Keystone Report Warns Colorado Must Reform Schools With $2.3 Billion

$2.33 billion. That is the combined annual influx of new cash Colorado public schools are about to see, courtesy of Proposition NN and Amendment 87. It is a staggering sum for a state that has historically treated its classrooms with the fiscal caution of a widow counting out pennies.

The obvious narrative is one of relief. After years of budget brawls and teacher strikes, the money is finally coming. But the 31-page report from the Keystone Policy Center suggests we should be suspicious of our own relief. The report argues that this windfall is not just a checkbook fix; it is a mandate to change what we actually expect from our schools.

Let’s do the math on the new funding streams. Proposition NN, which redirects state tax refunds to schools, is projected to bring in roughly $330 million in its first year. This is targeted money, explicitly earmarked for teacher pay raises, smaller class sizes, and early childhood investments. It is a direct hit on the two biggest complaints in the valley: underpaid teachers and overcrowded rooms.

Then there is Amendment 87. This is the heavy hitter. By replacing the flat income tax with a progressive system that taxes high earners at a higher rate, the state expects to generate an estimated $2 billion annually. This pot of gold is broader, covering public schools, childcare, and healthcare. For context, that is enough to fund a new elementary school in almost every district in the state, twice over.

But here is the counterintuitive part. The Keystone Policy Center, led by senior policy director Van Schoales, isn’t just happy about the money. They are worried about what we do with it. The report describes the current state of Colorado education as "a story of both modest progress and unfinished work." Yes, graduation rates are up. Yes, some students are making it to college. But the standardized test scores tell a different story. A large chunk of our students — particularly those living in poverty and students of color — are still struggling to read and do math at grade level.

Schoales puts it plainly: "I think the governor plays obviously an incredibly important role (in education)." With Gov.-elect Phil Weiser taking office in January, the "bully pulpit" is his. The report suggests that simply throwing this $2.3 billion at the existing system won’t fix the underlying gaps. Instead, state leaders need to "set higher goals" and "direct support" to where it’s needed most.

This is a challenge to the status quo. For decades, the metric for success has been standardized testing. The report implies that while those tests matter, they aren’t the whole picture. We need to look at how we evaluate success beyond just a score on a bubble sheet. We need to ask: Are we preparing kids for life? Are we closing the gap between the rich and the poor in our classrooms?

The report notes that Colorado has "lost some of its academic edge" compared to other states. That is a stinging admission. We are no longer the top tier. We are middle-of-the-pack. And now we have the money to climb back up. But only if we change our goals.

What does this mean for locals? It means that the new money is not just for building new schools. It is for changing the curriculum, hiring better teachers, and supporting students who fall through the cracks. It is for raising the bar.

If we just spend this money on the same old things, we will be wasting it. We will have paid $2.3 billion to keep the lights on and the buses running, but we won’t have improved the quality of education. We will have bought time, but not progress.

The Keystone Policy Center is urging state leaders to use this moment to rethink what success looks like. They want us to aim higher. Not just for the kids who are already doing well, but for the ones who are struggling. They want us to close the gap.

This is a rare opportunity. We have the money. We have the new governor. We have the political will. All we have to do is set the right goals.

The report is a wake-up call. It tells us that the money is necessary, but it is not sufficient. We need vision. We need courage. We need to be willing to change.

So, let’s hope the new leadership rises to the occasion. Let’s hope they see the bigger picture. Let’s hope they understand that the money is the means, not the end.

The end goal is a better educated populace. A more skilled workforce. A more equitable society.

That is what the $2.3 billion is really for.

And that is a goal worth chasing.