YMCA seeks tax dispensation

By JoAn Bjarko
North Forty News

The YMCA is seeking property tax exemptions in Larimer and Grand counties based on its religious status, according to the assessors in both counties.

Tax exemptions for religious purposes have to be granted by the Colorado Division of Property Taxation. No local, elected officials are involved, nor are local hearings held.

If approved, the YMCA would be exempted from paying about $300,000 of taxes each year in Larimer County and about $211,000 of taxes in Grand County.

According to Stan Gueldenzopf, exemption section manager in Denver, local officials can appeal a state decision that favors a property owner, first to the state Board of Assessment Appeals, which is appointed by the governor, and then to the Colorado Court of Appeals.

Data compiled by Larimer County Assessor Larry Johnson lists the total value of YMCA of the Rockies property in Larimer County at $16.7 million. The YMCA paid $104,282 of taxes to county government in 2003. The largest portion of its tax bill - $132,502 - went to the Park R-3 School District in Estes Park.

The YMCA has a substantial complex of land and buildings used for conventions, family reunions, tourist accommodations and other events. They are rented by both religious and nonreligious groups. County officials noted that many Estes Park businesses are concerned about the tax exemption because it would give the YMCA a commercial competitive advantage.

In Grand County, the YMCA operates as Snow Mountain Ranch. Assessor Stu Findley said property values total almost $16 million. Much of the group's 2,187 acres is assessed at forest and agriculture rates, but the commercial property is valued at $12.8 million, Findley said.

According to Gueldenzopf, state staff will review the applications and visit the properties. A decision will not be made until fall at the earliest, he said, and local governments will be notified. Requests for tax exemption have to meet strict legal standards, he explained, but business competition is not a factor.

"If it's truly a religious organization, competitive advantage doesn't mean that much," he said.

Gueldenzopf also noted that if the YMCA obtains the tax exemption, it would be retroactive to Jan. 1, 2002, and require the taxing districts to refund taxes paid after that date.