Colorado Law · Restrictive Covenants · Updated for HB 26-1007 (2026)

What a Colorado HOA Cannot Prohibit: The § 38-33.3-106.5 Protected Uses

Colorado has spent two decades writing public-policy limits into CCIOA, one bill at a time: flags and signs, drought-tolerant yards, solar, EV chargers, fire-hardened materials, home businesses, and housing. For a board, the list answers a recurring question before it reaches a hearing: is this something our covenants can still reach?

Educational notice. This information is educational in nature and should not be construed as legal advice. Statutory references are to the Colorado Revised Statutes 2024 edition and to HB 26-1007 (association provisions operative January 1, 2027) as enacted; later amendments are possible. Consult qualified association counsel regarding legal interpretation specific to your jurisdiction.

The Short Version

Section 38-33.3-106.5 of the Colorado Common Interest Ownership Act (CCIOA) lists owner uses that an association may not prohibit, notwithstanding its declaration, bylaws or rules. Two companion sections extend the list: § 38-33.3-106.7 (energy-efficiency measures) and § 38-33.3-106.8 (EV charging and parking). Section 38-30-168, outside CCIOA, covers renewable energy generation devices and applies to covenants generally.

The pattern across nearly every item is the same: the association may not ban the use, but it may adopt reasonable rules about it, usually limited to content-neutral, aesthetic, safety, or placement factors. Several items add a review clock or a cost ceiling. The recurring board question is usually whether a rule is a reasonable regulation or an effective prohibition, which is a question for counsel on the facts.

Who This Reaches

CCIOA applies in full to communities created on or after July 1, 1992. For communities created before that date, § 38-33.3-117(1)(c) lists §§ 38-33.3-104 to -111 for events from July 1, 1992. Sections 106.5, 106.7 and 106.8 were added later and fall numerically within that range; whether they reach a particular older community is a question for counsel. Several items carry their own scope limits, which the table below notes (for example, § 106.5(1)(i) now applies only to single-family homes that share a wall, § 106.5(1)(i.5) only to single-family detached homes, and the ADU provision in § 106.5(6) reaches declarations recorded and rules adopted or amended on or after July 1, 2024). The CCIOA overview explains the pre-1992 framework.

The Protected Uses at a Glance

Flags and Signs: Content-Neutral or Nothing

HB 21-1310 (effective September 7, 2021) replaced Colorado’s earlier flag-specific and election-season sign rules. The current § 106.5(1)(a) and (1)(c) bar an association from prohibiting flags and window or yard signs, or from regulating them by subject matter or content. Commercial flags and signs may be barred. What remains is content-neutral regulation: number, location or placement, size, and other objective factors. For flagpoles, the association may regulate but may not prohibit installation.

The distinction the statute draws is between rules that turn on number, size and placement, which apply to every sign, and rules that turn on what a sign says. (The C.R.S. 2024 source note labels this bill “SB 21-1310”; the bill is HB 21-1310.)

Landscaping and Water: The Most Detailed Rules on the List

Colorado’s water rules come in layers:

• Single-family homes that share a wall (§ 106.5(1)(i)). The association may not prohibit xeriscape, nonvegetative turf, or drought-tolerant landscapes on property the owner is responsible for, including a limited common element. Design rules are allowed, and nonvegetative turf may be limited to rear yards. As amended by SB 23-178, this paragraph applies only to single-family homes that share one or more walls, not to detached homes.
• Single-family detached homes (§ 106.5(1)(i.5), SB 23-178, effective August 7, 2023). Design rules are allowed, but they may not prohibit nonvegetative turf in the back yard; may not unreasonably require hardscape on more than 20% of the landscaping area; must allow an option of at least 80% drought-tolerant plantings; and may not prohibit vegetable gardens in the front, back or side yard. The association must select at least three preplanned water-wise front-yard designs as preapproved and post preapproval information on its public website, if any. Safety, defensible-space, and grading and drainage rules remain within association authority. For a knowing violation, an affected owner may bring a civil action for an injunction and up to the greater of $500 or actual damages, after written notice and 45 days for the association to cure. These rules do not apply to attached homes or condominiums.
• Watering fines (§ 302(1)(k)(II)). The association may not fine an owner for under-watering while the owner complies with local water restrictions.

Separate 2024 legislation (SB 24-005) restricts what local governments may allow on certain property, including common interest community property, beginning in 2026. Its effect on association rules has not been confirmed here; check the current statute.

Renewable Energy, Energy Efficiency, and Portable Solar

Under § 106.5(1.5), an association may not effectively prohibit renewable energy generation devices as defined in § 38-30-168: solar energy devices, qualifying wind-electric generators, geothermal devices and heat pump systems. Under § 38-30-168(2), aesthetic rules on dimensions, placement or appearance are allowed if they do not increase the device’s cost by more than 10%, decrease its performance or efficiency by more than 10%, or require review longer than 60 days. An application not denied or returned for modification within 60 days is deemed approved. A denial may not be arbitrary or capricious, and its basis must be described in reasonable detail. Bona fide safety rules are allowed, and the statute gives no right to place a device on common or limited common elements (§ 38-30-168(3)).

Section 106.7 bars effectively prohibiting listed energy-efficiency measures (shade structures, garage or attic fans, evaporative coolers, efficient outdoor lighting, retractable clotheslines and heat pumps), subject to reasonable aesthetic and bona fide safety rules and with no right to place them on common or limited common elements.

Portable solar (HB 26-1007). Signed May 7, 2026, the act adds portable-scale solar generation devices to the § 106.7 list and adds a new § 40-2-140, with the association-related rules operative on and after January 1, 2027. The act defines such a device as a single photovoltaic system per address with a maximum output to the grid of 1,920 watts, listed by a nationally recognized testing laboratory. Under § 40-2-140(7), a covenant that unreasonably prohibits or restricts one is void as a matter of public policy, and an owner may install one on a limited common element notwithstanding § 106.7(3)(d). Reasonable restrictions remain permitted, including prior notice and rules on fire or electrical overload, harm to persons or property, and location. An owner may be required to secure the device to the unit or to a limited-common-element patio, deck or balcony serving only that unit, and may be made responsible for related liability and costs, including indemnifying the association and other owners. Whether existing balcony and limited-common-element guidelines need revision before January 1, 2027 is a common counsel topic.

EV Charging and Parking: § 106.8

For residential units, § 106.8(2) provides that an association may not prohibit an owner from installing and using, at the owner’s expense, a level 1 or level 2 charging system in the unit, in an assigned or deeded parking space, or in a parking space shared with other owners (the last two added by HB 23-1233, effective May 23, 2023). It may not charge a fee for placement or use in the owner’s unit beyond reimbursement of actual electricity costs (plus any network fee) or, alternatively, a reasonable access fee, and may not restrict parking because a vehicle is electric. Bona fide safety rules, registration within 30 days after installation, and reasonable aesthetic rules are allowed (§ 106.8(3)). For a limited-common-element parking space, carport or garage, the association must consent if the system complies with association rules and the owner agrees in writing to the conditions in § 106.8(4), such as design specifications, a licensed electrician, and insurance. Time-share units are excluded.

Fire Safety, Home Businesses, and Housing

• Roofing and fire-hardened materials. The association may not require cedar shakes or other flammable roofing (§ 106.5(2)). Under HB 24-1091 (effective March 12, 2024), provisions barring fire-hardened building materials on an owner’s property are void, and new ones may not be adopted. Design standards for fire-hardened fencing are allowed if they do not raise cost more than 10% compared with other fire-hardened fencing materials or require review longer than 60 days; an application not denied or returned within 60 days is deemed approved, and a denial must be in writing, in reasonable detail, and not arbitrary or capricious (§ 106.5(3)). Bona fide safety requirements remain allowed.
• Home-based businesses (SB 24-134, effective August 7, 2024). May not be prohibited; reasonable architectural, parking, landscaping, noise and nuisance rules still apply (§ 106.5(1)(l)).
• Accessory dwelling units and middle housing. In subject or ADU-supportive jurisdictions, declaration, bylaw or rule provisions that restrict ADUs on single-unit detached lots in ways barred by § 29-35-403 are void, whether adopted before or after May 13, 2024; reasonable restrictions remain allowed (§ 106.5(4), HB 24-1152). Where local zoning allows them, the association may not prohibit ADUs or middle housing, for declarations recorded or rules adopted or amended on or after July 1, 2024, unless the restriction existed as of May 30, 2024 (§ 106.5(6), SB 24-174).
• Transit-oriented housing. In transit and neighborhood centers, provisions restricting housing development more than the applicable local law are void (§ 106.5(5), HB 24-1313).

What This Means for Architectural Review

Many of these provisions arrive at the board through an architectural application. Colorado separately requires that architectural decisions follow documented standards and not be arbitrary or capricious (§ 38-33.3-302(3)(b)). The committee mechanics are covered in Architectural Review Committee (ARC): How to Establish and Run One. Enforcement of any remaining rule runs through the association’s written enforcement policy and Colorado’s fine limits; see Fines in Colorado.

Common Mistakes & Pitfalls

Frequently Asked Questions

What does Colorado law say about HOA rules on flags and yard signs?

Under section 38-33.3-106.5(1)(a) and (1)(c), added in their current form by HB 21-1310, an association generally may not prohibit flags or window and yard signs or regulate them by subject matter or content, although commercial flags and signs may be barred. Reasonable, content-neutral rules on number, size, and location or placement are allowed. How the rules apply to a particular display is a question for the association’s counsel.

What does Colorado law say about HOA rules on artificial turf and xeriscaping?

Section 38-33.3-106.5 splits the rule by home type. Paragraph (1)(i) covers single-family homes that share a wall; paragraph (1)(i.5), added by SB 23-178, covers detached single-family homes. Both protect xeriscape and drought-tolerant landscaping while allowing design rules, and (1)(i.5) adds specific limits, including an 80% drought-tolerant option and three preapproved front-yard designs. Application to a particular property is a question for counsel.

What does Colorado law say about HOA rules on solar panels?

Section 38-33.3-106.5(1.5) generally bars an association from effectively prohibiting renewable energy generation devices defined in section 38-30-168. Aesthetic rules are allowed within that section’s limits: no more than a 10% increase in cost or decrease in performance, and review within 60 days, after which an application not denied or returned is deemed approved. Safety rules are allowed. Application to a particular installation is a question for counsel.

What does Colorado law say about HOA rules on EV chargers?

Section 38-33.3-106.8 generally bars an association from prohibiting an owner from installing a level 1 or level 2 charger at the owner’s expense in the unit or in an assigned, deeded or shared parking space, or from restricting parking because a vehicle is electric. Safety rules, registration within 30 days and reasonable aesthetic rules are allowed. The section applies only to residential units. Application to a particular installation is a question for counsel.

What does Colorado law say about home-based businesses in an HOA?

Section 38-33.3-106.5(1)(l), added by SB 24-134 effective August 7, 2024, generally bars an association from prohibiting a home-based business, while the business remains subject to reasonable association rules on architectural control, parking, landscaping, noise, nuisance and related matters, and to local ordinances. Application to a particular business is a question for counsel.

What changes for portable solar in 2027?

HB 26-1007 adds portable-scale solar generation devices to the energy-efficiency measures in section 38-33.3-106.7, operative on and after January 1, 2027. A covenant that unreasonably prohibits or restricts such a device is void as a matter of public policy. Reasonable restrictions, including prior notice and safety and location rules, remain permitted, and an owner may be required to secure the device and bear related costs and liability.

Key Takeaways

• Sections 38-33.3-106.5, 106.7 and 106.8, plus § 38-30-168, set owner uses a Colorado association generally may regulate but not prohibit.
• Flags and signs: content-neutral rules only, with a commercial carve-out (HB 21-1310).
• Landscaping: § 106.5(1)(i) covers attached single-family homes; § 106.5(1)(i.5) covers detached homes, including three preapproved front-yard designs.
• Renewable energy and fire-hardened fencing: 10% ceilings and a 60-day review clock with deemed approval.
• Portable solar joins the protected list on January 1, 2027 (HB 26-1007).

References & Sources

1. C.R.S. § 38-33.3-106.5 — Prohibitions contrary to public policy. Colorado Revised Statutes 2024, Title 38 (OLLS)
2. C.R.S. § 38-33.3-106.7 — Energy efficiency measures.
3. C.R.S. § 38-33.3-106.8 — Electric vehicle charging systems and parking.
4. C.R.S. § 38-30-168 — Renewable energy generation devices and fire-hardened building materials; covenants.
5. C.R.S. § 38-33.3-302(1)(k)(II), (3)(b) — Watering fines; architectural decisions.
6. C.R.S. § 38-33.3-117(1) — Applicability to communities created before July 1, 1992.
7. HB 21-1310 — HOA Regulation of Flags and Signs (ch. 415, effective September 7, 2021). leg.colorado.gov/bills/hb21-1310
8. SB 23-178 — Water-wise Landscaping in HOA Communities (ch. 207, effective August 7, 2023). leg.colorado.gov/bills/sb23-178
9. HB 23-1233 — Electric Vehicle Charging and Parking Requirements (ch. 245, effective May 23, 2023). leg.colorado.gov/bills/hb23-1233
10. HB 24-1091 — Fire-Hardened Building Materials in Real Property (ch. 24, effective March 12, 2024). leg.colorado.gov/bills/hb24-1091
11. SB 24-134 — Operation of Home-Based Businesses (ch. 107, effective August 7, 2024). leg.colorado.gov/bills/sb24-134
12. HB 24-1152, HB 24-1313, SB 24-174 — Accessory dwelling units, transit-oriented housing, middle housing. hb24-1152 · hb24-1313 · sb24-174
13. HB 26-1007 — Improve Customer Use of Distributed Energy Resources (ch. 127; association provisions operative January 1, 2027). leg.colorado.gov/bills/hb26-1007

Related Resources & Additional Reading from the CIC-SC Library

• Colorado’s Common Interest Ownership Act (CCIOA): Overview for Board Members
• Fines in Colorado: The Enforcement Policy, Cure Periods, and the Limits After HB 22-1137
• Architectural Review Committee (ARC): How to Establish and Run One
• The Limits of Board Rule-Making: Rules, Resolutions, and the Declaration
• Federal Law Sits Above Everything: Owner Rights the Board Cannot Restrict

Tags: C.R.S. § 38-33.3-106.5 · Colorado HOA protected uses · flags and signs · HB 21-1310 · xeriscape · SB 23-178 · solar · § 38-30-168 · EV charging · § 106.8 · fire-hardened materials · home-based business · ADU · HB 26-1007 portable solar · CCIOA

Disclaimer. This article is published by the Common Interest Community Standards Council for educational and informational purposes only. It is not legal advice and does not establish an attorney-client relationship. Statutory references and procedural frameworks are intended to support informed governance, not to substitute for advice from qualified Colorado legal counsel. Boards and managers should consult their association’s attorney about the application of any statute, governing-document provision, or architectural decision to their specific circumstances. CIC-SC, its authors, and its members assume no liability for actions taken in reliance on this content.

Published by the Common Interest Community Standards Council (CICSC). Part of the CICSC Member Education Library. © 2026 CICSC. Educational use permitted with attribution.