3-2-1 Capitol Connection – May 5, 2026
3 Things to Know
Fixing Colorado’s Artificial Intelligence Laws. One of the most anticipated bills of 2026 was introduced on May 1st to reform Colorado’s laws regarding discrimination related to artificial intelligence. CAR’s Legislative Policy Committee (LPC) adopted a support position on “Automated Decision-Making Technology (ADMT)” (Senate Bill 189), based on several important provisions in the bill:
A better definition for an ADMT as technology that processes personal data and uses computation to generate outputs, including predictions, recommendations, classifications, rankings, scores, and the like, to support decisions that impact individuals. Current law has an overly generic, loose definition of a “high-risk artificial intelligence” system that can capture any system that accepts input (e.g., a phone number) and generates output or content used to make a “consequential decision” that includes “housing.” This could affect the use of identity verification or fraud prevention applications, including, but not limited to, FOREWARN, where content received might concern the safety of members when showing properties in remote or other locations. The definition of an ADMT is much narrower and more accurately captures a true artificial intelligence system that provides new information or guidance on the information received. For example, FOREWARN does not provide any guidance on what you should do with the information it provides; it simply shares publicly accessible information based on an input.
Current law also includes consequential decisions related to “housing,” which is overly generic and loose. SB 189 has a narrower scope of a consequential decision related to the “lease or purchase of residential real estate in Colorado.” This removes property showings from consequential decisions using an ADMT.
Last, SB 189 pushes back the start date of Colorado’s AI laws to January 2027 from June of 2026.
Court-Ordered Access for Property Maintenance. CAR is closely monitoring “Access Adjoining Property to Repair or Maintain” (Senate Bill 177), which would create a legal process allowing a homeowner to petition a district court for limited access to a neighboring property when necessary to complete repairs or maintenance. Under the bill, this option would only apply when the work cannot reasonably be completed without entering the adjoining property and the neighbor has denied permission. A court could then authorize access under specific conditions, potentially including notice requirements or compensation, ensuring the work can proceed while respecting both parties’ interests.
While similar frameworks exist in other states, most notably New York, where courts can grant temporary access between neighboring properties for construction or repairs, this proposal is notable in Colorado for how directly it engages competing property rights. SB26-177 dually affects property rights: it supports an owner’s ability to maintain and protect their property, while also allowing court-ordered entry onto another’s land. CAR is carefully monitoring how the bill balances necessity, fairness, and compensation to ensure that both property owners’ rights are appropriately protected as the legislation moves forward.
New Proposition 123 Formula Moves Ahead. CAR supports “Adjust Requirements Statewide Affordable Housing Fund” (House Bill 1313), which brings a more practical and responsive approach to how local governments access funding from the Statewide Affordable Housing Fund under Proposition 123. Rather than requiring a rigid 3% annual increase in affordable housing units, the bill establishes a flexible target based on real-world factors such as recent housing permit activity and local job growth, better aligning housing goals with actual market conditions.
HB 1313 also introduces commonsense provisions that recognize the challenges local jurisdictions face, including waiver options for those unable to meet targets and added incentives for projects that deliver deeper affordability or leverage donated land. The bill underwent some moderate changes in the Senate, including transferring amounts in the 2026-2027 and 2027-2028 fiscal years to different elements of the affordable housing fund, and clarifying that any homes with affordability restrictions help local governments achieve their goals. The bill is scheduled for the House on May 4th to consider amendments made by the Senate before it can move on to the Governor.
2 Things to Share
Savings Accounts for Property Mitigation. “Homeowner Natural Disaster Mitigation” (Senate Bill 49) continues to evolve as it moves through the legislature, with a more focused approach emerging in its latest version. While earlier drafts explored expanding access to enterprise funds, that component has been removed. What remains is the creation of a Catastrophe Savings Account (CSA)—a tool that allows homeowners to set aside pre-tax dollars to prepare for and recover from natural disasters.
Under the bill, funds in these accounts can be used for a range of qualified expenses, including covering insurance deductibles, repairing or replacing roofs with impact-resistant materials, addressing uninsured losses, and completing property-specific mitigation actions designed to reduce wildfire, hail, or wind risk. They can also be used for evaluation services tied to mitigation certifications, helping homeowners invest in long-term resilience.
CAR provided support testimony on the bill, recognizing the importance of helping homeowners access the resources needed to harden their properties and improve long-term insurability in high-risk areas. During its April 14 committee hearing, however, discussion highlighted differing perspectives—local governments raised concerns about earlier proposals to tap into enterprise funds, while committee members focused on oversight of the savings accounts and how the state would ensure funds are used for their intended purposes.
The bill now awaits a hearing in the Appropriations Committee before advancing to the floor in its first chamber.
Ensuring Property Owners Are Valued in Conservation Efforts. CAR proudly supports “Extend Conservation Easement Tax Credit” (House Bill 1230) because it extends a proven, voluntary tool that helps protect the land, water, and open spaces that make Colorado communities desirable places to live and work. The bill extends the state’s conservation easement tax credit through 2036, ensuring that landowners —many of whom are farmers, ranchers, and rural property owners—can plan with certainty and complete projects that preserve working lands and natural resources. This kind of long-term stability is critical to maintaining Colorado’s housing appeal, safeguarding scenic landscapes, and supporting the outdoor economy that underpins property values across the state.
By extending this program, HB26-1230 supports thoughtful land use, reinforces the value of private property rights through voluntary participation, and helps ensure that future generations can continue to enjoy the quality of life that drives demand for Colorado real estate.
1 Thing to Do
Stay Engaged: Confirm Your Voter Registration. As trusted voices in your communities, staying civically engaged starts with ensuring your voter registration is up to date. Colorado’s Primary Election is June 30, 2026, followed by the General Election on November 3, 2026—and with mail ballots automatically sent to active voters starting June 8th, now is the time to confirm your information is accurate and up to date.
Take a moment and visit GoVoteColorado.com to register to vote, verify your registration status, or update your registration information. You can also check when your ballot will be mailed and track it every step of the way. For added convenience, all Colorado driver’s license offices offer voter registration services, and any updates made there are securely forwarded to your county for processing.
A quick check today ensures you’re ready to participate—and continue setting the standard for engagement in your community.
NAR
HUD, USDA Rescind Rule Tying New Homes to 2021 Energy Code
Homes financed with FHA or USDA loans must still meet energy efficiency requirements. Still, they are no longer required to comply with the more stringent 2021 International Energy Conservation Code (IECC) update.
NAR Calls on Congress to Fund Essential Housing Programs in FY 2027
The Housing Choice Voucher program provides critical housing stability for millions of families, and its success depends on the small, independent housing providers, including many REALTORS®, who participate in it.
Mortgage Rates Rise Again, But Home Buyers Aren’t Backing Down
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