Denver City Council skeptical of Mayor Mike Johnston's affordable housing sales tax plan

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Denver City Council skeptical of Mayor Mike Johnston's affordable housing sales tax plan
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Brandon Richard is a reporter for Denver7 in Denver, Colorado.

DENVER — Mayor Mike Johnston ’s proposal to provide more affordable housing through a sales tax increase was met with skepticism by the Denver City Council on Wednesday.

“This measure, funded by a half-penny sales tax, would only cost Denver families about $2 a week,” Johnston said at Monday’s State of the City address. “But it would put us on the path to bring on the 45,000 units of affordable housing we need to fill our entire gap of affordable housing over the next 10 years.”

“I think we definitely are in a significant crunch here in Denver and frankly nationwide,” said Denver City Councilmember Chris Hinds."I keep asking what I think are fundamental questions and I haven't gotten an answer yet.” If both measures are approved, they would increase Denver’s sales tax rate to 9.65%, making it one of the highest in the state.

"How many new added fees and tax increases does it take to make us affordable?” Flynn asked. “That just strikes me as counterintuitive. I wonder, where does it end?" The committee postponed a vote that would have sent the plan to the full council for approval. Council members and the Johnston administration plan to work together in the coming weeks to improve the plan and add clarity where needed.

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