Local Planning Capacity Grant Program
The intent of the program is to increase the capacity of local government planning departments to address affordable housing, especially by expediting development review, permitting, and zoning of affordable housing. The top priority for funding award decisions is to support local governments’ efforts to implement the new fast track requirements in Proposition 123 but grant funds can also support increasing planning department capacity to advance local affordable housing goals, implement strategies to increase the number of affordable units built, and to achieve Prop 123 commitments.
Application Process
- The next funding cycle opens August 22, 2025, and applications are due September 22, 2025 by 12 p.m.
- Interested applicants are encouraged to attend an informational webinar on Thursday, August 14, 2025 from 11:00 am - 12:30 pm.
- Interested applicants must also schedule a pre-application meeting with the LPC Program Manager in order to access the grant application form online. The purpose of this meeting is to get feedback on the proposed project and technical assistance before submitting an application.
- The Notice of Funding Availability (NOFA) and the online application form will be published in the DLG Grants Portal on the opening date of each application cycle.
- Applications will be open for approximately one month, and award decisions will be announced approximately one month after the application deadline.
- The spring 2026 funding cycle will happen in February 2026 with specific dates to be announced.
What You Need to Know
- Grant funds could support new staff wages, hiring consultants, implementing new systems and technologies, revising land use development codes, regional collaborations, developing future commitments, or other efforts that achieve fast track goals required by Proposition 123.
- Fast Track of affordable housing is the top priority but grant funds can also support increasing planning department capacity, especially planning efforts that impact the number of affordable housing units built towards local Prop 123 commitments.
- 20% required local match
- Suggested maximum award is $250,000
Who Should Apply
- Eligible entities include municipalities, counties, and tribal governments whose Prop 123 baseline and commitment have been accepted by the Division of Housing.
- Any eligible local government that needs help accomplishing local affordable housing goals, Prop 123 commitments, or the Fast Track requirement in Prop 123.
New Incentive for Early Adoption of Fast Track
DOLA has announced an incentive program to reward early adoption of fast track, setting aside $2 million of funding.
- Local governments that adopt a Proposition 123-compliant expedited development review process by December 31, 2025 will receive up to $50,000 in grant funding, with no local match required. Local Planning Capacity Grant funds will be awarded and must be spent on eligible planning activities.
- Jurisdictions that adopt between January 1 - June 30, 2026, will be eligible for incentive awards, though awards will be less than $50,000.
- For more information, view the Press Release, or review the fact sheet for more details on this incentive opportunity.
Proposition 123 states that, in order to remain eligible for Proposition 123 funds in the next three-year cycle (2027 to 2029), local governments must demonstrate they have implemented an expedited review process for housing projects where at least half of the units are affordable. The Local Planning Capacity Grant Program provides funding to support local governments with implementation of this requirement.
While the law states that expedited review must take place within 90 calendar days of a complete application submission, there are many additional details to consider. In order to help local governments navigate the expedited review (fast-track) requirements of Proposition 123, the Department of Local Affairs (DOLA) has published guidelines. DOLA’s guidance does not prescribe an approach but instead provides a list of strategies and approaches. Each community will need to determine which strategies are most effective for their local processes.
Learn More About the Expedited Review Requirements in Proposition 123
- Approximately $6 million is available annually from July 1 – June 30.
- In fiscal year 2025 – 2026, the total available to be awarded as grants is $6.2 million.
- Application cycles are scheduled twice annually in fall and spring, typically in September and February.
- LPC Grant Program January 9, 2025 Informational Webinar Recording and Informational Webinar slides
- LPC Program Guidelines (Version 2, dated April 9, 2024)
- LPC Grant Program Frequently Asked Questions (FAQs) (Version 3, dated April 4, 2025)
- LPC Grant Application Template of Questions (Version 5, updated April 22, 2025 - Word Download)
- LPC Grant Application Form View (version 5, updated April 22, 2025)
- LPC Grant Budget Worksheet (Version 3, updated July 24, 2024 - Excel Download)
- Proposition 123 Fast Track webpage
- Proposition 123 webpage
Current grantees working on project implementation will find quarterly and monthly reporting forms, recordings of New Grantee Orientation meetings, and more on the Resources for LPC Grantees page.
- New Grantee Orientation Meeting: Thursday, July 31 from 1:00 - 2:30 pm. The main meeting will be one hour, but grantees with Personnel as a budget line item should plan to stay until 2:30 to review special reporting requirements. Register for the meeting.
Contact Information
Initial Interest
Direct inquiries regarding initial program interest to your Regional Manager. Use the other program contacts once the initial process with your Regional Manager is complete.
Program Contact
Robyn DiFalco, LPC Grant Program Manager
robyn.difalco@state.co.us or 720-682-5202
Jessica Rupe, LPC Grant Program Assistant
jessica.rupe@state.co.us, 720-557-4902
Schedule a meeting with the Program Manager to discuss a potential Local Planning Capacity proposal.