Research Corner: Sales tax for fire and ambulance special districts
In This Section
CML Newsletter
April 14, 2026
By Maeve McHugh, CML municipal research analyst
In 2024, the legislature passed SB24-194, allowing fire and ambulance special districts to impose sales and use taxes. Since then, at least 13 fire and ambulance districts have put a tax question on the ballot to introduce new taxes.
This new authority can undermine municipalities’ efforts to streamline their taxation system, attract businesses, and plan their budgets by introducing competition for sales tax revenue. New sales taxes may also be confusing to residents, who might not easily differentiate between services provided by a special district and a municipality. This could introduce complications and misunderstandings around accountability.
Here are the fire and ambulance special districts where sales taxes passed in 2025:
- Aspen FPD (0.5%)
- Berthoud FPD (1%)
- Carbondale and Rural FPD (1.5%)
- Cimarron Hills FPD (1%)
- Clifton FPD (1%)
- Cortez FPD, 2025 (0.54%)
- Dove Creek Ambulance District – 2%
- Eagle River FPD (0.79%)
- Evans FPD (1%)
- Frederick-Firestone FPD (0.5%)
- La Veta FPD (0.5%)
- Lake City Area FPD (1.25%)
- South Adams County FPD (.5%)
More information on SB24-194 can be found in this CML legal corner detailing the bill and how it impacts municipalities.