HOUSE 3rd Reading Unamended April 14, 2016 HOUSE Amended 2nd Reading April 13, 2016Second Regular Session Seventieth General Assembly STATE OF COLORADO REENGROSSED This Version Includes All Amendments Adopted in the House of Introduction LLS NO. 16-0631.01 Bob Lackner x4350 HOUSE BILL 16-1334 HOUSE SPONSORSHIP Winter, SENATE SPONSORSHIP Hodge, House Committees Senate Committees Local Government A BILL FOR AN ACT Concerning the ability of county governments to promote inclusionary zoning programs in the unincorporated areas of a county. 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://www.leg.state.co.us/billsummaries.) The bill authorizes the board of county commissioners of any county, by duly enacted ordinances, resolutions, or other forms of binding law, to establish and create a program that implements inclusionary zoning within an unincorporated area of the county. The bill defines "inclusionary zoning program" to mean a program adopted by a county government that encourages or requires a given share of the housing units in a proposed development to be priced in a way that is affordable for low- and moderate-income households. Nothing in the bill is intended to challenge or to affect the legal status of any such program implemented and in effect prior to the effective date of the bill. Be it enacted by the General Assembly of the State of Colorado: SECTION 1. In Colorado Revised Statutes, add 30-28-111.5 as follows: 30-28-111.5. Inclusionary zoning - unincorporated areas - legislative declaration - definition. (1) The general assembly finds, determines, and declares that: (a) Among the biggest challenges facing the state is the need for affordable housing in all of the state's geographic regions. Among other effects, the immense demand for affordable housing is a huge impediment to economic growth and opportunity within the state and the ability of the state to provide a high quality of life for all its residents and to develop, attract, and maintain a high-quality workforce. (b) Across the nation, hundreds of communities, including some of the largest municipalities in the state, have adopted programs that permit inclusionary zoning as an important and useful means among other strategies for expanding the supply of affordable housing. These programs have been created to promote the goals of creating diversity in income levels among residents in a neighborhood, stimulating the equitable growth of new residents in a given community, producing affordable housing for a diverse labor force, and increasing home ownership opportunities for persons in low- and moderate-income households. Such programs have been administered for many years without legal challenge. (c) By enacting House Bill 16-1334 in 2016, the general assembly intends to give county governments the fullest degree of legal authorization possible to create and administer inclusionary zoning programs within the unincorporated areas of their counties and to give county governments the same powers to enact such programs as have been enjoyed by municipal governments for many years within their territorial boundaries. In so doing, county governments will continue to employ a meaningful tool to expand the supply of affordable housing within the territorial boundaries of their counties. (d) The general assembly further intends that House Bill 16-1334, enacted in 2016, be construed as liberally as possible to promote the policy objectives specified in this subsection (1). (2) As used in this section, "inclusionary zoning program" means a program adopted by a county government that encourages or requires a given share of the housing units in a proposed development to be priced in a way that is affordable for low- and moderate-income households. Inclusionary zoning program components may include, but are not limited to, requiring a developer to set aside a set percentage of units within the proposed development that are priced as affordable for persons in low- and moderate-income households, offering the developer different forms of incentives to compensate the developer for pricing certain housing units in a way that promotes affordable housing, targeting a particular income range as the beneficiary of such programs, and specifying a time period for which affected housing units are required to stay affordable. (3) The board of county commissioners of any county may, by duly enacted ordinances, resolutions, or other forms of binding law, establish and create inclusionary zoning programs within any unincorporated area of the county. Nothing in this section is intended to challenge or to affect the legal status of any such program implemented and in effect prior to the effective date of this section. SECTION 2. In Colorado Revised Statutes, 30-11-107, add (4) as follows: 30-11-107. Powers of the board. (4) In accordance with section 30-28-111.5, the board of county commissioners of any county may, by duly enacted ordinances, resolutions, or other forms of binding law, establish and create inclusionary zoning programs within any unincorporated area of the county. SECTION 3. Act subject to petition - effective date. This act takes effect at 12:01 a.m. on the day following the expiration of the ninety-day period after final adjournment of the general assembly (August 10, 2016, if adjournment sine die is on May 11, 2016); except that, if a referendum petition is filed pursuant to section 1 (3) of article V of the state constitution against this act or an item, section, or part of this act within such period, then the act, item, section, or part will not take effect unless approved by the people at the general election to be held in November 2016 and, in such case, will take effect on the date of the official declaration of the vote thereon by the governor.