Town of Sugar City

Sugar City's Proposed 2% Sales and Use Tax

New tax or feeNew sales tax

Creates a 2% town sales and use tax beginning January 1, 2027, including use tax on motor vehicles and construction materials, for town purposes without an expiration.

Town of Sugar City

Kim's Recommendation

Vote No on Town of Sugar City Ballot Issue 2A

The proposed code taxes all goods sold or delivered within Sugar City. For purchases subject to both state and county sales tax, the town's proposed 2% would be added to the state's 2.9% and the county's 2%. Its use tax reaches motor vehicles and construction materials, and it stacks on the 2% use tax Crowley County already charges on motor vehicles and building materials.

The question also lets the town keep and spend all of the new money, with no named project and no end date. I oppose handing the town an open-ended tax without first telling voters what it will buy. These dollars belong with the households and businesses that earn them.

I recommend a no vote on Town of Sugar City Ballot Issue 2A.

Kim Monson

Host, The Kim Monson Show · President, Colorado Union of Taxpayers · Colorado Voter's Guide 2026

Certified ballot question

"SHALL THE TOWN OF SUGAR CITY IMPOSE A TWO PERCENT (2.00%) SALES/ USE TAX, COMMENCING JANUARY 1, 2027, AND SHALL THE TOWN BE AUTHORIZED TO COLLECT, RETAIN, AND SPEND ALL REVENUES THEREFROM FOR THE BENEFIT OF THE TOWN?" UPON ADOPTION THE FOLLOWING WILL BE ADDED TO THE TOWN MUNICIPAL CODE: 3.04.120 - CITY SALES AND USE TAX. THE TOWN OF SUGAR CITY SHALL LEVY A 2% TAX ON ALL GOODS SOLD AND/OR DELIVERED WITHIN THE TOWN, THIS WILL INCLUDE A USE TAX ON MOTOR VEHICLES AND CONSTRUCTION MATERIALS.

A yes vote means

Sugar City could impose a 2% sales and use tax and collect, retain and spend all of its revenue.

A no vote means

Sugar City would not receive authority for this tax.

A New Tax on Town Sales01

Issue 2A imposes a 2% Town of Sugar City sales and use tax starting January 1, 2027. As an example, at 2%, $100 of taxable purchases pays $2 in town tax. Approval also adds section 3.04.120 to the town's municipal code, which levies the 2% tax on all goods sold or delivered within the town, including a use tax on motor vehicles and construction materials. No end date appears in the question. The Census Bureau estimates the town's population at 238 in 2025, down from 255 in 2020.

The Proposed Sugar City Tax

Calculate the added tax on a taxable charge or purchase.

$100.00 in purchases subject to the town tax

$100.00 × 2% = $2.00.

This shows the proposed 2% town sales and use tax, beginning January 1, 2027. The printed code includes motor vehicles and construction materials. Other taxes are separate.

Town of Sugar City Ballot Issue 2A: rate stated in the question.

What Shoppers Pay Now02

The Colorado Department of Revenue's January 2026 rate table (DR 1002) lists the state sales tax at 2.9% and Crowley County's at 2%, a combined 4.9% on a taxable purchase in Sugar City today. The same table shows Ordway, also in Crowley County, charging a 2% city sales tax.

Use Tax on Vehicles and Materials03

DR 1002 shows Crowley County charging a 2% use tax on motor vehicles and building materials. The town's 2% use tax on motor vehicles and construction materials comes on top of the county's.

Revenue for Any Town Purpose04

The question authorizes Sugar City to collect, retain and spend all revenue from the tax for the benefit of the town. The question names no project or program for the money and gives no revenue estimate.

Sources05

Official documents

Crowley County ballot image: Sugar City Issue 2A — November 3, 2026 election