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Second Regular Session
Seventy-fifth General Assembly
STATE OF COLORADO
REENGROSSED
This Version Includes All Amendments
Adopted in the House of Introduction
LLS NO. 26-0409.01 Caroline Martin x5902 HOUSE BILL 26-1313
House Committees Senate Committees
Transportation, Housing & Local Government
A BILL FOR AN ACT
CONCERNING THE ADJUSTMENT OF REQUIREMENTS FOR101
GOVERNMENTS TO RECEIVE FUNDING FROM THE STATEWIDE102
AFFORDABLE HOUSING FUND.103
Bill Summary
(Note: This summary applies to this bill as introduced and does
not reflect any amendments that may be subsequently adopted. If this bill
passes third reading in the house of introduction, a bill summary that
applies to the reengrossed version of this bill will be available at
http://leg.colorado.gov.)
Current law requires a local government or a tribal government
(government) desiring to receive funding from the statewide affordable
housing fund to have filed with the division of housing of the department
of local affairs (division) a commitment specifying how, within a 3-year
cycle, affordable housing units within the government's territorial
HOUSE
3rd Reading Unamended
April 2, 2026
HOUSE
Amended 2nd Reading
March 30, 2026
HOUSE SPONSORSHIP
Boesenecker and Stewart R., Bacon, Brown, Duran, Froelich, Jackson, Joseph, Lindsay,
McCluskie, McCormick, Nguyen, Phillips, Rutinel, Rydin, Sirota, Zokaie
SENATE SPONSORSHIP
Ball,
Shading denotes HOUSE amendment. Double underlining denotes SENATE amendment.
Capital letters or bold & italic numbers indicate new material to be added to existing law.
Dashes through the words or numbers indicate deletions from existing law.
boundaries will be increased by 3% each year over the baseline number
of affordable housing units (baseline number). The baseline number
resets every 3 years for the next cycle. To be eligible for funding from the
statewide affordable housing fund, a government is required to file a
commitment with the division and achieve the 3% increase over the
baseline number each year during the 3-year cycle.
The bill changes the requirements for the 3-year cycle beginning
on January 1, 2027, and each 3-year cycle thereafter, so that a government
desiring to receive funding from the statewide affordable housing fund is
no longer required to increase affordable housing units by 3% above the
baseline each year, but is instead required to meet the target increase
number of affordable housing units (target increase number). The target
increase number equals the average annual number of permits for new
housing units or functional equivalents of permits for new housing units
that have been issued over the past 3 years within the jurisdiction of the
government, multiplied by the number of years of the upcoming 3-year
cycle to which the government is committing, multiplied by:
! 0.10 if the average annual job growth rate in the county in
which the government is located is significantly lower than
the statewide median annual job growth rate over the past
3 years, as determined by the division;
! 0.15 if the average annual job growth rate in the county in
which the government is located is close to the statewide
median annual job growth rate over the past 3 years, as
determined by the division; or
! 0.20 if the average annual job growth rate in the county in
which the government is located is significantly higher than
the statewide median annual job growth rate over the past
3 years, as determined by the division.
The bill permits a government that desires to be eligible for
funding from the statew ide affo rdable housi ng fund but is unable to
achieve the 3% annual increase in affordable housing units for the 3-year
cycle beginning on January 1, 2024 to file a good faith effort waiver with
the division. The division may, in its discretion, grant a good faith effort
waiver to a government that filed for a waiver on or after June 15, 2026
but before November 1, 2026 and complied with other requirements of
the bill.
The bill permits a gove rnment that desires to be eligible for
funding from the statewide affordable housing fund but is unable to meet
the target increase number in affordable housing units for the 3-year cycle
beginning on January 1, 2027 to file an adjustment waiver with the
division. The division may, in its discretion, grant an adjustment waiver
to a government that filed for a waiver and complied with other
requirements of the bill.
For the purposes of determining whether a government has
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achieved the target increase number for the 3-year cycle beginning on
January 1, 2027, and for each 3-year cycle thereaf ter, an affordable
housing unit that satisfies the following criteria counts for one affordable
housing unit plus the following corresponding additional unit amount:
! A unit that is developed on land donated by the local
government or tribal government qualifies for an additional
0.10 of a unit;
! A unit that is developed to be sold qualifies for an
additional 0.20 of a unit; and
! A unit that is restricted to be rented or sold to a household
with an annual income of at or below 30% of the area
median income qualifies for an additional 0.20 of a unit.
If affordable housing is developed and qualifies for a property tax
exemption, thereby reducing property tax revenue to the county in which
the affordable housing is located, and the county did not provide any
money to develop the affordable housing, the division may, in its
discretion, allow each such affordable housing unit to count as up to 1.15
affordable housing units for the county at the time of vertical
construction. If a county's property tax revenue will be reduced due to the
development of affordable housing, the county shall submit, at the time
of the project underwriting for the affordable housing, documentation to
the division of anticipated reduced property tax revenue.
Be it enacted by the General Assembly of the State of Colorado:1
SECTION 1. In Colorado Revised Statutes, 29-32-105, amend2
(1)(a), (1)(c) introductory portion, (1)(c)(I), (1)(d), (1)(e) and (3); and add3
(1)(d.5), (4), (5), (6), (7), (8), (9), (10), and (11) as follows:4
29-32-105. Affordable housing commitments - local5
governments - tribal governments - three-year commitment cycle -6
expedited development approval process - eligibility for assistance7
from the fund - waivers.8
(1) (a) Not later than November 1, 2023, the governing body of9
each local government, other than local housing authorities, or tribal10
government desiring to receive funding under this article or desiring to11
make affordable housing projects within its territorial boundaries eligible12
for funding under this article shall make and file with the division a13
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commitment specifying how, by December 31, 2026, the combined1
number of newly constructed affordable housing units and existing units2
converted to affordable housing, within its territorial boundaries shall be3
increased by three percent each year over the baseline number of4
affordable housing units within its territorial boundaries, determined as5
provided in subsection (1)(c) of this section.6
(c) F OR THE THREE-YEAR CYCLE BEGINNING ON JANUARY 1,7
2024, the baseline number of affordable housing units within the8
territorial boundaries of a local government or tribal government, as9
referenced in this subsection (1), shall be determined by the local10
government or tribal government by reference to:11
(I) The 2017-2021 American Community Survey 5-year12
FIVE-YEAR estimates published by the United States census bureau; The13
baseline number shall reset for 2027, based on the 2020-2024 American14
Community Survey 5-year estimates, expected to be published in the15
spring of 2026 and every third year thereafter with the publication of the16
corresponding American Community Survey 5-year estimates; or17
(d) By November 1, 2026 a nd by November 1st of each18
subsequent year in which the baseline resets PRECEDING THE FIRST YEAR19
OF A THREE-YEAR CYCLE, the governing body of each local government,20
other than local housing authorities, or tribal government desiring to21
receive funding under this article ARTICLE 32 or desiring to make22
affordable housing projects within its territorial boundaries eligible for23
funding under this article ARTICLE 32 shall make and file with the division24
a commitment specifying how, by December 31 of the third year25
thereafter, the combined number of newly constructed affordable housing26
units, and existing units converted to affordable housing, AND UNITS WITH27
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AFFORDABILITY RESTRICTIONS THAT EXTEND BEYOND THE THREE-YEAR1
CYCLE AND FOR AT LEAST FIFTEEN YEARS within its territorial boundaries2
shall be increased by three percent each year over the baseline number of3
affordable housing units within its territorial boundaries determined as4
provided in subsection (1)(c) of this section THE TARGET INCREASE5
NUMBER. THE TARGET INCREASE NUMBER EQUALS THE AVERAGE ANNUAL6
NUMBER OF PERMITS FOR NEW HOUSING UNITS OR FUNCTIONAL7
EQUIVALENTS OF PERMITS FOR NEW HOUSING UNITS THAT HAVE BEEN8
ISSUED OVER THE PAST THREE YEARS WITHIN THE JURISDICTION OF THE9
LOCAL GOVERNMENT, MULTIPLIED BY THE NUMBER OF YEARS OF THE10
UPCOMING THREE-YEAR CYCLE TO WHICH A LOCAL GOVERNMENT IS11
COMMITTING, MULTIPLIED BY:12
(I) TEN ONE-HUNDREDTHS IF THE AVERAGE ANNUAL JOB GROWTH13
RATE OVER THE PAST THREE YEARS , AS RECORDED BY THE STATE14
DEMOGRAPHY OFFICE FOR THE COUNTY IN WHICH THE LOCAL 15
GOVERNMENT IS LOCATED, IS SIGNIFICANTLY LOWER THAN THE STATEWIDE16
MEDIAN ANNUAL JOB GROWTH RATE OVER THE PAST THREE YEARS , AS17
DETERMINED BY THE DIVISION;18
(II) F IFTEEN ONE -HUNDREDTHS IF THE AVERAGE ANNUAL JOB19
GROWTH RATE OVER THE PAST THREE YEARS, AS RECORDED BY THE STATE20
DEMOGRAPHY OFFICE FOR THE COUNTY IN WHICH THE LOCAL 21
GOVERNMENT IS LOCATED, IS CLOSE TO THE STATEWIDE MEDIAN ANNUAL22
JOB GROWTH RATE OVER THE PAST THREE YEARS, AS DETERMINED BY THE23
DIVISION; OR24
(III) T WENTY ONE-HUNDREDTHS IF THE AVERAGE A NNUAL JOB25
GROWTH RATE OVER THE PAST THREE YEARS, AS RECORDED BY THE STATE26
DEMOGRAPHY OFFICE FOR THE COUNTY IN WHICH THE LOCAL 27
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GOVERNMENT IS LOCATED , IS SIGNIFICANTLY HIGHER THAN THE1
STATEWIDE MEDIAN ANNUAL JOB GROWTH RATE OVER THE PAST THREE2
YEARS, AS DETERMINED BY THE DIVISION.3
(d.5) F OR THE THREE -YEAR CYCLE BEGINNING ON JANUARY 1,4
2027, AND FOR EACH THREE -YEAR CYCLE THEREAFTER , THE DIVISION5
SHALL ESTABLISH THRESHOLDS FOR JOB GROWTH RATES THAT THE6
DIVISION CONSIDERS TO BE SIGNIFICANTLY LOWER THAN , CLOSE TO , OR7
SIGNIFICANTLY HIGHER THAN THE STATEWIDE MEDIAN ANNUAL JOB8
GROWTH RATE OVER THE PAST THREE YEARS , TO BE USED PURSUANT TO9
SUBSECTION (1)(d) OF THIS SECTION TO DETERMINE THE TARGET INCREASE10
NUMBER. IN ESTABLISHING THE THRESHOLDS FOR JOB GROWTH RATES, THE11
DIVISION SHALL DEFINE EACH THRESHOLD AS A SPECIFIC NUMERICAL12
RANGE BASED ON THE STATEWIDE MEDIAN ANNUAL JOB GROWTH RATE FOR13
THE PAST THREE YEARS.14
(e) In drafting and enacting commitments under this subsection15
(1) local governments and tribal governments should prioritize16
high-density housing, mixed-income housing, and projects consistent with17
the goal of environmental sustainability, when appropriate, and should18
prioritize affordable housing in communities in which low concentrations19
of affordable housing exist.20
(3) (a) Beginning in 2027, to be eligible under this article ARTICLE21
32 for direct funding, or for affordable housing projects within a local22
government's or tribal government's territorial boundaries to be eligible23
for funding, local governments, other than local housing authorities, or24
tribal governments, must SHALL:25
(I) Satisfy both the requirements of subsection (1) of this section26
to commit to and achieve annual increases in the number of affordable27
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housing units within their territorial boundaries, and the requirements of1
subsection (2) of this section to implement a system to expedite the2
development approval process for affordable housing projects; OR3
(II) S ATISFY THE REQUIREMENTS OF SUBSECTION (1) OF THIS4
SECTION TO COMMIT TO INCREASES IN THE NUMBER OF AFFORDABLE5
HOUSING UNITS WITHIN THEIR TERRITORIAL BOUNDARIES , SATISFY THE6
REQUIREMENTS OF SUBSECTION (2) OF THIS SECTION TO IMPLEMENT A7
SYSTEM TO EXPEDITE THE DEVELOPMENT APPROVAL PROCESS FOR8
AFFORDABLE HOUSING PROJECTS, AND HAVE RECEIVED APPROVAL FROM9
THE DIVISION OF A GOOD FAITH EFFORT WAIVER SUBMITTED IN10
ACCORDANCE WITH SUBSECTION (6) OF THIS SECTION.11
(b) (I) If a local government or tribal government makes and files12
with the division the commitment required by subsection (1) of this13
section by November 1, 2023, it shall be deemed to have satisfied the14
requirements of subsection (1) of this section through December 31,15
2026.16
(II) If a local government or tribal government makes and files17
with the division the commitment required by subsection (1) of this18
section by November 1, 2026, or by November 1st of a subsequent year19
in which the baseline resets, PRECEDING THE FIRST YEAR OF A THREE-YEAR20
CYCLE, and it met its commitment to increase affordable housing made21
under subsection (1) of this section for the previous three-year cycle OR22
RECEIVED A WAIVER PURSUANT TO THIS SECTION , it shall be deemed to23
have HAS satisfied the requirements of subsection (1) of this section24
through the end of the current three-year cycle.25
(III) If a local government, other than a local housing authority,26
or tribal government fails to make and file with the division the27
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commitment required by subsection (1) of this section by November 1,1
2023, or by November 1st of a subsequent year in which the baseline2
resets, PRECEDING THE FIRST YEAR OF A THREE-YEAR CYCLE, it shall be3
THE LOCAL GOVERNMENT IS ineligible to receive financial assistance from4
the division or administrator during the following calendar year.5
(IV) If a local government or tribal government fails to meet its6
commitment to increase affordable housing made and filed pursuant to7
subsection (1) of this section for any three-year cycle AND DOES NOT8
RECEIVE A WAIVER PURSUANT TO THIS SECTION, it shall be IS ineligible to9
receive financial assistance from the division or administrator during the10
first calendar year of the next three-year cycle.11
(V) An ineligible local government or tribal government may12
apply for a subsequent year with a new commitment under subsection (1)13
of this section for the balance of the then-current three-year cycle.14
(VI) A developer, whether for-profit or nonprofit, or a local15
government or tribal government developing an affordable housing16
project within the territorial boundaries of a local government or tribal17
government that fails to meet the requirements of subsection (1) or (2) of18
this section shall be AND THAT HAS NOT RECEIVED A WAIVER PURSUANT19
TO THIS SECTION IS ineligible to receive financial assistance from the20
division or administrator. Notwithstanding this restriction, a project21
within the territorial boundaries of an eligible municipality shall be IS22
eligible for funding even if the county in which the project is located is23
ineligible.24
(VII) Ineligible local governments and tribal governments and25
developers of projects in ineligible local government and tribal26
government jurisdictions shall ARE not be required to pay back to the27
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division or the administrator money paid to them under this article1
ARTICLE 32 prior to ineligibility.2
(d) (I) The division shall be IS responsible for determining3
compliance with this section. For the purpose of calculating whether a4
local government or tribal government has met the requirements of5
subsection (1) of this section:6
(A) A new residential housing unit is to be counted at the time it7
is permitted rather than the time it is constructed;8
(B) An existing housing unit newly qualifying as affordable9
housing is to be counted at the time it is permitted and fully funded rather10
than at the time the conversion is completed; For the purpose of11
calculating whether a local government or tribal government has met the12
requirements of subsection (1) of this section,13
(C) In addition to affordable housing growth achieved through the14
programs in this article ARTICLE 32, any new deed restricted affordable15
housing THAT IS newly constructed, or NEWLY converted to affordable16
HOUSING, OR HAS AFFORDABILITY RESTRICTIONS THAT EXTEND BEYOND17
THE THREE-YEAR CYCLE AND FOR AT LEAST FIFTEEN YEARS within a local18
government's or tribal government's territorial boundaries shall be IS19
counted toward the local government's or tribal government's growth20
requirement; For the purpose of calculating whether a local government21
or tribal government has met the requirements of subsection (1) of this22
section,23
(D) All units funded through the programs created in section24
29-32-104 (1)(b), (1)(c)(I), (1)(c)(II), and (1)(c)(III) are counted towards25
TOWARD the local government's or tribal government's growth26
requirement; AND27
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(E) EACH HOUSING UNIT THAT IS DEVELOPED AS PART OF A LARGER1
DEVELOPMENT PROJECT THAT IS SUBJECT TO A DEED RESTRICTION OF AT2
LEAST FIFTEEN YEARS AND IN WHICH THE AVERAGE RENTAL PRICE OF ALL3
UNITS IN THE PROJECT IS AFFORDABLE TO A HOUSEHOLD WITH AN ANNUAL4
INCOME OF AT OR BELOW SIXTY PERCENT OF THE AREA MEDIAN INCOME5
COUNTS AS ONE AFFORDABLE HOUSING UNIT.6
(II) Regional collaboration and partnership is encouraged. Local7
governments and tribal governments may enter into written agreements8
with other local governments and tribal governments that allow each9
jurisdiction to receive partial credit towards TOWARD the local10
government's or tribal government's growth requirement for the purpose11
of calculating whether a local government or tribal government has met12
the requirements of subsection (1) of this section. EXCEPT FOR ANY13
CREDITS AWARDED PURSUANT TO SUBSECTION (9) OR (10) OF THIS SECTION14
THAT ARE IN EXCESS OF THE TOTAL AMOUNT OF UNITS PRODUCED, the sum15
of the total units credited to the local governments and tribal governments16
shall MUST not exceed the total number of units produced through the17
collaboration. 18
(4) I F A LOCAL GOVERNMENT , OTHER THAN A LOCAL HOUSING19
AUTHORITY, DESIRES TO RECEIVE FUNDING UNDER THIS ARTICLE 32 OR20
DESIRES TO MAKE AFFORDABLE HOUSING PROJECTS WITHIN ITS21
TERRITORIAL BOUNDARIES ELIGIBLE FOR FUNDING UNDER THIS ARTICLE 32,22
AND IS UNABLE TO ACHIEVE, FOR THE THREE-YEAR CYCLE BEGINNING ON23
JANUARY 1, 2024, THE ANNUAL INCREASES IN THE NUMBER OF24
AFFORDABLE HOUSING UNITS WITHIN ITS TERRITORIAL BOUNDARIES SET25
FORTH IN SUBSECTION (1) OF THIS SECTION, THE LOCAL GOVERNMENT26
MAY FILE A GOOD FAITH EFFORT WAIVER WITH THE DIVISION. THE LOCAL27
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GOVERNMENT IS ELIGIBLE TO FILE A GOOD FAITH EFFORT WAIVER AND1
BE APPROVED BY THE DIVISION IF THE LOCAL GOVERNMENT COMPLIES2
WITH SUBSECTION (5) OF THIS SECTION AND:3
(a) HAS RECEIVED APPROVAL FROM THE DIVISION THAT THE LOCAL4
GOVERNMENT HAS COMPLIED WITH SUBSECTION (2) OF THIS SECTION;5
(b) H AS RECEIVED TECHNICAL GUIDANCE FROM THE DIVISION 'S6
PROPOSITION 123 COMMUNITY SUPPORT TEAM;7
(c) HAS ACHIEVED AT LEAST SIXTY-FIVE PERCENT OF THE ANNUAL8
INCREASES IN THE NUMBER OF AFFORDABLE HOUSING UNITS WITHIN ITS9
TERRITORIAL BOUNDARIES AS REQUIRED BY SUBSECTION (1) OF THIS10
SECTION FOR THE THREE -YEAR CYCLE BEGINNING ON JANUARY 1, 2024;11
AND12
(d) (I) IS ABLE TO SATISFY THE REQUIREMENT OF SUBSECTION (1)13
OF THIS SECTION TO ACHIEVE ANNUAL INCREASES IN THE NUMBER OF14
AFFORDABLE HOUSING UNITS WITHIN ITS TERRITORIAL BOUNDARIES FOR15
THE THREE -YEAR CYCLE BEGINNING ON JANUARY 1, 2024 IF THE16
REQUIREMENT HAD BEEN BASED ON THE TARGET INCREASE NUMBER17
SPECIFIED IN SUBSECTION (1)(d) OF THIS SECTION; OR18
(II) HAS, WITHIN THE THREE-YEAR CYCLE BEGINNING ON JANUARY19
1, 2024, PROVIDED MONEY TO FUND THE DEVELOPMENT OF AFFORDABLE20
HOUSING UNITS THAT COUNTED TOWARD ANOTHER LOCAL GOVERNMENT'S21
ANNUAL INCREASE REQUIRED BY SUBSECTION (1) OF THIS SECTION AND22
WOULD HAVE BEEN ABLE TO ACHIEVE AT LEAST SIXTY-FIVE PERCENT OF23
THE ANNUAL INCREASE REQUIRED BY SUBSECTION (1) OF THIS SECTION IF24
THE LOCAL GOVERNMENT HAD BEEN ABLE TO COUNT THE AFFORDABLE25
HOUSING UNITS TO WHICH IT PROVIDED MONEY IN PROPORTION TO THE26
PERCENTAGE OF TOTAL LOCAL GOVERNMENT FUNDING PROVIDED.27
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(5) TO BE ELIGIBLE TO FILE A GOOD FAITH EFFORT WAIVER AND BE1
APPROVED BY THE DIVISION, IN ADDITION TO MEETING THE REQUIREMENTS2
OF SUBSECTION (4) OF THIS SECTION, THE LOCAL GOVERNMENT SHALL:3
(a) SUBMIT A NARRATIVE DESCRIPTION OF ITS ACHIEVEMENTS IN4
ADVANCING AFFORDABLE HOUSING DEVELOPMENTS WITHIN THE5
THREE-YEAR CYCLE BEGINNING ON JANUARY 1, 2024;6
(b) SUBMIT DOCUMENTATION OF ITS ADOPTION OF LOCAL LAND7
USE, ZONING, OR REGULATORY REFORMS THAT INCREASE THE FEASIBILITY8
OF DEVELOPING AFFORDABLE HOUSING;9
(c) S UBMIT DOCUMENTATION OF ADDITIONAL LOCAL10
COMMITMENTS TO FUND AFFORDABLE HOUSING OR ESTABLISHED METHODS11
FOR REDUCING THE COST OF DEVELOPING AFFORDABLE HOUSING;12
(d) I MPLEMENT PROCESS OR CAPACITY IMPROVEMENTS THAT13
REDUCE BARRIERS TO DEVELOPING AFFORDABLE HOUSING , S U C H A S A14
HOUSING ACTION PLAN; OR15
(e) PARTICIPATE IN REGIONAL COLLABORATION TO DEVELOP MORE16
AFFORDABLE HOUSING THROUGH A FORMAL REGIONAL AGREEMENT.17
(6) A LOCAL GOVERNMENT SEEKING A GOOD FAITH EFFORT18
WAIVER FOR THE THREE -YEAR CYCLE BEGINNING ON JANUARY 1, 202419
SHALL, ON OR AFTER JUNE 15, 2026 BUT BEFORE NOVEMBER 1, 2026,20
SUBMIT TO THE DIVISION DOCUMENTATION OF COMPLIANCE WITH21
SUBSECTIONS (4) AND (5) OF THIS SECTION . THE DIVISION SHALL22
DETERMINE, IN ITS DISCRETION , WHETHER TO GRANT A GOOD FAITH23
EFFORT WAIVER TO A LOCAL GOVERNMENT.24
(7) I F A LOCAL GOVERNMENT , OTHER THAN A LOCAL HOUSING25
AUTHORITY, DESIRES TO RECEIVE FUNDING UNDER THIS ARTICLE 32 OR26
DESIRES TO MAKE AFFORDABLE HOUSING PROJECTS WITHIN ITS27
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TERRITORIAL BOUNDARIES ELIGIBLE FOR FUNDING UNDER THIS ARTICLE 32,1
BUT IS UNABLE TO ACHIEVE, FOR THE THREE-YEAR CYCLE BEGINNING ON2
JANUARY 1, 2027, THE ANNUAL INCREASES IN THE NUMBER OF3
AFFORDABLE HOUSING UNITS WITHIN ITS TERRITORIAL BOUNDARIES SET4
FORTH IN SUBSECTION (1) OF THIS SECTION, THE LOCAL GOVERNMENT 5
MAY FILE AN ADJUSTMENT WAIVER WITH THE DIVISION. TO BE ELIGIBLE TO6
FILE AN ADJUSTMENT WAIVER FOR THE THREE-YEAR CYCLE BEGINNING ON7
JANUARY 1, 2027, AND BE APPROVED BY THE DIVISION , THE LOCAL8
GOVERNMENT SHALL:9
(a) R ECEIVE APPROVAL FROM THE DIVISION THAT THE LOCAL10
GOVERNMENT HAS COMPLIED WITH SUBSECTION (2) OF THIS SECTION;11
(b) SUBMIT TO THE DIVISION A DETAILED NARRATIVE EXPLAINING12
WHY THE ANNUAL INCREASE IN THE NUMBER OF AFFORDABLE HOUSING13
UNITS IS UNATTAINABLE WITHIN ITS TERRITORIAL BOUNDARIES FOR THE14
THREE-YEAR CYCLE BEGINNING ON JANUARY 1, 2027. THE DETAILED15
NARRATIVE MUST BE SUPPORTED BY RELIABLE AND VERIFIABLE DATA ,16
SUCH AS:17
(I) A LOCAL HOUSING NEEDS ASSESSMENT COMPLETED NO EARLIER18
THAN THREE YEARS BEFORE SUBMITTAL;19
(II) AN INVENTORY OF DEED-RESTRICTED UNITS RECORDED WITH20
THE LOCAL GOVERNMENT OR COUNTY CLERK FOR THE COUNTY IN WHICH21
THE LOCAL GOVERNMENT IS LOCATED;22
(III) A COMPREHENSIVE PLAN OR AREA PLAN GROWTH23
PROJECTIONS DEMONSTRATING THAT THE ANNUAL INCREASE24
REQUIREMENT IN THE NUMBER OF AFFORDABLE HOUSING UNITS EXCEEDS25
THE TOTAL PROJECTED GROWTH OF THE JURISDICTION BY A SIGNIFICANT26
MARGIN;27
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(IV) UTILITY OR SERVICE PROVIDER DOCUMENTATION;1
(V) INFRASTRUCTURE CAPACITY LIMITATIONS; OR2
(VI) ENVIRONMENTAL OR GEOGRAPHIC CONSTRAINT MAPS;3
(c) P ROPOSE A REVISED ANNUAL INCREASE IN THE NUMBER OF4
AFFORDABLE HOUSING UNITS BASED ON THE VERIFIABLE DATA SUBMITTED5
PURSUANT TO SUBSECTION (7)(b) OF THIS SECTION THAT IS NOT LESS THAN6
ONE UNIT PER YEAR; AND7
(d) FILE DOCUMENTATION WITH THE DIVISION DEMONSTRATING8
THAT THE LOCAL GOVERNMENT'S COMMITMENT FOR THE THREE-YEAR9
CYCLE BEGINNING ON JANUARY 1, 2027, REPRESENTED A SIGNIFICANT10
INCREASE ABOVE ITS COMMITMENT FOR THE THREE -YEAR CYCLE11
BEGINNING ON JANUARY 1, 2027.12
(8) IN ADDITION TO THE CRITERIA LISTED IN SUBSECTION (7) OF13
THIS SECTION , WHEN DECIDING WHETHER TO GRANT AN ADJUSTMENT14
WAIVER, THE DIVISION SHALL ALSO CONSIDER WHETHER AND THE EXTENT15
TO WHICH A LOCAL GOVERNMENT EXCEEDED THE ANNUAL INCREASE IN16
THE NUMBER OF AFFORDABLE HOUSING UNITS WITHIN ITS TERRITORIAL17
BOUNDARIES SET FORTH IN SUBSECTION (1) OF THIS SECTION FOR THE18
THREE-YEAR CYCLE BEGINNING ON JANUARY 1, 2024.19
(9) F OR THE PURPOSES OF DETERMINING WHETHER A LOCAL20
GOVERNMENT, OTHER THAN A LOCAL HOUSING AUTHORITY , H A S21
ACHIEVED THE ANNUAL INCREASES IN THE NUMBER OF AFFORDABLE22
HOUSING UNITS WITHIN ITS TERRITORIAL BOUNDARIES SET FORTH IN23
SUBSECTION (1) OF THIS SECTION FOR THE THREE-YEAR CYCLE BEGINNING24
ON JANUARY 1, 2027, AND FOR EACH THREE-YEAR CYCLE THEREAFTER, AN25
AFFORDABLE HOUSING UNIT THAT SATISFIES THE FOLLOWING CRITERIA26
COUNTS FOR ONE AFFORDABLE HOUSING UNIT PLUS THE FOLLOWING27
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CORRESPONDING ADDITIONAL UNIT AMOUNT:1
(a) AN AFFORDABLE HOUSING UNIT THAT IS DEVELOPED ON LAND2
DONATED BY THE LOCAL GOVERNMENT QUALIFIES FOR AN ADDITIONAL3
ONE-TENTH OF A UNIT; 4
(b) A N AFFORDABLE HOUSING UNIT THAT IS DEVELOPED WITH5
MONEY PROVIDED BY MULTIPLE LOCAL GOVERNMENTS QUALIFIES FOR AN6
ADDITIONAL ONE-TENTH OF A UNIT FOR EACH LOCAL GOVERNMENT THAT7
PROVIDED MONEY;8
(c) A N AFFORDABLE HOUSING UNIT THAT IS DEVELOPED TO BE9
FOR-SALE HOUSING IN ACCORDANCE WITH SECTION 29-32-101 (2) OR THAT10
IS DEVELOPED AND SOLD IN CONNECTION WITH THE PROGRAM DESCRIBED11
IN SECTION 29-32-104 (3)(a) QUALIFIES FOR AN ADDITIONAL TWO-TENTHS12
OF A UNIT; AND13
(d) A N AFFORDABLE HOUSING UNIT THAT IS RESTRICTED TO BE14
RENTED OR SOLD TO A HOUSEHOLD WITH AN ANNUAL INCOME OF AT OR15
BELOW FORTY PERCENT OF THE AREA MEDIAN INCOME , INCLUDING A16
SUPPORTIVE HOUSING UNIT AS DEFINED IN SECTION 24-32-3701 (17),17
QUALIFIES FOR AN ADDITIONAL TWO-TENTHS OF A UNIT.18
(10) I F AFFORDABLE HOUSING THAT COUNTS TOWARD A19
COMMITMENT MADE BY A LOCAL GOVERNMENT PURSUANT TO20
SUBSECTION (1) OF THIS SECTION IS DEVELOPED AND QUALIFIES FOR A21
PROPERTY TAX EXEMPTION, THEREBY REDUCING PROPERTY TAX REVENUE22
TO THE COUNTY IN WHICH THE AFFORDABLE HOUSING IS LOCATED , AND23
THE COUNTY DID NOT PROVIDE ANY MONEY TO DEVELOP THE AFFORDABLE24
HOUSING, THE DIVISION MAY , IN ITS DISCRETION , ALLOW EACH SUCH25
AFFORDABLE HOUSING UNIT TO COUNT AS UP TO ONE AND26
FIFTEEN-HUNDREDTHS AFFORDABLE HOUSING UNITS FOR THE COUNTY AT27
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THE TIME OF VERTICAL CONSTRUCTION. 1
(11) BEGINNING IN 2027, TO BE ELIGIBLE UNDER THIS ARTICLE 322
FOR DIRECT FUNDING, OR FOR AFFORDABLE HOUSING PROJECTS WITHIN A3
TRIBAL GOVERNMENT'S TERRITORIAL BOUNDARIES TO BE ELIGIBLE UNDER4
THIS ARTICLE 32 FOR FUNDING, TRIBAL GOVERNMENTS SHALL SATISFY THE5
REQUIREMENTS OF SUBSECTION (2) OF THIS SECTION TO IMPLEMENT A6
SYSTEM TO EXPEDITE THE DEVELOPMENT APPROVAL PROCESS FOR7
AFFORDABLE HOUSING PROJECTS AND SHALL SUBMIT EVIDENCE OF SUCH8
SATISFACTION TO THE DIVISION.9
SECTION 2. Safety clause. The general assembly finds,10
determines, and declares that this act is necessary for the immediate11
preservation of the public peace, health, or safety or for appropriations for12
the support and maintenance of the departments of the state and state13
institutions.14
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