. I feel like I am paying for this vacancy and am entitled to it. So why should I rent it out? In a strange way, vacancy is valued. “I paid for the vacancy in this house with my hard-earned tax money and I am proud of it!”

I also fear that this measure indirectly bites the hand that feeds our thriving construction and development economy here in Grand County. Make no mistake, many of the people who buy and build here are also the people who often end up with vacant properties. There is a construction boom going on here right now that is creating jobs and long-term prosperity for locals. Could a tax like this deter these people?

I fear that such a tax would not raise enough money to solve a huge problem. The money could first be used to fund a new enforcement and administrative office in the county courthouse or the local city hall, all just to force our little governments to prove negatives and nothing.

Fortunately, such an idea would first have to receive the approval of local voters.

Patrick Brower is the Enterprise Facilitator for the Grand Enterprise Initiative. He offers free and confidential business management coaching to anyone looking to start or grow a business in Grand County. He is also the author of KILLDOZER: The True Story of the Colorado Bulldozer Rampage. He can be reached by phone at 970-531-0632 or [email protected]..