Accessory Dwelling Unit Grant Program (ADUG)
The Accessory Dwelling Unit Grant Program (ADUG) from the Department of Local Affairs supports research-based planning and technical assistance for building affordable and workforce-focused ADUs in Colorado.
Funder: Department of Local Affairs
Due Dates: August 3, 2026 (Round 3 opens) | August 31, 2026 (Round 3 closes) | October 23, 2026 (alternative/extended deadline) | October 3, 2025 (Round 1 closed) | August 1, 2025 (Round 1 opened) | February 2, 2026 (Round 2 opened) | March 18, 2026 (Round 2 closed)
Funding Amounts: ~$1.8M available in FY26–27; no minimum/maximum per project; $15,000 cap per ADU for financial assistance; 25% local match required.
Summary: Supports Colorado local and tribal governments in advancing ADU construction through planning, technical assistance, and fee reduction.
Key Information: Only certified ADU Supportive Jurisdictions are eligible; certification required before applying.
Description
The Accessory Dwelling Unit Grant Program (ADUG) provides state funding to Colorado local and tribal governments that are certified as ADU Supportive Jurisdictions. The program aims to accelerate the construction and conversion of accessory dwelling units (ADUs) by enabling eligible governments to develop pre-approved ADU plans, offer technical assistance, create local incentive programs, and provide financial assistance such as waivers or reductions of ADU-related fees. ADUG is designed to foster affordable, accessible, and workforce-oriented ADUs, addressing local housing needs and supporting innovative housing solutions.
