On July 11, 2025, the Department of Local Affairs (DOLA), through the Division of Local Government (DLG), published a new resource supporting further implementation of State land use and housing legislation. This resource supplies guidance to eligible local governments seeking funding through the Accessory Dwelling Unit Grant Program (ADUG).
The ADU Grant Program Guidelines summarize the key goals and application requirements for the upcoming application cycle, which opens on Friday, August 1st and closes on Friday, August 29th.* Grants for this program are exclusively available to ADU Supportive Jurisdictions. Please note that applicants must be certified as an ADU Supportive Jurisdiction prior to contract execution. Approximately $1.6 million in grant funds are available. A second application cycle is planned for winter 2025-2026, and a third application cycle may be scheduled depending on the availability of funds.
DOLA is hosting a virtual ADUG information session at 1:00 PM on Tuesday, July 29, 2025. If you’re interested in learning more about the grant program, please register here.
DOLA thanks all entities which submitted feedback to the Draft Program Guidelines, and has integrated your insights as much as possible into these final guidelines.
To learn more about the ADU grant program, visit the ADUG webpage. You can also find numerous resources about ADUs and HB24-1152 including guidance, code amendment examples, and fact sheets on DOLAs ADU webpage.
*The deadline of this round may be extended to accommodate a longer-than-anticipated certification process.
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