First Regular Session
Seventy-fifth General Assembly
STATE OF COLORADO
REREVISED
This Version Includes All Amendments
Adopted in the Second House
LLS NO. 25-0087.01 Richard Sweetman x4333
HOUSE BILL 25-1240
House Committees Senate Committees
Business Affairs & Labor Business, Labor, & Technology
A BILL FOR AN ACT
C
ONCERNING PROTECTIONS FO R TENANTS WHO USE HOUSING101
SUBSIDIES.102
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://leg.colorado.gov
.)
The bill requires a landlord who initiates an eviction proceeding
for nonpayment of rent against a tenant to comply with certain notice
requirements set forth in federal law for tenants who use housing
subsidies (covered tenants).
The bill prohibits a landlord from charging a covered tenant a late
fee in an amount that exceeds $20.
SENATE
Amended 3rd Reading
April 8, 2025
SENATE
2nd Reading Unamended
April 7, 2025
HOUSE
3rd Reading Unamended
March 11, 2025
HOUSE
Amended 2nd Reading
March 10, 2025
HOUSE SPONSORSHIP
Joseph and Froelich, Bacon, Boesenecker, Brown, Duran, Garcia, Lieder, Lindsay,
Mabrey, Rutinel, Sirota, Story, Zokaie
SENATE SPONSORSHIP
Winter F. and Wallace, Ball, Cutter, Gonzales J., Jodeh, Kipp, Michaelson Jenet,
Sullivan, Weissman
Shading denotes HOUSE amendment. Double underlining denotes SENATE amendment.
Capital letters or bold & italic numbers indicate new material to be added to existing law.
Dashes through the words or numbers indicate deletions from existing law. Under current law, if a tenant proves as an affirmative defense to
an eviction proceeding that the landlord violated the warranty of
habitability, the court must order a reduction in the fair rental value of the
dwelling unit and order the landlord to reimburse the tenant any
difference in rent between the reduced fair rental value and any greater
amount of rent that the tenant paid. The bill states that the landlord must
reimburse this amount regardless of whether part or all of the rent was
paid by the tenant or by a housing subsidy issued to the tenant.
Current law defines certain acts as unfair housing practices and
exempts a landlord with 3 or fewer rental units from enforcement of
several such definitions. Current law also states that a landlord with 5 or
fewer single-family rental homes and no more than 5 total rental units is
not required to accept federal housing choice vouchers. The bill repeals
both of these exemptions. The bill also states that a landlord commits an
unfair housing practice if the landlord fails to:
! Make reasonable efforts to timely respond to requests for
information and documentation that is necessary for a
rental assistance application program; or
! Cooperate with a tenant who is applying for rental
assistance in good faith.
Current law allows a person to pursue relief for damages resulting
from a landlord's commission of an unfair housing practice. The bill
states that, if a court awards damages to a plaintiff who prevails in such
an action, and the violation concerns discrimination on the basis of an
individual's use of a housing subsidy, the court shall award at least $5,000
in damages. The bill also states that a calculation of such damages must
include consideration of losses that a tenant may incur as a result of the
tenant forfeiting their housing subsidy as a result of the landlord
discriminating against the tenant based on the tenant's source or amount
of income.
Current law provides that, in addition to relief awarded to a tenant
in a private action, the Colorado civil rights commission may order a
respondent found to have engaged in an unfair housing practice to pay a
civil penalty in an amount that has no minimum and a maximum that
varies based on whether the respondent has prior violations. The bill
establishes a minimum penalty amount of $5,000 if a person commits any
of certain unfair housing violations and the violation concerns
discrimination on the basis of an individual's use of a housing subsidy.
Be it enacted by the General Assembly of the State of Colorado:1
SECTION 1. Legislative declaration. (1) The general assembly2
finds that:3
1240-2- (a) Access to stable and affordable housing is a fundamental right1
and essential to a person's dignity, economic security, and ability to2
thrive. Housing should not be denied based on a person's income source,3
including the use of federal housing subsidies such as the housing choice4
voucher program administered by the federal department of housing and5
urban development, known as "HUD".6
(b) Tenants who rely on housing subsidies are disproportionately7
vulnerable to housing instability, often facing discrimination, undue fees,8
and barriers to securing or maintaining housing. Such obstacles9
undermine their ability to build long-term stability and well-being.10
(c) Discrimination based on the use of housing subsidies creates11
an unjust disadvantage for families, particularly families in communities12
that have been historically marginalized, such as families with low13
incomes, people of color, individuals with disabilities, and survivors of14
domestic violence. This discrimination not only perpetuates poverty but15
also contributes to broader societal inequities.16
(d) The housing choice voucher program plays a vital role in17
providing economic opportunities and ensuring that all families,18
regardless of income, have access to decent, safe, and affordable housing.19
However, tenants who use vouchers face systemic barriers, including20
landlord resistance, restrictive policies, and limited housing availability.21
(e) According to recent studies from 2023, Colorado faces a22
shortfall of 100,000 homes and apartments, a crisis that further limits the23
availability of affordable housing for families, particularly for families24
using housing subsidies. This shortage exacerbates housing insecurity for25
families with low incomes and makes it even harder for voucher holders26
to find homes.27
1240
-3- (f) Federal rental assistance programs play a critical role in1
supporting Colorado's most vulnerable populations, including seniors,2
people with disabilities, veterans, and working families. In 2020, federal3
rental assistance programs provided Colorado with $628 million, helping4
127,200 people in 65,000 households afford modest housing. Of these5
recipients, 72% are seniors, children, or people with disabilities, who are6
often at the greatest risk of housing instability.7
(g) Rental assistance supports working families, with 53% of8
nondisabled, working-age households that include at least one worker9
receiving HUD rental assistance. Rental assistance helps people maintain10
housing in all types of communities, including 112,000 people in cities11
and suburbs, as well as 15,300 people in rural areas and small towns.12
(h) Ensuring that tenants with housing subsidies can use their13
vouchers effectively and without fear of discrimination is critical to14
breaking the cycle of poverty and advancing racial, social, and economic15
justice in Colorado; and16
(i) Protecting tenants from unfair eviction practices and ensuring17
their access to rental assistance strengthens communities, reduces the18
long-term costs of homelessness, and allows vulnerable individuals and19
families to contribute positively to society without the constant fear of20
losing their homes.21
(2) The general assembly also finds that:22
(a) Tenants who use housing subsidies are integral members of the23
community and deserve the same respect, protections, and opportunities24
as other renters. By safeguarding their rights, we help create stronger,25
more stable communities, reducing the risks of homelessness and26
fostering economic mobility.27
1240
-4- (b) Preventing unfair evictions, discrimination, and other barriers1
to housing for subsidy recipients not only improves the lives of vulnerable2
Coloradans but also saves taxpayer money by reducing reliance on3
emergency services, shelter systems, and public assistance programs; and4
(c) It is critical to remove barriers that disproportionately affect5
low-income households and families of color by ensuring that landlords6
make reasonable efforts to cooperate with tenants who are applying for7
rental assistance in good faith, creating a more inclusive rental market8
that serves all Coloradans.9
(3) Therefore, the general assembly declares that it is essential to:10
(a) Provide stronger protections for tenants who use housing11
subsidies; and12
(b) Create an environment in which all tenants, regardless of13
income or source of income, have equal opportunity to secure housing14
and maintain their homes, thus contributing to healthier, more vibrant15
communities across the state.16
SECTION 2. In Colorado Revised Statutes, add part 15 to article17
12 of title 38 as follows:18
PART 1519
PROTECTIONS FOR TENANTS OF SUBSIDIZED HOUSING20
38-12-1501. Definitions. A
S USED IN THIS PART 15, UNLESS THE21
CONTEXT OTHERWISE REQUIRES :22
(1) "L
ANDLORD" MEANS:23
(a) A
LANDLORD, AS DEFINED IN SECTION 38-12-502 (5); OR24
(b) T
HE MANAGEMENT OR LANDLORD OF A MOBILE HOME PARK , AS25
DEFINED IN SECTION 38-12-201.5 (3).26
(2) "T
ENANT" HAS THE MEANING SET FORTH IN SECTION 38-12-50227
1240
-5- (9).1
38-12-1502. Notice required before initiation of eviction2
proceeding. (1) A LANDLORD WHO INITIATES AN EVICTION PROCEEDING3
FOR NONPAYMENT OF RENT AGAINST A TENANT SHALL COMPLY WITH THE4
NOTICE REQUIREMENTS SET FORTH IN 15 U.S.C. SEC. 9058 (c), AS5
ENACTED INTO LAW ON MARCH 27, 2020, NOTWITHSTANDING ANY6
CHANGES IN FEDERAL LAW THAT MAY OCCUR OR MAY HAVE OCCURRED7
SUBSEQUENT TO THIS DATE.8
(2) THE DIVISION OF HOUSING CREATED IN SECTION 24-32-704 IS9
ENCOURAGED TO COMPILE A LIST OF RESOURCES FOR LANDLORDS, WHICH10
LIST:11
(a) HELPS A LANDLORD DETERMINE WHETHER ANY OF THE12
LANDLORD'S PROPERTIES ARE A COVERED DWELLING, AS DEFINED IN 1513
U.S.C. 9058 (a)(1);14
(b) DESCRIBES FINANCIAL RESOURCES THAT MAY BE AVAILABLE15
TO LANDLORDS;16
(c) IS PUBLISHED ON THE DIVISION'S PUBLIC WEBSITE; AND17
(d) IS COMPILED AND PUBLISHED USING EXISTING RESOURCES .18
19
SECTION 3. In Colorado Revised Statutes, 38-12-507, amend20
(2)(g)(IV) as follows:21
38-12-507. Breach of warranty of habitability - tenant's22
remedies. (2) (g) If a tenant proves an affirmative defense pursuant to23
this subsection (2) by a preponderance of the evidence, the court shall:24
(IV) Order the landlord to reimburse the tenant any difference in25
rent between the reduced fair rental value and any greater amount of rent26
that the tenant WAS paid TO THE LANDLORD pursuant to the rental27
1240
-6- agreement while a breach of the warranty of habitability at the residential1
premises existed,
REGARDLESS OF WHETHER PART OR ALL OF THE RENT2
WAS PAID BY THE TENANT OR BY A HOUSING SUBSIDY ISSUED TO THE3
TENANT;4
SECTION
4. In Colorado Revised Statutes, 24-34-502, amend5
(1)(p) and (1)(q); and add (1)(r) as follows:6
24-34-502. Unfair housing practices prohibited - definition.7
(1) It is an unfair housing practice, unlawful, and prohibited:8
(p) For any person, for profit, to induce or attempt to induce9
another person to rent any housing by representations regarding the entry10
or prospective entry into the neighborhood of a person or persons with11
particular sources of income; or12
(q) For any person to violate section 38-12-904 (1)(c) or (1)(d);13
OR14
(r) F
OR ANY LANDLORD, AS DEFINED IN SECTION 38-12-1501 (1),15
TO FAIL TO:16
(I) M
AKE REASONABLE EFFORTS TO TIMELY RESP OND TO REQUESTS17
FOR INFORMATION AND DOCUMENTATION NECESSARY FOR A RENTAL18
ASSISTANCE APPLICATION PROCESS; OR19
(II) C
OOPERATE WITH A TENANT WHO IS APPLYING FOR RENTAL20
ASSISTANCE IN GOOD FAITH , INCLUDING BY REFUSING TO PROVIDE21
DOCUMENTS THAT ARE REQUIRED BY A STATE GOVERNMENT AGENCY , A22
LOCAL GOVERNMENT AGENCY , OR OTHER ADMINISTRATING ENTITY TO23
SUPPORT THE TENANT'S APPLICATION.24
25
SECTION 5. In Colorado Revised Statutes, 24-34-505.6, amend26
(6) introductory portion and (6)(a); and add (8) as follows:27
1240
-7- 24-34-505.6. Enforcement by private persons. (6) In addition1
to the relief which THAT may be granted in accordance with section2
24-34-508, the following relief is available:3
(a) If the court finds that a discriminatory housing practice has4
occurred or is about to occur, the court may award to the plaintiff actual5
and punitive damages or may grant as relief, as the court deems6
appropriate, any permanent or temporary injunction, temporary7
restraining order, or other order, including an order enjoining the8
defendant from engaging in such practice or ordering such affirmative9
action as may be appropriate. I
F THE COURT AWARDS DAMAGES TO A10
PLAINTIFF AS DESCRIBED IN THIS SUBSECTION (6)(a), AND THE COURT11
FINDS THAT THE DEFENDANT VIOLATED SECTION 24-34-502 (1)(h), (1)(l),12
(1)(m), (1)(n), (1)(o), (1)(p),
OR (1)(r) AND THAT THE VIOLATION13
CONCERNS DISCRIMINATION ON THE BASIS OF AN INDIVIDUAL 'S USE OF A14
HOUSING SUBSIDY, AS DEFINED IN SECTION 38-12-902 (1.7), THE COURT15
SHALL AWARD TO THE PLAINTIFF AT LEAST FIVE THOUSAND DOLLARS IN16
DAMAGES.17
(8) A
CALCULATION OF ACTUAL DAMAGES PURSUANT TO THIS18
SECTION MUST INCLUDE CONSIDERATION OF LOSSES THAT A TENANT MAY19
INCUR AS A RESULT OF THE TENANT FORFEITING THEIR HOUSING SUBSIDY20
AS A RESULT OF THE LANDLORD DISCRIMINATING AGAINST THE TENANT21
BASED ON THE TENANT'S SOURCE OR AMOUNT OF INCOME .22
SECTION
6. In Colorado Revised Statutes, 24-34-508, amend23
(1)(f) as follows:24
24-34-508. Relief authorized. (1) In addition to the relief25
authorized by section 24-34-306 (9), the commission may order a26
respondent who has been found to have engaged in an unfair housing27
1240
-8- practice:1
(f) (I) To assess PAY a civil penalty against the respondent in the2
following amounts AMOUNT:3
(I) (A) Not to exceed NO MORE THAN ten thousand dollars if the4
respondent has not been adjudged to have committed any A prior5
discriminatory housing practice;6
(II) (B) Not to exceed NO MORE THAN twenty-five thousand7
dollars if the respondent has been adjudged to have committed any other8
ANOTHER discriminatory housing practice during the five-year period9
ending on the date of the filing of the charge;
OR10
(III)
(C) Not to exceed NO MORE THAN fifty thousand dollars if the11
respondent has been adjudged to have committed two or more12
discriminatory housing practices during the seven-year period ending on13
the date of the filing of the charge.14
(II) T
HE COMMISSION SHALL REQUIRE A RESPONDENT TO PAY , IN15
ADDITION TO ANY AWARD OF DAMAGES PURSUANT TO SECTION16
24-34-505.6,
A CIVIL PENALTY TO THE PLAINTIFF PURSUANT TO THIS17
SUBSECTION (1)(f) IN AN AMOUNT OF AT LEAST FIVE THOUSAND DOLLARS18
IF:19
(A) T
HE RESPONDENT IS FOUND TO HAVE ENGAGED IN A VIOLATION20
OF SECTION 24-34-502 (1)(h), (1)(l), (1)(m), (1)(n), (1)(o), (1)(p), OR21
(1)(r);
AND22
(B) T
HE VIOLATION CONCERNS DISCRIMINATION ON THE BASIS OF23
AN INDIVIDUAL'S USE OF A HOUSING SUBSIDY, AS DEFINED IN SECTION24
38-12-902
(1.7).25
SECTION
7. Applicability. This act applies to conduct occurring26
on or after the effective date of this act.27
1240
-9- SECTION 8. Safety clause. The general assembly finds,1
determines, and declares that this act is necessary for the immediate2
preservation of the public peace, health, or safety or for appropriations for3
the support and maintenance of the departments of the state and state4
institutions.5
1240
-10-