CO SB154

Requires unincorporated county areas (subject jurisdictions) to allow conversion of accessory dwelling units through an administrative approval process starting January 1, 2025, excluding areas within homeowners' associations or high fire intensity zones.

Prohibits subject jurisdictions from applying restrictive design or dimension standards to accessory dwelling units, including standards on architectural style, building materials, setbacks, lot size, or size restrictions between 500-800 square feet.

Allows jurisdictions to restrict accessory dwelling unit sizes to not exceed the principal dwelling unit, allow multiple units per lot, apply non-restrictive design standards, enforce impact fees, life safety codes, and regulate short-term rentals.

Grants the Colorado Economic Development Commission power to contract with the Colorado Housing and Finance Authority to operate a direct loan program for accessory dwelling unit conversions on owner-occupied land.

Takes effect 90 days after final adjournment of the general assembly, subject to referendum petition provisions and potential voter approval in November 2024.