If you are considering replacing your lawn with native landscaping in Fort Collins, there is a financial incentive that can offset a significant portion of the cost. The City of Fort Collins and Fort Collins Utilities offer water conservation rebate programs that reward property owners for reducing outdoor water consumption. Here is everything you need to know to take advantage of these programs.
The Fort Collins Water-Wise Landscape Rebate
The primary program for homeowners is the Water Conservation Rebate offered through Fort Collins Utilities. The program provides financial incentives for replacing high-water-use turf grass with water-wise landscaping. Rebate amounts vary by year and budget availability, but historically they have ranged from $0.50 to $1.00 per square foot of turf removed, with maximum rebates typically capped between $1,000 and $3,000 per property.
To qualify, you must be a Fort Collins Utilities water customer, and the turf you are removing must be actively irrigated. You cannot claim a rebate for removing dead grass or an area that was not being watered. The replacement landscaping must meet the city's water-wise criteria, which generally means it must use at least 50% less water than the turf it replaces.
Eligibility Requirements in Detail
The city has specific requirements for what counts as qualifying replacement landscaping. Native plants are an excellent choice because they easily meet the water-reduction thresholds. To satisfy the program requirements, your new landscape must include drought-tolerant or native plants appropriate for USDA Hardiness Zone 5 (our zone in Fort Collins), a proper mulch layer of at least three inches to reduce evaporation, limited or no permanent irrigation (drip irrigation for establishment is allowed), and no more than 20% of the converted area in hardscape like pavers or gravel.
The last point is important. Some homeowners replace their lawn with 100% gravel and call it xeriscape. That does not qualify for the rebate, and frankly it is not good for the environment either. Gravel-only landscapes create heat islands, provide no habitat value, and contribute to stormwater runoff. The city wants to see living plants — and native plants check every box.
The Application Process Step by Step
The rebate process typically involves several steps, and the key is to apply before you start the work. First, contact Fort Collins Utilities to confirm current program availability and rebate amounts. Program budgets are annual and can be exhausted before the fiscal year ends, so early application is important. Second, submit a pre-approval application that includes photos of your existing lawn, a site plan showing the proposed landscape design, a plant list, and an estimate of the turf area being removed. Third, wait for written pre-approval before starting any work. If you rip out your lawn before getting approval, you may not qualify. Fourth, complete the installation within the timeframe specified in your approval letter (usually 90 to 180 days). Fifth, submit completion photos and request a final inspection. Sixth, receive your rebate check, typically four to eight weeks after the final inspection.
Maximizing Your Rebate Value
Here are the strategies I use with my clients to get the most out of the rebate program. Measure carefully. The rebate is calculated per square foot of turf removed, so an accurate measurement of your lawn area matters. I have seen homeowners underestimate their lawn size by 30% or more, leaving money on the table. Use a measuring wheel or measure with a tape measure and calculate the area.
Design to exceed the requirements. The minimum water reduction is 50%, but a well-designed native garden can reduce water use by 80% to 100% compared to bluegrass turf. Exceeding the minimum does not increase your rebate, but it demonstrates clear compliance and makes the approval process smoother.
Keep meticulous records. Photograph your existing lawn from multiple angles before you start. Save all plant receipts. Document the installation process. Create a simple plant map showing species and locations. This documentation makes the final inspection faster and reduces the chance of issues.
Additional Rebate Programs
Beyond the turf replacement rebate, Fort Collins Utilities offers rebates for other water-saving improvements that can complement your native landscaping project. Smart irrigation controllers that adjust watering based on weather data may qualify for separate rebates. High-efficiency nozzles and drip irrigation conversions are sometimes eligible. Rain barrel installations may also have rebate opportunities.
If your native landscaping project includes removing an old sprinkler system and replacing it with a drip system for the establishment period, you may be able to stack multiple rebates on a single project. Ask about all available programs when you contact the utility.
Northern Water and Other Programs
Depending on your specific water provider, there may be additional programs available. Northern Water, which provides water to many municipalities along the Front Range, occasionally runs conservation incentive programs. The State of Colorado also periodically offers tax credits or incentives for water-wise landscaping. Your local CSU Extension office is a good resource for current statewide programs.
One Important Note About HOAs
If you live in a neighborhood with a Homeowners Association, check your covenants before applying for a rebate. Some HOAs have restrictions on the percentage of lawn that can be removed or require prior approval for landscape changes. Colorado state law does protect your right to install water-wise landscaping (Colorado Revised Statute 37-60-126), but navigating HOA requirements proactively avoids conflicts. I have helped several clients present native landscaping plans to their HOA boards, and in my experience, a professional design with a clear plant list and rendered drawings goes a long way toward getting approval.
The combination of utility rebates, reduced water bills, and lower maintenance costs makes native landscaping one of the best returns on investment you can make in your property. And unlike a kitchen remodel, it gets more beautiful every year.