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Council discusses state wildfire resiliency overlay code but takes no action amid cost and liability questions

Montevista City Council · May 28, 2026
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Summary

During a second-reading discussion of Ordinance 937 (the Colorado Wildfire Resiliency Code overlay), councilors and staff raised uncertainty about enforcement and possible increased construction costs; the item received no motion and no action at the meeting.

The Montevista City Council held an extended second-reading discussion of Ordinance 937, a proposed local adoption of the Colorado Wildfire Resiliency Code overlay districts for limited areas on the city—s south and east sides, but the council took no action.

City manager DJ and staff described the ordinance as a state-mandated adoption that would apply only to new construction in defined overlay areas. DJ explained the code affects "about a third of the Lariat area" and would only apply when building permits are drawn; existing structures would not be retroactively altered. He emphasized the city —s adoption is largely driven by state guidance.

Council members pressed staff and the city attorney for details on liability, enforcement and insurance. One councilor asked whether adoption could make the city "partially liable" if a home built under the overlay later burned; the city attorney and staff said there is no clear legal answer yet. City legal staff called the matter "a tangled web" and said case law is limited.

Staff and a councilor cited an estimate that the overlay could increase construction costs for affected new homes "by roughly $18,000 to $25,000" for required building upgrades, windows and roofing. Councilors also noted some counties have deferred adoption and that the state—s enforcement approach remains uncertain. Several members urged tabling the item until the city can obtain firmer guidance on liability and insurance consequences; with no motion on the floor, Ordinance 937 received no action at this meeting.

Why it matters The ordinance affects building standards in a small but defined portion of the city and could change the cost of new construction in impacted parcels. Councilors expressed concern about exposing residents to higher upfront costs and about uncertain legal or insurance ramifications.

What happens next Councilors asked staff to gather more information on liability, insurance impact and state enforcement before reconsidering the ordinance at a future meeting.