(a) As used in this section:

(1) “Municipality” means an incorporated city or town, or a county with a metropolitan form of government; and

(2)

(A) “Sober living home” means any home classified as a “single family residence” under § 13-24-102 that provides alcohol-free or drug-free housing, promotes independent living, life skill development, and reintegration, and provides structured activities that are directed primarily toward a group of unrelated individuals who are recovering from drug or alcohol addiction and who may be receiving outpatient healthcare services for substance abuse or addiction treatment while living in the home;

(B) “Sober living home” does not mean:

(i) A home that is chartered by a 501(c)(3) nonprofit organization that:

(a) Serves as an umbrella organization and organizes homes into chapters; and

(b) Is governed by a council and board of directors that maintain the sole right to charter, and revoke the charter of, a home;

(ii) A home that is an affiliate of a 501(c)(3) nonprofit organization located in this state that:

(a) Pre-screens new affiliates;

(b) Requires affiliates to adhere to a code of ethics; and

(c) Requires affiliates to make an annual contribution based on the number of recovery residences; or

(iii) A home or facility that is licensed or funded by the department of mental health and substance abuse services.

(b) A municipality may adopt an ordinance requiring each sober living home to display in a prominent place within the sober living home, a sign at least eleven inches (11″) in height and seventeen inches (17″) in width stating:

(c) A municipality shall display in the city hall or other building which houses the municipality's seat of local government, a sign at least eleven inches (11″) in height and seventeen inches (17″) in width stating:

(d) If a municipality maintains a website, the notice required under subsection (c) must be placed prominently on the municipality's website.

(e) A municipality may adopt an ordinance encouraging sober living homes to:

(1) Become chartered by an organization described under (a)(2)(B)(i); or

(2) Comply with the requirements for recovery residences prescribed by an organization described under subdivision (a)(2)(B)(ii).

(f) Any ordinance adopted under this section must comply with the Fair Housing Act, 42 U.S.C. § 3601 et seq., and the Americans with Disabilities Act of 1990, 42 U.S.C. § 12101 et seq.