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City of Durango News Flash

Posted on: September 29, 2023

City of Durango and its regional partners all opt in to Proposition 123


Durango, CO: The Regional Housing Alliance has announced that all four government members in La Plata County have opted into Proposition 123.

 In November 2022, Colorado voters passed Proposition 123, a ballot measure authorizing the state to retain money from existing state tax revenue to support affordable housing investment. 

Once passed, Proposition 123 created the State Affordable Housing Fund, dedicating 40% of funds to the Affordable Housing Support Fund administered by the Department of Local Affairs and 60% to the Affordable Housing Financing Fund overseen by the Colorado Office of Economic Development and International Trade to fund housing programs. The Office of Economic development selected Colorado Housing and Finance Authority as the third-party administrator of the Affordable Housing Financing Fund. 

The Affordable Housing Financing Fund through Prop 123 includes various areas where local governments can apply for funding including land banking, project support, planning, facilitating home ownership and addressing homelessness. 

The program requires that creation of new affordable inventory can be a combination of rental units if gross rent of the unit is affordable at or below 60% area median income, while homeownership units are affordable if the value of the home is at or below 100% area median income for La Plata County. 


In order to qualify for access to these funds each government entity agreed to the Local Government Affordable Housing Commitment which includes a requirement to increase existing affordable housing units by 3% a year and an expedited review process for affordable housing developments. At the time of this press release, the housing alliance is the only multi-jurisdictional entity in the State of Colorado to have all their governmental partners opt into Prop 123.

Baseline Commitments of the Next 3 Years:

City of Durango- 184 units

Town of Bayfield- 14 units

Town of Ignacio- 14 units

La Plata County- 108 units

Total- 320 units

“We’re very happy to be eligible for the funding that Proposition 123 provides,” said Eva Henson, manager of the city’s housing innovation division. “By establishing this baseline, we can now commit to increasing local affordable housing stock by 3% each year for 2024, 2025 and 2026, which translates into 184 units.”

The housing alliance is actively tracking the four government entities’ projects and funding applications. The region is collectively pursuing nearly $25 million in state funds in order to provide much needed attainable and workforce housing. Monthly meetings of the housing alliance provide a forum for community leaders and housing experts to share best practices and find ways to collaborate on innovative affordable housing solutions to the region.

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City of Durango logoMedia Contact
Tom Sluis
Public Information Officer 
Phone: (970) 375-5090


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