As cost of living rises, Democratic lawmakers want new fees on everyday items

It's going to cost more to live and work in Colorado once Democratic lawmakers finish their work at the Capitol this session.

State of play: The majority party is advancing legislation to increase fees on alcohol sales, rental cars, oil production, telephones and the purchase of tires — all to pay for various new programs that didn't fit into the $41 billion state budget .

Why it matters: Given their breadth, just about everyone will feel the impact of the new fees at a time when the cost of living in Colorado is rising.

The intrigue: Democrats wanted to go even further and impose new fees on vehicle registrations and EV charging , but both measures failed to gain enough support.

What they're saying: "It's our responsibility to ensure that the right users are paying their fair share, to make sure that we're not having a burden on some unfairly. I do think we're finding a balance," Senate President Steve Fenberg (D-Boulder) told Axios.

Between the lines: Democratic leaders are increasingly relying on new fees to pay for their priorities because the Taxpayer's Bill of Rights caps state spending. Also, fees — unlike new taxes — don't need voter approval if they collect less than $100 million combined in the first five years.

The other side: Republican lawmakers objected to the new fees and questioned their legality in some cases. "If it's a good public policy, we should call it a tax," Senate Republican leader Paul Lundeen of Monument argued in a legislative debate Tuesday.

• Sen. Jim Smallwood (R-Parker) suggested that Democrats are manufacturing a " Rube Goldberg machine to get money."

Zoom in: Not all the fees are charged to consumers but the costs are expected to trickle down, or weigh heavier on businesses.

Here's a look at the size of the new fees and what they will pay for.

• Alcohol sales: The fee charged to large distributors of beer, wine and liquor and is expected to collect about $20 million. The money will mostly go toward alcohol treatment and recovery programs.
• Rental cars : Dubbed a congestion impact fee , it will apply to short-term vehicle rentals and cost up to $3 a day. The money will go toward operating new passenger rail service and other transportation projects.
• Tires: The current 55-cent surcharge on the purchase of tires is being replaced with two new fees that roughly total $3.75 for each. It is expected to collect about $20 million a year to clean up tire waste.
• Telephones : In addition to current surcharges, this new fee on telephone users , estimated at 12 cents a year, will collect about $700,000 to pay for training programs for 911 center responders.

What's next: The bills must receive final approval by the Legislature's May 8 adjournment date.