Priority Housing Bills to Promote Affordable Housing & Protect Renters Become Law

DENVER, CO – Yesterday, the governor signed four critical housing bills into law that seek to promote affordable housing, address homelessness, and protect renters. 

SB21-242, sponsored by Senator Julie Gonzales and Senator Brittany Pettersen, creates a $15 million grant program for local governments, municipalities, and nonprofits to rent, acquire, or restore underutilized hotels or motels to provide immediate housing for people experiencing homelessness.

“It’s heart-breaking to see so many people experiencing homelessness on our streets without safe shelter,” said Senator Brittany Pettersen (D-Lakewood)“We have a moral obligation to lift up those in our community who are struggling and need our support, and that is what we are seeking to do with this law. By fully utilizing hotels, motels and other establishments to house the most vulnerable among us, we can put Colorado on a successful pathway toward ending the homelessness crisis once and for all.” 

SB21-173, sponsored by Senator Julie Gonzales, would take the following actions to keep Coloradans housed: require information about late fees in tenant leases; limit late fees on unpaid rent; as well as give renters more time to provide funds and avoid eviction.

This bill would also prohibit tenant evictions solely for owing late fees; ban lease clauses that provide financial incentives to landlords who evict; eliminate bond requirements so Colorado renters can offer legitimate defenses and are not priced out of court; and establish a financial penalty for landlords who illegally lock out tenants. 

“The most vulnerable and marginalized Coloradans have been heavily impacted by the housing crisis, and it’s only worsened since the start of the pandemic,” said Senator Julie Gonzales (D-Denver)“The priority housing legislation signed into law will make a critical difference in the lives of Coloradans who are truly struggling. By taking action to enhance tenants’ rights, combat homelessness, and promote affordable housing with these new laws, we are well on our way to solving the housing issues that have plagued our state for far long.”

Another bill, HB21-1121, also sponsored by Senator Julie Gonzales, will restrict the power of landlords, empower tenants in eviction court, and promote the development of affordable housing. Specifically, the bill prohibits landlords from increasing rent more than once in a 12-month period, extends eviction notices from 21 to 60 days for tenancies between 1 - 6 months long, and strengthens legal proceedings to give tenants more support in eviction court.

Finally, HB21-1329, sponsored by Senator Gonzales as well, channels $550 million in federal stimulus funds toward affordable housing efforts. It immediately invests nearly $100 million of that funding to help Coloradans gain access to affordable housing by providing the necessary funding to build thousands of new units. The bill also directs additional dollars to the Eviction Legal Defense Fund.  

The bill requires a broad and diverse stakeholder process during the interim that will develop and make recommendations to the General Assembly for how to allocate the remaining funds. The funds will be used on programs or services that address housing insecurity, a lack of affordable housing or homelessness, including construction of new affordable housing units, housing and rental assistance programs and supportive housing programs.

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