Loveland Council Votes to Remove Sales Tax on Food Amid Financial Concerns

The Loveland City Council convened on July 15, 2025, to address several key agenda items, including a review of the consent agenda and discussions on new business matters. The meeting began with a procedural overview, allowing council members to request the removal of items from the consent agenda. Councilor Olsen proposed the complete removal of item 5.5, related to a proposed special election following the resignation of Councilor Black. The council unanimously agreed to this request.

Following this, the council moved to the remaining items on the consent agenda, which included three ordinances. The first was an amendment to the Loveland Municipal Code concerning zoning regulations for specific lots in the Loveland Heights area. The second ordinance involved a supplemental budget and appropriation for the 2025 budget to support a connected vehicle technology project. The final ordinance addressed amendments to pedestrian access and median regulations. The council adopted the consent agenda, excluding the removed item, with a unanimous vote of 8-0.

The meeting then transitioned to new business, where Councilor Olsen presented concerns regarding the financial implications of a recent ballot measure that removed the sales tax on food. He emphasized that the projected savings from this measure were overstated and highlighted the city's ongoing financial challenges, which were exacerbated by the tax removal. Olsen pointed out that Loveland has not increased its sales tax since 1984, despite rising operational costs and inflation, which have significantly impacted the city's budget.

Olsen also refuted claims that the city had provided financial support to developers, clarifying that any reimbursements were for infrastructure costs incurred by developers, contingent upon generating sales and property tax revenues. He expressed concern that selective financial analyses could mislead the public and undermine confidence in the city's financial management.

The meeting concluded with a call for further discussions on these financial matters in future council sessions, as the council members recognized the importance of addressing the community's concerns regarding fiscal responsibility and transparency.