HomeMy WebLinkAbout107 - 07/01/2025 - AMENDING THE CODE OF THE CITY OF FORT COLLINS TO CLARIFY THE CONDITIONS OF RENEWAL OF EXISTING NON-ORDINANCE NO.107,2025
OF THE COUNCIL OF THE CITY OF FORT COLLINS
AMENDING THE CODE OF THE CITY OF FORT COLLINS TO
CLARIFY THE CONDITIONS OF RENEWAL OF EXISTING NON-
PRIMARY SHORT TERM RENTAL LICENSES
A.In 2017,the City adopted short term rental (“STR”)licensing regulations in
the Code of the City of Fort Collins (“City Code”)and associated Land Use Code text
amendment regarding STRs.
B.The licensing regulations and zoning use restrictions adopted in 2017 were
in response to community concerns regarding STRs and were adopted for the purposes
described in City Code Section 15-640 as follows:
1.Ensuring the safety of renters of short term rentals;
2.Mitigating the impacts of short term rentals on neighborhoods;
3.Maintaining and enhancing neighborhood livability;
4.Promoting a fair operating environment for all persons in the business of
providing lodging or transient accommodation;and
5.Facilitating ongoing data collection to further evaluate the impact of STRs
on the neighborhoods in which they are located and on affordable housing.
C.Consistent with the purposes for adopting short term rental regulations and
in response to further City evaluation of short term rentals and changing conditions,the
short term rental regulations were subsequently amended in 2017,2019,and 2024.
D.To achieve the stated purposes,the City established both primary STRs
and non-primary STRs with the principal difference being that the former requires the
license holder to reside on the lot where the STR is located while the latter does not.
E.The determination of where to initially allow primary or non-primary STRs,
or both,was made with the intent of mitigating the negative impacts of STRs by preventing
STRs from being established in strictly residential zones and allowing them in zones with
a greater mix of uses.
F.In initially determining where to allow each type of STR,the City reviewed
the existing use list for each zoning district.Primary STRs were similar to the bed and
breakfast use which requires an on-site manager residing on the property and were
determined to be appropriate in zones with mixed uses but tending towards a more
residential character.In contrast,non-primary STRs were similar to lodging
establishments that do not need a residential on-site manager and were determined to
be appropriate in zones with mixed uses but tending towards a more retail or commercial
character.
G.The Community Commercial —North College (“CCN”)zone district was
designed for the fringes of retail/commercial core areas and corridors and intended for
moderate intensity uses that support the commercial core or corridor and help to create
a transition and link between the commercial areas and surrounding residential areas.
The CCN includes two areas in the City,one of which is the Old Town North neighborhood
located east of North College Avenue and north of East Vine Drive.
H.In 2017 when the STR regulations were adopted,the areas zoned CCN
were less developed but had the potential to develop with a greater mix of commercial
uses.Based upon these conditions in 2017,allowing both primary and non-primary STRs
as allowed uses subject to licensing in the CCN district was consistent with the purpose
of the adopted STR regulations.
Since 2017,the Old Town North neighborhood has developed a greater mix
of residential uses instead of the anticipated commercial uses,resulting in an area that is
residential but still supports the retail core areas of North College Avenue and serves as
a transition and link between surrounding neighborhoods.
J.The City averages between 375 and 400 STR licenses each year,with three
primary STR licenses and 73 non-primary STR licenses issued in the Old Town North
neighborhood.Approximately 25%of the dwellings in the Old Town North neighborhood
are licensed for STR use and this is proportionately high in comparison to any other
neighborhood in the City.
K.Since 2017,the City has continued to receive numerous complaints from
residents in the Old Town North neighborhood regarding nuisance issues,including
noise,parking,and trash,and regarding the overall lack of community and ability to build
community due to the transient occupancy of STRs in the neighborhood.
L.Based upon the ongoing complaints regarding STRs,City staff conducted
neighborhood outreach,including a neighborhood meeting,in 2025 to better understand
and discuss the concerns of Old Town North neighborhood residents and STR owners.
Based upon this outreach and discussion,City staff is recommending a Land Use Code
text amendment to eliminate non-primary STRs in the CCN to mitigate the negative
impacts and achieve the purposes of the City’s STR regulations.City staff is also
recommending an amendment to the City Code STR regulations to allow existing non-
primary STR licensees to continue to be eligible for renewal.
M.In order to achieve the purposes of the City’s adopted STR regulations,
especially mitigating the impacts of short term rentals on neighborhoods and maintaining
and enhancing neighborhood livability,and in consideration of the proportionately high
concentration of non-primary STR licenses in the Old Town North neighborhood,the
development pattern since 2017 of a greater mix of residential uses instead of the
anticipated commercial uses in the Old Town North neighborhood,and the comments of
Old Town North neighborhood residents regarding the negative impacts of non-primary
STRs in their neighborhood,City Council finds that a Land Use Code text amendment to
remove non-primary STRs in the CCN is justified.
N.In connection with City Council’s decision to adopt a text amendment to the
LUC to remove non-primary STRs as a use in the CCN,City Council is adopting
amendments to City Code Section 15-647 to allow non-primary STR license holders in
the CCN to continue to be eligible to renew such licenses with certain restrictions as set
forth in this Ordinance finding that this change is consistent with the purposes for adopting
STR regulations described in City Code Section 15-640.
In light of the foregoing recitals,which the Council hereby makes and adopts as
determinations and findings,BE IT ORDAINED BY THE COUNCIL OF THE CITY OF
FORT COLLINS that Section 15-647 of the Code of the City of Fort Collins is hereby
amended by the addition of a new Subsection (c)which reads in its entirety as follows,
with all subsequent Subsections to be re-lettered accordingly and any cross references
corrected as needed:
Sec.15-647.-Term of license and renewal.
(a)Licenses issued pursuant to this Article shall be valid from the time of issuance
through the following June 30.Licenses must be renewed annually and a renewed
license shall be valid for the period from July 1 through the subsequent June 30.
(b)Renewal applications shall be reviewed by the Financial Officer in consultation
with the Director,are subject to §15-648,§15-649,and must meet the standards set
forth in §15-644.
(c)Except as specified in Section 15-646,any license issued in a zone district that
allowed the licensed use at the time of issuance but that no longer allows such licensed
use at the time of renewal,the licensee is eligible to apply to annually renew the issued
license pursuant to the requirements of this Article provided that from the effective date
of the ordinance that eliminated the licensed use,the license must not have been revoked,
suspended,or lapsed for any period of time,or denied renewal by the City.
Introduced,considered favorably on first reading on June 17,2025,and approved
on second reading for final passage on July 1,2025.
AHEST:
ityCi
Effective Date:July 11,2025
Approving Attorney:Brad Yatabe
Mayor
Exhibits:None