Colorado Energy Office launches Local Impact Accelerator to fund local policy adoption

The Colorado Energy Office on Thursday outlined the Local Impact Accelerator, a grant program aimed at helping local and tribal governments adopt policies and projects that reduce emissions beyond state minimums.

The program, one of three tied to the office’s Climate Pollution Reduction Grant award, offers two funding tracks: policy adoption grants (suggested maximum about $200,000) and combined policy-plus-project grants (suggested project maximum about $1,800,000). Applicants must submit a letter of intent starting June 16; encouraged applicants will be invited to full applications in October, with award decisions expected in December and contracting in the first half of 2026.

“This is really about providing support to local governments and tribal governments for progressive policy adoption,” said Ari Moledina, program manager, Colorado Energy Office. Moledina said the program supports four sectors — buildings, transportation, land use and waste — and prioritizes policies that “extend beyond state minimum requirements.”

The program is funded as part of a roughly $130,000,000 Climate Pollution Reduction Grant award to the state. Moledina described eligible building policies as those that go beyond the forthcoming model low energy and carbon code, which the state expects jurisdictions to adopt by next summer. Examples in other sectors include compact-housing or accessory-dwelling-unit land-use policies, active-transportation and transit investments in transportation, and pay-as-you-throw or universal recycling/composting ordinances in waste.

Moledina said jurisdictions may apply for project funding only together with a policy adoption application; project-only applications are not accepted. Project costs could include equipment purchases or rebates (for example, an EV rebate program), while policy funds could cover stakeholder engagement, outreach and consultant studies. Applicants will be asked to provide three budget tiers (standard, constrained, vision) to allow flexibility in award sizing.

“An EV rebate program is an example of something that could be a project,” Moledina said when asked about how jurisdictions might structure project funding.

The office posted guidance online and plans two webinars: one on June 17 and a question-and-answer webinar on July 1. Moledina said funds awarded under the grant must be expended by October 2029.

Committee members asked how the accelerator intersects with DRCOG’s implementation grant. Moledina said jurisdictions inside the DRCOG region cannot request project funding for buildings through the accelerator because that sector’s projects are covered by DRCOG’s separate implementation program; policy requests for buildings may be considered but will require coordination to avoid funding the same work twice.

The Colorado Energy Office’s guidance, program timelines and webinar links are posted on its website; Moledina invited jurisdictions to email her with questions.

The committee heard the presentation during its discussion items and did not take formal action on the program at the meeting.