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Congress just passed a housing law that rewards states for reform — here’s why Colorado has a head start

The law could unlock grants and financing for reforms Colorado has already made, including parking changes, accessory dwelling units and single-stair buildings.

  • In July 2026, Congress passed the 21st Century ROAD to Housing Act, offering competitive grants and technical assistance to local governments that ease rules slowing housing construction and raising costs.
  • Colorado has spent years creating machinery to align application timelines, launching Housing Hub Colorado in 2025 to coordinate efforts between state agencies, its housing finance authority, and Denver.
  • State policies include eliminating parking requirements near transit in 2024, legalizing accessory dwelling units, and permitting single-stair apartment buildings that free floor space on narrow lots.
  • Budget shortfalls have forced Colorado to cut $130 million from Proposition 123, limiting rental housing programs for low-income families as the state navigates a $1.5 billion deficit.
  • The next governor inherits both the budget problem and new federal law, facing the challenge of proving whether policy changes translate into affordable homes to secure competitive grant funding.
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Congress just passed a housing law that rewards states for reform — here’s why Colorado has a head start

Existing laws in Colorado reduce the administrative and regulatory costs of building new housing. Helen H. Richardson/The Denver Post via Getty ImagesIn Colorado, a full-time worker must earn US$36.44 an hour to afford a modest two-bedroom apartment without spending more than 30% of their income on rent, according to a recent report from the National Low Income Housing Coalition. The state’s minimum wage is $15.16. Someone earning that would hav…

·Boston, United States
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The Conversation broke the news in Boston, United States on Friday, August 14, 2026.
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