HB21-1271 creates three new programs for the purpose of offering grant money and other forms of state assistance to local governments to promote innovative solutions to the development of affordable housing across the state.
- Planning Grant Program
- Incentives Grant Program
- Affordable Housing Guided Toolkit and Local Officials Guide Program (Affordable Housing Toolkit Program)
Due to the nature of stimulus funding, all three programs must spend funds by June 30, 2024.
Who is eligible?
- Municipalities, counties, and city/counties are eligible for all three programs.
- Federally recognized tribes are eligible for the Affordable Housing Toolkit Program only.
The Planning Grant Program provides grants to local governments to help them understand their housing needs and adopt policy and regulatory strategies to qualify for the Affordable Housing Development Incentives Grant Program.
Grant Program Details
- The Planning Grant Program can fund housing needs assessments to help local governments guide their policy and regulatory approach to reducing barriers to affordable housing development, but the application for funding must also include work to adopt a qualifying strategy (from the options listed in the bill).
- Approximately $6,816,000 is available for Planning Grant awards.
- Individual Planning Grant awards are expected to be approximately $50,000-$200,000.
- Applicants are strongly encouraged to consult with their DOLA Regional Manager and to get input from CDO staff before submitting a Planning Grant Program application.
- Applications can be submitted anytime through the Division of Local Government Online Grants Portal.
- Applications are reviewed and awarded on a rolling basis monthly until funds are depleted.
- Grantees are encouraged to complete their qualifying planning work as quickly as possible so they may compete for the Incentives Grant Program, which is expected to open for a main funding round in fall 2022.
- Grant Portal Access
- IHOP Planning Grant Program Guidelines
- IHOP Planning Grant Program Application (PDF)
- IHOP Planning Grant Program Application (Landscape View)
- IHOP Planning Grant Program Total Project Budget Template
- IHOP Planning Grant Program FAQs
- HB21-1271 IHOP Q&A Presentation 9.3.2021
- IHOP Tips and Tricks Webinar Presentation 12.8.2021
- IHOP Tips and Tricks Webinar Recording 12.8.2021
- Monday, June 27, 2022
Model Land Use Code (MLUC) Update
As part of the Planning Grant Program, the Community Development Office will update and publish model land use codes for municipalities and counties. For more information on the MLUC update process, see the Community Development Office’s Land Use Codes webpage.
The Affordable Housing Development Incentives Grant Program provides grants to local governments to develop one or more affordable housing developments in their community that are livable, vibrant, and driven by community benefits.
Grant Program Details
- These incentive grants can help cover tap fees, infrastructure, parks/playgrounds and other needs and amenities that support the affordable housing project.
- Projects are encouraged to provide community benefits (e.g., covering tap fees or infrastructure costs for an affordable housing project and/with a child care center, for example).
- A small portion can be used for needs and amenities in the neighborhood where the affordable housing development is located.
- To qualify, local governments must adopt at least three strategies from the menu of policy and regulatory options listed in the program guidelines.
- IHOI Incentives Grant Program Guidelines
- IHOI Incentives Grant Program Application (PDF)
- IHOI Incentives Grant Program Scoring Matrix
- IHOI Incentives Grant Program FAQs
- IHOI Catalytic Round Letter of Intent Form (sample, expect future LOI to be similar)
- IHOI Program Guidance on Equity, Diversity, and Inclusion (EDI)
- Letter of Intent Due September 1, 2022.
DOLA has set aside up to approximately $250,000 from the Affordable Housing Development Incentives Grant Program to assist eligible Colorado municipalities and counties with funds to support preliminary planning and analysis work that is often needed to get an affordable housing development project ready to seek financing.
Many communities and stakeholders have expressed a funding gap for this type of planning and analysis work. Eligible communities include local governments who have adopted at least three qualifying strategies as listed in HB21-1271.
We are coordinating this program with Colorado Housing & Finance Authority’s Small Scale Affordable Housing Technical Assistance program.
- Upcoming funding to be determined.
- This program is no longer accepting applications.
DOLA competitively procured Root Policy Research, Plan Tools LLC, and SE Group to, among other items, create and revise guidance documents for qualifying strategies listed in HB21-1271. The guidance below is intended to support local governments searching for initial or additional thinking to help them achieve their local land use goals related to affordable housing development.
Strategies and Examples
- Use of vacant publicly-owned property for affordable housing development
- Subsidize/reduce local government fees
- Expedited development review for affordable housing up to 120% AMI
- Expedited development review for acquiring or repurposing underutilized commercial property
- Density bonus program for housing needs
- Promote submetering utility charges for affordable housing
- Dedicated funding source to subsidize affordable housing infrastructure costs and fees
- Middle multifamily (duplex, triplex, other) use by right in single family residential zoning districts
- Affordable housing as a use by right in residential zoning districts
- ADU use by right in single family zoning districts
- Allow planned unit developments (PUDs) with integrated affordable housing units
- Allow small square footage residential unit sizes (under development as examples arise)
- Lessened minimum parking requirements for new affordable housing
- Land donation/acquisition/banking program (under development as examples arise)
- Inclusionary zoning ordinance (HB21-1117)
- Other novel, innovative, creative approaches