Capitol Connection – January 22, 2022
Legislative Advocacy this Week at the State Capitol
CAR Legislative Policy Committee Takes First Policy Positions
HB22-1051- Support-This legislation extends CHFA’s income-tax credit program from December 2024 to December 2034. It will also increase the annual cap from $10 million to $15 million beginning in 2023 until the 2034 expiration of the program.
Between 2015 – 2021, the state Affordable Housing Tax Credit program has directly supported the development of 8,294 affordable rental units, and enabled the Colorado Housing and Finance Authority (CHFA) to support 28,267 total units using both the state and/or federal low-income housing tax credits (LIHTC).
SB22-007 – Support –This bill would require the Colorado state forest service to convene a working group-including many stakeholders such as the Division of Fire Prevention and Control, U.S. Forest Service, and other local, state and federal partners-to organize and operate enhanced National Wildfire Awareness Month outreach campaigns in 2023 and 2024, in addition to other outreach efforts that informs and motivates residents in the Wildland Urban Interface (WUI) to engage in more wildfire risk mitigation.
Colorado REALTORS® have for several years worked in partnership with other like-minded fire prevention organizations across our state to bring education and awareness, as well as access to resources directly to residents in their local communities through Colorado Project Wildfire about the importance of mitigating your property to create defensible space.
As CAR has a representative who serves on the Colorado Fire Commission to give property owners a voice regarding wildfire prevention, we will continue to be involved in workgroups like this that educate and help spread consumer awareness about wildfire prevention.
SB22-060 – Support – This bill prohibits the unit owners’ association of a common interest community from increasing by more than 10% in any 12-month period the amount of any fee that is charged on a regular and ongoing basis for the use, rental, or operation of one or more common elements such as an amenity space unless a majority of the unit owners of the common interest community approve the fee increase.
As we continue to battle the headwinds of inflation, this is a reasonable bill that could help consumers keep costs and expenses down when they reside in common interest communities.
RPAC Announcements
REALTOR® Day RPAC Reception
REALTOR® Day is just around the corner! If you haven’t already purchased your ticket to the RPAC Reception on that Monday, January 31st from 4-6pm, be sure to CLICK HERE to purchase your $25 to avoid the lines that evening!
We will also be having a raffle that evening, all proceeds go directly to RPAC! This is a great way to start your 2022 investment for the year. CLICK HERE to purchase tickets for some great prizes from airline gift cards to Avalanche tickets!
RAFFLE TICKETS
*You must be present at the reception to win*
- CLICK HERE TO PURCHASE 1 RAFFLE TICKET FOR $99
- CLICK HERE TO PURCHASE 5 RAFFLE TICKETS FOR $300 / Pledging to be a Major Investor
(Your $300 is a pledge to become a $1,000 Major Investor for 2022)
Early Bird Major Investors
Let’s start 2022 off strong by making your pledge to become a 2022 Major Investor. As an RPAC Major Investor, you are part of an elite and passionate group of REALTORS® whose investments shape the political future of the real estate industry. If you commit to being a 2022 Major Investor today, you will receive a limited-edit REALTOR® Party Coaster (set of 2) and your Major Investor pin from NAR.
CLICK HERE TO MAKE YOUR 2022 MAJOR INVESTOR PLEDGE
In Case You Missed It
Marshall Fire Information and Realtor Relief Grant Funding for Victims
The Colorado Association of REALTORS® Foundation has been awarded a $2 million grant from the REALTORS® Relief Foundation to be distributed to victims of the December 2021 fires that destroyed more than 1,000 residential properties.
Funded through donations from REALTORS® and REALTOR® organizations and administered by the Colorado Association of REALTORS® Foundation, the grant will provide eligible applicants up to $3,000 of assistance per household impacted by the recent fires. Funding is available on a first-come, first-served basis to qualified applicants, victims of the Boulder County fires who have been displaced from their primary residence, based upon certain qualifications. The funds must be used for one of the following:
- Monthly mortgage expense for the primary residence that was damaged by the wildfire disaster; or
- Rental costs due to displacement from the primary residence resulting from the wildfire disaster.
Grant details and access to the online application process are available at: https://bit.ly/CARBOCOFireRelief. Application requests will be accepted until all funds have been distributed or until April 8, 2022. A panel of local professionals will review and verify the applications and supporting documents with relief checks issued weekly.
Additionally, as you’ve likely already heard, the CAR Foundation has established a Boulder County Fire Relief Fund for the victims of the Marshall and Middle Fork fires. Over the last week, individual Colorado REALTORS® across the state donated more than $85,000 to the Relief Fund. CAR Leadership and the CAR Foundation pledged an additional $80,000 to create an “immediate need” grant fund to provide housing-related relief assistance to those impacted. If you’ve already made your tax-deductible financial contribution to this fund, thank you, and if you haven’t, please consider contributing to the CAR Foundation by clicking here. It is through this Relief Fund that we as REALTORS® can have a direct impact on victims of these catastrophic fires.
Finally, we will be sharing information on the Colorado Project Wildfire website page to answer questions and share important resources about rebuilding, insurance and other topics, so check back frequently.
Public Utilities Commission Service Line Extension Proposal Related to Consumers and Natural Gas
Background: A service extension is when a customer requests a gas main and/or service lateral be extended to a customer’s home or business. Though the end-use customer is responsible for a portion of these costs, the requesting customer, often a builder or developer, could receive a credit in the beginning equivalent to 28% of the off-site project cost and construction allowance, which is calculated based on the increased load that the customer is bringing on the system towards their onsite gas main extension and service lateral. The 28% credit and construction allowance represents capital investment in the infrastructure by utility companies.
What Would Change Under the PUC Proposal?
The Colorado Public Utilities Commission (CPUC) as required by Administrative Law initiated a notice of proposed rulemaking (NOPR) that would considerably change the way the extension policy has historically been handled and would result in increased costs to customers, including builders and developers, requesting new service connections. More specifically, the CPUC has under Proposed Rule 4210 – Line Extensions in Proceeding No. 21R-0449G (below) requested that natural gas service connection policies be updated such that incremental costs with new development and growth shall be born 100% by the customer – effectively eliminating the 28% upfront credit and/or construction allowance. This also could limit utilities’ ability to fund regulator stations and other system upgrades required to serve new capacity on behalf of customers. This has not been proposed for electric service extensions.
CAR will be providing comments to the CPUC by the deadline. And here is the information to provide comments to the commission if you feel strongly about this regulatory change. The deadline for submitting comments is January 25, 2022.
INSTRUCTIONS FOR PUBLIC COMMENT
- dora_puc_website@state.co.us – Subject Line = “Public Comment – Proposed Rule 4210, Proceeding No. 21R-0449G”
OR
Online
- Link to public comment – https://www.dora.state.co.us/pls/efi/EFI_COMMENT_GUI.Gas
- Click the “Rulemaking and Investigations Initiated by Colorado Public Utilities Commission” tab, and then click Next.
- Click the “21R-0449G – Notice of Proposed Rulemaking Implementing Senate Bill 21-264 and House Bill 21-1238” tab, and then click Next.
If you have any questions about the public comment process please contact Liz Peetz at GovAffairs@coloradorealtors.com.
Housing Industry News & Upcoming Events
Reminder Metro District Disclosure Law Now in Effect for New Construction as of January 1st
The new law requires that each owner of real property who sells a newly constructed residence within a metro district, concurrently with or prior to the execution of a contract to sell the property, to provide to the purchaser information about the debt obligations of the district and an estimate of property taxes applicable to the property at the time of the sale.
The disclosure information around elections and property taxes should include:
· Most recent Notice to Electors filed by the metro district
· Service Plan or Statement of Purpose for the metro district
· Statement on the maximum amount of debt that can be issued and mill levy assessed by the district
· Estimate of property taxes levied on that new home for the year it is sold
· Information on the mill levy rate, residential assessment ratio and how to calculate the estimated property taxes on the property
For additional information review the new law: https://leg.colorado.gov/sites/default/files/2021a_262_signed.pdf.
If you have new construction or builder colleagues, please share this information with them.