Colorado Proposition NN trails in early election results

Mechanism to retain TABOR tax revenue

The measure would permanently increase the state’s TABOR cap and direct surplus funds toward K-12 education for 10 years. This requires taxpayers to forgo a portion of their annual tax refunds to generate money for education.

Projected $4.6 billion for K-12 education

If passed, the measure would make approximately $4.6 billion in surplus funds available for K-12 expenses over a 10-year period. These funds would support teacher pay, retention, class size reduction, and career and technical education.

The Common Sense Institute estimated that the measure would increase state funding by nearly $333 million in the 2027 fiscal year and nearly $315 million in the 2028 fiscal year, with two-thirds of these amounts allocated to K-12 education.

Mandated annual funding and audit requirements

Remaining funds may be used for services for students with disabilities, followed by preschool and child care.

After the initial 10-year period, the state legislature will retain the authority to determine how the revenue is spent. Lawmakers will remain mandated to fund education but gain the authority to fund other programmes as well.

The proposal mandates an annual independent audit. Every school district must also publish details on how they utilise the provided funding.

Support from the Colorado Education Association

The Colorado Education Association, a union representing nearly 40,000 educators and staff, remains a major supporter of the proposition.

Democratic lawmakers placed the proposition on the ballot, and it is endorsed by the group Yes on NN for Colorado Kids. Supporters claim the measure would address a $3.5 billion funding shortfall in public schools by boosting teacher pay, improving retention, expanding career and technical courses, and reducing class sizes.

Opposition from conservative advocacy groups

Opponents argue that the measure could permanently eliminate TABOR refunds and expand government. They also highlight that the proposal lacks a specified use for the funds after the first 10 years.

They note that lawmakers would have discretion over how the retained money is spent after the first decade.

Jon Caldara, president of the Independence Institute, expressed concern that the funds might not be used for teachers. He stated: “It could go to administration; it could go to school supplies; it could go to buy basketballs; it could go to buy new playgrounds; it could go to anything but teachers”.

Economic context of $1 billion budget deficit

Colorado has faced a budget deficit exceeding $1 billion for three consecutive years. During the previous year, the state experienced a budget shortfall of over $1.2 billion.

US Census data consistently ranks Colorado in the bottom 20 states for per-student funding.

The state expects to collect about $500 million in the first year of the proposition, and this total will determine if TABOR refunds are reduced or entirely eliminated. The Common Sense Institute reported that taxpayers and local governments would lose out on almost $851 million in TABOR refunds through fiscal year 2028 if the measure passes.

Governor Polis's broader budget proposals

This brings total statewide spending to approximately $10.4 billion.

The budget includes $7.3 million for universal preschool, to be funded by increasing gaming and nicotine taxes.

Context of 14 statewide ballot measures

Proposition NN was one of 14 statewide ballot questions featured in the 2026 Colorado midterm elections. The three most recent ballot initiatives intended to raise money for public education in Colorado were defeated by voters.