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Accessory Dwelling Unit Grant Program (ADUG) is sponsored by Colorado Department of Local Affairs (DOLA). The Accessory Dwelling Unit Grant Program (ADUG), enacted by HB24-1152 (§§ 29-35-401 - 29-35-405), provides grants to certified ADU Supportive Jurisdictions for activities that promote the construction of ADUs.
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2. Training & Technical Assistance 3. State Land Use and Housing Legislation 4.
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Drupal\page_cache\StackMiddleware\PageCache->handle() (Line: 50) Drupal\ban\BanMiddleware->handle() (Line: 48) Drupal\Core\StackMiddleware\ReverseProxyMiddleware->handle() (Line: 51) Drupal\Core\StackMiddleware\NegotiationMiddleware->handle() (Line: 36) Drupal\Core\StackMiddleware\AjaxPageState->handle() (Line: 51) Drupal\Core\StackMiddleware\StackedHttpKernel->handle() (Line: 741) Drupal\Core\DrupalKernel->handle() (Line: 19) The Accessory Dwelling Unit Grant Program (ADUG) enacted by HB24-1152 (§§ 29-35-401 - 29-35-405) provides grants to certified ADU Supportive Jurisdictions for activities that promote the construction of ADUs.
This program awards grants directly to local governments. Homeowners and borrowers in ADU Supportive Jurisdictions seeking financing may be eligible for ADU Finance Programs offered through lenders. Homeowners may contact a lender of their choice to learn more about the ADU Interest Rate Buydown Program or ADU Credit Enhancement Program and how they may qualify.
Detailed program information for lenders is available in the ADU Finance Programs Overview Flyer (PDF). ## ADUG Round 3 Dates Announced Round 3 of the ADU Grant Program (ADUG) opens on **Monday, August 3** and closes to applications on **Monday, August 31, 2026**. DLG recently hosted an informational webinar for local governments interested in the ADU Grant Program.
A recording and slides are available in the resources section below. ## ADUG Fact Sheet Now Available The ADUG Fact Sheet provides a quick and glanceable summary of ADUG that is great for sharing. * Third round funding cycle: **Monday, August 3 - Monday, August 31, 2026**.
* DLG recently hosted an informational webinar for local governments interested in the ADU Grant Program: Info Session Slides and Info Session Recording * Interested applicants are encouraged to fill out a 1-minute ADUG interest survey. * Applications must be submitted through the DLG Grants Portal. An instructional video tutorial on using the DLG Grants Portal is available on DOLA's YouTube.
Please contact the Planning Grants Unit Manager if experiencing issues accessing the application. * Local or tribal governments in Colorado that have been or are becoming certified by DOLA as an ADU Supportive Jurisdiction are eligible to apply for ADUG funding.
* Grant funds may support activities that promote the construction of ADUs, including but not limited to: * Offsetting costs incurred in connection with developing pre-approved ADU plans; * Providing technical assistance to persons converting or constructing ADUs; and * Waiving, reducing, or providing financial assistance for ADU-associated fees and other required costs.
* Grant recipients may use funds for eligible expenses associated with: * Low-and moderate-income households; * Affordable accessory dwelling units; * Accessible or visitable accessory dwelling units; * Accessory dwelling units used as long-term rentals for members of the local workforce; or * Accessory dwelling units used to support other demonstrated housing needs in the community. * There is a 25% required local cash match.
* There is no suggested minimum or maximum award for this work, however, there are limited grant funds available. * To learn more about ADU's visit DOLA's ADU webpage, checkout the ADU Fact Sheet, or explore the ADU Toolkit Toolkit"). * Eligible entities include **Colorado local and tribal governments** that have been certified by DOLA as ADU Supportive Jurisdictions.
If you are interested in learning more about the certification process, contact DOLA Technical Assistance Staff. * To be certified as an ADU Supportive Jurisdiction and be eligible for grant funds, a local government must: * Submit a report to DOLA demonstrating evidence of compliance with section 29-35-403 as a subject jurisdiction; and * Implement at least one ADU supportive strategy Toolkit").
* This program awards grants to local governments. Homeowners and borrowers in ADU Supportive Jurisdictions seeking financing may be eligible for ADU Finance Programs offered through lenders. Homeowners may contact a lender of their choice to learn more about the ADU Interest Rate Buydown Program or ADU Credit Enhancement Program and how they may qualify.
Detailed program information for lenders is available in the ADU Finance Programs Overview Flyer (PDF). * Approximately $1,600,000 in grant funding was made available for awards in Fiscal Year 2025-2026. Future funding for this program is subject to annual appropriations * Program funding is appropriated through state funding sources * Third round funding cycle: **Monday, August 3 - Monday, August 31, 2026**.
* Second round funding cycle opened on February 2, 2026 and closed to applications on March 18, 2026**. ** * The first [preliminary] round of funding opened on August 1, 2025 and closed to applications on Friday, October 3, 2025. #### Round 2: $603,942 Awarded May 2026 ADUG’s second funding round awarded $603,942 to eight communities.
* $157,000: Fort Collins Pre-approved ADU Program and Fee Waiver Support * $105,000: Adams County Accessory Dwelling Unit Fee Waiver Program * $93,692: Silverton ADU Pre-approved Plans and Incentive Program * $75,000: Fruita Pre-Approved ADU Plans Project * $75,000: Loveland ADU Toolbook * $56,250: Ridgway Permit-Ready ADU Program * $25,500: Center ADU Pilot Program * $16,500: Commerce City Accessory Dwelling Unit Technical Assistance Document Project #### **Round 1: $889,525 Awarded November 2025** ADUG’s inaugural funding round awarded $889,525 to seven communities.
See more in our official press release. * $325,000: Grand Junction ADU Production Program * $225,000: Building Together: Encouraging ADU Development in Superior * $105,000: Larimer County Accessory Dwelling Unit Fee Waiver Program\ * $84,000: Glenwood Springs ADU Accelerator Program * $75,000: Fruita ADU Fee Waiver Project * $38,025: Brighton ADU Supportive Jurisdiction Grant * $37,500: Longmont ADU Stock Plan Update
According to the current listing, eligibility includes: Certified ADU Supportive Jurisdictions. Confirm the full requirements in the official notice before applying.
Accessory Dwelling Unit Grant Program (ADUG) is funded by Colorado Department of Local Affairs (DOLA). Verify program details on the funder's official page before applying.
Applications go through the funder's official portal — the Apply Now link on this page goes there directly.
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