By Marc Arnusch
PUBLISHED: October 23, 2026
This year, roughly two-thirds of the ground we operate went unplanted. We didn’t have enough moisture to justify the expense of putting a crop in the ground.
That is what farming sometimes demands: spending less today so you have a chance to survive tomorrow.
I’m a third-generation Colorado farmer. My son is helping lead our operation as the fourth generation. We’re working to keep this family farm productive and in the family. But that takes more than getting through this year’s harvest. It takes enough financial strength to survive the bad years and recover in the good ones.
That is why I oppose Amendment 87.
Amendment 87 would replace Colorado’s 4.4% flat income tax with graduated rates, imposing higher marginal rates on all income — including marital joint income — above $500,000 with a top rate of 8.4%. There is no adjustment now or in the future for inflation, which means as the years go on, more people will be bumped into higher brackets.
For small businesses, the problem starts immediately. Unlike giant corporations, 88% of small businesses in the state are pass-throughs, such as partnerships and S corporations. We pay taxes through individual tax returns, not corporate returns. Amendment 87 could substantially increase taxes on more than 30,000 of those businesses, including mine, according to IRS data.
On our farm, we may be profitable only two years out of five. This year will be our third consecutive year without a profit. But our obligations don’t disappear when the rain doesn’t fall or crop prices plummet. Employees need to be paid. Equipment needs maintenance. And we must finance the next crop before knowing what it will produce or what anyone will pay for it.
When we finally have a profitable year, the extra money is already reserved for expenses we’ve incurred or couldn’t pay for during the hard years.
After a good year like 2023, we paid down the operating debt that carried us through difficult seasons. We caught up on equipment replacement and irrigation improvements. We rebuilt working capital so we could plant the next crop without borrowing every dollar it takes to grow it.
For a farmer, a good year delivers recovery. Under Amendment 87, however, a good year is regarded as newfound wealth or an executive salary that should be taxed at a higher rate.
In Colorado, there are approximately 731,000 small businesses — 99.5% of businesses statewide — that employ 1.2 million people, according to the U.S. Small Business Administration. Income is not necessarily money they take home. Instead, It often remains in the business, helping support operations or is saved for future bad year. Under Amendment 87, that money — referred to as “phantom income” — will be taxed as individual income. This impacts everyone from farmers and ranchers to dentists and veterinarians to Main Street employers who own car washes, restaurants and hardware stores. In fact, the tax increase on these job creators is projected to raise $211 million for the state coffers in 2027.
For our farm, a larger tax bill in a recovery year could mean running older machinery another season, postponing an irrigation improvement that would make better use of scarce water, or carrying more operating debt into the next crop.
None of those choices makes us stronger. Each leaves us more exposed to the next drought, breakdown or market downturn. Over time, falling behind on efficiency can threaten our ability to compete and ultimately remain in business.
I’m not asking voters to guarantee our farm a profit. Farming comes with risk, and we accept that. I’m asking them to recognize that one strong year does not erase several difficult ones. The money we retain when conditions finally improve helps keep our employees working, equipment running and another generation on the land.
Colorado should make it easier for family farms and small businesses to recover, reinvest and endure, not take more from them when they finally begin catching up.
Vote no on Amendment 87.
Marc Arnusch is a third-generation farmer and businessman and the owner of Marc Arnusch Farms, LLC.
