BILL SUMMARY for HB09-1220
SENATE COMMITTEE ON LOCAL GOVERNMENT AND ENERGY
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11:07 AM -- House Bill 09-1220
Senator Gibbs, sponsor, described the provisions of HB 09-1220 that amends the Colorado Common Interest Ownership Act to allow a unit owner to restrict the sale price, rental rate, or lease rate of a unit to promote affordable or workforce housing, regardless of any provision in the declaration, bylaws, or rules or regulations of an association that would prohibit such restrictions. The bill applies only to towns with a population of less than 100,000 and that have a licensed ski lift. It does not apply to a declarant-controlled community. He also distributed Amendment L. 005 (Attachment B).
The following persons testified on the bill:
11:09 AM -- Jennifer Kermode, Summit Combined Housing Authority, spoke in support of the bill and described the need for additional affordable housing in Summit County and other resort communities. She also explained how deed restrictions are used to address affordable housing problems and responded to questions from the committee concerning property owners that may use the authority granted by the bill. Ms. Kermode explained that some home owners associations have adopted policies that limit affordable housing units or placed restrictions on owners of the affordable housing units, such as where they are allowed to park their cars.
Bob Lackner, bill drafter, Office of Legislative Legal Services, explained that the bill would invalidate any existing provision in the declaration, bylaws, or rules or regulations of an association that seeks to limit the ability of an owner to specify or restrict the sale price, rental rate, or lease rate of a unit; or other requirements designed to promote affordable or workforce housing.
11:44 AM -- Alana Smart, Housing Colorado, spoke in support of the bill and described the shortage of affordable housing in resort communities. She also responded to questions from the committee about the type of unit owners who may want to use the authority granted under the bill.
11:53 AM -- Rachel Nance, Colorado Association of Realtors, explained how developers address affordable housing needs. She also spoke in support of Amendment L. 005 and proposed an amendment to limit the number of deed restricted units in a development that would be subject to the provisions of the bill.
Mr. Lackner returned to answer a questions about the provision of Amendment L. 005 concerning the 3 percent limit in the appreciation in the value of a unit on which the specification or restriction has been lifted (Page 1, lines 9 through 11 of the amendment).
12:04 PM -- Ms. Nance explained the purpose of the provision of Amendment L. 005 concerning the 3 percent limit in the appreciation in the value of a unit and how it would affect owners who sell their unit.
12:06 PM -- Ms. Kermode returned to responded to questions from the committee concerning the three percent limit on the appreciation value of a unit in Amendment L. 005 and how it compares to deed restriction on other affordable housing.
The bill was laid over and tentatively rescheduled for action on Tuesday, March 17, at 2 PM.