3-2-1 Capitol Connection – April 7, 2026

3 Things to Know

Supporting Flexibility in Proposition 123 Funding. “Adjust Requirements Statewide Affordable Housing Fund” (House Bill 1313) updates the requirements for local governments to access funding from the Statewide Affordable Housing Fund under Proposition 123. Instead of requiring a fixed 3% annual increase in affordable housing units, the bill establishes a more flexible “target increase” based on recent housing permit activity and local job growth trends, aligning expectations more closely with market conditions.

The bill also creates waiver options for jurisdictions that are unable to meet their targets and introduces incentives that give additional credit for certain types of affordable housing development, such as projects serving lower-income households or those built on donated land.

CAR Government Affairs staff testified in support of the bill on March 25 in the House Transportation, Housing, and Local Government Committee, where it passed on a 10–3 vote.

Financing Energy Upgrades. “Financing Utility On-Bill Repayment Program” (Senate Bill 148) is the return of last year’s bill that attempted to create a $50 million low-interest loan to the Colorado Clean Energy Fund to support its on-bill repayment program. This program enables homeowners and small businesses to finance energy improvements and repay the costs over time through their utility bills. The cost of these energy upgrades would be tied to the property’s utility meter, meaning the repayment obligation transfers to the next owner or occupant until the balance is fully paid. CAR is amending the bill to ensure the program focuses on energy efficiency improvements, keeps costs manageable, and does not create complications during real estate transactions.

The bill is scheduled for its first hearing in the Senate Transportation and Energy Committee on Monday, April 13th at 1:30pm.

Join CAR’s RPAC Engagement Council. Every year, CAR has political fundraising goals to reach that are set by the National Association of REALTORS®. Volunteers on the RPAC Engagement Council set the tone by communicating the value of CAR’s advocacy program at the state and local levels in various settings. The group meets monthly to discuss an outreach strategy and deliverables that support the CAR Government Affairs division in implementing the fundraising program. If you are interested in volunteering, please reach out to Jesse Zamora at jzamora@coloradorealtors.com.

2 Things to Share

BIG WIN – PCOA Bill Heads to the Governor. “Security Deposits & Post-Closing Occupancy Agreements” (Senate Bill 54) has now passed both chambers of the legislature, including a unanimous vote in the House, and is headed to the Governor’s desk for signage. The bill creates a targeted exception to Colorado’s statutory cap on security deposits in situations involving a post-closing occupancy agreement, allowing buyers and sellers to negotiate a deposit that works best for them and is not limited to the standard two months’ rent limit. This change better aligns statute with the realities of these short-term agreements and provides greater flexibility to manage post-closing risk in real estate transactions.

Championed by CAR as the lead proponent, the bill reflects a practical, industry-driven solution to an issue affecting REALTORS® and their clients across the state. Once signed, the legislation will take effect following the standard 90-day period after adjournment of the General Assembly, unless referred to the ballot.

A sincere thank you to REALTOR® members Cooper Thayer, Colette King, Kris Caldwell, Georgi Grover, and Betsy Laughlin for their testimony and advocacy throughout the process. Their willingness to share real-world expertise helped ensure the bill addressed the needs of the industry in a meaningful way.

UPDATE – The Land Tax Bill is April 13th. The bill that would radically increase the cost of housing by shifting away from a market-based valuation, to a land-based valuation, “Authority for Different Mill Levy Rates” (House Bill 1119) is now scheduled for April 13th in the House Finance Committee at 1:30 pm. CAR strongly opposes this bill because homeowners who are already burdened by rising property taxes would face possible land taxation from multiple angles – by their local government and the various types of special districts. If you are interested in testifying, please contact govaffairs@coloradorealtors.com. Please note, the committee date for House Bill 1119 keeps moving. CAR will keep you apprised of its hearing date through the Capitol Connection.

1 Thing to Do

Join CAR’s Colorado Project Wildfire Forum. CAR’s Colorado Project Wildfire Forum continues to bring REALTORS®, industry partners, and local leaders together around one shared goal: better preparing our communities for wildfire risk. The forum serves as a space to exchange real-world insights, share best practices, and equip REALTORS® with the tools they need to have informed, meaningful conversations with clients about mitigation, preparedness, and protecting property.

At its core, the initiative is about extending that knowledge beyond the room—empowering REALTORS® to serve as trusted resources in their communities. Whether helping homeowners understand how to make their property more fire-resistant or guiding clients through preparedness planning, the impact grows as this information is shared. CAR is also working alongside members who want to build or expand local wildfire mitigation efforts, offering guidance, resources, and grant opportunities to support those efforts.

As some of the most connected professionals in their communities, REALTORS® play a critical role in this work—and CAR looks forward to continuing to partner with members to expand the reach and impact of Colorado Project Wildfire. Reach out to Carla at cblanc@coloradorealtors.com if you are interested in joining meetings!

NAR

Housing Momentum in D.C. and Why Fair Housing Still Matters

A once-in-a-generation housing bill is on the move in Congress that would address housing supply and affordability. Shannon McGahn and Patrick Newton break down what happens next, what could stall it and what it all means for the future of homebuyers and REALTORS®.

VA Home Loan Program Under the Microscope

Testifying on behalf of the National Association of REALTORS®, Kurt Thompson, broker-owner of RE/MAX Liberty in Westminster, Mass., drew on both professional and personal experience. Thompson, a veteran of the Army Reserve and New Hampshire’s Air National Guard, credited the VA loan program with helping him achieve homeownership.

NAR Introduces New Expertise-Driven Application Process for 2027 Committees

The updated process is designed to better align member expertise with committee responsibilities, creating a more targeted, transparent, and effective approach to volunteer leadership. The changes are intended to strengthen governance by helping ensure members are matched to roles based on relevant experience, qualifications and leadership background.