Loveland council adopts affordable-housing fast-track code tied to Proposition 123

The Loveland City Council voted June 16 to adopt Ordinance No. 6836, a code change creating a fast-track review process for qualifying affordable-housing projects under Proposition 123. The ordinance was approved on the consent agenda, 8-0, with Council Member Laura Light-Kovacs absent. The change adds a 90-day maximum review timeline for eligible housing applications so Loveland can remain eligible for state affordable-housing funding tied to the 2022 ballot measure.

The ordinance amends Title 18 of the city’s Unified Development Code and adds a new section on fast-track development review. Under the new rules, an eligible application can receive a final decision within 90 calendar days after the city receives a complete application, plus certain allowed extensions. Staff said Loveland must adopt compliant regulations by Dec. 31, 2026, to maintain eligibility for Proposition 123 funding opportunities.

City staff said adopting the ordinance by June 30 also keeps Loveland eligible for a $45,000 incentive grant. Separately, the city received a $160,000 Department of Local Affairs planning grant in 2025 to support Unified Development Code updates related to Proposition 123 compliance.

Under the ordinance, the fast-track option applies to application types including site development plans, variances, administrative variations, building permits and certain plats and boundary-line changes. Staff said Proposition 123 requires expedited review for a narrower set of housing applications, but Loveland expanded the list in its local code.

The new process applies to locally designated Affordable Housing Developments and to Proposition 123-qualified Community First Housing Developments. Staff said Loveland’s commitment under the program is 82 new affordable units per year, or 246 units by the end of 2026, and that the city is on track to meet that target.

Before final adoption, the Planning Commission recommended approval on a 6-0 vote May 11, and the council approved the ordinance on first reading, 9-0, on June 2. Item 4.2 was separated from a larger housing amendment package so it could move ahead in time to meet state deadlines and preserve eligibility for the early-adoption grant.