Accessory Dwelling Unit (ADU) Toolkit
On May 13, 2024, Governor Polis signed House Bill (HB) 24-1152, requiring subject jurisdictions to take a variety of actions to encourage and allow the construction of accessory dwelling units (ADUs). All subject jurisdictions must submit a report showing compliance with the law by June 30, 2025. Please reference C.R.S. 29-35-401 through 405 and DOLA’s ADU webpage for more details.
Jurisdictions may additionally seek certification from DOLA as an ADU Supportive Jurisdiction to be eligible for the Accessory Dwelling Unit Fee Reduction and Encouragement Grant Program. Local governments that are not a subject jurisdiction can choose to opt in, making them eligible to participate in the ADU grant program and allowing their residents to qualify for CHFA’s ADU financing programs. These grants can be used to cover eligible expenses related to waiving, reducing, or subsidizing reasonable and necessary costs associated with promoting ADUs for populations with specific housing needs.
To be certified, jurisdictions must, in addition to submitting a report demonstrating compliance with the law’s requirements, submit a Supportive Jurisdiction Certification Report showing implementation of one or more strategies from the legislation’s list that encourages ADU construction or conversion. The law also allows for implementation of “any other strategy that is approved by [DOLA] and that encourages the construction, conversion, or use of accessory dwelling units.” This toolkit provides guidance on the nine strategies listed in HB24-1152 as well as additional opportunities that could be utilized to encourage ADU development. Some strategies and opportunities are supported by tools for jurisdiction use, including templates, checklists, and other detailed guidance.
This toolkit is organized within the following goal areas:
- Amending ADU Codes to Increase Development
- Streamlining ADU Review and Approval
- Making ADUs Affordable
- Supporting Homeowners to Build ADUs
- Connecting ADUs to Local Housing Goals