Denver leaders are considering asking voters to approve a new seat tax on tickets sold for concerts and professional sporting events at large, privately owned venues to help pay for transportation improvements and street safety projects.
The proposal would add a 5% to 15% tax to tickets, depending on the ticket price. City leaders estimate it could generate $30 million to $50 million annually to fund projects such as safer crosswalks, speed bumps and other infrastructure improvements.
Supporters say the measure would help meet Denver’s growing transportation needs as the city’s population continues to increase. Those opposed to it, however, worry it would make concerts and sporting events even less affordable.
“It’s already expensive as it is for the everyday person to buy tickets to concerts or games,” Denver resident Kiani Rayford said. “Adding a tax on top of it almost makes it unbearable.”
The proposal, introduced by Denver City Council members Sarah Parady and Flor Alvidrez, would apply only to tickets sold at large, privately owned venues, including Empower Field at Mile High. City-owned venues, including Red Rocks Amphitheater, would be exempt because they already charge a 10% seat tax.
“We are working with stakeholders to see what the right amount is, as far as what is a fee that we can add to tickets that’s manageable,” Alvidrez said.
Alvidrez said the additional revenue would help close a funding gap for transportation improvements as Denver experiences increased traffic fatalities, mobility challenges and continued growth. Last year, Denver had 93 traffic fatalities.
“We have had increases in traffic deaths, we have mobility issues and we have a growing city with more people and more lives,” she said. “The idea behind this proposal is, how do we fund this missing gap of the needs?”
Some residents said they’re already being priced out of live entertainment and worry the proposed tax would only make matters worse.
“Ticket prices are so expensive, and as someone who works a 9-5, it’s really hard to find room in my budget to do fun things,” Denver resident Juliana Carpinelli said.
“Our pay isn’t getting higher, but everything around us just keeps increasing,” said another resident.
Others said they would support paying more if the money is used to improve transportation and public safety.
“I think increasing taxes on those things could be beneficial,” said one resident.
In a joint statement, the Denver Broncos, Kroenke Sports & Entertainment, the Colorado Rockies and Denver Summit said they support investing in transportation but believe the proposal moved too quickly. The organizations warned the tax could increase costs for fans, affect the live events industry and impact thousands of local workers.
“While we all want to see Denver succeed in delivering key services to our residents, this measure has been advanced far too quickly and without the public process and thoughtful reviews it requires. Ultimately, a tax of this magnitude will directly impact fans, Denver’s live events industry, and thousands of local workers,” their statement said. “We remain committed to being constructive partners with the City and to help find solutions that strengthen Denver while protecting the affordability and economic impact of sports and live entertainment for our residents and guests.”
Meanwhile, the mayor’s office agrees. In a statement to CBS Colorado, the mayor’s office said:
“Though we support new ways of funding and improving transportation projects, we’re concerned this will make it more difficult for music-lovers, sports fans, and families to enjoy one of Denver’s great drivers of revenue and joy. Transportation is a shared priority, and we are committed to working with Council on improvements.”
The proposal is still in its early stages. It must first be considered by Denver’s Transportation and Infrastructure Committee before it could advance to the full City Council. If approved by the council, Denver voters would have the final say on whether to adopt the tax.
