State funding could be withheld from Colorado cities that don’t tie housing to transit

Colorado Democrats on Tuesday introduced a bill that would send millions of dollars to cities that agree to encourage denser housing near transit — and withhold state highway funding from those that don’t.

The measure, House Bill 1313, is a key piece of Democratic Gov. Jared Polis’ plans to address the state’s housing shortage and combat climate change. It relies heavily on financial incentives, such as affordable housing tax credits and infrastructure funding, to coax cities into developing transit-oriented communities — a departure from last year’s failed attempt to force cities to zone for apartments and townhouses.