FOR IMMEDIATE RELESE:
Joint release between Home Trust of Ouray County, City of Ouray, Town of Ridgway, Colo. and Ouray County Government
Ouray Regional Achieves Proposition 123 Unit Count Commitments Nearly One Year Early!
Home Trust of Ouray County is pleased to announce that the Ouray Regional partnership — including the Town of Ridgway, City of Ouray, and Ouray County — has successfully completed the twenty-five (25) affordable housing unit commitments required under Proposition 123 for the initial three-year compliance
cycle (2023–2026), nearly one year ahead of schedule.
This milestone marks the first regional approach of its kind in Colorado, demonstrating strong intergovernmental collaboration and shared commitment to affordable housing opportunities.
Regional Collaboration Through Intergovernmental Agreement
This regional commitment was formalized through an Intergovernmental Agreement (IGA) for Proposition 123 Affordable Housing Commitments, signed on August 21, 2023. Under the agreement, each jurisdiction opted into Proposition 123 and filed a baseline commitment to increase its affordable housing units by 3% annually — for a total 9% increase during the initial three-year compliance period.
Recognizing limited baseline inventory and sporadic development patterns across the region, the IGA established a collaborative framework allowing the three jurisdictions to pool baseline inventory and housing growth targets. This regional strategy created a coordinated, mutually beneficial path toward meeting affordable housing objectives.
Proposition 123 Unit County Commitments by Jurisdiction By opting into Prop 123, each jurisdiction committed to the following unit count:
• Town of Ridgway – 10 units
• City of Ouray – 9 units
• Ouray County – 6 units
Total: 25 units
On February 2, 2026, the Colorado Department of Local Affairs (DOLA) and the Colorado Division of Housing Proposition 123 Community Support Team formally notified all three jurisdictions that the Ouray Regional partnership successfully met its required unit count commitments as of January 30, 2026.
This confirmation recognizes the region as the first in the state to achieve its commitments through a regional, inventory-based approach. The Town of Silverton was the first individual jurisdiction in Colorado to fulfill its Proposition 123 commitment. Consistent with the Intergovernmental Agreement, baseline inventory and qualifying units were strategically redistributed among the three jurisdictions to ensure the regional unit commitments were successfully met.
“The housing challenges found in rural communities require regional collaboration as this issue often crosses jurisdictional boundaries. By working together and coordinating our efforts, our three governments have created an effective and practical path forward,” said Antonio Mendez, Ouray County Manager. “Our commitment to expanding housing opportunities is rooted in a strong partnership full of intentional planning and a shared vision of a Ouray for everyone.”
This accomplishment reflects strong leadership and coordination among local planning, housing, and administrative teams. Through a collaborative strategy that leveraged multiple housing programs and strong local partnerships, each jurisdiction advanced its own Proposition 123 success while contributing to a shared regional goal.
“Ridgway is proud to be part of this first-of-its-kind regional collaboration. We have a long tradition of working together with the City of Ouray and Ouray County on a variety of regional planning and development issues,” said John I. Clark, Ridgway Mayor. “This is yet another great example, showing that small communities can meet ambitious housing goals through thoughtful planning and partnership.
Completing our Proposition 123 commitments nearly a year early reflects our regional community’s commitment to sustaining a strong local workforce and vibrant year-round economy.”
About Proposition 123 Approved by Colorado voters in 2022, Proposition 123 created new affordable housing programs and
funding sources through the State Affordable Housing Fund, which allocates 0.1% of state income tax revenue to support housing initiatives. The measure provides grants and loans to local governments, nonprofits, and affordable housing developers.
Under House Bill 23-1302 (C.R.S. 29-32-105), local governments seeking access to Proposition 123 funding were required to:
• Commit by November 1, 2023, to increasing affordable housing units by 3% annually; and
• Implement expedited (fast track) development review processes for qualifying affordable housing projects.
Compliance Status:
Many communities accelerated adoption of the Proposition 123 fast-track requirement after DOLA announced an incentive of up to $50,000 for jurisdictions with an approved expedited review process verified by the end of 2025. The Town of Ridgway and Ouray County adopted their processes prior to December 31, 2025, making them compliant and eligible for the early adoption incentive. The City of Ouray is in the process of developing its expedited review procedure and anticipates beginning public
review in spring 2026.
“This milestone reflects the value of our regional partnership,” said Michael Underwood, Ouray Mayor. “By coordinating with the Town of Ridgway and Ouray County, the City of Ouray contributed to a
framework that is effective and supports steady, measurable progress across our communities. This achievement demonstrates the benefits of working together and the thoughtful collaboration that made it possible.”
Local governments can still qualify for the early adoption incentive by completing a fast-track process by June 30, 2026. DOLA continues to support communities statewide with implementation guidance and technical assistance, including courtesy review of draft policies.
Together, the Town of Ridgway, City of Ouray, and Ouray County — in partnership with Home Trust of Ouray County — continue to advance countywide solutions that increase affordable housing opportunities for residents, workers, and families across Ouray County.
To learn more or to get involved, visit hometrustoc.org.
