House Committee of Reference Report

Committee on Transportation, Housing & Local Government

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February 3, 2026

After consideration on the merits, the Committee recommends the following:

HB26-1001   be amended as follows, and as so amended, be referred to the Committee of the Whole with favorable recommendation:

Page 1, Line 1Amend printed bill, page 3, line 4, after "29-35-103," insert "amend

Page 1, Line 2(2)(a)(I); and".

Page 1, Line 3Page 3, before line 7 insert:

Page 1, Line 4"(2) (a)  "Administrative approval process" means a process in

Page 1, Line 5which:

Page 1, Line 6(I)  A development proposal application for a specified project

Page 1, Line 7is approved, approved with conditions, or denied by local government

Page 1, Line 8administrative staff based solely on its compliance with objective

Page 1, Line 9standards set forth in local laws; and".

Page 1, Line 10Page 3, line 17, strike "Definitions." and substitute "Legislative

Page 1, Line 11declaration.

Page 1, Line 12(1)  The general assembly finds and declares that:

Page 1, Line 13(a)  Coloradans are overwhelmingly burdened with the

Page 1, Line 14cost of housing. The number of households that spend more than

Page 1, Line 15thirty percent of their total income on rent or mortgage

Page 1, Line 16payments in Colorado increased from six hundred sixty-eight

Page 1, Line 17thousand one hundred in 2014 to eight hundred fifty thousand

Page 1, Line 18eight hundred in 2024, representing thirty-five percent of all

Page 1, Line 19households.

Page 1, Line 20(b)  A contributing factor to the increase in cost-burdened

Page 1, Line 21households is that population growth has outpaced new housing

Page 1, Line 22development, resulting in supply constraints and escalating

Page 1, Line 23costs. Between 2000 and 2023, residential property values and

Page 1, Line 24rental rates increased at rates exceeding income growth,

Page 1, Line 25thereby exerting considerable financial strain on many

Page 2, Line 1residents. A 2025 research brief published by the Colorado state

Page 2, Line 2demography office titled "Colorado's Housing Shortfall: An

Page 2, Line 3Estimate and Review of Existing Studies" estimated that, as of

Page 2, Line 42023, an additional one hundred six thousand housing units were

Page 2, Line 5needed to overcome the housing shortfall, and thirty-four

Page 2, Line 6thousand one-hundred units needed to be built annually to

Page 2, Line 7maintain the housing shortage at its 2023 level.

Page 2, Line 8(c)  As Colorado grows, so does the challenge of providing

Page 2, Line 9affordable housing to residents. While land that is available

Page 2, Line 10for new housing in established communities is in short supply,

Page 2, Line 11many qualifying organizations own underutilized properties

Page 2, Line 12where housing could be built.

Page 2, Line 13(d)  Colorado urgently needs more housing to meet the

Page 2, Line 14needs of a growing statewide population and address issues

Page 2, Line 15directly related to housing, such as transit, commuting, the

Page 2, Line 16workforce, and the environment. Providing opportunities to

Page 2, Line 17construct residential developments on underutilized land is a

Page 2, Line 18matter of mixed statewide and local concern.

Page 2, Line 19(e)  Local zoning regulations often prevent housing from

Page 2, Line 20being developed on vacant properties by prohibiting residential

Page 2, Line 21development on qualifying properties or by requiring extensive

Page 2, Line 22rezoning processes that add cost and uncertainty to affordable

Page 2, Line 23housing projects.

Page 2, Line 24(f)  This House Bill 26-1001, enacted in 2026, streamlines

Page 2, Line 25the construction of affordable housing by providing a process

Page 2, Line 26that allows residential developments to be constructed on

Page 2, Line 27qualifying properties as long as certain requirements are

Page 2, Line 28satisfied.

Page 2, Line 29(g)  According to a 2022 article published in the Journal of

Page 2, Line 30the American Planning Association titled "Does Discretion

Page 2, Line 31Delay Development?", residential projects that went through

Page 2, Line 32administrative approval processes were approved twenty-eight

Page 2, Line 33percent faster than residential projects that went through

Page 2, Line 34discretionary approval processes, and faster approval times

Page 2, Line 35reduce developer costs and therefore housing costs. Studies

Page 2, Line 36have shown that homebuilders, including affordable housing

Page 2, Line 37developers, will avoid parcels that need to go through a

Page 2, Line 38discretionary process.

Page 2, Line 39(h)  A 2022 research paper published by the Federal

Page 2, Line 40Reserve Bank of Boston titled "How to Increase Housing

Page 2, Line 41Affordability: Understanding Local Deterrents to Building

Page 2, Line 42Multifamily Housing" found that relaxing density restrictions,

Page 2, Line 43either alone or in combination with relaxing maximum height

Page 3, Line 1restrictions, is the most effective policy reform for increasing

Page 3, Line 2the housing supply and reducing multifamily rents and

Page 3, Line 3single-family home prices. This paper also found that even if

Page 3, Line 4multifamily zoning is allowed, municipalities often limit the size

Page 3, Line 5or shape of buildings with height restrictions.

Page 3, Line 6(i)  Research examining three decades of rezoning

Page 3, Line 7decisions in Henrico County, Virginia demonstrated that public

Page 3, Line 8participation in residential rezoning processes is

Page 3, Line 9overwhelmingly oppositional, with more than eighty-five

Page 3, Line 10percent of commenters raising concerns about perceived

Page 3, Line 11negative impacts of new development related to density, site

Page 3, Line 12design, and parking. As a result, local governments frequently

Page 3, Line 13impose conditions that go beyond baseline zoning standards to

Page 3, Line 14reduce density. Prohibiting the application of these more

Page 3, Line 15restrictive standards to residential developments ensures

Page 3, Line 16development standards are applied consistently and

Page 3, Line 17objectively, rather than being applied ad hoc in discretionary

Page 3, Line 18processes driven by opposition.

Page 3, Line 19(j)  Hundreds of thousands of Coloradans have one or

Page 3, Line 20more disabilities and this number continues to increase as the

Page 3, Line 21population ages. Ensuring fair and accessible housing benefits

Page 3, Line 22individuals with disabilities and provides safer working

Page 3, Line 23conditions for home health-care workers. Federal, state, and

Page 3, Line 24local laws that provide accessibility protections such as the

Page 3, Line 25federal "Fair Housing Act", 42 U.S.C. sec. 3601 et seq., the

Page 3, Line 26federal "Americans With Disabilities Act of 1990", 42 U.S.C. sec.

Page 3, Line 2712101 et seq., and the "Colorado Anti-discrimination Act", parts

Page 3, Line 283 through 8 of article 34 of title 24, are imperative to increasing

Page 3, Line 29accessible housing opportunities.

Page 3, Line 30(2)  The general assembly further finds and declares that:

Page 3, Line 31(a)  Community opposition and restrictive local land use

Page 3, Line 32policies limit the housing supply, impact housing options for

Page 3, Line 33Coloradans of low and moderate incomes, and restrict the

Page 3, Line 34availability of workforce housing, thereby affecting

Page 3, Line 35employment growth.

Page 3, Line 36(b)  When local governments restrict housing

Page 3, Line 37developments within their jurisdictions, they impact neighboring

Page 3, Line 38local governments. An increase in job growth in one community

Page 3, Line 39without a corresponding growth in housing leads to a housing

Page 3, Line 40shortfall in the community. Research has shown that regional

Page 3, Line 41imbalances between jobs and housing have significant impacts on

Page 3, Line 42vehicle miles traveled and commute times across jurisdictions,

Page 3, Line 43according to studies such as "Which Reduces Vehicle Travel

Page 4, Line 1More: Jobs-Housing Balance or Retail-Housing Mixing?",

Page 4, Line 2published in the Journal of the American Planning Association.

Page 4, Line 3When people are unable to live near where they work, workers'

Page 4, Line 4only option is to spend more hours on the road commuting.

Page 4, Line 5Longer commutes increase vehicle traffic, put additional strain

Page 4, Line 6on Colorado's roads, and increase pollution.

Page 4, Line 7(c)  The availability of affordable housing is a matter of

Page 4, Line 8mixed statewide and local concern.

Page 4, Line 9(d)  Colorado has a legitimate state interest in managing

Page 4, Line 10population and development growth and ensuring a stable

Page 4, Line 11quality and quantity of housing for Coloradans, as this is

Page 4, Line 12among the most pressing problems currently facing communities

Page 4, Line 13throughout Colorado.

Page 4, Line 14(3)  Therefore, the general assembly finds, determines, and

Page 4, Line 15declares that local government policies that limit the

Page 4, Line 16construction of a diverse range of housing in areas served by

Page 4, Line 17infrastructure and that effectively create housing supply

Page 4, Line 18shortfalls and unsustainable development patterns, require a

Page 4, Line 19statewide solution.

Page 4, Line 2029-35-502.  Definitions.".

Page 4, Line 21Page 4, after line 26 insert:

Page 4, Line 22"(5)  "Nonprofit organization" means an organization

Page 4, Line 23authorized to do business in the state that is exempt from

Page 4, Line 24taxation pursuant to section 501 (a) of the federal “Internal

Page 4, Line 25Revenue Code of 1986”, 26 U.S.C. sec. 501, as amended, and listed

Page 4, Line 26as an exempt organization in section 501 (c)(3) of the federal

Page 4, Line 27“Internal Revenue Code of 1986”, 26 U.S.C. sec. 501, as amended.".

Page 4, Line 28Renumber succeeding subsections accordingly.

Page 4, Line 29Page 6, after line 21 insert:

Page 4, Line 30"(c)  A board of cooperative services, as defined in section

Page 4, Line 3122-5-103;".

Page 4, Line 32Reletter succeeding paragraphs accordingly.

Page 4, Line 33Page 7, line 10, strike "29-35-502." and substitute "29-35-503.".

Page 4, Line 34Page 8, line 24, strike "29-35-503" and substitute "29-35-504".

Page 4, Line 35

Page 5, Line 1Page 9, after line 7 insert:

Page 5, Line 2"(4)  School district administrative practices. Nothing in this

Page 5, Line 3section prevents a school district from constructing,

Page 5, Line 4purchasing, or remodeling a teacherage pursuant to section

Page 5, Line 522-32-110 (1)(d), or from using any of the processes described in

Page 5, Line 6section 22-32-124 regarding buildings and structures.

Page 5, Line 7Page 9, line 8, strike "29-35-503." and substitute "29-35-504.".

Page 5, Line 8Page 10, strike lines 25 through 27.

Page 5, Line 9Page 11, strike lines 1 through 8 and substitute:

Page 5, Line 10"29-35-505.  Authority of institutions of higher education

Page 5, Line 11preserved.

Page 5, Line 12Nothing in this part 5 is intended to abrogate or limit the

Page 5, Line 13authority of an institution of higher education to make

Page 5, Line 14decisions regarding the use of or disposition of the institution's

Page 5, Line 15property, or to create additional building code compliance

Page 5, Line 16obligations for an institution of higher education beyond those

Page 5, Line 17already required by section 24-30-1303.".

Page 5, Line 18Strike "29-35-501(5)" and substitute "29-35-502(6)" on: Page 7, line 21;

Page 5, Line 19and Page 7, line 24.