Colorado Senate Bill 24-174: What it is and What it Means

Colorado Senate Bill 24-174: What It Is and What It Means

Colorado Senate Bill 24-174 is a state law adopted in 2024 that establishes consistent housing planning requirements for local governments across Colorado. The goal of the legislation is to improve housing affordability, better understand local and regional housing needs, and ensure that housing planning is informed by data and community input.

The law creates a statewide framework for how communities assess housing needs, plan for future housing, and align local efforts with state and federal housing goals.

What SB24-174 Requires of Local Governments

Housing Needs Assessments

Most local governments are required to complete a Housing Needs Assessment by December 31, 2026. This assessment must analyze current and future housing needs, including affordability, housing supply, and risk of displacement. Assessments must follow guidance provided by the Colorado Department of Local Affairs (DOLA).

Communities may choose to complete the assessment independently or partner with neighboring jurisdictions to conduct a regional housing needs assessment.

Housing Action Plans

Certain jurisdictions must also adopt a Housing Action Plan by January 1, 2028, and update it at least every six years. Housing Action Plans identify strategies to address the needs outlined in the Housing Needs Assessment and guide future housing policy, programs, and investments.

Public Engagement Requirements

SB24-174 emphasizes meaningful public participation. Local governments are expected to involve residents, stakeholders, and community partners throughout the planning process. Engagement must be inclusive and accessible, and it should include opportunities for community members to provide input on housing challenges, priorities, and potential solutions.

Coordination with Other Planning Efforts

The law encourages alignment between housing planning and other required plans, including comprehensive plans and federally required planning documents. This helps ensure consistency across local, state, and federal housing and community development efforts.

State Support and Technical Assistance

The State of Colorado, through DOLA, provides guidance, tools, and technical assistance to help local governments complete their Housing Needs Assessments and Housing Action Plans. Grant funding may be available to support this work.

Future Funding Considerations

Over time, completion of a Housing Needs Assessment and Housing Action Plan may be considered when the State evaluates eligibility or priority for certain housing and planning grants.

What This Means Overall for Government Entities

  • Housing planning must be data-driven and transparent

  • Community engagement is required, not optional

  • Jurisdictions are encouraged to collaborate regionally

  • Housing strategies must consider affordability and displacement risk

  • Planning efforts should align across local, state, and federal requirements

  • Completing required plans helps position communities for future funding opportunities

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