Mayor of Manitou Springs reacts to lawsuit settlement with Manitou and Pikes Peak Railway Company
Manitou Springs mayor Natalie Johnson states a $3.2 million settlement with the railway company will significantly boost long-term tax revenue.Summary
The City of Manitou Springs has reached a settlement with the Manitou and Pikes Peak Railway Company to resolve a tax incentive dispute. As part of the agreement, the city will pay $3.2 million from its reserves to void a 2019 agreement that previously capped amusement tax collections from the railway.
This settlement is expected to generate over $80 million in tax revenue over the next 50 years, averaging approximately $1.6 million annually. This influx is critical for the city's budget following the legalization of recreational marijuana sales in nearby Colorado Springs in April 2025, which reduced Manitou Springs' revenue streams.
Mayor Natalie Johnson described the settlement as a "weight off their shoulders" and a "game-changer," though she noted that the city still faces budget challenges and must find ways to rebuild its reserves. The $3.2 million payout will be drawn from city reserves, much of which was previously sourced from marijuana sales tax revenue.
(Source：Krdo)