Mill Levy Would Fund Employee Pay, Career Education, And Student  Services As Voters Weigh Benefits Against Higher Property Taxes

by Mark Smiley

Tax Question: ­Denver Public Schools is asking Denver voters to approve an additional mill levy override in the November 2026 election. The ­measure would raise up to approximately $44 million annually, with much of the ­additional revenue directed toward employee compensation. DPS estimates the owner of a median valued Denver home would pay approximately $72 more per year.

Denver voters will decide this November whether to provide Denver Public Schools with an additional $43.9 million each year through a property tax increase, setting up a debate over employee compensation, student services, and how much more Denver property owners should be asked to contribute to the city’s public schools.

The Denver Public Schools Board of Education voted unanimously to place the mill levy override before voters. The proposal follows months of discussion about the district’s finances and recommendations from a citizen advisory committee assembled to consider both the need for additional revenue and how that money should be spent.

The largest share of the proposed revenue would go toward employee compensation. The advisory committee recommended approximately $25.8 million annually for salary increases for DPS employees. Another $4 million was recommended for career and technical education hubs, and $4.8 million for mental health and special education supports. Charter schools would receive approximately $9.3 million annually, reflecting requirements that charter schools receive an appropriate share of mill levy revenue.

For the owner of a median priced single-family home in Denver, DPS has esti­mated the measure would increase the school portion of the property tax bill by approximately $72 per year, or about $6 per month. Supporters argue that the relatively modest increase for an individual homeowner could collectively provide the district with meaningful resources to improve employee compensation, retain experienced teachers, and provide additional services for students.

Opponents and skeptical voters may view the question differently. Rather than focusing solely on the incremental cost of this particular measure, they are likely to consider the cumulative property tax burden Denver residents already face and ask whether a school district with a roughly $1.5 billion annual budget should find the money for its priorities within existing resources.

DPS officials have identified employee recruitment and retention as important reasons for seeking the additional revenue. The district has pointed to compensation gaps and difficulties filling certain positions, while educators have argued that competitive salaries are essential to keeping experienced teachers and other professionals in Denver schools. The issue also has roots in negotiations between DPS and the Denver Classroom Teachers Association. The teachers union and district previously reached an agreement to pursue additional compensation through a ballot measure after educators did not receive their full cost of living increase in 2024.

Students And Staff: Denver Public Schools Superintendent Alex Marrero visits a classroom. DPS says competitive employee compensation is necessary to retain staff, while voters will have to decide whether those needs justify another increase in property taxes.

From the supporters’ perspective, teacher compensation is not simply an employee benefit. They argue that it directly affects what happens in the classroom. Schools that struggle to recruit and retain experienced teachers may face greater turnover, more vacancies, and difficulty maintaining consistent instruction. Supporters contend that better compensation can help DPS compete with surrounding school districts and other employers for qualified workers.

There are similar arguments for spending additional money on mental health and special education. Educators have told the district that students have increasingly complex needs requiring additional support. The proposed mill levy would provide approximately $4.8 million for those services. Another $4 million would support career and technical education programs intended to provide students with pathways into skilled occupations, apprenticeships, and careers that may not require a traditional four year college degree.

District officials also point to broader financial pressures. DPS has experienced declining enrollment, which affects the amount of state funding it receives. Officials have warned that enrollment losses and uncertainty surrounding future state and federal funding could create increasingly difficult budget choices in coming years. DPS approved a balanced budget of approximately $1.5 billion for the coming school year, but district officials have said the longer term financial outlook presents challenges.

Supporters therefore see the mill levy as a way to provide a stable local source of recurring revenue. They argue that allowing salaries to become less competitive could ultimately cost the district experienced employees and make it more difficult to recruit replacements. They also contend that investments in mental health, special education, and career training can provide benefits that extend beyond traditional classroom instruction.

There are substantial arguments on the other side. Denver residents already pay significant property taxes to support DPS, and the district currently collects approximately $288.6 million annually through previously voter approved mill levy overrides. Denver voters have approved three such overrides since 2012, including a $32 million measure in 2020 that provided money for nurses, teacher compensation, and hourly employees such as bus drivers and custodians.

Critics may reasonably ask how often the district should return to voters for additional operating revenue. Each individual increase may appear relatively small when expressed as a monthly cost for the average homeowner, but taxpayers ultimately pay the combined cost of school district, city, county, and other taxing measures.

The timing of the proposal could also present a challenge for DPS. In 2024, Denver voters overwhelmingly approved a $975 million DPS bond, the largest in the district’s history. That money was designated for capital purposes including building maintenance, air conditioning, safety improvements, and technology rather than employee salaries or ongoing operations.

Bonds and mill levy overrides finance different types of expenses, making the current proposal substantially different from the 2024 bond. Nevertheless, some voters may look at the broader picture and question being asked to approve another significant school funding measure less than two years after authorizing nearly $1 billion in borrowing.

There is also a question of long-term sustainability. Employee raises represent recurring expenses. Once salaries increase, those higher costs generally remain in the district budget year after year. The mill levy would likewise produce recurring revenue, but critics may question whether increasing property taxes is the best long term method for financing employee compensation, particularly at a time when DPS enrollment has been declining.

The proposed $43.9 million represents only a relatively small portion of DPS’s approximately $1.5 billion annual budget, and that fact provides arguments for both sides. Supporters can contend that a comparatively small increase in overall district funding could produce meaningful improvements in compensation and student services. Critics can argue that a district with a budget of that size should be able to identify $43.9 million through reprioritizing existing spending.

The debate is further complicated by Colorado’s system for financing public education. Schools receive funding through a combination of local property taxes and state revenue, meaning decisions made at the state level can have significant effects on local school district budgets. DPS officials say the district has become increasingly dependent on local property taxpayers as the financial environment for public education has changed.

For voters, the November decision ultimately comes down to priorities and competing concerns. A yes vote would mean higher property taxes in exchange for approximately $43.9 million in additional annual school funding. The largest portion would be directed toward employee compensation, with additional money supporting career and technical education, mental health, special education, and charter schools.

Supporters will argue that approximately $6 per month for the owner of a median priced Denver home is a reasonable investment in attracting and retaining teachers, supporting students, and maintaining the quality of Denver’s public schools. They will also argue that failing to remain competitive on compensation could result in staffing shortages and greater turnover that ultimately affect students.

Opponents are likely to argue that Denver taxpayers have repeatedly supported DPS funding measures and that the district should demonstrate it can meet its priorities within the substantial resources it already receives. They may also point to the cumulative effect of property tax increases at a time when housing affordability and the overall cost of living remain concerns for many Denver residents.

The question does not offer voters an especially simple choice. Competitive teacher compensation and adequate student services are important to the quality of Denver’s schools. Property tax affordability, fiscal accountability, and careful use of public money are also legitimate concerns.

The November election will give Denver voters the final say on whether the benefits DPS says would come from an additional $43.9 million each year are worth the additional cost to property owners.

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