Capitol Connection – March 17, 2023
Legislative Advocacy this Week at the State Capitol
“Don’t Miss Out on the Action – Sign up for REALTOR® Party Mobile Alerts”
Text REALTORS to 30644
REALTOR® Party Mobile Alerts, NAR’s advocacy texting platform, offers REALTOR® Associations and REALTORS® a way to stay connected directly from their cell phone or tablet. When a national or state legislative call for action is launched, subscribers get a short text message containing information to take action. Stay in the “know” as housing legislation heats up at the state capitol and nationally this year.
*If you sign up for RPMA and receive a Call For Action, taking action does NOT subscribe your information to a listserver.* RPMA and CFA are strictly to inform members of legislation that the National Association of REALTORS® or Colorado Association of REALTORS® needs grassroots engagement.
RPAC Announcements
Thank you to everyone who joined our “We Like to Paddy” virtual cocktail event for RPAC this week! It was a great turnout with delicious drinks.
Don’t forget to pledge to be a 2023 RPAC Major Investor before mid-year! Deadline is April 19th. Use the link below to make your initial investment of $300!
Bill Updates
(Oppose) HB23-1115 Repeal Prohibition of Local Residential Rent Control.
HB 1115, which would allow local governments to set rent amounts, has been assigned to the Senate Local Government and Housing Committee. Local Government and Housing Committee Senate members: Chair Jaquez Lewis (SD 17), Senator Exum (SD 11), Senator Gonzales (SD 34) Senator B. Pelton (SD 1), Senator R. Pelton (SD 35), Senator Rich (SD 7), Senator Roberts (SD 8). If you live in one of these Senate districts, please email, call, and urge them to vote NO on HB 23-1115 through our CFA.
Rent Control Call for Action by the Numbers:
Our Call for Action for HB23-1115 data shows that out of the top five Senate Districts with the most engagement, three are held by Republican Senators. We need more member engagement with those who live in Democrat Senate districts. Regardless of personal political party, as a member of CAR, please engage with these senators if you reside in their districts. As of March 16th, 1,536 members have taken action through our CFA. CAR needs to keep the momentum going. Help us protect the real estate industry and reach out to your state senator!
Top 3 Local Associations Engagement for HB23 – 1115 CFA. Shout out to Pikes Peak Association of REALTORS® for having 197 members take action, South Metro Denver REALTORS® Association for having 151 members take action, and Denver Metro Association of REALTORS® for having 149 members take action. Thank you all for your involvement!
Wildfire
(Support) SB23-139 State Severance Tax Trust Fund Allocation
The bill authorizes up to $10M of the Severance Tax Operational Fund to be allocated to the Colorado Strategic Wildfire Action Program’s development fund for 2022-2023. Every year afterward is eligible to receive up to $5M from this fund for the purpose of reducing wildfire risk to property, increasing forest health, and encouraging fire-resistant construction materials in retrofitting and new construction. The bill passed the state legislature and was signed by the Governor on March 6th.
(Action Pending) HB23-1240 Sales Use Tax Exemption Wildfire Disaster Construction – Sponsored by Rep. Kyle Brown, Rep. Judy Amabile, and Senator Steve Fenberg
The bill creates a sales and use tax exemption for construction materials used in structures damaged or destroyed in declared wildfire disaster areas. The only eligible years are from 2020 to 2022 and the cost of rebuilding must exceed the homeowner’s insurance policy to qualify.
Construction materials must be bought between January 1, 2020 and July 1, 2025 and homeowners or their contractors can access the tax savings by obtaining a wildfire rebuild certificate through their local jurisdiction’s permit office. If homeowners already bought materials, they can request a refund from the Department of Revenue. The bill provides much needed tax relief for property owners who lost their homes in Colorado’s recent wildfires.
The bill will be heard in the House Finance Committee on Monday, March 20th at 1:30pm. Listen here.
(Amend) SB23-166 Establishment of a Wildfire Resiliency Code Board
The bill creates a 21-member Wildfire Resiliency Code Board in the Department of Public Safety. The board consists of building code professionals, fire department officials, builders, planners, hazard mitigation experts, local governments and other stakeholders. The board will determine the Wildland-Urban Interface (WUI) boundary, mandating properties within the WUI to comply with the resiliency code and standards. The board must adopt a code no later than July 1, 2025.
CAR is working to amend several components of the bill to ensure homeowners have sufficient time to meet the higher construction material and defensible space standards. The cost of wildfire mitigation should have some level of state assistance to ensure homeowners can meet mandated compliance in a cost-effective way. The bill passed on first reading in the Senate Local Government and Housing Committee on Thursday, March 16th.
(Amend) HB23-1190 – Affordable Housing Right of First Refusal
HB 1190 gives local governments the right of first refusal to purchase residential or mixed-use multi-family properties if used for long-term affordable housing. The Colorado Association of REALTORS® is actively working on a number of amendments to HB 1190 including an increase to the unit threshold of properties impacted by this legislation.
HB 1190 was just introduced in the Senate and is currently scheduled to be heard in the Senate Local Government & Housing Committee on Tuesday, April 11th.
In Case You Missed It
NAR Will Host Policy Forum to Showcase 2023 Housing Priorities
On Thursday, March 16th at the Capital Hilton, in Washington, DC, the National Association of Realtors® will host a Policy Forum: The Current Housing Market: Implications for Homebuyers and the Economy, bringing together policymakers, academic experts, and industry innovators to discuss housing affordability.
How 3 Recent Bank Failures Could Impact Housing Market
Mortgage rates had been steadily rising in recent weeks, with the 30-year fixed-rate loan averaging 6.73% last week, according to Freddie Mac. The Fed has been making a series of aggressive rate increases, which may indirectly influence mortgage rates, over the last few months. Home buyers have been up against affordability woes, as mortgage rates are nearly double what they were just a year ago.