(The Center Square) – In an attempt to remove two property tax initiatives from the November ballot, Governor Jared Polis called the Colorado General Assembly into a special session next week to retool a tax bill passed earlier this year.

“We are focused on saving Coloradans money on property taxes, and in doing so, protecting school funding and higher education, preserving our economic competitiveness, and avoiding risky ballot measures,” Polis said in a statement. “The cost of inaction is too high. We refuse to gamble with our schools, our economy, our future. Proposed ballot measures threaten to gut funding for K-12 and higher education, and Coloradans are counting on us to find a path forward that saves people money on property taxes while preserving these critical institutions.”

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Polis signed into law Senate Bill 24-233 earlier this year to reduce property taxes by $1.3 billion for 2024 and 2025, providing an average of $500 in relief for Colorado families. It also protected revenue for schools.

The ballot initiatives, called a “cut and a cap,” were led by Advance Colorado, a conservative organization. It agreed to withdraw its initiatives if "agreed-upon bill" is signed into law, according to a media release from the organization, and not bring similar ballot initiatives in the future, unless the state reverses the agreement in the future.

The agreement would cut residential property tax rates to 6.3 percent or 6.4 percent, depending on assessment growth, and commercial rates to 25 percent. It includes a property tax cap of 5.25 percent for local governments and 6 percent or the rate of inflation, whichever is greater, for school districts.

“This property tax cut and cap agreement provides the permanent tax relief that Coloradans have been demanding and will prevent future spikes in property tax bills going forward,” Michael Fields, president of Advance Colorado, said in a statement. “This is the result of two years of consistent pro-taxpayer advocacy to ensure that we can solve the current property tax crisis for the benefit of Colorado families and businesses.”

Initiative 50 would conditionally decrease property tax revenue in years when statewide property taxes are projected to increase more than 4 percent compared to the prior year. The measure would allow voters to approve a measure allowing the additional revenue to be retained.

Initiative 108 would reduce property tax revenue by an estimated $3 billion in tax year 2025 and in larger amounts in the following years.

Senate President Steve Fenberg, D-Boulder, harshly criticized the ballot initiatives.

“The reckless and irresponsible ballot measures we are contending with pose an existential threat to critical state and local services, and it is incumbent on us to act in Colorado’s best interests,” Fenberg said in a statement.

Republicans said the continuing property tax dilemma can be traced to the state’s Democrats.

“The blame for our property tax crisis lies squarely with Colorado Democrats and the governor,” Representative Ryan Armagost, R-Berthoud, posted on X. “I genuinely hope both sides can come to the table and provide a real fix... The working people of Colorado cannot afford another half-baked solution to a complex issue.”