Fort Collins Plans to Speed Up Development Review Process for Small Businesses
Fort Collins is overhauling how it handles tenant improvements and business changes in existing buildings, replacing what city documents describe as an "all-or-nothing" upgrade system that frustrated small business owners with a tiered approach that matches required improvements to the scale of changes being made.
City Council voted 6-0 on first reading October 21 to adopt land use code changes that introduce new tables showing exactly what site improvements apply based on whether a business owner is making no exterior changes, minor modifications or major expansions. The changes rewrite Section 6.3.10 of the city's land use code, which governs the change-of-use process that business owners navigate when opening new operations in existing commercial spaces.
"This code update has made progress towards converting text standards into illustrations, tables or other more digestible ways to depict this information," Megan Keith, senior planner, told council during the October 21 meeting. "Edits have been made in every article of the Land Use Code during this update."
Second reading is scheduled for December 2, with the new system expected to take effect in January 2026.
Previous System Required Full Upgrades for Minor Changes
Fort Collins' previous change-of-use requirements meant nearly any alteration to a building's use triggered expectations that the entire site be brought up to current code standards, according to city planning documents. The approach dated to the city's original land use code adopted in 1997, with the last substantial revision occurring in May 2024 under Ordinance No. 055, 2024.
Under the old system, a retail space converting to a restaurant with no expansion or parking changes still faced mandatory parking lot redesign, new landscape buffers along property lines and updated stormwater infrastructure to current technical standards, according to outreach summaries prepared by city planning staff.
"The process is so onerous, small business owners are encouraged to change designs without asking for permission so that they don't get entangled in upgrade triggers, sometimes risking enforcement actions as a result," business owners told city staff during spring 2025 community engagement sessions.
Participants in winter and spring 2025 outreach sessions consistently supported a proportional approach that matches requirements to project scale rather than defaulting to comprehensive site upgrades, according to city documents summarizing feedback from business owners, architects and consultants.
New System Creates Four Amendment Categories
The revised code establishes four distinct amendment types that determine what improvements the city will require:
No Amendment Needed applies when use changes fit within pre-approved categories and involve no exterior work or building expansion. A restaurant becoming a coffee shop with no added seating or parking changes would fall into this category, requiring no site improvements.
Micro/Parkway Landscape Amendment covers changes affecting only the parkway strip between sidewalk and street, such as minor frontage improvements or Americans with Disabilities Act compliance work along public edges.
Minor Amendment addresses limited site changes including small increases in parking needs, minor patio additions or dumpster relocations. Required upgrades focus on affected areas only—such as ADA pathways or bicycle parking—rather than entire site overhauls.
Major Amendment applies to significant expansions or changes with broad site impacts, including substantial building additions or use changes that materially increase vehicle trips. These projects face comprehensive site review and upgrades to current code standards.
City planning documents indicate minor amendments will be triggered by changes affecting less than 10% of lot area or creating minimal increases in traffic or utility demand, while major amendments apply to larger-scale projects exceeding those thresholds.
Peer Cities Already Use Proportional Systems
The revised approach brings Fort Collins in line with Front Range municipalities that implemented scaled upgrade requirements years earlier, according to comparative analysis in city planning documents.
Boulder's code allows reduced site upgrade requirements for minor tenant improvements or use changes with small traffic impacts, applying upgrades "only when the impact of the change justifies and is proportionate to the scale of the development," according to Boulder Municipal Code Title 9-6-3(D).
Longmont Municipal Code Section 15.05.120 applies a "proportional compliance" model for existing developed sites, focusing required upgrades on the portion of the site affected rather than mandating full site compliance for minor tenant changes.
Denver Zoning Code Section 12.4.6.5 uses a "trigger table" that distinguishes between levels of site upgrades based on the category and scope of use changes, with clear thresholds for partial upgrades only.
City Will Track Processing Times and Business Satisfaction
Fort Collins Planning and Development Services will measure the new system's effectiveness through several metrics, according to implementation documents. Staff will track average processing times for change-of-use applications quarterly, comparing results to 2023-2024 baseline data.
The department will also monitor the number of change-of-use applications submitted—expected to increase if the new system lowers barriers—and the percentage of applications approved on first submission without requests for additional information.
Business satisfaction surveys will be distributed after six months and annually thereafter, with structured feedback mechanisms including quarterly business roundtable meetings and focus groups coordinated with the Fort Collins Chamber of Commerce.
The Planning and Development Services Department will conduct the first formal assessment six months after implementation in July 2026, with regular annual reviews presented to City Council's Community and Economic Vitality Committee and the Planning and Zoning Commission.
Applications Before Effective Date May Choose Old or New Rules
The new system takes effect in January 2026, but applications submitted before that date may elect consideration under either old or new rules, according to city planning staff. Staff indicated they will provide guidance to help applicants understand which option better serves their project.
The land use code changes are part of broader updates addressing commercial corridors, building standards and development review procedures across Fort Collins. City planning documents describe the revisions as the most comprehensive code modernization since the 1997 baseline adoption.
For questions about the change-of-use process updates, contact Fort Collins Planning and Development Services at fcgov.com/planning-development-services or 970-221-6750.