Colorado Legislature: Sponsor Needed for 100% Disabled Veteran Property Tax Exemption

 TOTAL DISABILITY for INDIVIDUAL UNEMPLOYABILITY
= Equals =
100% VA Total & Permanent Line of Duty Disability

Every Colorado 100% VA disabled veteran should be eligible for the Disabled Veteran Property Tax Exemption. It is wrong to deny TDIU vets the exemption the voters approved for ALL 100% VA disabled veterans when we approved Referendum E in 2006, Colorado Constitution Article X Section 3.5

A veteran is considered totally and permanently disabled if they have received a disability rating of 100% for service-connected disability compensation and the VA does not expect the condition to improve. Such language indicates that the rating of total disability is permanent.

By illogically and unfairly denying them a state constitutional protection, Colorado disrespects over 4000 TDIU veterans rated by the VA as 100% totally and permanently disabled in the line of duty. Colorado denies TDIU vets, totally disabled for the rest of their lives, our Disabled Veteran Property Tax Exemption. In doing so Colorado shows its disregard for their dedicated military service and their life-changing sacrifices. 

Colorado is unique among the states in denying benefits to this group of 100% VA disabled veterans.

 

Colorado Legislature: Sponsor Needed for 100% Disabled Veteran Property Tax Exemption

 

Proposed Bill to Support 100% Disabled Veterans

Colorado Legislature: Sponsor Needed for 100% Disabled Veteran Property Tax Exemption

Proposed Bill to Support 100% Disabled Veterans

Colorado Legislature: Sponsor Needed for 100% Disabled Veteran Property Tax Exemption

Colorado Legislature: Sponsor Needed for 100% Disabled Veteran Property Tax Exemption

REPRINT: Back in 2017 I complained that the state ignored HB16-1444 – Still little compliance with constitution!

by Wes Carter, National Chairperson, The C-123 Veterans Association

It’s damn hard to believe. Over this last decade state officials simply ignored property tax provisions spelled out in Colorado’s constitution to provide a small exemption to totally disabled troops retired by the military for line-of-duty injuries. It’s like the law simply went missing in action.

Back in 2006 voters amended our constitution, approving by a four-to-one margin to provide a small, partial property tax exemption. Only about $6000 value on average, the exemption is for two categories of injured servicemembers: Troops retired by the military as totally and permanently, and second, veterans rated 100% totally and permanently disabled by the Department of Veterans Affairs – "TDIU."

Referendum E carefully addressed both of the above categories because there are three differences between them:

1. Not all disabled military retirees also seek a VA disability rating – ratings must be applied for and, unlike military disability retirements, can take months or years to establish

2. Although based on similar laws, often military retirees face years of delays with claims and appeals to receive VA ratings, but military disability retirements are effective immediately upon leaving active duty

3. The military views a disability as medically unable, through line-of-duty illness or injury, to perform one's military specialty or be retrained in another; VA views disability as the percentage of loss of capacity to work in meaningful employment, somewhat similar to Social Security disability rules

(real example: Northern Colorado resident Vietnam-era veteran medically retired as 100% by the military in 1991 because of Gulf War injuries. Filed VA claims for numerous 100% disabling injuries and Agent Orange illnesses in 1992-1994 but not finally approved for 100% VA disability rating until 2015. Per our constitution's Article X Section 3.5, this veteran was eligible for Colorado's disabled veteran tax exemption in 2007. As of December 2017, still no state web site instructions or forms permit his application because only federal VA 100% disability ratings are mentioned, not his 100% military medical retirement.)

Problem: Through an oversight when the 2007 statute was drafted, the category of totally disabled military retirees was simply not mentioned…language about them is in the constitution, but was absent from the text of the law.

In 2015 concerned citizens discovered this missing language issue and asked the legislature to align the constitution with the statute. Both houses approved HB-1444 unanimously and it was signed into law in May 2016.

And then, generally ignored by state and local officials.

Rough Draft: Colorado Disabled Vet Property Tax Exemption for "Total Disability for Individual Unemployability" Veterans

FIRST, background on the two VA 100% disability ratings. One is straightforward – total disability rating based on one or more service-related injuries that total 100%. The other is less simple – it is "Total Disability for Individual Unemployability" – TDIU. The VA treats them equally, except the TDIU veterans are specifically rated for, and verified for, a permanent inability to work based on their totally disabling service-connected injuries.

NEXT, how will we do this?  Along with the Military and Veterans Affairs Committee of the Colorado Bar Association, we feel Colorado should include 100% totally disabled veterans awarded VA total disability for individual unemployability (TDIU) in the definition of "qualifying disabled veterans for a property tax exemption for qualifying seniors and disabled veterans." by amending 2018 Colorado Revised Statutes, Title 39 - Taxation Property Tax, Article 3 - Exemptions, Part 2 - Property Tax Exemption for Qualifying Seniors and Disabled Veterans § 39-3-201. Legislative declaration.
(Universal Citation: CO Rev Stat § 39-3-201 (2018))

I'lI refer in my writing the US Department of Veterans Affairs' terminology because Colorado took took specific steps with HB16-1125 to align our state terms with the VA. I take note of the fact the VA's official TDIU phrase is is "total disability rating for compensation based on unemployability of the individual."

VA's own Inspector General explains TDIU: 

"Individual unemployability may be established when a veteran is unable to secure or retain employment by reason of a service-connected disability or disabilities. A veteran may be unemployed or unemployable for a variety of reasons. When VARO staff deem a veteran is unemployable due to service related disabilities, the veteran is entitled to Individual Unemployability (IU) benefits. In such cases, disability compensation payments are elevated to the 100 percent rate even if the medical condition(s) are evaluated as less than 100 percent disabling. In order to continue disability payments at the 100 percent rate based on TDIU, veterans must confirm annually that he/she continued to be unemployed for service-connected medical issues.

"To be considered for TDIU P&T status, the law requires veterans to have a “total disability permanent in nature.” Veterans are considered to have total disability when they have a 100 percent disability rating due to service-connected disabilities or if their service-connected disabilities make them unemployable. For the total disability to be permanent, the law requires the disability to be “based upon an impairment reasonably certain to continue throughout the life of the veteran."

Statistics: Of all its veterans with a VA TDIU disability rating (355,000,) VA reports Colorado has approximately 4077 potential TDIU claimants under age 65. If qualified for the exemption there'd be an additional annual impact to Colorado's budget of $2,642,000. Colorado isn't being particularly generous, considering sixteen other states waive waive all property taxes for totally disabled veterans; none have TDIU restrictions – except Colorado.) Our state ranks an unimpressive 27th in the value of veterans' state benefits.

More stats: The Census Bureau reports that the veteran population declines about 2.5 million each year, thus Colorado's 4622 potential TDIU claimants can be expected to decline at about the same rate, for a small reduction in the fiscal impact each year.

• With our wars winding down, both types of VA 100% disability ratings will also decline. Using Census and VA data, we can expect new veterans with 100% disabilities to be less than 75% of what we've suffered annually since the First Gulf War.

• Not only will there be fewer exemption claimants because of the veterans' aging population and because of a smaller US military, but there will be also fewer additions to our number of totally disabled veterans than we've seen these last twenty years. This reflects moving from combat plus peacetime training to peacetime disabilities alone.

VA treats its two types of 100% VA disability groups the same, and Colorado does not. We offer veterans with a 100% permanent and total disability the state's partial Disabled Veteran Property Tax partial exemption, but someone added specific language to the program that bars all TDIU vets from the benefit that's worth, on average, only about $640 a year. While homestead exemptions for seniors will be increasing as the population ages, disabled veteran and veteran survivor exemptions will decrease slightly, unless America's overseas wars return to plague us.

(Note: 57% of TDIU vets are older than age 65. Compared to 100% schedular vets, they are somewhat younger. Older Veterans could be encouraged to chose between Disabled Veterans eligibility or the senior citizen homestead eligibility (13% qualify for both)  but there'd be no real change to the state budget.

We voters authorized the disabled vet property tax exemption by approving Referendum E back in 2006. Reading the text of the proposed constitutional amendment understandably has most of us believing that every veteran with a VA 100% permanent disability rating is qualified for the exemption:

"AN AMENDMENT TO SECTION 3.5 OF ARTICLE X OF THE CONSTITUTION OF THE STATE OF COLORADO, CONCERNING THE EXTENSION OF THE EXISTING PROPERTY TAX EXEMPTION FOR QUALIFYING SENIORS TO ANY UNITED STATES MILITARY VETERAN WHO IS ONE HUNDRED PERCENT PERMANENTLY DISABLED DUE TO A SERVICE-CONNECTED DISABILITY.

The Blue Book expanded on this, just in case citizens couldn't fully understand we were considering 100% disabled veterans:

Who qualifies for the tax reduction? Homeowners who have served on active duty in the U.S. Armed Forces and are rated 100-percent permanently disabled by the federal government due to a service-connected disability qualify for the tax reduction in Referendum E. Colorado National Guard members injured while serving in the U.S. Armed Forces also qualify. Veterans are rated 100-percent permanently disabled when a mental or physical injury makes it impossible for the average person to hold a job and the disability is lifelong.

 

Later, language was mysteriously added to the enabling statute and regulations by the legislature to specifically bar totally disabled vets with TDIU. DOLA explained this was "the request of some legislators:"

"VA unemployability awards do not meet the requirement for determining an applicant’s eligibility."

TDIU is a way for the Department of Veterans Affairs (VA) to compensate totally and permanently disabled veterans at the 100 percent rate who are actually unable to work solely because of their service-connected disability, although their rating according to VA’s Schedule for Rating Disabilities (Rating Schedule, or "schedular") does not reach 100 percent but is nonetheless uniquely totally disabling. Nationally, about eight percent of disabled veterans have injuries or illnesses that left them even more disabled than provided for in VA charts.  Remember: all VA ratings reflect the degree of impact an injury or illness have on the ability to work. Both 100% schedular and TDIU vets are rated precisely on that basis.

TDIU is based on a VA evaluation of the individual veteran’s capacity to engage in any substantially gainful occupation, defined as the inability to earn more than the federal poverty level. TDIU is rather than the schedular evaluation, based on the average impairment of earnings concept. TDIU takes occupation, experience and education issues as well as medical factors into account. Congress frequently reviews TDIU, and agrees that it is there "because each person is unique." VA agrees, telling Congress "Individual unemployability is necessary to overcome the inadequacies of the rating schedule" to rate a 100% totally and permanently disabled veteran. 

For Colorado to exclude TDIU vets from the property tax exemption is to penalize them for the manner in which they became totally and permanently disabled in the line of duty, just as did 100% schedular vets.

TDIU 100% disability ratings are assigned when the service-connected medical disability is even worse than VA disability tables recognize. TDIU is assigned when that disability or combination of service-connected disabilities are evaluated and the VA concludes the veteran is exactly what the initials mean – totally and permanently disabled, never expected to be able to work again and even certified as such each year after being rated TDIU. These veterans would work if they could. Most are working-age and two-thirds have dependents to care for.

100% schedular veterans have a similar arrangement because their disabilities may also surpass rating tables. For them, VA can offer "Special Monthly Compensation" and pay the vet beyond the regular 100% disability table. This addresses situations where vets may be unable to care for themselves, are homebound, etc.

TDIU does not refer to a veteran who is simply unemployed. Rather, a TDIU rating refers to military injuries or illnesses are even worse than typical (say, unsatisfactory hip replacements that are typically rated 60-90% but that are for a particular veteran in fact end up completely, totally, forever 100% disabling.) And not only factually disabling, but agencies such as Social Security or state rehabilitation services determine are so severe as to actually prevent employment.

This means that beyond military-related physical injuries that prevent them from participating in many of life's activities, they could have trouble with mental health issues such as suicidal tendencies, problems with speech, near continuous panic or depression, chronic confusion, impaired impulse control, and difficulty in adapting to stressful environments.

Perhaps Colorado's legislators added the issue of unemployability to reduce the fiscal impact on the state, or as their barrier to the property tax exemption because of a stigma tied to the word "unemployed." Because they can't work, TDIU vets aren't even eligible for unemployment insurance – while VA 100% schedular vets can get unemployment compensation when eligible! 

Such a negative attitude is misplaced as regards TDIU and it must be corrected. If Federal unemployment statistics only include in the definition of "unemployed'' those who are looking for, but can't (or won't) find work, Colorado legislators might have asked why shouldn't VA apply that same standard for TDIU benefit? Here are the facts.

 

The Department of Labor classifies persons as unemployed if they do not have a job, have actively looked for work in the prior 4 weeks, and are currently available for work. Persons counted as "unemployed'' aren't working for a variety of reason, many under their own control. TDIU disabled veterans, on the other hand, are entitled to a total disability rating because they are in actual fact unemployable, i.e., found upon careful exam by VA, Social Security or state rehab agencies to be unable to engage in gainful employment precisely because and only because– of VA-rated service-connected disabilities; disabilities that render them 100% disabled, have rendered them unable to ever work. The word unemployed does not apply. At all. In fact, 100% schedular vets can work and can also be unemployed.

VA recognized the logic of "one size does not fit all" for its volumes of standard disability ratings. This was back in the 1930's when medical experts, legislators and VA administrators established the first TDIU-type ratings. For example, not all hip replacements leave a veteran between 40 and 90% disabling as VA tables describe: Rather, some exceptions occur taking the disability up to a totality, regardless of "typical" ratings. VA and others in the veteran community realize that TDIU veterans are typically worse off financially than 100% schedular vets, because TDIU veterans cannot work; VA and Social Security monitor them, watching for any earned income.

By contrast, 100% schedular vets are encouraged to work, for better financial, mental and medical health. A vet in a wheelchair might pursue rehabilitation education and find employment, without abusing disability benefits from VA. A TDIU veteran, on the other hand, cannot work and if somehow they were to do so in something beyond sheltered workshop-type earnings would lose their VA benefits. Often TDIU veterans are referred to state rehabilitation agencies or to certified rehabilitation counselors (CRC) for verification of their physical inability to work.

I have a personal perspective of TDIU and the Colorado Disabled Veteran Property Tax Exemption. For  seventeen years I was VA 100% TDIU and denied the exemption for the years I owned a home in Colorado. I was homebound, 100% disability retired by the Air Force and unable to work, cared for by others, totally disabled, treated for cancers, numerous operations, paralyzed in a wheelchair, and also VA rated "catastrophically disabled." And I was terminally ill.

I was denied our property tax exemption only because I was "individually unemployable" and specifically ruled out of Colorado's eligibility. In 2015, however, VA finally acted on decade-old disability claims and appeals, and I was suddenly 430% VA service connected combat-related disabled (actual number, but VA "math" tops out at 100% regardless of the total of all disabilities.) My VA compensation was retroactive as was the effective date of my 100% disability, but Colorado blocks any retroactive tax exemptions. The VA corrected its error retroactively but Colorado cannot. I guess I'm still terminally ill but not much has progressed in the wrong direction lately – no complaints here!

CONCLUSION: VA has two categories of veterans who, in the line of duty, suffered injuries or illnesses leaving them 100% permanently and totally disabled for life. 

• The first group includes vets whose disabilities are, or add up to 100% per the standard charts uses for the typical severity of those disabilities. Colorado respects those veterans and offers a partial property tax exemption.

• The second group, Total Disability for Individual Unemployability (TDIU) includes also 100% disabled vets, servicemembers who have a very severe 60% disability or severe disabilities totaling 70%, but the particular severity of their illnesses or disabilities – their line of duty injuries – goes beyond the VA standard charts to total disability. They are not unemployed; they are unable to be employed! VA rates them as 100% permanently and totally disabled veterans. Colorado might respect these 100% disabled veterans who suffered severe illnesses or injuries in the line of duty, but Colorado saves money by illogically and unkindly excluding them from the partial property tax exemption we voters thought we were approving with Referendum E in 2006.

So that leads up to our solution. Let's update the statute defining "qualified veteran" to specifically include the TDIU veteran! Here's a proposed draft of such a bill.

DRAFT BILL– UVC GOALS & OBJECTIVES: ESTABLISH TDIU VETERANS' BENEFIT

First Regular Session 

Seventy-fourth General Assembly

STATE OF COLORADO

INTRODUCED

LLS xxx                            SENATE BILL 22 -xxxx

SENATE SPONSORSHIP

 HOUSE SPONSORSHIP

 _____________________________________

Senate Committees:

House Committees: 

 ___________________________________                         A BILL FOR AN ACT

CONCERNING PROPERTY TAX EXEMPTION FOR QUALIFYING DISABLED VETERANS FOR ONE-HUNDRED PERCENT DISABLED VETERANS TO INCLUDE VETERANS WITH LINE-OF-DUTY DISABILITIES GIVEN A RATING BY THE US DEPARTMENT OF VETERANS AFFAIRS FOR PERMANENT, TOTAL DISABILITY FOR COMPENSATION BASED ON UNEMPLOYABILITY OF THE INDIVIDUAL. ____________________________________                                Bill Summary

(Note: This summary applies to this bill as introduced and does not reflect any amendments that may be subsequently adopted. If this bill passes third reading in the house of introduction, a bill summary that applies to the reengrossed version of this bill will be available at http://leg.colorado.gov.)
CONCERNING THE INCLUSION OF ONE-HUNDRED PERCENT DISABLED VETERANS WITH LINE-OF-DUTY DISABILITIES THAT THE US DEPARTMENT OF VETERANS AFFAIRS HAS AWARDED A TOTAL AND PERMANENT DISABILITY RATING IN THE DEFINITION OF “QUALIFYING DISABLED VETERAN" FOR A PROPERTY TAX EXEMPTION FOR QUALIFYING SENIORS AND DISABLED VETERANS
________________________________

Be it enacted by the General Assembly of the State of Colorado:

SECTION 1. In Colorado Revised Statutes, 39-3-201, amend (1)(a) as follows:

39-3-201. Legislative declaration. (1) The general assembly hereby finds and declares that:

 (a) Section 3.5 of article X of the state constitution, which was approved by the registered electors of the state at the 2000 general election and amended by the registered electors of the state at the 2006 general election, provides property tax exemptions for qualifying seniors and qualifying disabled veterans. TO MORE CLOSELY ALIGN WITH THE DESCRIPTION OF "DISABLED VETERAN" IN REFERENDUM E AS APPROVED BY THE ELECTORS IN 2006, "DISABLED VETERANS," IS DEFINED IN ACCORDANCE WITH THE REQUIREMENTS OF SECTION 2-2-208, IN SECTION 39-3-202 (3.5) AS "QUALIFYING VETERANS" FOR PURPOSES OF THIS PART 2;

SECTION 2. In Colorado Revised Statutes, 39-3-202, amend (3.5) as follows:

39-3-202. Definitions. As used in this part, unless the context  otherwise requires: (1.5) "Exemption" means the property tax exemptions for qualifying seniors and qualifying disabled veterans allowed by section 39-3-203.

 (3.5) "Qualifying disabled veteran " means an individual who has served on active duty in the United States armed forces, including a member of the Colorado National Guard who has been ordered into the active military service of the United States, has been separated therefrom under honorable conditions, and has established AND MAINTAINED A service-connected disability that has been rated by the federal department of veterans affairs as a one hundred percent permanent disability OR HAS BEEN GIVEN BY THE US DEPARTMENT OF VETERANS AFFAIRS A PERMANENT, TOTAL DISABILITY RATING FOR COMPENSATION BASED ON UNEMPLOYABILITY OF THE INDIVIDUAL through disability OR retirement benefits pursuant to a law or regulation administered by the department, the United States department of homeland security, or the department of the Army, Navy or Air Force.

SECTION 3. In Colorado Revised Statutes, 39-3-202, amend (3.5) as follows:

39-3-202. Definitions. As used in this part, unless the context otherwise requires: 

(3.5) "Qualifying disabled veteran " means an individual who has served on active duty in the United States armed forces, including a member of the Colorado National Guard who has been ordered into the active military service of the United States, has been separated therefrom under honorable conditions, and has established AND MAINTAINED a service-connected disability that has been rated by the federal department  of veterans affairs as a one hundred percent permanent disability OR HAS BEEN GIVEN BY THE US DEPARTMENT OF VETERANS AFFAIRS A PERMANENT, TOTAL DISABILITY RATING FOR COMPENSATION BASED ON UNEMPLOYABILITY OF THE INDIVIDUAL  through disability OR retirement benefits pursuant to a law or regulation administered by the department, the United States department of homeland security, or the department of the Army, Navy or Air Force.

These outsider efforts re: Gold Star Wives' Colorado property tax exemption are now suspended

At this point it seems best to cease our outsider efforts hoping for addition of the Gold Star Wives Colorado property tax exemption to the United Veterans Coalition 2022 state legislative agenda. The work was unhelpful and trod on other veterans' needs. 

A couple issues are already underway by themselves: An American Legion asking UVC to make Gold Star Wives one of its 2022 legislative objectives, and consideration by the Colorado Bar Association of both Gold Star Wives and TDIU veterans. GSW and UVC can consider them or not, as they wish.

If Gold Star Wives do seek the exemption one day, I hope they are successful because they deserve it. Further, all veterans want UVC to press its 2022 federal and state agendas to satisfactory legislation. 

SITREP 18 May 2021: Report to Colorado Gold Star Wives re: Property Tax Exemption

(an update)

Good evening. I trust  you've had a pleasant weekend.

I should run a couple items past you. There will probably be some confusion about whether an act of the legislature or a constitutional amendment will be necessary for Gold Star Wives' property tax exemption in 2022.

UVC practice is to have a member organization (in this case, GSW) submit proposed state legislative objectives in June for a hoped-for unanimous vote by the coalition; putting it to the UVC or not remains strictly your call, of course.

I've prepared a draft bill and a draft amendment.. They are terribly amateurish and too long, but hopefully get my point across. Read, don't read, revise, dump'em as you wish. They shouldn't be submitted if in conflict with your objectives or other UVC agenda items.

As you asked, provisions are made for the Colorado National Guard survivors as well as spouses of military missing in action. The situation during Vietnam had many families in limbo, confused between survivor and active duty benefits for years. This isn't a situation likely to happen but...just in case.

Last, I redefined "veteran" to include those lost on active duty or missing in action.

The choice between amendment or legislation will be made by whichever house initiates action, and by Legislative Council Staff or by the Office of Legislative Legal Services. Fortunately, LCS did an analysis for Rep. Kipp back in 2019 that might help should you and UVC proceed. 

For a member's suggestion of a legislative objective, UVC also requires a statement as to how the proposition helps veterans, and for both it is "Improve survivor benefits, promote stable home ownership, support the Colorado National Guard."

I copied you earlier on the American Legion resolution asking UVC to support GSW property tax exemption. It goes before the state Legion in late June. Nineteen posts have already given their unanimous support. Again, all efforts were directed only towards asking UVC to make it an objective for 2o22, and of course they can disregard if they wish.

There are a couple representatives and senators who are interested in GSW, and available for discussion once this session wraps up. I've never heard from David Ortiz but perhaps someone who knows him can reach out in June.

I've tried to follow the suggestions from your UVC lobbyists as well as input by the Guard, former UVC leaders, my own Gold Star Family members and some survivors from my own church here in Fort Collins. I'll leave the issue now for you to do whatever the Colorado Gold Star Wives chapters decide. God bless you all.

My very best regards,

        Wes Carter

DRAFT: AMENDMENT TO COLORADO CONSTITUTION FOR GOLD STAR WIVES PROPERTY TAX EXEMPTION

 I'm not sure yet whether a constitutional amendment is needed or whether a far easier legislative
approach will work. Thus, the necessity of drafting a bill and an amendment -let Denver decide!

Here's the amendment: 

                                                           

                                                        BALLET TITLE

Shall there be an amendment to the Colorado constitution Article X Section 3.5 concerning the disabled veteran’s survivor property tax exemption, and, in connection therewith, provide for qualification of the surviving spouse of a servicemember of the Armed Forces of the United States who is missing in action or whose death is in the line of duty, and provide for the qualification of the surviving spouse of a servicemember of the Colorado National Guard whose death is in the line of duty while activated for a state contingency?

                                                             Bill Summary

(Note:  This summary applies to this bill as introduced and does not reflect any amendments that may be subsequently adopted. If this bill passes third reading in the house of introduction, a bill summary that applies to the reengrossed version of this bill will be available at http://leg.colorado.gov.)

Under current law, 50 percent of the first $200,000 of actual value of the owner-occupied primary residence of a qualifying senior or a qualifying disabled veteran or surviving spouse of a qualifying disabled veteran who is in receipt of the exemption at the time of death, is exempt from property taxation. This wording excludes a surviving spouse of a servicemember whose death is while on active duty in the Armed Forces of the United States and excludes a surviving spouse of a servicemember of the Colorado National Guard whose death is while activated for a state contingency. The amendment expands the definition of “veteran who is in receipt of the exemption at the time of death” to include a servicemember of the Armed Forces of the United States who is missing in action or whose death is in the line of duty and to include a servicemember of the Colorado National Guard whose death is while activated for a state contingency.

SUBMITTING TO THE REGISTERED ELECTORS OF THE STATE OF COLORADO AN AMENDMENT TO SECTION 3.5 OF ARTICLE X OF THE CONSTITUTION OF THE STATE OF COLORADO, CONCERNING EXTENSION OF THE EXISTING PROPERTY TAX EXEMPTION FOR A QUALIFYING SURVIVING SPOUSE TO INCLUDE THE SURVIVING SPOUSE OF A MEMBER OF UNITED STATES MILITARY UNITED STATES WHO IS MISSING IN ACTION OR WHOSE DEATH WAS IN THE LINE OF DUTY, AND TO A SURVIVING SPOUSE OF A MEMBER OF THE COLORADO NATIONAL GUARD WHOSE DEATH WAS WHILE ACTIVATED FOR STATE CONTINGENCY.

                                                                Text of measure

Be It Resolved by the Senate of the Sixty-fifth General Assembly of the State of Colorado, the House of Representatives concurring herein: 

SECTION 1. At the next election at which SENATE CONCURRENT RESOLUTION 22-xxx1 question may be submitted, there shall be submitted to the registered electors of the state of Colorado, for their approval or rejection, the following amendment to the constitution of the state of Colorado, to wit: Section 3.5 (1) (b) of article X of the constitution of the state of Colorado is amended, and the said section 3.5 is further amended BY THE ADDITION OF THE FOLLOWING NEW TEXT, to read:

Be it enacted by the people of the State of Colorado:

Article X is amended to add as follows: Add to Section 3.5 (1.5)(b)

Homestead exemption for qualifying senior citizens and disabled veterans AND SURVIVING SPOUSES.

(1) For property tax years commencing on or after January 1, 2002, fifty percent of the first two hundred thousand dollars of actual value of residential real property, as defined by law, that, as of the assessment date, is owner-occupied and is used as the primary residence of the owner-occupier shall be exempt from property taxation if: 

(a) The owner-occupier is sixty-five years of age or older as of the assessment date and has owned and occupied such residential real property as his or her primary residence for the ten years immediately preceding the assessment date; or 

(b) The owner-occupier is the spouse or surviving spouse of an owner-occupier who previously qualified for a property tax exemption for the same residential real property under paragraph (a) of this subsection (1); OR QUALIFYING SURVIVING SPOUSE OF A UNITED STATES MILITARY MEMBER MISSING IN ACTION OR WHOSE DEATH WAS IN THE LINE OF DUTY, OR A COLORADO NATIONAL GUARD MEMBER WHOSE DEATH WAS WHILE ACTIVATED FOR A STATE CONTINGENCY.

(c) FOR PROPERTY TAX YEARS COMMENCING ON OR AFTER JANUARY 1, 2022, ONLY, the owner-occupier, as of the assessment date, is a disabled veteran. (1.3) an owner-occupier may claim only one exemption per property tax year even if the owner-occupier qualifies for an exemption under both paragraph (c) of subsection (1) of this section and either paragraph (a) or paragraph (b) of subsection (1) of this section. 

(1.5) for purposes of this section, "disabled veteran" means (A) an individual who has served on active duty in the United States armed forces, including a member of the Colorado National Guard who has been ordered into the active military service of the United States, has been separated therefrom under honorable conditions, and has established a service-connected disability that has been rated by the federal Department of Veterans Affairs as one hundred percent permanent disability through disability retirement benefits or a pension pursuant to a law or regulation administered by the department, the Department of Homeland Security, or the department of the Army, Navy, or Air Force, OR (B) A UNITED STATES MILITARY MEMBER MISSING IN ACTION OR WHOSE DEATH WAS IN THE LINE OF DUTY, OR A COLORADO NATIONAL GUARD MEMBER WHOSE DEATH WAS WHILE ACTIVATED FOR A STATE CONTINGENCY.

SECTION 2. Each elector voting at said election and desirous of voting for or against said amendment shall cast a vote as provided by law either "Yes" or "No" on the proposition: "AN AMENDMENT TO SECTION 3.5 OF ARTICLE X OF THE CONSTITUTION OF THE STATE OF COLORADO, CONCERNING EXTENSION OF THE EXISTING PROPERTY TAX EXEMPTION FOR QUALIFYING SURVIVING SPOUSES OF ANY UNITED STATES MILITARY MEMBER MISSING IN ACTION OR WHOSE DEATH WAS IN THE LINE OF DUTY, OR OF A COLORADO NATIONAL GUARD MEMBER WHOSE DEATH WAS WHILE ACTIVATED FOR A STATE CONTINGENCY 

SECTION 3. The votes cast for the adoption or rejection of said amendment shall be canvassed and the result determined in the manner provided by law for the canvassing of votes for representatives in Congress, and if a majority of the electors voting on the question shall have voted "Yes", the said amendment shall become a part of the state constitution.

For purposes of this section, the text of Section 3.5 shall be expanded, to wit “owner-occupier who previously qualified for a property tax exemption OR A SERVICEMEMBER OF THE ARMED FORCES OF THE UNITED STATES WHO IS MISSING IN ACTION OR WHOSE DEATH IS IN THE LINE OF DUTY AND TO INCLUDE A SERVICEMEMBER OF THE COLORADO NATIONAL GUARD WHOSE DEATH IS WHILE ACTIVATED FOR A STATE CONTINGENCY.

(1) For property tax years commencing on or after January 1, 2002, fifty percent of the first two hundred thousand dollars of actual value of residential real property, as defined by law, that, as of the assessment date, is owner-occupied and is used as the primary residence of the owner-occupier shall be exempt from property taxation if: 

(a) The owner-occupier is sixty-five years of age or older as of the assessment date and has owned and occupied such residential real property as his or her primary residence for the ten years immediately preceding the assessment date; 

(b) The owner-occupier is the spouse or surviving spouse of A SERVICEMEMBER OF THE ARMED FORCES OF THE UNITED STATES WHO IS MISSING IN ACTION OR WHOSE DEATH IS IN THE LINE OF DUTY AND TO INCLUDE A SERVICEMEMBER OF THE COLORADO NATIONAL GUARD WHOSE DEATH IS WHILE ACTIVATED FOR A STATE CONTINGENCY OR an owner-occupier who previously qualified for a property tax exemption for the same residential real property under paragraph (a) of this subsection (1); or 

(c) For property tax years commencing on or after January 1, 2007, only, the owner-occupier, as of the assessment date, is a disabled veteran. (1.3) An owner-occupier may claim only one exemption per property tax year even if the owner-occupier qualifies for an exemption under both paragraph (c) of subsection (1) of this section owner-occupier who previously qualified for a property tax exemption FOR PURPOSES OF ARTICLE X SECTION 3.5 ONLY, “OWNER-OCCUPIER WHO PREVIOUSLY QUALIFIED FOR A PROPERTY TAX EXEMPTION” SHALL ALSO INCLUDE A SERVICEMEMBER OF THE ARMED FORCES OF THE UNITED STATES WHO IS MISSING IN ACTION OR WHOSE DEATH IS IN THE LINE OF DUTY AND ALSO INCLUDE A SERVICEMEMBER OF THE COLORADO NATIONAL GUARD WHOSE DEATH IS WHILE ACTIVATED FOR A STATE CONTINGENCY.

Self-executing, severability, conflicting provisions. ALL PROVISIONS OF THIS SECTION ARE SELF-EXECUTING EXCEPT AS SPECIFIED HEREIN, ARE SEVERABLE, AND, EXCEPT WHERE OTHERWISE INDICATED IN THE TEXT, ALL PROVISIONS OF THIS SECTION SHALL BECOME EFFECTIVE UPON OFFICIAL DECLARATION OF THE VOTE HEREON BY PROCLAMATION OF THE GOVERNOR, PURSUANT TO SECTION 1(4) OF ARTICLE V.

  

Modified Gold Star Wives Property Tax Exemption Bill - Added MIA

 The draft bill was modified to include missing in action (MIA) casualties and list some of the proofs that should suffice for a claim. 

While MIA would be an unlikely event, the language is to avoid situations like the Vietnam War where servicemembers were sometimes missing for years and their families left in limbo, denied essential benefits.

Here's the updated text:

Seeking support within United Veterans Coalition for Gold Star Wives Property Tax Exemption

Given that Colorado's United Veterans Coalition requires unanimous agreement on a legislative objective, it seems best to begin asking the various member organizations for a chance to discuss Gold Star Wives property tax exemption. As I understand the process, issues are put forward in June to begin consideration and the agenda is decided upon in November. 

The American Legion has already advanced its resolution asking UVC to consider the Gold Star Wives property tax exemption. Efforts are also underway to discuss the issue with other groups.  UVC has to balance the many concerns it faces, and Gold Star Wives property tax exemption is but one that bears discussion. 

That discussion has already begun with some veterans' organizations and will continue by reaching out to each organization's UVC member representative. Their input is important but the only suggestion thus far is to limit the effort within UVC, respecting its role as the principal voice of Colorado's 460,000 veterans.

It is still unclear about whether a constitutional or legislative solution will be required, but a couple drafts for both approaches are ready for review. Hopefully, the legislature can act and avoid the difficult process of a constitutional amendment. That's a question for the Legislative Council Staff or the Office of Legislative Legal Services but not right now: As with meeting with our legislators, it is necessary to wait until this very busy session wraps up in early June.

 

Colorado's abandoned 100% disabled veterans – those rated "Total Disability for Individual Unemployability (TDIU)"

Voters approved Referendum E in 2006. We were asked whether a partial property tax exemption should be offered totally and permanently disabled veterans. We approved. But we didn't get what we voted for, not by half.

VA has two kinds of total disability awards – "TDIU" for total disability for individual unemployability, and 100% service connected permanent and total.

VA may increase certain veterans' disability compensation to the 100 percent level, even though VA has not rated their service-connected disabilities at that level. To receive the supplement, termed an Individual Unemployability (IU) payment, disabled veterans must apply for the benefit and meet two criteria. First, veterans generally must be rated between 60 percent and 90 percent disabled. Second, VA must determine that veterans' disabilities prevent them from maintaining substantially gainful employment—for instance, if their employment earnings would keep them below the poverty threshold for one person. 

Unhappily, our legislators really tightened up qualifications and locked out every single TDIU veteran. TDIU vets are carefully evaluated by VA, have at least one 60% permanent disability and a combination of factors making it physically impossible for them to work. Ever. Both vets are referred to as 100% VA disabled, but TDIU veterans have been refused the Colorado disabled veteran property tax exemption.

Consider the leeway given the legislature in the tax code. Clearly, the legislators had/have the power to follow Referendum E "in a manner that gives its words their natural and obvious significance." Must we suppose that totally and permanently disabled aren't "natural and obvious" enough words for TDIU?

Colorado Revised Statutes 2016, Title 39-3-202

TITLE 39(c) In enacting legislation to implement section 3.5 of article X of the state constitution the general assembly has attempted to interpret the provisions of section 3.5 of article X of the state constitution in a manner that gives its words their natural and obvious significance;

VA OIG 19-00227-226, Page ii, September 10, 2020

"Veterans are considered to have total disability when they have a 100 percent disability rating due to service-connected disabilities or if their service-connected disabilities make them unemployable. For the total disability to be permanent, the law requires the disability to be “based upon an impairment reasonably certain to continue throughout life."

"The Veterans Benefits Administration Inadequately Supported Permanent and Total Disability Decisions",

   

Gold Star Wives' Property Tax Exemption: Our goal is UVC support for enactment in 2022!

 

SITREP: Report to the Colorado Gold Star Wives re: Disabled Veteran Survivor Property Tax Exemptiopn

Here's my 8 May update to the Gold Star Wives:

Good evening, 

I agreed to provide you an update of things of interest regarding the property tax exemption for Gold Star Wives. Here it is.

The first item is that some legislators and staff were of the impression Colorado might have upwards of a thousand survivors. This is wildly off from the estimate of 150 potential applicants that the Legislative Council Staff calculated in 2019 for Representative Kipp. With a modest budget impact of less than $100,000 this looks more and more reasonable.

I've asked for but haven't been able to get any information from UVC about GSW being a 2022 legislative objective, which is the timing you suggested when we spoke. 

Their gentle suggestion seemed to be that I should back off but that it would be okay to stay tuned to UVC web info. Rather than being so uselessly passive, silent and merely hopeful, it seems more appropriate to remain proactive within UVC and also follow UVC guidance to keep my elected representatives advised. It seems useful to get coalition members informed and supportive of your exemption now so it can be presented in June and voted on by this November – if I understand the UVC timing.

To that end, my American Legion post and district submitted an internal resolution that, if approved at our June meeting, informs the UVC of the Legion's request for placement on the 2022 objectives. Nothing more explicit, and all within UVC channels. If it fails to get UVC behind it next year as well, at least there was an effort.

As you and I agreed, National Guard troops who die when activated for state contingencies are referenced in this Legion resolution. I spoke with Guard and DMVA folks about the issue: a Guardsman's surviving spouse is protected with something like DIC but more generous at about $2800/month. It would be an unlikely event but if it ever does happen it absolutely right that their spouses be protected!

As you can read, the resolution doesn't actually do much in that it only directs the Legion's UVC delegate to ask the coalition to consider GSW. Details are left for the professionals to iron out if/when/however the coalition wishes:

RESOLVED, by the American Legion Department of Colorado) that unremarried Gold Star Wives and unremarried surviving spouses of State National Guard members who die while activated by the Governor for State service, be included in the Disabled Veteran Survivor Property Tax Exemption because it is both necessary and proper, that the United Veterans Coalition be informed for this to be part of its state legislative objectives until acted upon with a goal of implementation before 2023 

--
As a Gold Star Family Member (CW4 Hank Carter, WWII, Korea, Vietnam,) this means a lot to me personally! In different circumstances it could have been my own GSW mom or my wife to be affected. It would affect survivors of crewmembers I've lost: Paul, Gabby, The Gif, Larry, Turcottte, Art, Bill, Bob, Arch, Fred and others.

If anything, I'm more concerned about this now than at our UVC banquet a couple years back when I introduced you and David Ortiz to then-Congressman Polis and to VA acting Deputy Secretary Scott Blackburn (our speaker that night.) This illogical distinction between GSW and disabled vets must be eliminated. If it had been done properly from the exemption's launch, each GSW would have saved over $8000 by 2022!

Whenever you have the time, I'd appreciate a cup of coffee and some discussion. The clip below is what I did for an informative panel.

God bless!

American Legion District 4 Approves Gold Star Resolution for 2022 Action

The Fort Collins Legion post forwarded its unanimously-approved Gold Star Wives resolution to Legion District 4. This morning, the nineteen posts represented unanimously approved the resolution and District 4 now forwards it to Department.. The next step is to convince the department resolution committee and then, it will be put to all delegates. 

Then, the Legion delegate presents the issue to the United Veterans Coalition.

This is very encouraging. The resolution asks the UVC, where both the Legion and the Gold Star Wives are members, to advocate inclusion of survivors of active-duty military line of duty deaths in the Colorado Disabled Veteran Survivor property tax exemption.

We should know more about the Legion's Department of Colorado decision this month!

Opposition to extending the property tax exemption is considerable, with most concern being the tight state budget. Finding $100,000 shouldn't be impossible, given that the general category of homestead exemptions for seniors, disabled military and survivors is $149,000,000; we're asking only for 0.0006 of an increase. 

I realize there is also coordinated opposition by some worried veterans, concerned about the groundwork underway to advance this within UVC. Perhaps there's some area of conflict with other coalition priorities or conflict caused by an outsider (me) trying to get UVC help going forward – nobody has said.

I'm a little concerned about UVC suggestions that any concerns, even these about which I care deeply) are best left altogether to them. I don't want to stand aside to see whether or not the coalition opts to advance GSW. It would seem better strategy, with no conflict of my causing, to advocate among primary members for their support. As I read the 2019 email, the task is getting issues into consideration by June and decided upon for inclusion of GSW with the legislative agenda.

At this point, my objective is still (1) get UVC member organizations aware of the Gold Star Wives property tax exemption (2) get the unanimous UVC member organizations' approval to include this issue in the UVC 2022 state legislative agenda (3) bring this to the attention of interested state legislators to draft a bill and update LCS research from their 2019 review

It has been six years since UVC last considered Gold Star Wives when I asked. Nothing formal ever followed – no bills, no committee hearings. It simply disappeared without action back in 2016. For 2022, We must not meekly stand aside, passively watching and wondering if UVC will act in 2022. 

With the offer of a bill to be introduced in June, and with the hoped-for UVC leadership and support (rather than disappointment with me and undoing my efforts) the issue should have a chance of reaching the legislature, maybe even into law by the summer of 2022.

Farewell, MOAA and my 30-year membership.

No help here!

I've ended my 31-year membership in the Military Officers Association of America, resigning last week. Leadership's brief response to my request for support (copy below) or advice on property tax exemptions for surviving spouses of active-duty military wasn't helpful and didn't deal with the issue. The only answer was that the Colorado MOAA representative would decide whether to support or not, and whether to speak with me or not. 

There wasn't even an offer to bring my concerns about Gold Star Wives and Colorado's TDIU veterans to the MOAA representative.

In essence, I was told by leadership that my effort as a life member to express my need for MOAA help within the United Veterans Coalition was dependent upon and at the sole discretion of our lobbyist. 

MOAA's rep hasn't found an opportunity for me to discuss my hope for MOAA support within the Colorado United Veterans Coalition. My specific request was for MOAA to advocate veterans' issues as per our mission statement. I was sent an email on how the United Veterans Coalition handles legislative objectives but nothing regarding how MOAA could help, nor whether MOAA agreed or disagreed with my concern's solution.

Being denied my voice, permitted any discussion of my needs only upon invitation of another (no matter how kind or skillful or even supportive the lobbyist may be) is unacceptable. This is an MOAA gag. Are officers expected to wait around, mute and dependent on others deciding what's best for us?

Rather than have my affiliation as a member affirm MOAA inaction, disinterest, or perhaps even opposition to my needs, I have terminated my life membership. Now I hope to bring up the issue with other UVC-affiliated groups, seeking their support to place Gold Star Wives and TDIU veterans on its 2022 legislative agenda.

What I wrote MOAA to ask for help:

I'm a life MOAA member and ask your help. Good afternoon. I don't know the complexities of getting an MOAA resolution but hope for your advice. If appropriate, please consider this a motion under the appropriate rules for such a thing.

Our state restricts the small Disabled Veteran Property Tax Exemption to those whose spouse died while already in receipt of the exemption. This language makes it impossible for "Gold Star Wives: (name change underway to Spouses) to qualify because their troop died on duty and never came home to apply for the exemption An obvious and gruesome "Catch-22." 

There are about 150 or so widows/widowers not already covered under the Homestead Exemption. I'm not addressing Gold Star Wives' second category, spouses of vets who die after the military of service-connected causes because the current language includes them. Legislative Affairs Council estimates the cost to Colorado to be under $100,000.

I'd like to correct this via our membership in the United Veterans Coalition of Colorado. I assume we either agree upon supporting something as an informal process or some sort of resolution. I've drafted such a resolution for discussion.

Please help me correct this discrimination of active duty widows who should be receiving the same respect and honor as do Colorado's disabled veteran survivors.

Several years back, MOAA was much more responsive when I visited headquarters in Washington along with Dr. Jeanie Stellman from Columbia University's Mailman School of Public Health. MOAA and ROA, the American Legion, NPR, even Air Force Times all lent their support throughout the four year effort getting our crews C-123 Agent Orange coverage.

So, thanks again, MOAA, but farewell. I'm not able to travel to Washington again to find somebody in MOAA to hear me out.

May 2015 MOAA Magazine