Page 1
May 1, 2023 SB 23-213
Legislative Council Staff
Nonpartisan Services for Colorado’s Legislature
Revised Fiscal Note
(replaces fiscal note dated April 5, 2025)
Drafting Number:
Prime Sponsors:
LLS 23-0890
Sen. Moreno
Rep. Jodeh; Woodrow
Date:
Bill Status:
Fiscal Analyst:
May 1, 2023
House Trans. & Local Govt.
Josh Abram | 303-866-3561
josh.abram@coleg.gov
Bill Topic: LAND USE
Summary of
Fiscal Impact:
☐ State Revenue
☒ State Expenditure
☐ State Transfer
☐ TABOR Refund
☒ Local Government
☐ Statutory Public Entity
The bill creates several advisory and oversight committees and requires the
Department of Local Affairs to collaborate with multiple state agencies to develop
strategic growth objectives, and provide guidance and technical assistance to local
governments to asses and plan housing development. The bill increases state and
local expenditures beginning FY 2023-24.
Appropriation
Summary:
For FY 2023-24, the bill requires appropriations totaling about $15.8 million to multiple
state agencies.
Fiscal Note
Status:
The fiscal note reflects the reengrossed bill.
Table 1
State Fiscal Impacts Under SB 23-213
Budget Year
FY 2023-24
Out Year
FY 2024-25
Revenue - -
Expenditures General Fund $268,290 $156,642
Cash Funds $15,554,095 $2,654,279
Centrally Appropriated $259,341 $268,003
Total Expenditures $16,081,726 $3,078,924
Total FTE 13.3 FTE 14.0 FTE
Transfers
1
General Fund ($15.0 million) -
Cash Funds $15.0 million -
Net Transfer $0 -
Other Budget Impacts General Fund Reserve $2,290,244 $23,496
1
This transfer is made via an appropriation from the General Fund to the Housing Plans Assistance Fund.
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May 1, 2023 SB 23-213
Summary of Legislation
The bill creates several advisory committees and requires the Department of Local Affairs (DOLA) to
collaborate with multiple state agencies to develop strategic growth objectives, guidance and
assistance in assessing and planning for statewide housing development by local governments. Local
governments are required to incorporate growth objectives into their master planning process.
Advisory Committees and Oversight
Multi-agency advisory committees. The bill creates the Multi-Agency Advisory Committee in the
DOLA comprised of representatives from the department, the Colorado Energy Office (CEO), the
Colorado Department of Transportation (CDOT), the Department of Natural Resources (DNR), the
Department of Agriculture (CDA), metropolitan planning organizations, local governments, and
other land use professionals. Within the committee, the bill creates the Rural Resort Area
Subcommittee, and the Urban Area Subcommittee. The subcommittees must develop
recommendations to present to the advisory committee concerning housing and land use matters
specific to rural resort areas and urban areas.
Advisory committee reports. By 2024, the Multi-Agency Advisory Committee shall report to the
General Assembly recommendations to address long-term housing supply and affordability needs
that conserves water, open space and agricultural land, reduces greenhouse gas emissions to meet
state targets, reduces near-road air pollution, and reduces long-term infrastructure costs.
The Multi-Agency Advisory Committee must provide guidance for the completion of a strategic
growth and housing mix analysis. By 2025, the Urban Area Subcommittee must issue a report to
DOLA on the opportunities and challenges of regional planning in urban regions, and the Rural Resort
Area Subcommittee must issue a report on regional planning in rural resort areas.
By June 30, 2025, the Multi-Agency Advisory Committee must report to DOLA and the General
Assembly on an assessment of the availability and sufficiency of water supplies in counties with more
than 250,000 residents, and policy options for water use efficiency and water supply and development.
The report is reviewed and co-submitted by the DNR. By 2025, the advisory committee must report
to CDOT identifying key corridors for urban bus rapid transit service and frequent bus service.
Legislative Oversight Committee and task forces. The bill creates the Legislative Oversight
Committee Concerning Affordable Housing and Homelessness. Comprised of six legislators, the
oversight committee must be appointed during the 2024 legislative session. The bill creates a
25-member Task Force Concerning Affordable Housing and Homelessness under the legislative
oversight committee, including representatives from nine state agencies, and 16 appointed members
representing various stakeholders. All members serve without compensation, but the appointed
members may receive reimbursement for expenses. The taskforce may create up to three
subcommittees which may include members who are not on the taskforce.
Department of Local Affairs
Statewide summit. By April 15, 2024, DOLA must hold both a statewide summit, and at least
six regional meetings throughout the state, to discuss and develop solutions for issues of land use,
housing availability and affordability, water availability, and transportation. Page 3
May 1, 2023 SB 23-213
Housing needs assessment methodology, planning , and guidance. DOLA must issue a
methodology for developing housing needs assessments. By 2025, DOLA must use the methodology
to produce statewide, regional and local housing needs assessments, and issue guidance for local
governments to create local housing needs plans. By 2026, DOLA must develop reporting guidance
and templates for local governments to submit specified housing data to the department concerning
zoning information, unit development, and housing permitting in the previous year.
Displacement risk assessment and mitigation strategies. Displacement refers to the involuntary
relocation of residents due to new development. By 2025, DOLA must develop a displacement risk
assessment and mitigation strategies. The department must specify the number of strategies that must
then be selected to guide urban and rural resort municipality planning. The bill specifies issues to
consider in developing guidance for displacement and the mitigation strategies that must be included
in local housing needs plans.
Strategic growth objectives. By March 31, 2024, DOLA must publish a report identifying
multi-agency implementation principles to achieve strategic growth objectives that guide public
agencies in implementing the bill. The bill defines the minimum standards for drafting the growth
objectives.
Technical assistance. The Division of Local Government in DOLA must provide technical assistance,
training, consulting services, and other guidance to aid local governments and metropolitan planning
organizations with displacement assessment, mitigation strategies, housing needs assessments, water
conservation policies, master planning, and data reporting.
State funding. The division must provide assistance funding through either a grant program or
consultant services and the bill specifically authorizes DOLA to employ full-time staff to provide
educational resources and assistance to local governments. The bill creates the Housing Plans
Assistance Cash Fund for use by the division to provide assistance to local governments. For
FY 2023-24, the bill appropriates $15.0 million from the General Fund to the assistance fund.
Other State Agencies
Department of Natural Resources. By June 30, 2025, DOLA and the DNR must jointly conduct a
water supply forecast and jointly provide a report to the General Assembly that assesses availability
and sufficiency of water supplies in developing counties, a framework to guide investments in water
development and conservation, and options to maximize efficiency.
Governor’s office. By 2025, The Governor’s Office of Climate Preparedness must collaborate with
natural resource agencies to develop a natural and agricultural land priorities report identifying
inter-jurisdictional priorities that metropolitan planning organizations should apply to achieve
connectivity to open space, and to preserve agricultural land and other historic or cultural resources.
Department of Transportation. CDOT must align prioritization criteria for future transportation
systems and for existing grant programs to be consistent with strategic growth objectives for
regionally significant transportation projects. Beginning 2025, spending from the Multi-modal
Transportation Options Fund must be consistent with the state’s strategic growth objectives. Page 4
May 1, 2023 SB 23-213
Local Governments
Local master planning. By 2025, urban and rural resort job center municipalities must use guidance
issued by DOLA to develop a displacement risk assessment and description of selected mitigation
strategies for inclusion in housing needs plans. The bill specifies the affordable development
standards that must be included in an urban municipalities’ housing needs plan. By 2027,
municipalities must use the guidance to develop a housing needs plan.
The bill specifies requirements for local master plans amended or adopted after June 30, 2024, which
must include natural and agricultural land priorities, a housing element, information from a required
strategic growth and housing mix analysis, infrastructure gaps, transportation analysis, a water
supply element, among other elements. Master plans must be submitted to DOLA for review and
comment.
Prohibited ordinances. The bill prohibits a local government from enacting or enforcing laws on
residential occupancy limits that differ based on the relationships of the occupants, and from imposing
more restrictive permitting standards on manufactured and modular homes than those imposed on
site-built homes in the same residential area.
State Revenue
The bill potentially increases state revenue to the Housing Plans Assistance Fund from gifts, grants,
or donations; however, no sources have been identified at this time. Gifts, grants, and donations are
exempt from TABOR revenue limits.
State Transfers
For FY 2023-24, the bill requires that $15.0 million be appropriated from the General Fund to the
Housing Plans Assistance Fund.
State Expenditures
The bill increases state expenditures in the Department of Local Affairs by up to $15 million in
FY 2023-24 paid from the Housing Plans Assistance Fund. It also increases state expenditures in the
departments of Natural Resources, Law, Transportation, the Governor’s office, and the Legislative
Department, paid from the General Fund. State expenditures are shown in Table 2 and detailed below.
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May 1, 2023 SB 23-213
Table 2
State Expenditures under SB 23-213
FY 2023-24 FY 2024-25
Department of Local Affairs
Personal Services $1,059,002 $1,133,835
Operating Expenses $15,525 $16,470
Capital Outlay Costs $20,040 -
Computer Programming $15,015 $5,760
Consultant Pool & Tech. Assistance $11,741,160 $1,485,000
Travel & Vehicle Lease $13,214
Centrally Appropriated Costs
1
$225,978 $240,707
FTE – Personal Services 11.5 FTE 12.2 FTE
DOLA Subtotal $13,076,720 $2,894,986
Department of Natural Resources
Personal Services $76,919 $76,919
Operating Expenses $1,350 $1,350
Capital Outlay Costs $6,670 -
Contractor - CWCB $2,703,353 -
Centrally Appropriated Costs
1
$18,225 $18,225
FTE – Personal Services 1.0 FTE 1.0 FTE
DNR Subtotal $2,806,517 $96,494
Governor’s Office
Personal Services $29,455 $29,455
Contractor $100,000 -
Centrally Appropriated Costs
1
$6,067 $6,067
FTE – Personal Services 0.3 FTE 0.3 FTE
Governor’s Office Subtotal $135,522 $35,522
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May 1, 2023 SB 23-213
Table 2
State Expenditures under SB 23-213 (Cont.)
FY 2023-24 FY 2024-25
Legislative Department
Personal Services $36,349 $38,040
Operating Expenses $675 $675
Capital Outlay Costs $6,670 -
Member Per Diem $10,202 $10,202
Centrally Appropriated Costs
1
$9,071 $9,071
FTE – Personal Services 0.5 FTE 0.5 FTE
Legislative Department Subtotal $62,967 $57,988
Total $16,081,726 $3,078,924
Total FTE 13.3 FTE 14.0 FTE
1
Centrally appropriated costs are not included in the bill's appropriation.
Department of Local Affairs
Personal services. DOLA will add new staff in the Division of Local Government, the State
Demography Office, and the Division of Housing to develop comprehensive statewide planning
methodologies and assessments and to assist local governments to do the same. This includes
publishing a strategy of affordable housing options and displacement mitigation menus for use by
municipalities and other local governments. Staff costs include some travel expenses beginning in
FY 2024-25. Costs include standard operating and capital outlay costs.
Consultant pool & technical assistance. The bulk of expenditures are for technical assistance,
reporting guidance, support for locally developed housing needs assessments, and other assistance
provided to local governments to adopt master planning documents meeting minimum standards,
and to comply with new reporting requirements to the state. These technical assistance costs are
identified in FY 2023-24, and are part of the FY 2023-24 fiscal year appropriation; however, actual
expenditures are likely to roll forward into FY 2024-25.
Department of Natural Resources
Personal services. The executive director’s office requires 1.0 FTE term-limited policy advisory to
participate and provide staff support to the multi-agency advisory committee though FY 2025-26.
Colorado Water Conservation Board. The CWCB requires a contractor for research and data analysis
to prepare the required water supply forecast and report with DOLA, to assesses availability and
sufficiency of water supplies, and recommend guidance in development and conservation of water
resources.
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May 1, 2023 SB 23-213
Governor’s Office
Colorado Energy Office. The CEO will have personal service costs to participate in the multi-agency
advisory committee making recommendations to DOLA on the requirements for model codes and
other deliverables. Personal service costs include only the salary expense for 0.3 FTE in both
FY 2023-24, and FY 2024-25. First-year costs are prorated for the General Fund pay date shift.
Climate Preparedness Office. The office has one-time contractor costs to collaborate with natural
resource agencies to develop a natural and agricultural land priorities report.
Legislative Department
The Legislative Department will have increased costs to staff the legislative oversight committee and
for member travel expenses and per diem. This estimate assumes six members conducting
six meetings in both FY 2023-24 and FY 2024-25. Costs for the department assume only staff support
for the legislative oversight committee and not for any task forces or subcommittees.
Centrally appropriated costs
Pursuant to a Joint Budget Committee policy, certain costs associated with this bill are addressed
through the annual budget process and centrally appropriated in the Long Bill or supplemental
appropriations bills, rather than in this bill. These costs, which include employee insurance and
supplemental employee retirement payments, are shown in Table 2.
Other State Agencies
The bill increases workload in the Department of Transportation, the Department of Agriculture,
Colorado Parks and Wildlife, and the Outdoor Recreation Industry Office in the Office of Economic
Development and International Trade. Broadly, these agencies must expend staff time to participate
in committees. Costs increase in the Department of Law to assist DOLA and the DNR with legal
services related to statewide planning. This additional workload is not anticipated to require
additional appropriations. Costs that exceed a department’s existing resources must be addressed
though the annual budget process.
Other Budget Impacts
General Fund reserve. Under current law, an amount equal to 15 percent of General Fund
appropriations must be set aside in the General Fund statutory reserve. Based on this fiscal note, the
bill is expected to increase the amount of General Fund held in reserve by the amounts shown in
Table 1, decreasing the amount of General Fund available for other purposes.
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May 1, 2023 SB 23-213
Local Government
This bill has extensive fiscal impacts for applicable jurisdictions, including large urban municipalities,
some smaller municipalities in metro areas, and rural resort job center municipalities. Generally,
municipal governments and some county governments must update local planning documents,
participate in regional planning groups, conduct public outreach and hearings, and engage with
multiple advisory committees. Costs will vary by local jurisdiction depending on how the various
requirements and deadlines apply to each.
Effective Date
The bill takes effect upon signature of the Governor, or upon becoming law without his signature.
State Appropriations
For FY 2023-24, the bill requires the following appropriations:
$15,000,000 from the General Fund to the Housing Plans Assistance Fund (to make the transfer
described in the State Transfer section above);
$12,850,742 from the Housing Plans Assistance Fund to the Department of Local Affairs, and
11.5 FTE;
$2,703,353 from the Colorado Water Conservation Board Construction Fund to the Department of
Natural Resources;
$84,939 from the General Fund to the Department of Natural Resources, and 1.0 FTE;
$129,455 from the General Fund to the Governor’s Office and 0.3 FTE; and
$53,896 from the General Fund to the Legislative Department, and 0.5 FTE.
State and Local Government Contacts
Counties Governor Judicial
Law Local Affairs Municipalities
Natural Resources Public Safety Regulatory Agencies
Special Districts Transportation
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.