In recent years, we’ve seen an uptick in community association related bills introduced by the Colorado legislature (with as many as 22 being tracked by the CAI Legislative Action Committee during the 2024 legislative session).
Below is a summary of legislation introduced during the 2026 legislative session that would directly impact community associations.
HB26-1001: Housing Developments on Qualifying Properties
Introduced: 01/14/2026
Passed & Signed by Governor: 03/25/2026
Sponsors: Representatives Andrew Boesenecker & Javier Mabrey, Senators Tony Exum & Julie Gonzales
Bill Summary:
The bill requires a subject jurisdiction, on or after December 31, 2027 to allow a residential development to be constructed on a qualifying property that does not contain an exempt parcel, subject to an administrative approval process.  A qualifying property is real property that contains no more than 5 acres of land and is owned by:
- A nonprofit organization with a demonstrated history of providing affordable housing;
- A nonprofit organization that provides public transit;
- A nonprofit organization that has entered into an agreement with another nonprofit organization with a demonstrated history of providing affordable housing, provided that the agreement requires the nonprofit organization with a demonstrated history of providing affordable housing to develop a residential development on the property;
- A school district;
- A state college or university;
- A housing authority; or
- A local or regional transit district or a regional transportation authority serving one or more counties.
If a subject jurisdiction requests, as part of an initial development application, that a nonprofit organization with a demonstrated history of providing affordable housing provide documentation that it meets required criteria, the nonprofit organization shall provide the documentation. Each housing unit in a residential development constructed on a qualifying property that meets certain affordable housing criteria is equivalent to 1.1 newly constructed affordable housing units for the purposes of the statewide affordable housing fund.
A subject jurisdiction shall not:
- Disallow construction of a residential development on a qualifying property on the basis of height if the tallest structure in the residential development is no more than 3 stories or 45 feet tall;
- Disallow construction of a residential development on a qualifying property on the basis of height if the tallest structure in the residential development complies with the height-related standards for the zoning district in which the residential development will be built or any zoning district that is contiguous to the qualifying property on which the residential development will be built;
- Disallow construction of a residential development on a qualifying property based on the number of dwelling units that the residential development will contain, except in accordance with standards listed in the bill; or
- Apply standards to a residential development on a qualifying property that are more restrictive than the standards the subject jurisdiction applies to similar housing constructed within the subject jurisdiction, including standards related to structure setbacks from property lines; lot coverage or open space; on-site parking requirements; numbers of bedrooms in a multifamily residential development; on-site landscaping, screening, and buffering requirements; or minimum dwelling units per acre.
Provided that the uses are allowed conditionally or by right within the zoning district in which a qualifying property is located, a subject jurisdiction shall allow the following uses in a residential development on a qualifying property:
- Child care; and
- The provision of recreational, social, or educational services provided by community organizations for use by the residents of the residential development and the surrounding community.
The bill requires the owner of a qualifying property to notify the county assessor that a subject jurisdiction has allowed the construction of a residential development on a qualifying property within the county.
(Note: This summary applies to the reengrossed version of this bill as introduced in the second house.)
HB26-1007: Improve Customer Use Distributed Energy Resources
Introduced: 01/14/2026
Passed: 04/14/2026
Sponsors: Representatives Lesley Smith & Rebekah Stewart, Senators Cathy Kipp & Matt Ball
Bill Summary:
The bill defines, and creates requirements for, portable-scale solar generation devices. In addition, the bill prohibits a provider of retail electric service or wholesale energy from, among other things, requiring a customer to obtain the provider’s approval before installing or using a portable-scale solar generation device. The bill also prohibits a person from restricting, prohibiting, or imposing unreasonable conditions on the installation, use, or operation of a portable-scale solar generation device.
Under current law, a utility that is subject to regulation by the public utilities commission (commission) must allow for customer ownership and use of a meter collar adapter through the utility’s interconnection standards. The bill requires the commission, on or before December 31, 2026, to revise existing commission interconnection rules to explicitly require commission-regulated utilities to allow for customer ownership and use of meter collar adapters and to prohibit commission-regulated utilities from requiring a production meter as a condition of interconnection for a customer-sited distributed energy resource.
The bill requires municipally owned utilities and cooperative electric associations to also allow for customer ownership and use of meter collar adapters and prohibits municipally owned utilities and cooperative electric associations from requiring a production meter as a condition of interconnection for a customer-sited distributed energy resource.
(Note: This summary applies to this bill as introduced.)
HB26-1045: Disabilities Housing Protections
Introduced: 01/14/2026
Passed: 04/14/2026
Sponsors: Representatives Chad Clifford & Yara Zokaie, Senators Jessie Danielson & Cathy Kipp
Bill Summary:
The bill defines the terms “assistance animal” and “emotional support animal” as used in the “Colorado Anti-discrimination Act” (CADA) and other specified provisions of law. The bill also defines the term “reasonable accommodation” as it applies to housing practices included in CADA and specifies relevant factors related to assessing reasonable accommodations necessary for an individual with a disability to have an equal opportunity to use and enjoy housing.
(Note: This summary applies to the reengrossed version of this bill as introduced in the second house.)
HB26-1099: Protect Financial Condition of Homeowners Association
Introduced: 02/03/2026
Passed & Signed by Governor: 04/13/2026
Sponsors: Representatives Brianna Titone & Kenny Nguyen, Senators Chris Kolker & Janice Marchman
Bill Summary:
The bill requires the declarant of a new planned community or condominium, prior to the sale or conveyance of the first unit, to obtain a reserve study for the planned community or condominium, which study estimates the projected costs of maintaining, repairing, or replacing the common elements or property of the planned community or condominium over a 30-year period. The reserve study must be updated after each phase of building, with a final updated reserve study conducted for the planned community or condominium as built.
Until the transfer of control of the planned community or condominium to a unit owners’ association (association), a declarant must provide the reserve study to each prospective purchaser of a unit at least 24 hours prior to the sale or conveyance of the unit. After such transfer of control, the association must make the reserve study available to a unit owner upon reasonable notice.
At or before the transfer of control of the planned community or condominium to an association, a declarant must pay to the association 1.5% of the amount required to fully fund the reserves.
When an association changes association management companies, the former association management company shall, within 45 days, deliver to the new association management company or the association, at no charge to the association, all association property, records, money, accounts, information, and other items or information specified in the bill (property and records).
The former association management company shall pay the association $250 for each business day that it fails to timely return the association’s property and records and is liable for all interest and late fees on late payments made by the association due to the former association management company’s failure to turn over the property and records, as well as any other damages incurred by the association.
In a civil action to recover the property and records or the payments owed to the association for the former association management company’s failure to turn over the property and records, if the court finds that the former association management company’s violation was willful, the former association management company shall be liable for treble the association’s damages, plus attorney fees and court costs.
(Note: This summary applies to this bill as introduced.)
HB26-1114: Allowed Minimum Lot Size for Subject Jurisdictions
Introduced: 02/03/2026
Postponed Indefinitely: 04/23/2026
Sponsors: Representatives Rebekah Stewart & Steven Woodrow, Senator Matt Ball
Bill Summary:
The bill requires that, on or after October 1, 2031, a subject jurisdiction shall not require:
- That a lot have an area larger than 2,000 square feet if the lot’s residential use is limited to a single family home; or
- Minimum lot frontage, setbacks, open space, or maximum lot coverage dimensions that have the practical effect of preventing the construction of a single family home on a lot that has an area of 2,000 square feet and that has a residential use limited to a single family home.
The bill exempts certain types of lots from this requirement.
(Note: This summary applies to the reengrossed version of this bill as introduced in the second house.)
HB26-1201: Homeowners’ Preferred Language Notice to Homeowners’ Association
Introduced: 02/11/2026
Postponed Indefinitely: 02/25/2026
Sponsors: Representative Ron Weinberg
Bill Summary:
Under current law, a unit owner in a homeowners’ association (HOA) may notify the HOA that the unit owner prefers to receive correspondence and notices from the HOA in a language other than English. The HOA is then required to send the unit owner correspondence and notices in both English and the preferred language.
The bill:
- Authorizes the HOA to require that the unit owner first demonstrate the need for correspondence and notices in the preferred language before sending correspondence and notices to the unit owner in the preferred language; and
- Removes the requirement that the HOA send correspondence and notices to the unit owner in both English and the unit owner’s preferred language, instead requiring that the HOA send the correspondence and notices only in the unit owner’s preferred language.
(Note: This summary applies to this bill as introduced.)
HB26-1308: Lot Splitting Approval by Subject Jurisdictions
Introduced: 03/02/2026
Postponed Indefinitely: 04/30/2026
Sponsors: Representatives Andrew Boesenecker & Steven Woodrow, Senators Judy Amabile & Matt Ball
Bill Summary:
The bill requires a subject jurisdiction, on or after December 31, 2027, subject to an administrative approval process, a subject jurisdiction shall approve a lot split of an original lot into 2 new lots if the following conditions are met:
- The lot split does not create a new lot that is smaller than 1,200 square feet in area;
- If the 2 new lots are not equal in area, the area of the smaller of the 2 new lots is equal to or greater than 30% of the area of the original lot;
- The original lot was never subject to another lot split;
- Residential use is allowed on the original lot;
- It is feasible for both of the new lots to be accessed; for utility easements to serve both new lots; and for both new lots to meet land survey plat and monument records requirements;
- The original lot is not an exempt lot; and
- The original lot is not located within a common interest community that was created on or before December 31, 2027.
A subject jurisdiction may establish procedures to review and accept information related to a proposed lot split, including lot information related to:
- Property ownership;
- Physical characteristics of the lot, including geology and soils;
- Proposed new lot lines and new lot areas;
- Adequacy of water supply, sewer service, and drainage systems to serve the new lots;
- Adequacy of electric power and natural gas service to serve the new lots;
- Dedication for schools, parks, streets, and other public areas, or payment of money in lieu of such dedication; and
- Guarantees of necessary public improvements.
A subject jurisdiction:
- Shall not apply a setback standard that requires a setback from the lot line adjoining 2 new lots created through a lot split if no structure existed on the original lot immediately preceding the lot split; and
- May apply a setback standard that requires a setback from the lot line adjoining 2 new lots created through a lot split if a structure existed on the original lot immediately preceding the lot split and if the setback is equal to or less than 5 feet.
If an original lot or any structure built on the original lot is subject to an evidence of debt constituting a residential mortgage loan lien, then prior to approving the split of an original a lot split, a subject jurisdiction shall verify that the holder of the evidence of debt constituting a residential mortgage loan (holder) lienholder has received notice of the proposed lot split and has consented to the lot split in writing. The holder lienholder may condition consent to the lot split on the satisfaction of specified conditions.
The written consent of the holder must be executed in a form that is eligible for recording in the real property records of the county in which the original lot is located and must include:
- The notarized signature of the holder lienholder or the agent of the holder lienholder;
- The name of the record owner or ground lessee of the original lot;
- The legal description of the original lot; and
- The identities of all parties with an interest in the original lot, as reflected in the real property records. records, including any easements and encumbrances.
The written consent of the holder lienholder must be recorded in the office of the county recorder of the county in which the original lot is located. If the holder lienholder does not provide written consent to the lot split, the subject jurisdiction shall not approve the lot split. A lot split that is approved before the written consent of the lienholder has been obtained and recorded is void.
(Note: This summary applies to the reengrossed version of this bill as introduced in the second house.)
SB26-049: Risk Model Use in Property Insurance Policies
Introduced: 01/27/2026
Under Consideration: 04/14/2026
Sponsors: Senators Marc Snyder & Lisa Frizell, Representative Sean Camacho
Bill Summary:
The bill adds individuals and homeowners’ associations as eligible recipients of assistance from the natural disaster mitigation enterprise fund. The bill also provides that natural disaster mitigation includes installation of “impact-resistant roofing materials” and other “property-specific mitigation action” and provides definitions of the same.
Additionally, the bill creates an income tax deduction for contributions to a catastrophe savings account (CSA), which is a savings account that a homeowner may use to cover the amount of insurance deductibles for claims stemming from hail, wildfire, or a catastrophic wind event, uninsured losses related to the same, and property-specific mitigation actions. The bill also exempts interest earned by CSAs from income tax.
(Note: This summary applies to this bill as introduced.)
SB26-155: Increase Access Homeowner’s Insurance Enterprise
Introduced: 04/07/2026
Under Consideration: 04/29/2026
Sponsors: Senator Kyle Mullica, Representatives Julie McCluskie & Kyle Brown
Bill Summary:
The bill creates the strengthen Colorado homes enterprise (enterprise), which is a government-owned business created in the division of insurance (division) in the department of regulatory agencies. The enterprise is governed by a 7-member board (board), including the commissioner of insurance (commissioner), or their designee; members with expertise in home hardening and resilient roof systems; and members representing the interests of insurance companies, consumers, and counties.
The primary purpose of the enterprise is to impose and collect an annual fee (fee) from an insurance company that offers multiperil homeowner’s insurance policies in the state (insurer) to reduce risks and losses to insurers that pay the fee by using fee revenue to provide grants to homeowners (grants) to defray the cost of retrofitting residential property by purchasing and installing resilient roof systems. In awarding grants, the board shall prioritize homes that are the homeowner applicant’s (applicant) primary residence and shall consider other criteria, including applicant income, the age of the roof, the size of the home, the number of grant applicants, and whether the applicant lives in a location that has historically had a higher susceptibility to extreme weather events. In order to ensure the necessary workforce, fee revenue may also be used to award grants to defray the costs of training and certification related to installing and certifying resilient roof systems. A contractor that is awarded bids and receives money from a grant is prohibited from waiving homeowner’s insurance deductibles.
In addition, fee revenue shall be used for contracting with the division to conduct or contract for a study to analyze insurance risk in high-risk wildfire areas of the state, including an analysis of market competition in those areas and the impact of a high risk program on the potential losses and the availability of homeowner’s insurance in those areas.
Beginning in the 2027 calendar year, the amount of the insurer fee imposed and collected by the enterprise is an amount equal to 0.5% of the total premium collected by an insurer on multiperil homeowner’s insurance policies in the state in the immediately preceding calendar year. The insurer shall not surcharge the fee amount to policyholders. The enterprise may lower or cease collecting the fee from an insurer in any calendar year if the commissioner determines that the insurer paying the fee would become insolvent and notifies the board.
The board shall adopt rules and policies for the regulation of the enterprise’s affairs and the conduct of enterprise business, including standards for resilient roof systems and standards for contractor-specialized training in the installation of impact-resistant roof systems.
Beginning with rate filings submitted on and after January 1, 2027, an insurer offering multiperil homeowner’s insurance for property or risks located in the state shall demonstrate in the insurer’s rate filings that savings from the installation of resilient roof systems are passed through to homeowners through the application of discounts or reduced premiums on homeowner’s insurance policies.
(Note: This summary applies to this bill as introduced.)
