Colorado Springs voters approved a ballot issue that repealed a law allowing city council to increase taxes to support Memorial Health System if they were ever to be in financial trouble.
 / FOX21: Mike Duran
COLORADO SPRINGS, COLO. -- Colorado Springs voters have approved a ballot issue that takes power out of city council's hands.
Ballot measure 2B passed Tuesday in a wide 62-38 margin in the unofficial election count. The decision repealed a 1949 tax law that stated city council could increase taxes if Memorial Health System was ever to be in financial trouble.
Members of a city council task force called the approval of 2B a step in the right direction to change Memorial's oversight.
"As we look to the future of Memorial and we consider leasing options through the RFP process that is happening right now, this was really the first step in the process," Jan Martin, City Council President Pro Tem and head of the task force, said Wednesday.
Even though 2B was not about the ownership of the hospital, the task force said the tax provision needed to be repealed as discussions continue regarding Memorial's future.
We need to, as a community, eliminate any tax liability to the future ownership and governance of our Memorial Hospital," Bob Lally, Chairman of the Citizen's Commission, said.
Martin said city council never needed to put the 1949 tax law to use anyway.
"Memorial was never in a financial position that would require us to increase taxes," she said, adding the voters' decision has taken taxpayers off the hook. "If we were to lease the hospital over the next year to some outside entity, we certainly wouldn't want the taxpayers to be responsible if that entity ran into problems."
However, city council member Lisa Czelatdko said putting 2B on the ballot was an irresponsible decision in the first place.
"It cost $111,000 to put that issue on the ballot," Czelatdko said. "Calling [the repeal] a 'first step' in the process of leasing Memorial is justification for the money that was spent."
Six different proposals have been made for the lease of Memorial, and members of the task force said the approval of 2B will not affect the process of choosing the winning bid.
"What the vote did not do," Lally said, "it did not change any of the governance issues that are ongoing with Memorial."
Bids must be made by Nov. 14, and the winning proposal is expected to be made by the end of the year. Once that decision is made, voters will have the option to approve or reject the lease in 2012.
"I hope the community stays focused," Martin said, "because this is an important decision for our community."
A town hall meeting will be held Nov. 17 in the city council chambers to discuss the future of Memorial Health System. The meeting is scheduled to run from 5 p.m. to 7 p.m. and is open to the public.