With less than a month left in the state legislative session, bills are approaching their final stretch. This week, we’re watching House Bill 1434, an initiative that will help address the housing supply across the state. The measure is sponsored by Rep. Shannon Bird, who was the Chamber’s 2023 Business Warrior.
The bill expands an existing program called the Affordable Housing Tax Credit facilitated by the Colorado Housing and Finance Authority (CHFA). This program was originally established in 2001 and allows CHFA to allocate tax credits to support affordable housing development. The tax credits can be applied to either a taxpayer’s state income tax or their insurance premiums tax liability. Through this program, CHFA has directly supported the development of more than 10,700 affordable rental units statewide since 2015. HB 1434 would expand this program by investing $20 million into new housing units through 2031.
The Colorado Chamber has a support position on the bill. The Chamber’s SVP of governmental affairs, Meghan Dollar, testified in favor of the bill today in the House Finance Committee.
“This session, there has been considerable debate over the most effective approaches to improving housing policy across the state. This program has a proven track record of increasing the housing supply in Colorado,” Meghan Dollar said.
The Colorado Chamber has prioritized housing as a critical workforce and economic development issue for business. Colorado is among one of the most expensive housing markets in the country, which serves as a major barrier to attracting and keeping talent in the state.
Addressing Colorado’s housing crisis will require a multi-pronged approach to encourage development, expand the housing supply, and make it easier for Coloradans to afford to purchase a home. As outlined in the Colorado Chamber’s 2024 legislative agenda, the Chamber and its members are dedicated to collaborating with state leaders and housing experts to identify innovative ways that employers can support the creation of new housing units statewide.
HB 1434 will provide a critical funding source for affordable housing development, which will support Colorado’s workforce and talent recruitment efforts. The bill was heard in House Finance today and passed unanimously.