Colorado § 29-4-1106 - Additional powers - affordable workforce housing projects.

§ 29-4-1106. Additional powers - affordable workforce housing projects.

(1) In addition to the powers specified in section 29-4-1105, the authority has the following powers:

(a) To acquire, construct, rehabilitate, own, operate, and finance affordable rental housing projects;

(b) To consult with a qualified nonprofit organization, county, municipality, housing authority, school district, or other relevant entity as determined by the authority to identify gaps in affordable housing capacity, disproportionately impacted communities, or other communities or localities in need of workforce housing to guide the authority in its selection of project proposals to fund;

(c) To exercise general control and supervision of affordable rental housing projects and the land they are located on and exercise plenary power to adopt all bylaws and regulations pertaining to the acquisition, financing, development, use, and operation of affordable rental housing projects in order to advance the state interest in the provision of affordable rental workforce housing pursuant to this part 11, not in conflict with the law, as the board may deem necessary to secure the successful operation of the authority and promote the purposes of this part 11;

(d) To enter into a public-private partnership;

(e) To contract with experienced real estate professionals with a proven track record in developing and operating projects of similar scale and complexity for the development and operation of affordable rental housing projects and to employ its own personnel or contract with public or private entities, or both, for other services necessary or convenient to the conduct of all of the authority's other activities. The authority shall hire full-time staff who are full-time employees of the authority and are responsible for compliance with public meeting laws and open records requests, affordable rental housing project proposal solicitation and review, and reporting.

(f) To provide housing assistance to a tenant in a rental unit of an affordable rental housing project in order for the tenant to transition to home ownership on affordable terms, provided that:

(I) Any funds used for such assistance are deemed to be excess funds from those funds needed to develop and operate an affordable rental housing project; and

(II) The housing assistance may take the form of a grant, a subordinated loan, or an interest in the residential property purchased by the tenant; and

(g) In order to isolate operating risk on a project-by-project basis, to establish, or adopt a resolution approving the establishment of, one or more controlled entities on a per-project basis for the duration of the affordable rental housing project unless the controlled entity must oversee more than one affordable rental housing project as demonstrated by an applicant for funding to the authority, provided that:

(I) The controlled entity may be a nonprofit corporation, limited liability company, or other entity formed pursuant to state law and the authority shall be the sole member of the entity;

(II) The authority shall appoint the governing body of or agent to oversee the controlled entity and may remove a member of the governing body or agent for cause;

(III) Any revenue of the controlled entity not required to pay its expenses and obligations and to fund reserves therefor for such expenses and obligations and, upon dissolution of the controlled entity, any assets of the controlled entity not required to pay its expenses and obligations must be distributed to or at the direction of the authority and shall not be used for or accrue to the benefit of any private interests;

(IV) The authority may loan proceeds from bonds issued by the authority to the controlled entity; and

(V) The controlled entity shall enjoy the same privileges and immunities as the authority, including but not limited to the exemptions from taxation pursuant to section 29-4-1104 (12)(a).

Source: L. 2022: Entire part added, (SB 22-232), ch. 354, p. 2525, § 2, effective June 3. L. 2023: (1)(d) amended, (SB 23-035), ch. 317, p. 1920, § 4, effective June 2.