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VII.1. First Reading Ordinance Amending the Hopkins Development Code Allowing Large Day Cares as a Permitted Use in the IX-S Zone Krzos 1 City Council Report 2026-012 To: Honorable Chair and Board Members Mike Mornson, City Manager From: Ryan Krzos, City Planner Date: February 2, 2026 Subject: First Reading of an Ordinance Amending the Development Code to Allow, as a Permitted Use, Large Day Cares in the IX-S Zone. _____________________________________________________________________ REQUEST Mariela Pineda, on behalf of Creek Valley Properties LLC, owner of 509 2 nd Avenue S, proposes a Development Code Text amendment to allow, as a permitted use, large day cares in the IX-S, Employment Mix Suburban Center zone. RECOMMENDATION MOTION TO adopt Resolution 2026-005 approving a first reading of Ordinance 2026-1233 Amending the Development Code to Allow, as a Permitted Use, Large Day Cares in the IX-S Zone. ANALYSIS The applicant is requesting a Development Code Amendment which would allow large day cares as a permitted use within the IX-S Zone. Currently, large day care uses are prohibited in the IX-S Zone. The applicant is applying on behalf of the owner of 509 2nd Avenue S, which is in the IX-S zone. If approved, the applicant intends on locating their day care facility at this location. Furthermore, the text amendment would apply to all properties in the IX -S zone, not just the property of interest for the applicant. The Planning and Zoning Commission reviewed the request at their January 27, 2026 meeting and held a public hearing. The consensus of the commission during their discussion was that opportunities for additional day cares are needed and the IX-S zone is appropriate for these facilities. Following discussion, the Planning & Zoning Commission voted unanimously recommending approval. Planning & Development CITY OF HOPKINS 2 In the Hopkins Development Code, day cares have the following definition, which is further categorized into adult day, small day care and large day care (see a through c below): 102-540 (d) DAY CARE (1) Description. The day care use category includes establishments licensed by the state that provide nonmedical care to children or aged, infirm, or disabled adults for only part of a day, typically during normal working hours. Examples include adult day care centers, group family day care facilities, child care centers, and similar use types. a. Adult Day Care. A state-licensed center-based facility that provides adult day services to adults who have functional impairments on a regular basis for periods of fewer than 24 hours during the day in a setting that is not a residence. b. Day Care, Small. A state-licensed day care facility serving 12 or fewer persons or a group family day care facility licensed under Minnesota Rules, parts 9502.0315 to 9502.0445 to serve 14 or fewer children. c. Day Care, Large. All day care uses that do not meet the definition of a small day care or adult day care. Existing Zoning The IX-S zone is intended for regional-scale nodes, where office, research and development, and low-impact production and manufacturing with limited external impacts in an environment accessible via motor vehicle and walking. The location of IX-S-zoned property is included as a map attachment. Permitted Uses allowed in IX-S: Adult-Oriented Business, Animal Boarding, Consumer Service, Adult Day Care, Large Entertainment Venue, Lodging, Office, Artisan Manufacturing, Limited Manufacturing, Urban Farm, Warehousing and Distribution, Cultural Facility, Community Garden, Parks and Open Space, Minor Utilities and Services, Cannabis Cultivation, Cannabis Product Manufacturing, Cannabis Wholesale & Transportation. Uses allowed Conditionally in IX-S: Vehicle Sales & Service, Major Utilities and Services. Day Cares were not established as an allowed use in the IX-S zone as part of the 2022 Zoning update, primarily because the preceding zones encompassing these areas did not allow day cares. This area was largely zoned either Industrial or Business Park. This practice is consistent with the historical zoning practice of restricting day cares in industrial areas out of a perceived incompatibility of the two uses. 3 Where Large Day Cares are allowed (See attached Map): Conditionally allowed: NX1 & NX2 Allowed only within 25% of the building’s area: RX-TOD, RX-D, RX-N, & IX-TOD Allowed in unlimited area: MX-TOD, MX-N, & MX-S Allowed only in upper stories: MX-D Assessment of Need Access to quality affordable childcare is a necessity for many Hopkins families. Furthermore, childcare is essential to the economic environment of the community as it allows for parents to remain in the workforce. Per the most recent American Community Survey Hopkins has a population of 1,537 under the age of five (out of a total of 18,696 residents). Per Minnesota Department of Human Services’ records Hopkins has a licensed capacity of a total of 683 among the 15 active licensed facilities (Family Day Care, and Day Care Centers). Furthermore, per analysis from the University of Minnesota families in the Hopkins School District had an overall access index that ranked 298th out the 332 Districts (See https://childcareaccess.org/). This analysis studied quantity, cost, and quality. While quantity and quality ranked relatively high, cost was near the bottom. Accordingly, staff believes increasing the supply of day care facilities will positively impact these conditions. The City can influence said supply by expanding eligible areas for facilities. Amendment Options As noted, the proposed text amendment would allow large day cares as a permitted use in the IX-S Zone. Staff finds it appropriate to have large day cares in the zone without additional stipulations as it is in other zones (i.e. restricting to a 25% of floor area, or only in upper stories). Further, day care facilities must adhere to State requirements per their license, including provisions relating to internal floor area, outdoor activity area, and sinks and toilets all based on occupancy. The Development Code does address anticipated parking needs by requiring one vehicular stall per each six enrollees. The code does not provide stipulations for drop-off/pick-up Should the City desire to review each new day care in this zone on a case-by-case basis, the use could be listed as a conditional use. Conditional uses require a conditional use permit, reviewed by the Planning and Zoning Commission with a final decision by City Council. In the conditional use permit application process, the applicant would have to demonstrate the proposal met the general condition use requirements (Compliance with the Comprehensive Plan, Compliance with applicable code provisions, and that the use is not determinate to the surroundings) as well as any specific conditions for large day cares. Staff believes that it is appropriate to list the use as a permitted use in the zone. Generally, day care have similar characteristics to office or service uses, which are prevalent in the IX-S zone. 4 Review Criteria: Staff finds that the proposed development code amendment meets the criteria for approval. In making decisions about code amendments, the City must consider all relevant factors, including at least the following criteria: 1. Whether the proposed zoning text amendment is in conformity with the comprehensive plan The Comprehensive Plan identifies areas within the IX-S zone primarily within the Commerce and Employment future land use category. The Commerce and Employment District area is envisioned as being contemporary auto-oriented development supporting regional and interstate commerce. Uses expected in commerce and employment corridors include a mix of commercial, office, service, medical, research and technology facilities. Secondary uses may include retail and office/showroom uses. A characteristic of the commerce and employment district is high visibility and excellent vehicle access. The vision of the IX-S Zone is for regional-scale nodes, where office, research and development, and low-impact production and manufacturing with limited external impacts in an environment accessible via motor vehicle and walking. While day cares are not an office or light-industrial use, staff finds the service nature of day cares to be complementary to and supportive of those uses. In general, the characteristics of day cares are not incompatible with those of office or light industrial in terms of vehicular traffic, parking demand, or other external impacts. Additionally, Staff finds that the proposal furthers goals of the Plan to maintain and diversify the City’s strong employment base, and to create and develop mixed use centers and districts throughout the city, to support livability and community vitality Staff finds that this criterion is met. 2. Whether the proposed zoning map amendment corrects an error or inconsistency or will help meet the challenge of a changed or changing condition. Staff finds that there is a need for additional daycare facilities in the city, and the need is expected to persist given a projected population increase. The code amendment provides the opportunity for additional facilities by expanding the areas eligible for day care facilities. Accordingly, staff finds that this criterion is met. 5 Community Input and Engagement: • No community members commented on this item as of the writing of this report. • No community members spoke during the Planning and Zoning Commission’s public hearing on January 27, 2026. • Staff will provide an update to the Planning and Zoning Commission on all public comments received during the public hearing. Engagement Activities: • January 27, 2026 Planning and Zoning Commission public hearing. • Published notice of this public hearing in the City’s official paper. Alternatives: Zoning Text Amendments are considered legislative action. The City has a wide degree of discretion in creating legislation, but it must be reasonable and promote public health, safety, and/or general welfare. The City Council could consider the following alternatives: • Recommend modifications the proposal – such as added stipulations for large day cares in the IX-S zone. • Recommend denial of the proposal. NEXT STEPS If approved for a first reading, the required second reading of the Ordinance will be scheduled for the February 17 regular City Council meeting. Publication of the ordinance amendment in the City’s official paper is required to make the changes effective. 1 CITY OF HOPKINS HENNEPIN COUNTY, MINNESOTA ORDINANCE NO. 2026-1233 AN ORDINANCE AMENDING THE HOPKINS DEVELOPMENT CODE ALLOWING LARGE DAY CARES AS A PERMITTED USE IN THE IX-S ZONE SECTION 2. Article 5, Section 102-510 (a), Table 5-1 is hereby amended by adding the double-underlined language, as follows: Table 5-1. Principal Use Table ZONES Reference MX-TOD MX-D MX-N MX-S RX-TOD RX-D RX-N IX-TOD I-TOD IX-S I1 N1, N2 N3-A N3-B NX1 NX2 P1 P2 RESIDENTIAL 102-530 Household Living, 1 unit ◓ ◓ ◓ ◓ ● ● ● – – – – ● ● ● ● ● – – Household Living, 2 units ◓ ◓ ◓ ◓ ● ● ● – – – – – ● ● ● ● – – Household Living, 3–4 units ◓ ◓ ◓ ◓ ● ● ● – – – – – – – ● ● – – Household Living, 5+ units ◓ ◓ ◓ ◓ ● ● ● – – – – – – – – ● – – Manufactured Home Park – – – – – – – – – – – – ○ ○ ○ ○ – – Group Living (except as below) ◓ ◓ ◓ ◓ ● ● ● – – – – – – – ○ ○ – – Residential Facility, Small ● ● ● ● ● ● ● – – – – ● ● ● ● ● – – 102-580 (h) Residential Facility, Large ○ ○ ○ ○ ○ ○ ○ – – – – – – – ○ ○ – – 102-580 (h) COMMERCIAL 102-540 Adult-Oriented Business – – – ● – – – – – ● ● – – – – – – – Animal Boarding – – – – – – – ● ● ● ● – – – – – – – Consumer Service ● ● ● ● ◐ ◐ ◐ ◐ ● ● ● – – – – – – ◐ Day Care, Adult ● ◓ ● ● ◐ ◐ ◐ ◐ ● ● – – – – ○ ○ – ● Day Care, Small ● ◓ ● ● ◐ ◐ ◐ ◐ – – – ● ● ● ● ● – – Day Care, Large ● ◓ ● ● ◐ ◐ ◐ ◐ – ● – – – – ○ ○ – – Entertainment Venue, Large – – – ● – ● – ● – ● – – – – – – ○ ● Funeral & Mortuary Service – – – – – – – – – – – – – – – – – – Lodging (except as below) ● ◓ ◓ ● ● ● ● – – ● – – – – – – – – Short-Term Rental ◓ ◓ ◓ ◓ ● ● ● – – – – ○ ○ ○ ○ ○ – – 102-580 (h) Office ◑ ◑ ● ● ● ● ● ● ● ● ● – – – – – – – 102-580 (d) Personal Credit Establishment ○ – – ○ – – – – – – – – – – – – – – 102-580 (g) Retail & Entertainment (except as below) ● ● ● ● ◐ ◐ ◐ ◐ – – – – – – – – – ◐ Brewpub – ● ● ● – ◐ ◐ – – – – – – – – – – – 102-580 (a) 2 Firearms Sales Establishment – – – ○ – – – – – – – – – – – – – – 102-580 (b) Liquor Sales, Off-Sale ● ● ● ● ◐ ◐ ◐ ◐ – – – – – – – – – – 102-580 (e) Tobacco Sales Establishment ● ● ● ● ◐ ◐ ◐ ◐ – – – – – – – – – – 102-580 (j) Self-Service Storage – – – – – – – ○ – – ○ – – – – – – – 102-580 (l) Vehicle Sales & Service (except as below) – – – ○ – – – – ○ ○ ○ – – – – – – – 102-580 (n) Major Vehicle Repair & Maintenance – – – – – – – – ○ ○ – – – – – – – 102-580 (n) MANUFACTURING & INDUSTRY 102-550 Manufacturing, Artisan ● ● ● ● ◐ ◐ ◐ ● ● ● ● – – – – – – – Manufacturing, Limited – – – – – – – ● ● ● ● – – – – – – – High-Impact Industry – – – – – – – – – – ● – – – – – – – Urban Farm – – – – – – – ● ● ● ● – – – – – ● – 102-580 (l) Warehousing & Distribution – – – – – – – – ● ● ● – – – – – – – CIVIC & INSTITUTIONAL 102-560 College ◓ ◓ ◓ ◓ ● ● ● ● – – – – – – – – – ● Community Assembly ◓ ◓ ◓ ◓ ● ● ● – – – – – – – – – – ○ Cultural Facility ● ● ● ● ● ● ● ● ● ● – – – – – – ● ● Community Garden ● – ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● 102-580 (c) Detention or Correctional Facility – – – – – – – – – – – – – – – – – ○ Hospital – – – – ○ ○ – – – – – – – – – – – ● Parks and Open Space – – ● ● ● ● ● ● ● ● ● ○ – – – – ● ● 102-580 (f) School ◓ ◓ ◓ ◓ ● ● ● – – – – – – – – – – ○ Utilities & Services, Minor ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● 102-580 (m) Utilities & Services, Major ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ 102-580 (m) OTHER 102-570 Wireless Communication Facility 102-580 (o) Tower – – – – – – – – – – ○ – – – – – – – 102-580 (o) Cannabis Businesses Cannabis & Hemp Retail ● ● ● ● ◐ ◐ ◐ ◐ – – – – – – – – – – 102-580 (p) Cannabis Cultivation, Small-scale ● ● ● ● ◐ ◐ ◐ ● ● ● ● – – – – – – – 102-580 (p) Cannabis Cultivation, Large-scale – – – – – – – ● ● ● ● – – – – – – – 102-580 (p) Cannabis & Hemp Product Manufacturing, Small-scale ● ● ● ● ◐ ◐ ◐ ● ● ● ● – – – – – – – 102-580 (p) Cannabis & Hemp Product Manufacturing, Large-scale – – – – – – – ● ● ● ● – – – – – – – 102-580 (p) Cannabis Wholesale & Transportation – – – – – – – – ● ● ● – – – – – – – KEY: ● = Permitted ◓ = Permitted in Upper Stories Only ◐ = Limited to No More than 25% of Building Area ◑ = Limited on first floor to buildings on the interior of a block see 102-580 (d) ○ = Requires Conditional Use Approval – = Prohibited SECTION 3. In accordance with Section 3.03 of the City Charter and Minn. Stat. § 412.191, subd. 4, due to the significant length of this Ordinance, City staff shall have the 3 following summary printed in the official City newspaper in lieu of the complete ordinance: On December 16, 2025, the Hopkins City Council adopted Ordinance 2026-1233 that amends Chapter 10, Article XVIII of the Hopkins City Code to allow day care uses as a permitted use in the IX-S zone. A printed copy of the ordinance is available for inspection during regular business hours at Hopkins City Hall and is available online at the City’s web site located at www.hopkinsmn.com. SECTION 5. EFFECTIVE DATE. The effective date of this ordinance shall be the date of publication. First Reading: February 2, 2026 Second Reading: February 17, 2026 Date of Publication: February 26, 2026 Date Ordinance Takes Effect: February 26, 2026 By: ____________________________ Patrick Hanlon, Mayor ATTEST: ______________________________ Amy Domeier, City Clerk CITY OF HOPKINS HENNEPIN COUNTY, MINNESOTA RESOLUTION 2026-005 A RESOLUTION APPROVING A FIRST READING OF ORDINANCE 2026-1233 AMENDING THE HOPKINS DEVELOPMENT CODE ALLOWING LARGE DAY CARES AS A PERMITTED USE IN THE IX-S ZONE WHEREAS, the Hopkins Development Code is intended to establish the development standards to implement the community vision and enact the vision, goals and policies of the 2040 Comprehensive Plan – Cultivate Hopkins (“the Plan”); and WHEREAS, the Plan’s Land Use Section states goals to maintain and diversify the City’s strong employment base, and to create and develop mixed use centers and districts throughout the city, to support livability and community vitality; and WHEREAS, The Plan’s Land Use section also designates certain portions of the City as have a future land use designation of Commerce and Employment District; and WHEREAS, The Commerce and Employment District area is envisioned as being contemporary auto-oriented development supporting regional and interstate commerce. Uses expected in commerce and employment corridors include a mix of commercial, office, service, medical, research and technology facilities; and WHEREAS, The Hopkins Development Code establishes the IX-S, Employment Mix Suburban Center zoning designation within portions of the Commerce and Employment District; and WHEREAS, the vision of the IX-S Zone is for regional-scale nodes, where office, research and development, and low-impact production and manufacturing with limited external impacts in an environment accessible via motor vehicle and walking ; and WHEREAS, Mariela Pineda (“the Applicant”), on behalf of Creek Valley Properties LLC, owner of 509 2nd Avenue N, proposes a Development Code Text amendment to allow, as a permitted use, large day cares in the IX-S, Employment Mix Suburban Center zone; and WHEREAS, the procedural history of the Development Code Text Amendment is as follows: 1. That the above stated Development Code Text Amendment was initiated by the Application and deemed complete on December 26, 2025; and, 2. That the Hopkins Planning & Zoning Commission, pursuant to published notice, held a public hearing on the application and reviewed such application on January 27, 2026 and all persons present were given an opportunity to be heard; and, 3. That written comments and analysis of City staff were considered; and, 4. The Planning and Zoning Commission approved a resolution recommending that the City Council approve the proposed development code amendment; and WHEREAS, staff recommended approval of the proposed development code amendment based on the analysis provided in the City Council Report 2026-012 dated February 2, 2026. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Hopkins hereby approves first reading of Ordinance 2026-1233 amending the Hopkins Development Code allowing, as a permitted use, large day cares, in the IX-S, Employment Mix Suburban Center zone, based on the following findings of fact: 1. The requested development code amendment meets the following review criteria for text amendments: a. The proposed zoning text amendment is in conformity with the comprehensive plan • The Comprehensive Plan identifies areas within the IX-S zone primarily within the Commerce and Employment future land use category. The Commerce and Employment District area is envisioned as being contemporary auto -oriented development supporting regional and interstate commerce. Uses expected in commerce and employment corridors include a mix of commercial, office, service, medical, research and technology facilities. Secondary uses may include retail and office/showroom uses. A characteristic of the commerce and employment district is high visibility and excellent vehicle access. • The vision of the IX-S Zone is for regional-scale nodes, where office, research and development, and low-impact production and manufacturing with limited external impacts in an environment accessible via motor vehicle and walking. • While day cares are not an office or light-industrial use, staff finds the service nature of day cares to be complementary to and supportive of those uses. In general, the characteristics of day cares are not incompatible with those of office or light industrial in terms of vehicular traffic, parking demand, or other external impacts. b. The proposed zoning map amendment corrects an error or inconsistency or will help meet the challenge of a changed or changing condition. • There is a need for additional daycare facilities in the City, and the need is expected to persist given a projected population increase. The Development Code amendment provides the opportunity for additional facilities by expanding the areas eligible for day care uses. Adopted by the City Council of the City of Hopkins this 2nd day of February, 2026. By:___________________________ Patrick Hanlon, Mayor ATTEST: _______________________________ Amy Domeier, City Clerk ´ 1/22/2026 Day Care Zoning Amendment Goodrich St15th Ave NMainstreet Wayside R d W 11th Ave SMonroe Ave S21st Ave NWashingtonAveS5th Ave N14th Ave N6th St S Van Buren Ave N7th St S Minn e t o n k a M i l l s R d Texas AveWashingtonAveNFarmdale Rd W 5th Ave S M o n r o e P l Milwau k e e St Herman CtFarmdale Rd E 10th Ave NBlakeRdN8th St S Ashley Rd5th St N HazelLnHighway 7 Frontage Rd P r es to n L n Boyce St S h a d y s i d e C i r Tyler Ave NJackson Ave NInterlachen RdMonroe Ave N14thAveS9th Ave N6th Ave NMadison AveN 2nd St NE Oak Park Ln C a m p b ell D r 17th Ave N11th Ave NWayside R d E 1st St N 1st St S 3rd St N 2nd St N 4th St N 3rd St S 2nd St S 5th St S Herman TerPark LnOakridgeRdMaple Hill RdMurphyAveWest Pa r kRd 13th Ave N7th Ave NWest ParkValley Dr12th Ave N12th Ave S9th Ave SOxford St 18th Ave S18th Ave N13thAveSLake St NE 8th Ave NAlthea Ln19th Ave SElmoParkServiceRdWestbrookeW ay17th Ave SOakwood RdCambridge St Van Buren Ave SHarrison Ave S20th Ave N16th Ave N19th Ave NPowell Rd6th Ave S8th Ave S7th Ave SBlake Rd SHolly RdH olly h o c k Ln15th Ave S16th Ave SRidgewoodDr10th Ave S20th Ave SBurnesDrJackson Ave SGethsemane RdOakglenDrSweetBriarLnSaint L o uis St East Park Valley Dr2ndAveSHiawatha Ave VantorIX-S Properties 1/20/2026 Day Care Zoning Amendment Goodrich St15thAveNMainstreet W a y s i d e R d W 11th Ave SMonroe AveS21st Ave NWashingtonA ve S5th Ave N14thAveN6th St S VanBurenAveN7th St S Minn e t o n k a M i l l s R d Drillane Cir TexasAveW ashingtonAveNFarmdaleR d W FeltlCt5th Ave SOakridge RdH erm anCtFarmdale Rd E 10th Ave NBlake Rd N8th St S Drillane Rd Ashley Rd5th St N HazelLnH i g h w a y 7 F r o n t a g e Rd Tyler Ave NJacksonAveNMonroe Ave N14thAveSValleyWay2 n d S t N 9th Ave N6th Ave NMadison AveN 2nd St N E Loring Rd HomedaleRdMill RdOak Park Ln C a mp b e ll Dr17thAveN11th Ave NWaysideRdE 1st St N 1st St S Boyce St 3rd St N P re s t on Ln 4th St N 3rd St S 2nd St S 5th St S HermanTerParkLnMapleHill RdWestPark Rd13thAveN7th Ave NBridle Ln WestParkValleyDr12th Ave NSaint Albans R d E Wilsh ire W a lk Webster P l Meadowbrook Rd12thAveS9thAveSEdgemoor DrOxford St 18thAveSCottage Downs 18thAveND rilla n e RdN 13thAveSLake St NE 8th Ave NAlth e a Ln19th Ave S17th Ave SOakwood RdCambridge St Hawthorne RdVanBurenAveSInterlachenRdHarrisonAveS20th Ave NS aint Al bansRd W16th Ave N19thAveNPowell Rd6th Ave S8thAveS7th Ave SBlakeRd SHolly RdW estbro o ke Way15thAveS16thAveSP a r k T e r r a c e 10thAveS20th Ave SBurnesDrJacksonAveSDivision St F le t c h e r Pl ManitobaRd OakglenDrRobinwoodLn SweetBriarLnS a in t Lo u isStEastParkValleyDr2ndAveSElmo ParkService RdHia w athaAve Vantor Conditionally allowed: NX1 & NX2 Allowed in unlimited area: MX-TOD, MX-N, & MX-S Allowed only within 25% of the building’s area: RX-TOD, RX-D, RX-N, & IX-TOD Allowed only in upper stories: MX-D