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March 10, 2023 SB 23-178
Legislative Council Staff
Nonpartisan Services for Colorado’s Legislature
Fiscal Note
Drafting Number:
Prime Sponsors:
LLS 23-0801
Sen. Jaquez Lewis; Will
Rep. McCormick
Date:
Bill Status:
Fiscal Analyst:
March 10, 2023
Senate Local Government
Josh Abram | 303-866-3561
josh.abram@coleg.gov
Bill Topic: WATER-WISE LANDSCAPING IN HOA COMMUNITIES
Summary of
Fiscal Impact:
☒ State Revenue
☒ State Expenditure
☐ State Transfer
☐ TABOR Refund
☐ Local Government
☐ Statutory Public Entity
This bill requires that homeowner’s associations (HOAs) allow the use of
non-vegetative landscaping, and limits how community covenants may otherwise
restrict xeriscaping by unit owners. The bill allows unit owners to bring civil action for
violations by an HOA. The bill minimally increases state revenue and workload
beginning in FY 2023-24.
Appropriation
Summary:
No appropriation is required.
Fiscal Note
Status:
The fiscal note reflects the introduced bill.
Summary of Legislation
Under current law, a restrictive covenant of a common interest community (i.e., a homeowner or
condominium owner association or HOA) may not prohibit an individual property owner from
employing the use of xeriscape, non-vegetative turf grass, or drought-tolerant vegetative landscaping.
This bill allows homeowners to also employ non-vegetative landscaping. HOAs may subject property
landscaping to the community’s guidelines and rules; however, the rules must:
not prohibit the use of non-vegetative turf grass in the backyard of a unit owner’s property;
not unreasonably require the use of hardscape on more than 20 percent of landscaping;
not prohibit vegetable gardens in the yard of a unit owner; and
allow property owners an option consisting of at least 80 percent drought-tolerant plantings.
HOAs are required to permit at least three designs approved by the HOA and that adhere to the
principles of water-wise landscaping and emphasize drought tolerant and native plants. Designs may
be downloaded from the Colorado State University Extension Plant Select Organization’s design list.
A unit owner affected by an HOA landscaping rule violation may bring a civil action to restrain further
violations, and to recover actual damages plus $500, costs, and reasonable attorney’s fees. Unit owners
must give the HOA 45 days to cure any violation before filing suit. Page 2
March 10, 2023 SB 23-178
Background
Current law defines xeriscape to mean the combined application of several principles of landscape
planning and design, including soil analysis and improvement, hydro zoning of plants, use of
practical turf areas, mulch use, irrigation efficiency, and appropriate maintenance.
State Revenue and Expenditures
Allowing a unit owner to bring civil actions may minimally increase state revenue from filing fees and
workload for the trial courts in the Judicial Department. It is assumed that HOAs will comply with
the new requirements and that the number and complexity of civil actions will be limited. For this
reason, any increase in fee revenue and workload for the trial courts will be minimal.
The bill may also minimally increase workload in the Colorado HOA Information and Resource
Center in the Division of Real Estate in the Department of Regulatory Agencies to update resources,
answer questions from the public, and register new online complaints. No change in appropriations
is required.
Effective Date
The bill takes effect 90 days following adjournment of the General Assembly sine die, assuming no
referendum petition is filed.
State and Local Government Contacts
Information Technology Judicial Law
Local Affairs Natural Resources Regulatory Agencies
The revenue and expenditure impacts in this fiscal note represent changes from current law under the bill for each
fiscal year. For additional information about fiscal notes, please visit: leg.colorado.gov/fiscalnotes.