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As part of Proposition 123, local and tribal governments must first file a commitment to the Department of Local Affairs to increase their affordable housing by 3% per year over three years, for a total of 9%.
Filing a commitment makes a local government or tribe, along with entities operating within their jurisdiction, eligible to apply for funding through the programs implemented by the Colorado Department of Local Affairs (DOLA), the Office of Economic Development & International Trade (OEDIT), and/or the Colorado Housing and Finance Authority (CHFA). Organizations and developers are only eligible for this funding if their project or program takes place in a municipality, county, or tribe that has successfully filed a commitment to increasing their affordable housing stock above a baseline amount.
Filing a commitment does not immediately designate funding to a local government or tribe. Once a jurisdiction becomes eligible for funding through the filing of a commitment, they must submit an application for the respective program to OEDIT/CHFA and/or DOLA.
The commitment filing period for 2023 expired on November 1, 2023. New commitments will be accepted in summer 2024.
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The Division of Housing (DOH) saw a tremendous response from local governments and received Prop 123 commitments from more than 202 of the 336 jurisdictions throughout Colorado. These jurisdictions account for 87.7% of the state’s population. A list of jurisdictions that have made this commitment can be found here. For a project to be eligible for Proposition 123 funding, the county, municipality or tribal government was required to file a commitment by November 1, 2023, to increase affordable housing within each jurisdiction by 3% per year, for three years, for a total of a 9% increase.
Passed by Colorado voters in 2022, Proposition 123 created the State Affordable Housing Fund, dedicating 40% of funds to the Affordable Housing Support Fund administered by the Department of Local Affairs (DOLA) and 60% to the Affordable Housing Financing Fund overseen by the Office of Economic Development & International Trade (OEDIT) to fund housing programs.
The three Affordable Housing Support administered by the Department of Local Affairs (DOLA) are:
- Affordable Home Ownership - up to 50% of the Support Fund and administered by DOH
- $32 million in Year 1 and estimated to be $63.6 million in Year 2
- Program Servicing Persons Experiencing Homelessness - up to 45% of the Support Fund and administered by DOH
- $28.8 million in Year 1 and estimated to be $57.24 in Year 2
- Local Planning Capacity Development Program - up to 5% of the Support Fund and administered by the Division of Local Government (DLG)
- $3.2 million in Year 1 and estimated to be $6.36 million in Year 2
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Organizations applying for funding through the Proposition 123 - Affordable Housing Financing Funding, administered by the Colorado Housing and Finance Authority (CHFA), may be eligible for policy flexibilities if their project is located in a county or municipality that is classified as a Rural Resort Community.
By filing a petition, these projects may serve households with higher incomes than would otherwise be allowable -- assuming the petition is approved by the Division of Housing within the Department of Local Affairs.
Only petitions submitted by a local government will be accepted, other interested entities such as developers or non-profits must have a local government submit a petition on their behalf.
This petition can only increase income limits for projects that are awarded funding through the Land Banking Program, Equity Program, and Concessionary Debt programs administered by CHFA. Projects that have not been awarded funding from these programs cannot benefit from this petition.
A petition submitted by a local government and accepted by DOH is considered valid for the entire jurisdiction for the duration of the current 3-year funding cycle.
An informational handout on the petition process is available here.
Access the online Rural Resort Petition Form through your AccessGov.com account.
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DOLA is pleased to announce the Local Planning Capacity (LPC) grant program, made possible by Proposition 123 with funding from the Statewide Affordable Housing Support Fund. This grant program will be managed by the Community Development Office (CDO) within DOLA’s Division of Local Government (DLG).
October 19th Informational Webinar for Local Government Input:
Local government representatives are invited to participate in an informational webinar outlining the requirements and allowable activities under the Local Planning Capacity Grant Program. This interactive session will give local governments an opportunity to ask questions and give input on the final program guidelines. Comments may also be submitted via phone or email.
Estimated Program Timeline for Year 1 (2023-2024):
-
Thursday, October 19 – Informational Webinar
-
Monday, October 23 – deadline to submit stakeholder input on grant program guidelines through 5pm.
-
November 1 – Letter of Interest (LOI) opens; accepted through December 4
-
Mid-December – Notification of invitations to apply
-
January 3 - February 15, 2024 – Full Application is open, through the DLG Online Grants Portal per the Notice of Funding Availability (NOFA).
-
March 2024 – Estimated Grant Award notification.
More information about this grant program is available on the Program website.
The intent of the program is to increase the capacity of local government planning departments responsible for processing land use, permitting, and zoning applications for housing projects. The program supports local governments’ capacity to address affordable housing, especially by expediting review, permitting, zoning, and development for which 50% or more of the residential units constitute affordable housing. Grant funds could support new staff wages, hiring consultants, implementing new systems and technologies, revising land use development codes, regional collaborations, developing future commitments, or other efforts that achieve fast track goals by 2026, as required by Proposition 123.
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Organizations applying for funding from the Affordable Housing Financing Funding, administered by the Colorado Housing and Finance Authority (CHFA) and overseen by the Governor's Office of Economic Development and International Trade, may be eligible for policy flexibilities if their project is located in a county or municipality that is classified as a Rural Resort Community.
By filing a petition, these projects may serve households with higher incomes than would otherwise be allowable -- assuming the petition is approved by the Division of Housing within the Department of Local Affairs.
Staff of local governments may submit a Petition to Increase Income Limits in Rural Resort Communities at this link.
Only petitions submitted by a local government will be accepted, other interested entities such as developers or non-profits must have a local government submit a petition on their behalf.
This petition can only increase income limits for projects that are awarded funding through the Land Banking Program, Equity Program, and Concessionary Debt programs administered by CHFA. Projects that have not been awarded funding from these programs cannot benefit from this petition.
Instructions on how to complete the petition, as well as other context and restrictions, are available at the link above.
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The Department of Local Affairs (DOLA) is providing free technical assistance to help local governments understand Prop 123, establish their baselines and file their commitments, in order to opt in to Prop 123. DOLA held a series of webinars through August 2023. Each of these webinars was tailored for the following types of communities: large municipalities, smaller municipalities, rural, rural resort, and unincorporated counties.
Recordings and slides of recent webinars
These interactive webinars featured example communities for a demo of the baseline tool and explored how adjusting the data impacts the growth calculations.
From September through October 2023, the next phase is to provide technical assistance to local governments through small work group sessions in regional groupings. These work sessions are tailored to address all questions for each participating jurisdiction. Additional support may be available, depending on the need.
These downloadable fliers serve as a quick-reference handout to share with colleagues or elected officials:
To request a technical assistance session, please contact:
Andy Hill, Director
Community Development Office
Division of Local Government
andy.hill@state.co.us
303-864-7725
Robyn DiFalco, Program Manager
Local Planning Capacity Grant Program (Prop 123)
Community Development Office
robyn.difalco@state.co.us
720-682-5202
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Commitment filings to increase affordable housing have been accepted for the following municipalities, counties, and tribes:
Jurisdiction
|
Date of Acceptance
|
Baseline of Affordable Housing Units
|
| Adams, County of |
10/9/2023
|
5567 |
| Akron, Town of |
10/13/2023 |
270 |
|
Alamosa, City of
|
9/8/2023 |
1765 |
| Arapahoe, County of |
10/3/2023 |
1565 |
| Archuleta, County of |
10/17/2023
|
179 |
|
Arvada, City of
|
7/14/2023
|
4629 |
|
Aspen, City of
|
10/31/2023 |
304 |
|
Aurora, City of
|
8/1/2023 |
18332 |
| Avon, Town of |
11/1/2023 |
373 |
| Basalt, Town of |
9/29/2023 |
59 |
| Bayfield, Town of |
8/7/2023 |
157 |
| Bennett, Town of |
8/30/2023 |
181 |
| Bent, County of |
8/30/2023 |
145 |
| Berthoud, Town of |
10/12/2023 |
422 |
| Boulder, City of |
10/12/2023 |
7275 |
| Boulder, County of |
6/27/2023 |
1387 |
| Breckenridge, Town of |
6/15/2023 |
202 |
| Brighton, City of |
9/25/2023 |
1492 |
| Broomfield, City and County of |
8/18/2023 |
1845 |
| Brush, City of |
8/15/2023 |
708 |
| Buena Vista, Town of |
8/25/2023 |
288 |
| Canon City, City of |
9/1/2023 |
2251 |
| Carbondale, Town of |
10/22/2023 |
190 |
| Castle Pines, City of |
10/23/2023 |
211 |
| Castle Rock, Town of |
10/25/2023 |
3067 |
|
Cedaredge, Town of
|
9/22/2023
|
384 |
|
Centennial, City of
|
9/27/2023
|
1199 |
|
Center, Town of
|
10/18/2023
|
353 |
|
Central, City of
|
10/25/2023
|
142 |
|
Chaffee, County of
|
7/18/2023
|
401 |
|
Cheraw, Town of
|
9/17/2023
|
34 |
|
Clear Creek, County of
|
10/18/2023
|
210 |
|
Colorado Springs, City of
|
6/26/2023
|
25265 |
|
Commerce City, City of
|
10/4/2023
|
2150 |
|
Cortez, City of
|
10/16/2023
|
986 |
|
Costilla, County of
|
10/17/2023
|
179 |
|
Craig, City of
|
7/20/2023
|
1285 |
|
Creede, City of
|
10/27/2023
|
59 |
|
Crested Butte, Town of
|
10/31/2023
|
50 |
|
Crestone, Town of
|
9/21/2023
|
6 |
|
Cripple Creek, City of
|
8/28/2023
|
156 |
|
Crowley, County of
|
10/12/2023
|
78 |
|
Delta, City of
|
9/19/2023
|
1273 |
|
Delta, County of
|
10/30/2023
|
474 |
|
Denver, City and County of
|
6/30/2023
|
51453 |
|
Dolores, County of
|
10/26/2023
|
13 |
|
Dolores, Town of
|
11/13/2023
|
297 |
|
Douglas, County of
|
10/17/2023
|
4820 |
|
Dove Creek, Town of
|
10/24/2023
|
47 |
|
Durango, City of
|
7/3/2023
|
2041 |
|
Eads, Town of
|
10/25/2023
|
109 |
|
Eagle, County of
|
9/21/2023
|
611 |
|
Eagle, Town of
|
9/13/2023
|
355 |
|
Eaton, Town of
|
10/27/2023
|
268 |
|
Edgewater, City of
|
9/13/2023
|
223 |
|
Empire, Town of
|
9/27/2023
|
48 |
|
Englewood, City of
|
8/16/2023
|
1888 |
|
Erie, Town of
|
6/27/2023
|
167 |
|
Estes Park, Town of
|
8/17/2023
|
514 |
|
Fairplay, Town of
|
10/25/2023
|
88 |
|
Firestone, City of
|
10/26/2023
|
223 |
|
Flagler, Town of
|
7/6/2023
|
113 |
|
Florence, City of
|
9/6/2023
|
620 |
|
Fort Collins, City of
|
6/12/2023
|
6170 |
|
Fort Lupton, City of
|
10/3/2023
|
858 |
|
Fort Morgan, City of
|
10/27/2023
|
1152 |
|
Fraser, Town of
|
10/31/2023
|
84 |
|
Frisco, Town of
|
7/20/2023
|
177 |
|
Fruita, City of
|
7/18/2023
|
1204 |
|
Garden City, Town of
|
9/12/2023
|
42 |
|
Georgetown, Town of
|
9/19/2023
|
158 |
|
Gilpin, County of
|
8/8/2023
|
205 |
|
Glenwood Springs, City of
|
7/14/2023
|
715 |
|
Golden, City of
|
7/26/2023
|
865 |
|
Granada, Town of
|
10/12/2023
|
74 |
|
Granby, Town of
|
10/24/2023
|
246 |
|
Grand Junction, City of
|
8/4/2023
|
4159 |
|
Grand Lake, Town of
|
10/26/2023
|
76 |
|
Grand, County of
|
11/1/2023
|
382 |
|
Greeley, City of
|
10/19/2023
|
6993 |
|
Gunnison, City of
|
10/5/2023
|
746 |
|
Gunnison, County of
|
6/30/2023
|
454 |
|
Gypsum, Town of
|
9/25/2023
|
167 |
|
Haswell, Town of
|
10/31/2023
|
9 |
|
Hayden, Town of
|
6/15/2023
|
14 |
|
Hinsdale, County of
|
11/1/2023
|
24 |
|
Holly, Town of
|
10/19/2023
|
66 |
|
Holyoke, Town of
|
10/31/2023
|
192 |
|
Hotchkiss, Town of
|
10/13/2023
|
143 |
|
Huerfano, County of
|
10/17/2023
|
176 |
|
Hugo, Town of
|
10/13/2023
|
143 |
|
Idaho Springs, City of
|
10/30/2023
|
248 |
|
Ignacio, City of
|
9/28/2023
|
146 |
|
Jefferson, County of
|
10/29/2023
|
5579 |
|
Julesburg, Town of
|
10/19/2023
|
237 |
|
Kiowa, County of
|
10/23/2023
|
61 |
|
Kit Carson, Town of
|
10/6/2023
|
34 |
|
Kremmling, Town of
|
10/6/2023
|
89 |
|
La Jara, Town of
|
10/24/2023
|
88 |
|
La Junta, City of
|
9/8/2023
|
1081 |
|
La Plata, County of
|
10/18/2023
|
1205 |
|
La Veta, Town of
|
10/30/2023
|
80 |
|
Lafayette, City of
|
7/27/2023
|
1278 |
|
Lake City, Town of
|
9/28/2023
|
82 |
|
Lake, County of
|
8/11/2023
|
258 |
|
Lakewood, City of
|
9/13/2023
|
5275 |
|
Lamar, City of
|
10/25/2023
|
966 |
|
Larimer, County of
|
9/26/2023
|
1255 |
|
Leadville, City of
|
8/11/2023
|
258 |
|
Littleton, City of
|
9/1/2023
|
1768 |
|
Log Lane Village, Town of
|
10/20/2023
|
123 |
|
Lone Tree, City of
|
8/16/2023
|
728 |
|
Longmont, City of
|
7/24/2023
|
3382 |
|
Louisville, Town of
|
10/24/2023
|
853 |
|
Loveland, City of
|
10/24/2023
|
2736 |
|
Lyons, Town of
|
10/25/2023
|
107 |
|
Mancos, Town of
|
10/12/2023
|
158 |
|
Manitou Springs, City of
|
10/31/2023
|
515 |
|
Manzanola, Town of
|
10/12/2023
|
62 |
|
Meeker, Town of
|
10/4/2023
|
169 |
|
Mesa, County of
|
8/31/2023
|
2808 |
|
Mineral, County of
|
9/12/2023
|
1 |
|
Minturn, Town of
|
10/27/2023
|
1 |
|
Monte Vista, City of
|
8/8/2023
|
535 |
|
Montezuma, County of
|
10/10/2023
|
319 |
|
Montrose, City of
|
8/17/2023
|
1799 |
|
Montrose, County of
|
10/9/2023
|
791 |
|
Mount Crested Butte, Town of
|
10/27/2023
|
88 |
|
Mountain Village, Town of
|
10/27/2023
|
313 |
|
Naturita, Town of
|
8/25/2023
|
63 |
|
Nederland, Town of
|
9/21/2023
|
138 |
|
New Castle, Town of
|
10/13/2023
|
200 |
|
Nucla, Town of
|
10/18/2023
|
100 |
|
Oak Creek, Town of
|
9/28/2023
|
136 |
|
Olathe, Town of
|
11/1/2023
|
167 |
|
Ordway, Town of
|
9/7/2023
|
169 |
|
Otero, County of
|
10/3/2023
|
433 |
|
Ouray, City of
|
10/11/2023
|
98 |
|
Ouray, County of
|
9/13/2023
|
66 |
|
Ovid, Town of
|
10/19/2023
|
18 |
|
Pagosa Springs, Town of
|
10/11/2023
|
215 |
|
Paonia, Town of
|
7/27/2023
|
281 |
|
Parachute, Town of
|
7/20/2023
|
302 |
|
Parker, Town of
|
10/25/2023
|
2481 |
|
Phillips, County of
|
10/31/2023
|
60 |
|
Pitkin, County of
|
9/28/2023
|
144 |
|
Platteville, Town of
|
10/25/2023
|
297 |
|
Poncha Springs, Town of
|
10/30/2023
|
114 |
|
Pritchett, Town of
|
6/30/2023
|
9 |
|
Prowers, County of
|
11/1/2023
|
193 |
|
Pueblo, City of
|
8/25/2023
|
13403 |
|
Pueblo, County of
|
10/6/2023
|
2111 |
|
Rangely, Town of
|
6/7/2023
|
258 |
|
Red Cliff, Town of
|
10/30/2023
|
6 |
|
Rico, Town of
|
10/23/2023
|
6 |
|
Ridgway, Town of
|
7/26/2023
|
109 |
|
Rifle, City of
|
9/12/2023
|
721 |
|
Rio Grande, County of
|
8/17/2023
|
33 |
|
Rocky Ford, City of
|
7/28/2023
|
365 |
|
Saguache, Town of
|
9/11/2023
|
7 |
|
Saguache, County of
|
7/27/2023
|
17 |
|
Salida, City of
|
5/11/2023
|
358 |
|
San Luis, Town of
|
10/30/2023
|
64 |
|
San Miguel, County of
|
10/27/2023
|
122 |
|
Sedgwick, City of
|
10/19/2023
|
10 |
|
Sedgwick, County of
|
10/19/2023
|
9 |
|
Sheridan, City of
|
6/13/2023
|
728 |
|
Sheridan Lake, Town of
|
10/30/2023
|
7 |
|
Silt, Town of
|
7/11/2023
|
288 |
|
Silver Cliff, Town of
|
9/13/2023 |
78 |
|
Silver Plume, Town of
|
9/18/2023 |
24 |
|
Silverthorne, Town of
|
7/30/2023
|
175 |
|
Silverton, Town of
|
10/5/2023
|
107 |
|
Snowmass Village, Town of
|
8/23/2023
|
311 |
|
South Fork, Town of
|
10/27/2023
|
28 |
|
Southern Ute, Tribe of
|
10/31/2023
|
697 |
|
Springfield, Town of
|
10/17/2023
|
234 |
|
Steamboat Springs, City of
|
7/20/2023
|
471 |
|
Sterling, City of
|
10/31/2023
|
1384 |
|
Sugar City, Town of
|
10/23/2023
|
33 |
|
Summit, County of
|
8/7/2023
|
658 |
|
Superior, Town of
|
10/25/2023
|
246 |
|
Telluride, Town of
|
7/10/2023
|
136 |
|
Thornton, City of
|
10/17/2023
|
2974 |
|
Trinidad, City of
|
9/20/2023
|
1181 |
|
Ute Mountain Ute, Tribe of
|
9/12/2023
|
60 |
|
Vail, Town of
|
9/25/2023
|
284 |
|
Victor, City of
|
11/1/2023
|
49 |
|
Walsenburg, City of
|
11/1/2023
|
378 |
|
Walsh, Town of
|
10/17/2023
|
65 |
|
Washington, County of
|
10/31/2023
|
144 |
|
Westcliffe, Town of
|
10/10/2023
|
66 |
|
Westminster, City of
|
7/13/2023
|
3016 |
|
Wheat Ridge, City of
|
10/2/2023
|
2420 |
|
Wiggins, Town of
|
11/1/2023
|
108 |
|
Wiley, Town of
|
10/12/2023
|
35 |
|
Windsor, Town of
|
10/18/2023
|
494 |
|
Winter Park, Town of
|
10/31/2023
|
44 |
|
Wray, City of
|
10/31/2023
|
302 |
|
Yampa, Town of
|
10/19/2023
|
49 |
|
Yuma, City of
|
10/25/2023
|
399 |
|
Yuma, County of
|
10/27/2023
|
410 |
Revisit this page regularly for updates on accepted commitments.
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The entire team at the State of Colorado would like to thank our stakeholders for your vital feedback on the implementation of Proposition 123 over the past several months. We have integrated what we have learned and developed so far into a series of new processes and resources below:
- Municipalities, counties, and tribes may submit a commitment to annual increases in affordable housing at this link using our online form.
- The Baseline Assistance Tool can be used by any interested stakeholder to develop a baseline amount of affordable housing, so that it can be incorporated into a commitment to annual increases in affordable housing at this link.
- Several answers to frequently asked questions have been added, find these on the right side of the page under the heading "FAQs".
This update is the first of many as the State and our partners continue to create and improve processes surrounding the programs and commitments created by Proposition 123. Come back to this site and subscribe to our newsletter to stay involved and up to date on this rapidly evolving project.
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Local Government Affordable Housing Commitments must be filed with the Division of Housing to receive funding made available by Proposition 123. Municipalities make commitments on behalf the entirety of their jurisdiction, while counties are responsible only for unincorporated areas. Entities will be ineligible for Proposition 123 funding if their project is located in, or program operates within, a municipality or unincorporated area of a county that has not filed, or is out of compliance with, their commitment -- even if the entity is otherwise eligible.
Drafting a commitment
Once an interested local government has determined its baseline amount of affordable housing units, it can then plan its commitment to increase that number by 3% each year for a 3-year period ending on December 31, 2026. Ultimately, DOH and its partners will be working with any interested local government to submit its commitment no later than the deadline established in Proposition 123, which is November 1, 2023. Funding programs may be available sooner than the November 1st deadline, so DOH encourages local governments to commit as soon as possible. The dissemination of baseline data for a local government’s consideration is the first step toward achieving this important goal; additional information on the process through which commitments may be filed will be made available in the next several weeks.
Compliance
It is important to note that Proposition 123 requires a local government to file a commitment specifying how it will increase a combination of its newly constructed affordable housing units and its existing units converted to affordable housing over its determined baseline number of affordable housing units by 3% each year. The Division of Housing interprets this to mean that ultimately a demonstration of a 9% increase over the baseline at the end of the 3-year commitment period ending on December 31, 2026, satisfies this requirement even if a 3% increase may not be accounted for in a particular year during that time frame.
If a commitment is not filed by November 1, 2023, then a local government and any development project in its jurisdiction are ineligible to receive any funding established by Proposition 123 during the 2024 calendar year. If this is to occur, a local government may file a commitment by November 1, 2024, for a 2-year commitment to increase its affordable housing stock by a total of 6% by December 31, 2026.
If a local government is unable to meet its 9% total commitment by December 31, 2026, then it and any development project in its jurisdiction are ineligible to receive any funding established by Proposition 123 for calendar year 2027. The good news is it may file a new commitment by November 1, 2027, for a 2-year commitment to increase its affordable housing stock by a total of 6% by December 31, 2029.
As an interested local government works to package its commitment and file it with DOH by November 1, 2023, it does not have to include verification of a “fast-track approval process” in this initial commitment. This will be a requirement in future commitments starting with the one due by November 1, 2026. However, Proposition 123 does provide that for this first commitment and future ones, “local governments should prioritize high-density housing, mixed-income housing, and projects consistent with the goal of environmental sustainability, when appropriate, and should prioritize affordable housing in communities in which low concentrations of affordable housing exist.”
Baseline Amount of Affordable Housing
