Regional Proposition 123 Intergovernmental Agreement (IGA)

Working Together to Increase Housing Opportunities

In 2022, Colorado voters approved Proposition 123, creating an ongoing statewide affordable housing fund that invests approximately $300 million annually into housing programs across Colorado. The funding supports affordable rental housing, attainable homeownership, infrastructure, land acquisition, preservation, and other housing initiatives. (cdola.colorado.gov)

To remain eligible for these funding opportunities, local governments voluntarily adopt a three-year housing commitment. Recognizing that housing production occurs at different rates throughout Mesa County, the City of Grand Junction, Mesa County, the Town of Palisade, and the City of Fruita developed a Regional Intergovernmental Agreement (IGA). Each entity approved it through their formal hearing process in May and June 2026.

The Regional IGA allows participating jurisdictions to work collaboratively toward their combined housing commitments by sharing eligible housing unit credits when appropriate. The agreement does not change local zoning authority, land use decisions, or development approvals. Instead, it helps ensure communities and affordable housing projects throughout the region remain eligible to compete for Proposition 123 funding opportunities. (trim22-web.gjcity.org)

In April 2026, the City of Grand Junction successfully met its Proposition 123 Housing Commitment, becoming one of the first communities in Colorado to achieve its required housing production goal. As additional qualifying housing units continued to be approved, the City accumulated more units than were needed to satisfy its commitment. Through the Regional Proposition 123 Intergovernmental Agreement (IGA), Grand Junction can share these excess qualifying units with Mesa County, the Town of Palisade, and the City of Fruita. This regional collaboration helps participating jurisdictions—and the affordable housing projects within their communities—remain eligible to compete for Proposition 123 funding opportunities during the 2027 funding cycle while continuing to support affordable housing development throughout Mesa County.

Looking Ahead

The Regional IGA positions Mesa County communities to work together as housing projects advance over the coming years. As additional developments receive permits, begin construction, and complete qualifying milestones, more housing units will be submitted to the State and regional progress will continue to grow.

The collaboration helps ensure that communities throughout Mesa County remain eligible to compete for Proposition 123 funding while creating more affordable housing opportunities for current and future residents.