Colorado Cities Risk Losing State Grants Over New Housing Laws
- Media Logic Radio
- Oct 10
- 1 min read
Most Colorado cities are at least partially complying with the state’s recent housing laws, but a new report shows more than a dozen municipalities are still resisting — putting them at risk of losing millions in state grants.
The laws, championed by Gov. Jared Polis, require cities to allow accessory dwelling units, encourage denser housing near transit, and complete local housing plans. They are designed to help ease Colorado’s housing shortage, which totals more than 106,000 homes.
According to the report, just nine percent of cities have fully implemented the law allowing backyard cottages and garage apartments, while most others are working toward compliance. About 60 percent of cities have submitted required reports for the density law.
Still, 16 cities and towns, including Aurora, Arvada, and Westminster, remain out of compliance with at least one law. Some have sued the state, arguing the requirements overstep local authority.
State officials say they are working with cities to ensure compliance and will consider cooperation when allocating $280 million in state housing grants.
The report signals progress but highlights ongoing tension between state housing goals and local control.
