Together We Build: Colorado’s new ADU Rules have statewide impact – Estes Park Trail-Gazette

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We have weighed in numerous times in the past regarding the benefits of ADUs (Accessory Dwelling Units.) A number of state zoning and land-use reforms were passed in the Colorado legislative session which just ended. Recently on May 22, 2024, an article was published in the EP Trail Gazette, written by Seth Klamann of the Denver Post, “Will Colorado’s new land-use laws kickstart housing?”

January 11, 2022, Estes Park amended the Estes Valley Development Code to allow ADUs. As a staff report dated November 16, 2021, details on the town website “ADU construction is already allowed in single-family zone districts, but is limited – including a prohibition of long-term rental of ADUs.” It goes on to note the advantages of being able to house a loved one, have space for relatives or caregivers, and for owners to be able to realize income from rental.

Estes Park Ordinance No. 18-21 (pdf available on the town website) allows ADUs of up to 800 square feet, attached or detached. It does not allow for mobile homes, RVs or travel trailers to be used as ADUs. Key to the concerns of the community, the ADUs may not be used as short-term rentals or vacation homes.

One of the Public Comment letters dated November 16, 2021, was from us at TW Beck Architects to Jessica Garner and Alex Bergeron with a list of four opinion articles published in the EP Trail Gazette and the articles in their entirety:

1. Workforce Housing is Essential, 6/17/2020
2. Why are Accessory Dwellings Not Allowed in Estes Park, 7/3/2020
3. Recap 2021 – Why are Accessory Dwellings Not Allowed in Estes Park, 7/30/2021
4. ADUs Will Help House Essential Workers, 10/8/2021

The articles also include reference to numerous articles and conversations in Estes Park going back to 2006. In  particular, the October 8 article summarizes and links to many of the other conversations over the years.

So how do the new state rules affect Estes Park? The ADU bill which passed in the state legislature is HB24-1152  HB24-1152 was signed into law by the Governor on May 13, 2024. The occupancy limit bill is HB24-1007 which prevents local governments from limited occupancy based on familial relationships, but on health and safety standards, among a few other exceptions.

The website AccessoryDwellings.org published a comprehensive article on May 9, 2024, outlining much of the new Colorado ADU requirements. In specific, they say “As far as the things that matter to actual homeowners who wish to build an ADU, here’s what you need to know in plain language.” They go on to note that “subject jurisdictions” include all jurisdictions in Colorado except tiny rural towns with less than 1,000 people. They then provide this list of what jurisdictions must adhere to:

Allow an ADU of up to at least 800 sq ft.
Not require off-street parking
Not require the owner to occupy the property
Reduce side and rear setbacks to 5ft (with some sub-optimal caveats)
Not have minimum lot size requirements
Not have special design standards for prefab ADUs

Zoning changes must be implemented by June 30, 2025.

Notable also in this article is the discussion of the “provisions of the bill [which] relate to setting up grants and technical assistance for homeowners who wish to build an ADU. The bill sets aside $8M to set up a loss reserve program that offers affordable ADU loans, and will fund programs that buy down…interest rates on ADU construction loans, assists with down payment in connection with ADUs, and provides direct loans for ADUs.”

The bill’s pages 17 through 21 discuss grants to government localities. Page 22 discusses programs to benefit low- to moderate-income residents. How these funding programs work is something for us to keep an eye on as the details of this legislation rollout.

It appears that these new laws will affect any jurisdiction not previously allowing ADUs, and will prevent HOAs from disallowing them. The specific impact on Estes Park’s rules will no doubt be on our town administration’s agenda.

ADUs will not be a silver bullet solving our state and country’s housing crisis. It is, however, another piece of the puzzle to help resolve some of our community’s workforce housing needs.

Thomas Beck, AIA, NCARB, is an architect based in Estes Park, Colorado, who has been deeply involved in sustainable building practices since he was a student at CU Boulder in the 1970’s. www.twbeckarchitects.com

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