Colorado

President Biden’s proposal to cap rent increases reopens policy split among Colorado Democrats

Published

4 months ago

July 20, 2024

President Biden’s proposal to cap rent increases reopens policy split among Colorado Democrats

President Joe Biden’s proposal this week to cap rent increases in larger apartment buildings across America has elevated an idea that’s long been embraced by progressive housing advocates in Colorado — but, in a split among Democrats, is opposed by Gov. Jared Polis.

What’s more, at the local level, rent-stabilization policies are essentially illegal under Colorado law.

Unveiled by Biden as he’s sought to ward off calls to step aside in the presidential race, the plan would cap annual rent increases at 5% for properties with more than 50 units. That would cover more than 20 million units nationwide, or roughly half of all rentals in the U.S.

The plan would put valuable tax write-offs at risk as a way of getting landlords on board. A landlord who didn’t follow the cap would lose access to a tax deduction allowing them to write off depreciation as properties age. Though exact numbers would vary, several housing experts told The Denver Post that the write-off is substantial.

The proposal, which faces long odds to becoming law, would also exempt new properties in an apparent bid to blunt the common criticism that rent caps stifle development.

Biden’s plan comes as rental and home prices have surged in Colorado over the past several years. Simultaneously, evictions have increased sharply: A record number were filed in Denver last year, and data shows the city is on pace to smash that record again in 2024.

The high cost of housing is a top concern of Coloradans, polls have consistently shown, and state lawmakers have proposed sweeping housing reforms in recent years.

But the near-supermajority of Democrats in the state Capitol have at times sparred over how best to address the crisis.

“We were very happy to see President Biden’s announcement because this would prevent corporate landlords from engaging in what’s happening right now, which is the continuous and unchecked gouging of rent prices, forcing renters to either pay for the roof over their heads or feed their families or get critical medications,” said Carmen Medrano, the co-chair of Colorado Homes for All. The housing coalition has backed legislation to allow local governments to enact rent caps.

Colorado law now prohibits cities from passing rent stabilization or rent control policies. Recent legislative attempts to drop that prohibition have been unsuccessful amid opposition from Polis and other Democrats.

But Biden embracing the policy is a shot in the arm for advocates who have argued that rent caps are vital to protect vulnerable tenants. Medrano pointed to a 2023 survey that showed 60% support among Coloradans for rent control policies in their local communities.

What Polis and other opponents say

Still, the cap faces an uphill climb: Biden is fighting for his political life amid concerns from voters and senior members of the Democratic Party about his ability to campaign and to beat Republican Donald Trump in November.

Even if the president stays in the race and wins, the November election also will determine which party controls each chamber of Congress. Anything short of a Democratic trifecta in the White House and in Congress would likely spell doom for rent cap legislation, assuming that there would be sufficient support even among elected Democrats.

Given that Democrats in Colorado have repeatedly clashed over the issue, that’s not a certainty, either.

Biden’s proposal this week was met with opposition from the landlord lobby and from Polis. On the social media platform X, he argued Biden’s rent cap would stifle development and increase costs.

In recent legislative sessions, Polis has pursued a supply-side approach that seeks to eliminate local barriers to development. While he and Democrats had success on that front this year, those reforms — and the denser apartment development they promise — will take years to bear fruit.

Polis spokeswoman Shelby Wieman declined an interview request about Biden’s rent caps proposal. In a statement, she wrote that Polis “knows this will take congressional action, which is unlikely to occur, and looks forward to the many discussions ahead on the ways to save Americans money on housing. The President’s interest in this issue is a good first step.”

Monique Gant, center, of Westminster, recounts her experience of being evicted while being consoled by Colorado House Majority Leader Monica Duran during a rally to unveil an eviction protections bill advanced by Democratic lawmakers on Wednesday, Jan. 24, 2024, in Denver. (AP Photo/David Zalubowski)

Rent caps have received more attention in recent years as housing prices have rocketed nationwide. Oregon now caps annual rent increases at 7%, plus an inflation factor (coming out at 10% this year). St. Paul, Minnesota, passed a 3% cap in 2021, but policymakers rushed to add exemptions shortly afterward as development cratered.

The debate around the policy’s efficacy has continued, too. The Biden administration pointed to a New York University white paper that argues that “broad-based” regulations and relatively high caps would be effective if paired with subsidies for lower-income earners. Opponents have repeatedly maintained that rent caps are broadly counterproductive, and a 2018 Brookings Institution report argued they’re helpful to tenants in the short term — but harmful in the long run.

Drew Hamrick, a senior vice president with the Colorado Apartment Association, derided rent caps as failed policies. He said they benefit tenants who are lucky enough to get into a price-controlled unit, but otherwise they stifle development and limit on-site improvements.

“Fully at the mercy of corporate landlords”

Still, those concerns may be alleviated by a nationwide — rather than city-by-city — approach, Hamrick and others said.

While one city’s enacting of rent caps may spur developers to look elsewhere, a nationwide approach would help neutralize landlords’ ability to search for greener pastures. The Biden administration’s proposed exemption on new builds theoretically blunts fears that property owners would get out of building apartments altogether.

“The fact that it would have a nationwide impact eliminates that,” Hamrick said. “But it still has the chilling effect on investment overall. What you worry about is that these retirement plans and insurance companies that basically fund the construction of housing in the U.S. start to find better places to park their money than real estate investment because there are artificial caps.”

State Rep. Javier Mabrey, a Denver Democrat who has sponsored renter-friendly legislation — including last year’s attempt to repeal Colorado’s rent control prohibition — said Biden’s proposal advances a debate within the Democratic Party about “what kind of party we want to be.”

He argued the plan was reflective of the reality facing renters, which is that “if you don’t own a home right now, you’re fully at the mercy of corporate landlords seeking unlimited profits.”

“I think the cost of rent — yes, it’s somewhat tied to costs that the landlords incur,” Mabrey said. “But more often than not, landlords across the country are charging as much as they can.”

Hamrick said Biden’s embrace of rent caps, even if it has come while he’s standing on rickety political legs, signaled a boost for rent cap advocates.

“It certainly puts it on the table for a greater level of discussion,” he said. “Whether it changes people’s minds on the wisdom of it, I don’t know. But the fact that you and I are even talking about it is a redirect result of the (Biden announcement).”

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Originally Published: July 20, 2024 at 6:00 a.m.

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Colorado

Seeking Revenge Against the Capitals | Colorado Avalanche

Published

3 hours ago

November 21, 2024

Press Room

Seeking Revenge Against the Capitals | Colorado Avalanche

Colorado Avalanche (10-9-0) @ Washington Capitals (13-4-1)

5 p.m. MT | Capital One Arena | Watch: Altitude, 9News, My20, Altitude+ | Listen: Altitude Sports Radio (92.5 FM)

For the second time in six days the Colorado Avalanche will faceoff against the Washington Capitals. Colorado will battle to split the season series after a 5-2 loss at Ball Arena on November 15.

Soaring Past the Flyers

The Avalanche beat the Flyers 3-2 at Wells Fargo Center on Monday. Cale Makar posted his 10th-career multi-goal game and Casey Mittlestadt added a goal. Additionally, Mikko Rantanen recorded two assists and Justus Annunen made 24 saves. Following a scoreless first period, Makar opened the scoring with a wrist shot from the slot at 8:30 of the second period after receiving Nathan MacKinnon’s set-up feed. Makar thought he had his second of the game at 10:44 of the middle frame, but the goal was taken off the board due to a successful Flyers challenge for goaltender interference. However, Makar would eventually double Colorado’s lead on the power play with his eighth tally of the season at 15:08 of the middle frame with a shot from the point that deflected off a Flyers player on its way in. The Burgundy and Blue took a 3-0 lead at 8:34 of the third period when Mittelstadt dispatched the rebound created by Rantanen’s shot into the net for his seventh goal of the season. The Flyers answered with goals from Owen Tippett at 11:48 and Tyson Foerster at 13:32 to cut their deficit to one, but the Avs held on to secure their 10th victory of the season.

Leading the Way

MacKinnon leads the NHL in points (34) and assists (27).

Makar leads NHL blueliners in goals (8), assists (19), and points (27). He’s tied for seventh among NHL skaters in points and tied for fifth in assists.

Rantanen is tied for sixth in the league in goals (12) and tied for seventh in points (27).

History

The Avalanche are 18-20-4 in 42 previous regular-season games against the Capitals. Colorado is 4-1-0 in its last five matchups against Washington dating back to the 2022-23 season.

Winning Out West

The Capitals beat the Utah Hockey Club 6-2 at the Delta Center on Monday. Alex Ovechkin scored twice, and Charlie Lindgren made 24 saves. Utah opened the scoring with a goal by Jack McBain at 3:05 of the first period but the Capitals responded with tallies from Dylan Strome at 7:46, Nic Dowd at 7:56, and Ovechkin at 11:05. Ovechkin extended Washington’s lead to three with a goal at 5:38 of the second period before Nick Bjugstad scored for Utah at 11:44 to make it 4-2 in favor of Washington entering the third period. Ovechkin did leave the game midway through the third period with a lower-body injury and has been placed on injured reserve and ruled week-to-week. The Caps added two more goals in the third period from Brandon Duhaime at 7:30 and Aliaksei Protas at 9:56 to win 6-2.

Putting Up Numbers on the Potomac

MacKinnon has posted 28 points (11g/17a) in 20-career matchups against the Capitals including 11 points (5g/6a) in 10 road matchups against them.

In eight previous meetings with Washington, Makar has recorded six points (2g/4a).

Rantanen has registered 19 points (8g/11a) in 14 previous games against Washington including eight points (4g/4a) on the road.

Capitals’ Contributors

Strome leads the Capitals in points (28) and assists (22).

Connor McMichael is second on the team in goals (12) and third in points (19).

Aliaksei Protas is fourth on the team in points (18), third in goals (7), and tied for third in assists (11).

A Numbers Game

10

Makar became the first defenseman in franchise history to record 10 multi-goal games.

3

The Avalanche have three players (MacKinnon, Makar, and Rantanen) in the top 10 in points. No other team has more than one.

165

The Avs have registered 165 high-danger shots on goal, which ranks sixth in the NHL.

Quote That Left a Mark

“Juice is great. I think he’s been great all year. [He made] some big saves, especially at the beginning there…So [it was a] heck of a job from Juice for sure.”

— Casey Mittelstadt on Justus Annunen’s performance on Monday

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Colorado

Residents rally to save Colorado Springs library on brink of closure

Published

11 hours ago

November 21, 2024

Press Room

Residents rally to save Colorado Springs library on brink of closure

COLORADO SPRINGS, Colo. (KKTV) – Hundreds of Colorado Springs residents showed up at the Pikes Peak Library District Board of Trustees meeting Wednesday night in a last-ditch effort to save the Rockrimmon Library.

The library is set to close December 1. This comes after the board voted to not renew the library’s lease due to financial issues.

In a statement posted on their website on November 8, the board called the decision to close Rockrimmon a difficult one.

“A library provides access to resources and materials to everyone in the community, so considering a closure goes against the grain of our hopes for PPLD. However, our District provides access to nearly 700,000 people across El Paso County. We must make decisions that sustain the entire District.”

More than 250 community members showed up to Wednesday’s board meeting to show their support for keeping the Rockrimmon location open with another 119 tuning in virtually.

Former Rockrimmon Library manager Steve Abbott said he was glad to see the turnout.

“It shows that the community will not give up and they are going to fight to keep this library open,” he said.

For most of the almost five-hour meeting, 43 speakers took turns pleading with board members to postpone the library’s closure, extend the lease another year, and reconsider their decision to close the library in the first place.

One of those who spoke before the board, Abbott said closing the library will leave a massive gap for the 30,000 people who live in the area.

“It leaves a big library desert in the Rockrimmon area,” he said. “For a child to use a library now, they’ll have to go over I-25, under I-25, over Academy, under Academy to get to a library, and it’s six miles away from where Rockrimmon was.”

Speaker and Rockrimmon resident Jennifer Walker said closing the library would also deprive the area of a much-needed community center.

“There is no YMCA, there’s nothing else,” she said. “This is where we meet other moms when we’re desperate to talk to another human being that’s not a toddler, this is where we go to work when we need a quiet space, this is where the elderly come to use the computer or to check out books.”

The fate of the Rockrimmon Library was not on the board’s agenda and those who left the meeting tell 11 News the meeting ended with no resolution.

Walker said residents are still exploring their legal options.

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Colorado

What’s the latest on the Colorado River negotiations?

Published

19 hours ago

November 20, 2024

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What’s the latest on the Colorado River negotiations?

The U.S. Bureau of Reclamation released a breakdown Wednesday of five potential paths forward for the fragile state-to-state negotiations surrounding Colorado River operating guidelines that must be updated by 2026.

The Colorado River, which is Southern Nevada’s primary source of water, holds a precarious future as the basin experiences historic drought and state leaders disagree on how to deal with shortages. The range of alternatives is possibly the last major announcement about negotiations to come from the Bureau of Reclamation under the Biden-Harris administration.

“We have worked tirelessly over the past several years to bring Colorado River Basin stakeholders together for a transparent and inclusive post-2026 process,” Reclamation Commissioner Camille Calimlim Touton said in a statement. “Today, we show our collective work. These alternatives represent a responsible range from which to build the best and most robust path forward for the Basin.”

What to know heading into 2025

The breakdown between two coalitions of states, the Upper and Lower Basins, centers around whether the Upper Basin — Colorado, Utah, New Mexico and Wyoming — should be required to take cuts to its water allocation past what’s known as the river’s “structural deficit,” or the 1.5 million acre-feet lost to evaporation and transport. The Upper Basin has argued that it takes too many cuts already because of its reliance on snowpack instead of big reservoirs.

The Lower Basin also has called for smaller reservoirs in the Upper Basin states to be included in discussions about cuts in water usage across the system.

Notably, one of the five alternatives is based on proposals from Native American tribes, calling for the government to account for undeveloped tribal water.

The acknowledgement of the ongoing duel between the Upper and Lower Basins is the “Basin Hybrid” alternative, which appears to fall somewhere down the middle of the two coalition’s proposals.

In a statement, Upper Basin Commissioner and Colorado negotiator Becky Mitchell said it’s too early to speak directly about the five alternatives from the Bureau of Reclamation.

“Colorado continues to stand firmly behind the Upper Division States’ Alternative, which performs best according to Reclamation’s own modeling and directly meets the purpose and need of this federal action,” she said.

The Lower Basin states of Nevada, California and Arizona didn’t immediately release a statement when the announcement was released at 1 p.m.

All seven state negotiators will convene in Las Vegas in early December at the Colorado River Water Users Association conference, where experts and officials will discuss what’s to come from negotiations under President-elect Donald Trump.

This is a developing story. Check back for updates.

Contact Alan Halaly at ahalaly@reviewjournal.com. Follow @AlanHalaly on X.

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