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VII.1. First Reading of Ordinance 2026-1234 Amending the Development Code to Reclassify Short Term Rentals as a Permitted Use in Neighborhood Zones; Gallagher 1 City Council Report 2026-074 To: Honorable Mayor and City Council Members Mike Mornson, City Manger From: Sam Gallagher, Associate Planner Date: July 14, 2026 Subject: First Reading of Ordinance 2026-1234 Amending the Development Code to Reclassify Short Term Rentals as a Permitted Use in Neighborhood Zones _____________________________________________________________________ REQUEST Consider a first reading of Ordinance 2026-1234 amending the Development Code to: • Reclassify Short-term rentals (STRs) as Permitted Uses within N1, N2, N3-A, N3-B, NX1, NX2, Neighborhood Zones, subject to licensing requirements and supplemental use regulations. The proposed amendment is the result of City Council discussion to eliminate the Conditional Use Permit (CUP) requirement while retaining the City’s licensing, inspection, and operational regulations for STRs. RECOMMENDATION MOTION TO adopt Resolution 2026-024 approving the first reading of Ordinance 2026-1234 amending the Development Code. ANALYSIS Background and Recent Experience The growth of online platforms such as Airbnb and Vrbo has expanded the short -term rental (STR) market and prompted communities across the country, including Hopkins, to consider how these uses should be regulated. Since adoption of the 2022 Zoning Code update, two applications for Conditional Use Permits (CUPs) for STRs have been reviewed by the Planning & Zoning Commission and City Council, in 2022 and 2025. These applications provided an opportunity to evaluate the City's regulatory framework in practice. During the review process, discussions focused on neighborhood character, property values, housing availability, nuisance enforcement, unpermitted STR activity, and the City's ability to administer a Planning & Development CITY OF HOPKINS 2 fair and consistent approval process. Staff has not received complaints regarding nuisance activity or noncompliance associated with STRs in Hopkins. Information found 2026 Assessment Report (see page 55) shows that Hopkins’ growth in single family residential market value is not exceeding the County’s growth which suggests there is not direct correlation that allowing short-term rentals as a conditional use since 2022 subdues single family housing supply which would result in higher increases property values. Following approval of the most recent STR CUP, staff understood that there was interest in exploring the modification to allow STRs as a permitted use in neighborhood zoning districts. Limitations of the Conditional Use Permit Process Staff believe the Conditional Use Permit process is not ideally suited to regulating STRs because many concerns associated with STRs relate to the future behavior of guests and ongoing operational characteristics rather than the physical characteristics of a property. A Conditional Use Permit is intended to evaluate whether a use is appropriate for a particular property based on objective land use considerations and established approval criteria. In the context of STRs, concerns often relate to issues such as noise, parking, occupancy, and property management practices. Evaluating these concerns during a CUP review requires decision-makers to make assumptions about the behavior of future guests, making it difficult to apply approval criteria consistently and objectively from one application to another. Additionally, a CUP runs with the property and remains valid so long as its conditions are met. This limits the City's ability to adapt operational requirements over time in response to changing market conditions, community feedback, or emerging trends. Staff believe that the licensing framework with clearly defined operational standards is an effective and legally defensible mechanism for regulating STRs, monitoring compliance, and addressing community concerns on an ongoing basis. Properties Operating a STR without a CUP or Rental License Staff have not received complaints regarding properties operating a STR in Hopkins and do not have a complete record of unpermitted STRS in Hopkins. Planning and Zoning Commissioners recommended that staff provide research to Council on unpermitted STRs operating in Hopkins. Staff found that there are at least 12 unpermitted STRs operating throughout Hopkins Neighborhood Zones, including Bellegrove, The Avenues, Presidents, Cottageville, and South Presidents neighborhoods. The Conditional Use Permit process is difficult to apply consistent and objective approval for STR guest activity and may deter property owners from complying with regulatory and licensing requirements. Prohibiting STRs in Hopkins may perpetuate unpermitted STRs operating in Hopkins without required inspections, licensing and compliance with conditions. The proposed amendment to eliminate the CUP process may encourage compliance with rental licensing requirements, help property owners be aware of conditions to operate a STR and help staff monitor compliance to address 3 community concerns on an ongoing basis. Staff will follow up with identified potential unpermitted STRs with information about requirements and procedures persistent to the Council’s decision on the proposed amendment. Existing Regulatory Framework Prior to the 2022 Zoning Code update, STRs were not specifically addressed in City Code. Beginning in 2018, staff administratively regulated STRs in a manner similar to bed and breakfast establishments because of their comparable operational characteristics. During the code update process STRs were studied in greater detail and ultimately established as a distinct land use with specific regulations. The current regulatory framework is summarized below. Current Requirements STRs are currently subject to three layers of regulation: Zoning regulations, Rental licensing requirements, and general nuisance ordinances. Short-term rentals (STRs) are considered by zoning code to be a form of lodging. Lodging is described as “establishments that provide temporary lodging for less than 30 days to transient guests who maintain a permanent place of residence elsewhere.” STRs are defined as “all or portion of a residential dwelling unit offered for rent to overnight guests for fewer than 30 consecutive days.” STRs are permitted in non-industrial mixed-use zones, conditional in neighborhood zones, and prohibited in all other zones. All permitted STRs in the City are subject to the Supplemental Use Regulations established by the code, which are: 1. Short-term rentals must comply with all applicable licensing and permit requirements of the city and Hennepin County. 2. No more than 6 adults and their dep endent children may occupy rooms within a short-term rental. 3. Short-term rentals are not permitted on lots occupied by accessory dwelling units. 4. External structural alterations or site improvements that change the residential character of the lot upon which a short-term rental is located are prohibited. Examples of such prohibited alterations include the construction of a parking lot, the addition of commercial-like exterior lighting, and signage. 5. A register of short-term rental guests must be maintained and made available to the city upon request. 6. Short-term rentals may not be used for special events to be attended by individuals who are not registered guests of the short-term rental unit. The City Code’s rental licensing requirements apply to STRs in the same manner as any other rental dwelling unit. Licensing requirements include an annual fee based on property type (single family, two units, three units or more), initial inspection, and 4 routine rental inspections every one to five years, based on the grade of the initial inspection. A rental property may be inspected at any time between routine inspections on a compliant basis to the City. The City’s general nuisance ordinances regarding noise, trash, and parking all apply to properties used for STR the same way they do for all other properties in the City. These ordinances reinforce the expectation to be a good neighbor and grant the City authority to stop in if nuisances persist. Supplemental Use Regulations Review Standards During the discussion of the proposed ordinance amendments, the Planning & Zoning Commission expressed interest in exploring additional supplemental use regulations for short-term rentals in Neighborhood Zones. Additional regulations included support to remove the prohibition of Backyard Cottages (also referred to as Ac cessory Dwelling Units or ADUs) as STRs, a minimum stay duration for STR guests, and a homesteading or owner-occupied requirement to operate a STR depending on future housing stock concerns. Staff can convene a discussion with the City Council and/or the Planning and Zoning Commission and bring forward additional ordinance modifications at a future date. Proposed Amendment Reclassification of Short-term Rentals in Neighborhood Zones The proposed amendment would reclassify short-term rentals from conditional uses to permitted uses within the N1, N2, N3-A, N3-B, NX1, NX2, Neighborhood Zones. As a result, short-term rentals within neighborhood zones would be permitted, subject to licensing requirements and supplemental use regulations. The proposed change provides consistent and objective review criteria for administrative approval of short-term rentals with ongoing review for compliance with licensing and supplemental use regulations. The Hopkins Zoning Map shows which property areas are Neighborhood Zones. Permitted uses are permitted as-of-right, subject to compliance with all other applicable regulations, including rental licensing, inspections, and supplemental use regulations. The proposed amendment would remove the Conditional Use Permit review by City Council. Peer Communities: Staff surveyed STR regulations of similar and nearby communities: City Regulation Notes St Louis Park STRs are not permitted. Edina STRs are not permitted. Minnetonka New ordinance adopted by City Council will take effect on January 1, 2027, that STRs are permitted provided the property is homesteaded. All properties must comply with the City’s building code and nuisance ordinance. 5 Eden Prairie STRs are not regulated differently from long-term rental units. An annual rental license is required for all rental properties and is non- transferable. Minneapolis STRs are permitted in residential zones with a restriction that a property owner can have one short-term rental property in addition to their homestead property. In buildings with 20 or more units, no more than 10 percent of units can be STRs. Richfield No STR may be rented for a term of less than five days unless the licensee resides on site and is present during the term. Modified in 2025 Plymouth STRs are permitted with a City license STR operators must complete a training: view on YouTube. Peer communities utilize a range of approaches for regulating short-term rentals, from outright prohibition to licensing-based regulatory frameworks. Communities that allow STRs have administrative licensing models that focus on operational standards and enforcement rather than discretionary land use approvals. The factors driving these approaches vary among communities. Some communities prioritize mitigating neighborhood impacts associated with tourism and visitor activity, while others focus on preserving housing supply and affordability, or a combination thereof. Based on Hopkins' experience administering its short-term rental regulations, staff has not identified significant nuisance issues associated with permitted short -term rentals, nor has there been substantial interest in establishing short-term rentals within the community. As a result, staff do not find that current condi tions warrant a more restrictive regulatory approach. However, should market conditions, housing trends, or operational impacts change over time, the City would retain the ability to revisit its regulatory framework and consider additional regulations as appropriate. Community Input and Engagement: The Planning and Zoning Commission held a duly noticed public hearing on June 23, 2026. Two community members who had jointly contacted and met with staff regarding STRs, expressed concerns that STRs can diminish neighborhood cohesion, neighbor relationships, providing quality housing stock, and potential impacts to adjacent properties associated with transient lodging activity. They also expressed concerns regarding monitoring compliance of STRs that are disruptive. They requested that the City solicit feedback from residents and prohibit STRs in Hopkins. Following the public hearing and discussion, the Commission recommended approval of the proposed ordinance amendment. 6 As of the preparation of this report, additional written public comments were received regarding the proposed amendment and are attached. These comments express concern that STRs diminish neighbor relationships and neighborhood character, increase congestion and reduce public safety in neighborhoods. Comments also recommended a homesteading requirement be included in STR supplemental use regulations. Review Criteria: Staff find that the proposed code amendment meets the criteria for approval. In making decisions about development code text amendments, the City must consider all relevant factors, including at least the following criteria: 1. Whether the proposed Development Code text amendment is in conformity with the comprehensive plan. The development code amendment is consistent with the goals and policies of the 2040 Comprehensive Plan. The Plan’s Land Use Section identifies a goal of creating and developing mixed use centers and districts throughout the city, to support livability and community vitality. Furthermore, the plan seeks to accommodate growth and expansion of the destination specialty market, which includes entertainment, arts, and experiential businesses. The proposed amendment accommodates economic growth of destination uses by providing accommodations for visitors to patron businesses and centers and also stay short-term in Hopkins. Additionally, the proposed development code amendment supports the Plan’s Housing Section provides goals for maintaining the quality and safety of the overall housing stock, and maintaining a choice of quality housing options, including those meeting the needs of a variety of household types and life stages. The proposed amendment maintains opportunities for homeowners to utilize their properties for short-term rental purposes while preserving the City's existing licensing, inspection, and nuisance enforcement mechanisms. Short term rentals allow flexibility for homeowners by providing an opportunity to generate supplemental income from their property. Staff finds that the amendment supports the Comprehensive Plan's goals related to housing choice and flexibility while maintaining appropriate safeguards for neighborhood compatibility. Staff finds that this criterion is met. 2. Whether the proposed Development Code text amendment corrects an error or inconsistency or will help meet the challenge of a changed or changing condition. The proposed development code amendment responds to experience gained through administration of the City's short-term rental regulations since adoption of the 2022 Zoning Code update. Through review of two Conditional Use Permit applications, staff has found that the Conditional Use Permit process is not ideally suited to regulating short-term rentals because many of 7 the concerns associated with these uses relate to operational characteristics and the behavior of future guests rather than objective land use impacts. Staff finds that allowing short-term rentals as a permitted use in neighborhood zoning districts, while retaining the City's licensing and operational regulations, provides a more consistent and effective regulatory framework and better positions the City to adapt regulations in response to changing conditions over time. Additionally, the proposed amendment would eliminate the need for a discretionary Conditional Use Permit approval while maintaining existing licensing, inspection, and enforcement requirements. Staff finds that a licensing-based approach provides a more efficient and predictable process for property owners while continuing to provide the City with the tools necessary to monitor compliance, address nuisance concerns, and enforce operational standards. Staff finds that this criterion is met. Alternatives: The proposed amendment is a legislative action and the City Council has broad discretion in establishing land use regulations that promote the public health, safety, and general welfare. The Council may: • Approve the first reading of the Ordinance as proposed • Approve the first reading with modifications to specific neighborhood zones. Any further additions would likely need to be considered as a separate ordinance following appropriate procedures with the Planning and Zoning Commission. • Deny the proposed Ordinance amendment NEXT STEPS If the City Council approves the first reading of the Ordinance, a second reading will be scheduled for the August 3, 2026 City Council meeting. Upon adoption the ordinance will become effective once published in the City’s official paper. 1 CITY OF HOPKINS HENNEPIN COUNTY, MINNESOTA ORDINANCE NO. 2026-1234 AN ORDINANCE AMENDING THE HOPKINS DEVELOPMENT CODE ALLOWING SHORT TERM RENTALS AS A PERMITTED USE IN NEIGHBORHOOD ZONES SECTION 1. Article 5, Section 102-510 (a), Table 5-1 is hereby amended by deleting the striken language and 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 2. 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 August 3, 2026, the Hopkins City Council adopted Ordinance 2026-1234 that amends Article 5 of the Hopkins Development Code to reclassify Short Term Rentals as a permitted use in Neighborhood Zones. 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 3. EFFECTIVE DATE. The effective date of this ordinance shall be the date of publication. First Reading: July 14, 2026 Second Reading: August 3, 2026 Date of Publication: August 3, 2026 Date Ordinance Takes Effect: August 13, 2026 By: ____________________________ Patrick Hanlon, Mayor ATTEST: ______________________________ Amy Domeier, City Clerk CITY OF HOPKINS HENNEPIN COUNTY, MINNESOTA CITY COUNCIL RESOLUTION NO. 2026-024 A RESOLUTION APPROVING A FIRST READING OF ORDINANCE 2026-1234 AMENDING THE HOPKINS DEVELOPMENT CODE TO RECLASSIFY SHORT TERM RENTALS AS A PERMITTED USE IN NEIGHBORHOOD ZONES 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; and WHEREAS, the Plan’s Housing Section provides goals for maintaining the quality safety and character of the existing housing stock, and maintaining a choice of quality housing options, including those meeting the needs of a variety of household types and life stages; and WHEREAS, the Plan’s Land Use Section provides goals of creating and developing mixed use centers and districts throughout the city to support livability and community vitality, including accommodating economic growth of destination uses and to patron businesses and centers; and WHEREAS, N1, N2, N3-A, N3-B, NX1, NX2, Neighborhood Zones were established to accommodate varying suburban, traditional residential detached houses, semi -detached houses, two-unit houses, and attached houses; and WHEREAS, Short-Term Rentals are currently listed as a conditional use with supplemental use regulations in the N1, N2, N3-A, N3-B, NX1, NX2, Neighborhood Zones; and WHEREAS, City staff, on behalf of the Planning and Zoning Commission, has drafted Ordinance 2026-1234, a Development Code Text Amendment to reclassify Short-Term Rentals as a permitted use in Neighborhood zones to encourage fulfillment of the goals and vision of the Comprehensive Plan; 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 City; and, 2. That the Hopkins Planning & Zoning Commission, pursuant to published notice, held a public hearing on the application and reviewed such application on June 23, 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, WHEREAS, staff recommended the Planning & Zoning Report Commission recommend approval of the above stated application based on the analysis provided in the City Council Report 2026-074 dated July 14, 2026. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Hopkins hereby recommends that the City Council approve a first reading of Ordinance 2026-1234 based upon the following findings: 1. The proposed zoning text amendment is in conformity with the Comprehensive Plan. a. The development code amendment is consistent with the goals and policies of the 2040 Comprehensive Plan. The Plan’s Land Use Section identifies a goal of creating and developing mixed use centers and districts throughout the city, to support livability and community vitality. Furthermore, the plan seeks to accommodate growth and expansion of the destination specialty market, which includes entertainment, arts, and experiential businesses. The proposed amendment accommodates economic growth of destination uses by providing accommodations for visitors to patron businesses and centers and also stay short-term in Hopkins. b. Additionally, the proposed development code amendment supports the Plan’s Housing Section provides goals for maintaining the quality and safety of the overall housing stock, and maintaining a choice of quality housing options, including those meeting the needs of a variety of household types and life stages. c. The proposed amendment maintains opportunities for homeowners to utilize their properties for short-term rental purposes while preserving the City's existing licensing, inspection, and nuisance enforcement mechanisms. Short term rentals allow flexibility for homeowners by providing an opportunity to generate supplemental income from their property. Staff finds that the amendment supports the Comprehensive Plan's goals related to housing choice and flexibility while maintaining appropriate safeguards for neighborhood compatibility. d. The proposed zoning text amendment helps address a changed or changing condition. 2. The proposed Development Code text amendment corrects an error or inconsistency or will help meet the challenge of a changed or changing condition. a. The proposed development code amendment responds to experience gained through administration of the City's short-term rental regulations since adoption of the 2022 Zoning Code update. Through review of two Conditional Use Permit applications, staff has found that the Conditional Use Permit process is not ideally suited to regulating short-term rentals because many of the concerns associated with these uses relate to operational characteristics and the behavior of future guests rather than objective land use impacts. Staff finds that allowing short-term rentals as a permitted use in neighborhood zoning districts, while retaining the City's licensing and operational regulations, provides a more consistent and effective regulatory framework and better positions the City to adapt regulations in response to changing conditions over time. b. Additionally, the proposed amendment would eliminate the need for a discretionary Conditional Use Permit approval while maintaining existing licensing, inspection, and enforcement requirements. Staff finds that a licensing - based approach provides a more efficient and predictable process for property owners while continuing to provide the City with the tools necessary to monitor compliance, address nuisance concerns, and enforce operational standards . 3. The proposed amendment promotes the public health, safety, and general welfare by regulating short-term rentals through a licensing and enforcement framework that provides ongoing oversight, supports consistent administration, and enables the City to address operational impacts and community concerns. Adopted by the City Council of the City of Hopkins this 14th day of July, 2026. __________________________________ Patrick Hanlon, Mayor ATTEST: _______________________________ Amy Domier, City Clerk This Message Is From an Untrusted Sender You have not previously corresponded with this sender. From:A Dapper To:Ryan Krzos Subject:Airbnb in Interlachen Park Date:Monday, July 6, 2026 8:45:01 AM Dear Mr Krzos, I have lived in Hopkins for 5 years. We have a true Mayberry feel in our small residential neighborhood. Kids freely roam, dogs are walked, and babies pushed throughout of charming and well connected neighborhood. We have a historic neighborhood association which hosts family friendly events throughout the year. There are many families seeking safe, friendly neighborhoods to call home. Let’s not take permanent housing away from families who need it. Allowing a home to be rented out for short term stays violates all the great features we enjoy. Many large and small cities have banned these short term rentals due to the demonstrated risks from allowing frequent transient guests in established neighborhoods/buildings. There are many hotels available to any guests seeking accommodation. Any violation we note will the need to be reported to the police, which will consume precious resources and change the safety and security of our homes and streets. I respectfully ask you to reconsider any allowance for short term rentals in Hopkins. Hopkins is so friendly and charming. Let’s protect something so good in this crazy world. Anna C Dapper 249 Interlachen Road www.vannurdenlaw.com This Message Is From an Untrusted Sender You have not previously corresponded with this sender. From:ACS To:Ryan Krzos Subject:Concern Date:Tuesday, July 7, 2026 5:12:29 PM Dear Ryan, I am a resident of the Interlachen Park neighborhood and am writing to express my concern regarding the proposed changes that would allow short-term rentals in residential neighborhoods without the current Conditional Use Permit requirement. Interlachen Park is a close-knit neighborhood with many young families, children playing outside, and neighbors who know and look out for one another. We already experience significant traffic from Blake School, the new church in our neighborhood and Meadowbrook Golf Course events and activities. Adding a revolving door of short-term guests raises concerns about additional traffic, parking, safety, and preserving the character of our neighborhood. I respectfully ask the City to pause the July 14 vote and take more time to consider reasonable guardrails, such as owner-occupancy requirements or other protections that balance property rights with the interests of established residential neighborhoods. Thank you for your time and consideration, and for listening to the residents who call Hopkins home. Sincerely, Angie Simons This Message Is From an Untrusted Sender You have not previously corresponded with this sender. From:Dan Marx To:Ryan Krzos Subject:Hopkins Short Term Rental concerns Date:Thursday, July 2, 2026 9:01:32 AM Hi Ryan, I'm writing to you as a concerned homeowner in the Interlachen Park neighborhood of our awesome city of Hopkins. It has become known to us that STRs in residential zones are up for a vote on July 14, we are adamantly against this proposal as residential neighborhoods need to be cherished. Studies have shown STRs have a negative effect on homeownership rates, neighborhood disruption and safety concerns due to underlying social dynamics disruption (studies linked below). We ask that you pause the vote, acquire and analyze more data and make an informed decision with us as residents and taxpayers. Thank you, Dan and Laura Marx 44 Meadowbrook Rd, Hopkins, MN 55343 1.Airbnb and neighborhood crime: The incursion of tourists or the erosion of local social dynamics? 2.The Effects of Short-term Rentals on Communities and How to Legislate Them: An Expanded Literary Review -- Dan Marx This Message Is From an Untrusted Sender You have not previously corresponded with this sender. From:katie dalton To:Ryan Krzos Subject:Hopkins Short term rentals Date:Thursday, July 2, 2026 7:46:31 AM Dear Ryan, My name is Katie Almquist and I live in Interlachen Park neighborhood on Holly Rd. I am writing you today to voice my strong concerns about short term rentals in residential zones. We bought our house for the neighborhood and community feel that Interlachen Park offers, with safe streets for kids & the idea that neighbors all know each other and look out for each other. This community feel along with the neighborhood events put on by the neighborhood association (which we pay for) are at risk with introducing short term rentals. Our home value decreases, our kids safety decreases (random strangers in and out of the neighborhood), and we lose the community feel. We strongly urge Hopkins City Council to pause on the July 14th vote and add guardrails around the use of short term rentals that are similar to neighboring cities-Edina, St Louis Park and Minnetonka. There are already plenty of rental properties in Hopkins and our neighborhood has remained attractive to buyers because of this neighborhood. This is all in jeopardy by allowing short term rentals here. Short term rentals will be one more reason for a buyer to purchase a home one block over in Edina or St. Louis Park. Not adding guardrails to the use of short term rentals will also further deplete from the Hopkins public schools-less families moving in and more landlords taking over this historical neighborhood, renting to people just passing through. Thank you for your consideration. Sincerely, Katie Almquist This Message Is From an Untrusted Sender You have not previously corresponded with this sender. From:helen chang To:Ryan Krzos Subject:Interlachen Park resident Date:Wednesday, July 8, 2026 12:37:04 PM Dear Mr. Kryzos, I am writing to inform you as a resident and homeowner of Interlachen Park, Hopkins that I strongly oppose STR in our residential area. I can assure you my belief is not in the minority. Thank you for all you do and for taking the time to read this. Sincerely, Helen Haertzen Dear Mayor and Members of the Hopkins City Council, I am writing to respectfully support the proposed amendment to allow short-term rentals as a permitted use in neighborhood zones, subject to the City’s existing licensing, inspection, and operational regulations. I appreciate that the proposed amendment would not remove City oversight or eliminate rules for short-term rentals. My understanding is that it would remove the Conditional Use Permit requirement while retaining the City’s licensing, inspection, and operating standards. I believe that is a reasonable and balanced approach. It creates a clear permit process for responsible owners while still protecting neighbors through rules around noise, occupancy, parking, safety, nuisance behavior, and compliance. I recently purchased the home at 125 Oakwood Road because I genuinely love the area, the neighborhood, downtown Hopkins, Interlachen Park, and the broader community. This is not a property I bought to operate carelessly or as a high-turnover rental investment. I bought it as a home I plan to personally use and enjoy over the coming years. At the same time, because I live out of state for much of the year, being able to rent the home when I am not using it is important to own, responsibly maintain, and continue improving the property. By most accounts, the property had previously been in very poor condition and detracted from the neighborhood. It previously been valued at $360,000 before it completed significant remodeling and rebuilding work. I purchased the property for $665,000 and have already invested approximately $50,000 more into improvements, furnishings, and design. I intend to continue investing in the home because it is both a personal home for me and a long-term investment in the Hopkins community. I understand why neighbors may have concerns about short-term rentals. As a neighbor, I would want strong safeguards in place: responsible guest screening, clear rules, no parties, limits on noise and occupancy, parking expectations, professional management, and immediate accountability if a guest creates a problem. Those are exactly the standards I am putting in place. The property will be professionally managed by The Works BnB, a local Twin Cities property management company. Safeguards will include exterior security cameras, noise monitoring devices, smart locks with unique guest access codes, guest verification including government-issued ID checks, signed rental agreements, clear house rules, strict fines for violations, and a zero-tolerance policy for parties, disruptive behavior, or nuisance guests. I support reasonable short-term rental regulations and believe the City should keep strong rules in place around licensing, inspections, occupancy, parking, noise, safety, and enforcement. I would respectfully ask that the City avoid adding overly restrictive requirements, such as a homestead requirement or minimum-stay rules, without careful consideration of the impact on responsible owners. A clear permit process with strong operating standards is the right balance. It protects neighbors, preserves City oversight, and allows responsible owners to continue investing in Hopkins. My intention is to be a respectful owner, a good neighbor, and a positive part of the Hopkins community for years to come. I appreciate the City’s thoughtful approach and respectfully support the proposed amendment. Thank you for your time and consideration. Sincerely, Josh Escobedo Owner, 125 Oakwood Road This Message Is From an Untrusted Sender You have not previously corresponded with this sender. From:Renee Kessler To:Ryan Krzos Cc:Patrick Hanlon; Sam Gallagher; Kersten Elverum Subject:Re: Planning and Zoning-Short Term Rental recommendation Date:Thursday, July 9, 2026 10:37:36 AM Attachments:image001.png Thank-you Ryan. This information is very informative. I remain opposed to relaxing the requirements for short-term rentals in single-family neighborhoods. Allowing short-term rentals without requiring a Conditional Use Permit removes an important layer of oversight and could lead to unintended consequences for our residential neighborhoods. Perhaps the reason the City receives so few applications for these permits is because the requirement itself serves as a deterrent. If so, that is a good thing. I hope to attend the City Council meeting on July 14 to hear the discussion and the Council's vote. Renee Kessler On Thu, Jul 9, 2026 at 10:01 AM Ryan Krzos wrote: Hello, Thanks for reaching out. I can assure you that we do track on housing and demographic data. For quick reference, the Metropolitan Council has a handy dashboard of data on a range of topics including housing (https://stats.metc.state.mn.us/profile/detail.aspx?c=02394417). Hopkins is a largely built-out community, so changes in proportions of owner-occupied and renter- occupied housing happen very gradually. While the proportion of rental housing may shift as new multifamily developments are constructed, this has not been at the loss of single-family neighborhoods to accommodate that growth since the 2021 data you reviewed – The 2020 Census shows 3,207 owner-occupied units, and in 2024 that number was estimated by Census to be 3,487. To date, the City has not observed a significant conversion of owner-occupied homes to short-term rentals. However, the City has the ability to change course as deemed necessary. You asked about the City Council's Strategic Plan strategy of supporting a range of housing options and opportunities for affordability. Progress toward that strategy is measured by advancing the action steps identified by the City Council as a part of that strategic planning effort. Current examples include completing an in-progress Housing Plan to identify community housing needs and strategies to address them, as well as working with the selected developer for Lot 800 to create new homeownership opportunities (under the action step of ‘Continue to explore development options for City property’), and working towards advancing the 325 Blake Rd redevelopment which contained ownership townhomes, and senior co-op units. While the City has limited direct role in dictating housing market outcomes, staff and the City Council work intentionally to expand opportunities for homeownership whenever feasible. Beyond Council’s Strategic Plan, we also recognize that there is a regional need for housing opportunities for all tenure types and income levels. The City values both homeowners and renters as important members of the community and recognizes that residents who rent contribute to the vitality and long-term success of the community. Thank you again for taking the time to share your comments. I will include your feedback as part of the public comments provided to the City Council for their consideration. Regards, -Ryan Krzos From: Renee Kessler Sent: Thursday, July 9, 2026 8:47 AM To: Ryan Krzos Cc: Patrick Hanlon Subject: Re: Planning and Zoning-Short Term Rental recommendation Dear Mr. Krzos, The data shared above is from 2021. It would be a worthy exercise to update these statistics for Hopkins and monitor them ongoing. In particular, given the City goal to "preserve the hometown feel of Hopkins" and related Dear Mr. Krzos, The data shared above is from 2021. It would be a worthy exercise to update these statistics for Hopkins and monitor them ongoing. In particular, given the City goal to "preserve the hometown feel of Hopkins" and related strategy to "Support a range of housing options and opportunities for affordability". How do you measure this and what does success look like? I do not doubt current data will reveal an even greater and significant rental percentage for the single family home stock and rental units overall in Hopkins. Regards, Renee Kessler On Wed, Jul 8, 2026 at 9:53 AM Ryan Krzos wrote: Hello, Thank you for sharing your comments. Your feedback will be shared with the City Council for their consideration on the proposed Ordinance Amendment at their July 14th meeting. Meeting agendas and materials will be available on the City’s website in advance of the meeting. Thank you again for taking the time to provide your input. Sincerely, -Ryan Krzos Ryan Krzos, AICP City Planner Phone: 952-548-6342 | RKrzos@hopkinsmn.com 1010 1st Street S, Hopkins, MN 55343 | hopkinsmn.com From: Renee Kessler Sent: Wednesday, July 8, 2026 9:34 AM To: Ryan Krzos Cc: Patrick Hanlon; Renee Kessler Subject: Planning and Zoning-Short Term Rental recommendation vote against expanding short-term rentals in Hopkins' Dear Mr Krzos, I recently learned that the City Council plans to vote on July 14 regarding short-term rentals in residential neighborhoods, including Interlachen Park. I urge the City Council to vote against expanding short-term rentals in Hopkins' single-family neighborhoods. Hopkins is proud of its small-town character and strong residential neighborhoods. Those qualities are built on stable, owner-occupied homes, neighbors who know one another, and families who invest their time and resources in the community. Publicly available housing data indicate that a substantial portion of Hopkins' housing is already renter-occupied. The City has also encouraged significant multifamily housing development, providing a wide range of rental opportunities. There is no compelling need to further convert single-family homes into short-term rental properties. Short-term rentals can increase turnover in neighborhoods, reduce the supply of homes available for permanent residents, and gradually change the character of residential areas. Even when responsibly managed, they are fundamentally different from homes occupied by long-term residents who become part of the community. If Hopkins is committed to preserving its family neighborhoods and maintaining the qualities that attract people to live here, it should protect its limited supply of single-family homes for long-term homeownership and long-term residency—not encourage their use as short-term lodging. I respectfully ask you to vote NO on this proposal and continue to prioritize neighborhood stability, homeownership, and the long-term interests of Hopkins residents. Publicly available housing data search: Hopkins has about 10,100 housing units. About 36.5% are owner-occupied and 63.5% are renter-occupied. That means approximately 6,000–6,400 occupied housing units are rentals. Most of those rental units are in apartments and other multifamily buildings, not single-family homes. About 60% of Hopkins' housing stock is multifamily. A frequently cited analysis of Twin Cities property records found that more than 25% of Hopkins' single-family homes were owned by investors or owners who did not live in the property around 2021. That category includes rental homes as well as some second homes and other non-owner-occupied properties. In summary: All rental housing in Hopkins: roughly 6,000–6,400 rental units (about 63% of occupied housing). Single-family homes rented by landlords: there is no official city count, but available analyses suggest more than one in four single-family homes may be non-owner-occupied, many of which are rentals. Renee Kessler, 210 Ashley Rd, Hopkins, MN This Message Is From an Untrusted Sender You have not previously corresponded with this sender. From:Jeff Phillips To:Ryan Krzos Subject:Please stop STRs in Interlachen Park Date:Monday, July 6, 2026 4:35:38 PM Hi Ryan I’d like to ask you and the city council to pause the July 14 vote on STRs in Interlachen Park and not to eliminate the CUP in a residential zone. I, and most within Interlachen Park, have concerns over safety/ traffic/ noise; outside investor owned STRs; home value decrease for immediate neighbors; overall impact to neighborhood feel; monitoring and reporting responsibilities fall to residents. Thank you for your consideration Jeff Phillips 250 Interlachen Rd Sent from my iPhone This Message Is From an Untrusted Sender You have not previously corresponded with this sender. From:MERRIL BUCKHORN To:Ryan Krzos Subject:RE: Short Term Rental in Interlachen Park Date:Wednesday, July 8, 2026 3:52:51 PM Attachments:image001.png Thanks, Mr. Krzos, for your reply. In terms of benefits, I understand that the city's businesses may benefit from STRs, though I would guess that STRs in the downtown area may contribute more to increased business, since Interlachen Park is on the edge of St. Louis Park and closer to gas stations and grocery stores and restaurants in that city. And while it's a nice little town and has improved over the 30+ years my husband and I have lived here, I don't really think of downtown Hopkins as a main destination for out-of- town guests. My husband and I are from the east coast and I don't think I've ever brought any guests into downtown Hopkins. In terms of benefits to Interlachen Park residents, I don't see any pros, just cons. So, to me, if the city allows STRs in Interlachen Park, it will tell my neighbors that they don't matter, that the city will do what they wish to the detriment of the residents here. And I know that we all pay a decent amount in property taxes, so I would hope the city would see us as partners. With the number of different schools Interlachen Park residents send their children to (buses going in all directions,) my guess is that IP residents will move to avoid those taxes if their kids aren't attending Hopkins schools and the neighborhood cohesion starts to fray because of STRs. As a 32 year resident of Hopkins, I hope the city continues to appreciate its residents and doesn't only consider the benefits of STRs through its own glasses. I appreciate that you got back to me so quickly, and I'm hoping you might share my thoughts from these emails with the city council. Have a great afternoon and a nice rest of your summer. Merril Buckhorn Dean Buckhorn 25 Homedale Road On 07/08/2026 10:46 AM CDT Ryan Krzos <rkrzos@hopkinsmn.com> wrote: Hi Merril, Thank you for reaching out. I'm glad to hear that you and your family have enjoyed living in Interlachen Park for so many years. I'd be happy to provide some background on the proposed ordinance amendment. More broadly, the City has recognized that short-term rentals are a legitimate use when they are appropriately regulated. They can provide accommodations for visitors, support local businesses with people visiting family and friends or just wanting to explore Hopkins, and provide homeowners with an opportunity to generate supplemental income from their property. At the same time, the City has adopted operational standards intended to minimize impacts on surrounding neighborhoods, including regulations related to occupancy, restrictions on events, and a licensing process. Currently, establishing a short-term rental requires approval of a Conditional Use Permit (CUP). The City is considering removing that requirement because a CUP is intended to evaluate whether a land use is appropriate for a particular property based on objective land use considerations. Many concerns associated with short-term rentals, however, relate to how they are operated, such as noise, parking, and guest behavior, rather than the physical characteristics of the property. That sets up situations where applicants may be treated differently based on arbitrary considerations, which put those decisions at risk of legal challenges. The proposed amendment would not change whether or not short-term rentals are allowed or remove the City's oversight. Property owners would still be required to obtain a City rental license, comply with all operational standards, and could face enforcement action or license revocation if violations occur. To date, we do not have any specific negative outcomes with short term rentals operating in Hopkins, but certainly the City would have the ability to revisit the policies if the need presents itself. I hope this helps explain the purpose of the proposed amendment. If you would like your thoughts or concerns shared with the Council you can submit those to me. Sincerely, -Ryan Krzos Ryan Krzos, AICP City Planner Phone: 952-548-6342 | RKrzos@hopkinsmn.com 1010 1st Street S, Hopkins, MN 55343 | hopkinsmn.com From: MERRIL BUCKHORN <mbuckhorn@comcast.net> Sent: Wednesday, July 8, 2026 10:18 AM To: Ryan Krzos <rkrzos@hopkinsmn.com> Subject: Short Term Rental in Interlachen Park Good morning Mr. Krzos! My name is Merril Buckhorn and my husband Dean and I have lived in Hopkins' Interlachen Park since 1994. It's been an amazing place for us, our kids grew up here, and we thank the city for years of help in keeping the Good morning Mr. Krzos! My name is Merril Buckhorn and my husband Dean and I have lived in Hopkins' Interlachen Park since 1994. It's been an amazing place for us, our kids grew up here, and we thank the city for years of help in keeping the neighborhood in great shape. I just heard yesterday that there's a house on Oakwood Road in our neighborhood whose new owner would like to use as a short term rental. I heard, too, that the city is voting soon on whether to remove the CUP process for homeowners who'd like to use their properties for reasons other than as main residences. What I'm unclear on, and I'm hoping you can clarify for me, is what the benefit would be to the city and/or to the existing neighbors of removing the CUP process and allowing an STR in a strictly residential neighborhood. I've googled it and the only benefit I read was that the STR owner may maintain the home well in order to rent it - so curb appeal. But well- maintained homes don't seem to be problems in our neighborhood. When you have the time, will you let me know what the city's thinking is in terms of voting on possibly removing the CUP process? I appreciate it. And I hope you have a good day. Take care, Merril Buckhorn Dean Buckhorn 25 Homedale Road Thank you for your time, your service to our community, and your thoughtful consideration of this important issue. David Almquist 201 Holly Rd Hopkins, MN 55343 This Message Is From an Untrusted Sender You have not previously corresponded with this sender. From:Sarah Dorion To:Ryan Krzos Subject:Short term rentals in Interlachen Park Date:Wednesday, July 8, 2026 12:27:59 PM Good afternoon Ryan, I am writing to ask you to please PAUSE on the July 14th vote, and add guardrails around STR's, similar to our neighboring cities. STR Concerns in Residential Neighborhoods: • Increased concern around safety, traffic, parking and noise • Reduction of single family housing stock for residents • Potential for outside investor-owned STR's • Decrease in home values of immediate neighbors • Monitoring and reporting falls back on residents • Impact to the strong neighborhood community feel We live in a very special neighborhood and anything that will interfere with our sense of safety and community is greatly concerning. Thank you, Sarah Dorion 212 Homedale Rd, Hopkins, MN 55343 This Message Is From an Untrusted Sender You have not previously corresponded with this sender. From:Peter Torvik To:Ryan Krzos Subject:Short Term Rentals Date:Thursday, July 2, 2026 3:21:12 AM To whom it may concern: As a 26 year residents and an owners of 3 different homes in Interlachen Park, my wife and I are strongly opposed to allowing short term air BNB-type rentals in our neighborhood. We will see you at the city council meeting. Peter Torvik Julie Holland 152 Ashley Road Get Outlook for iOS This Message Is From an Untrusted Sender You have not previously corresponded with this sender. From:jillshop To:Ryan Krzos Subject:STR in Resident Zones Date:Sunday, July 5, 2026 12:12:19 PM Dear Mr. Krzos and Members of the Hopkins City Council, I am a Hopkins resident writing to express my concern regarding the proposed changes to the City’s Short-Term Rental ordinance that would allow short-term rentals in all residential neighborhoods. I respectfully ask that you pause the July 14 vote and take additional time to gather community input before making a decision that could have lasting impacts on our neighborhoods. Like many residents, I chose to live in Hopkins because of its strong sense of community, stable residential neighborhoods, and family-friendly atmosphere. Allowing investor-owned short-term rentals throughout residential areas raises several concerns, including: Increased traffic, parking congestion, noise, and public safety concerns. This is especially a concern for my neighborhood in Interlachen Park as we are already dealing with parking congestion from the church each Sunday and for multiple events. The loss of single-family housing available for permanent residents. The potential for outside investors to purchase homes solely for commercial short-term rental use. Negative impacts on neighboring property values and neighborhood character. Placing the responsibility for monitoring and reporting violations on residents rather than ensuring proactive enforcement Many neighboring communities have adopted thoughtful guardrails to balance property rights with neighborhood preservation. For example, Minnetonka now requires short-term rental owners to be homesteaded, while St. Louis Park and Edina prohibit rentals of fewer than 30 days in residential neighborhoods. I encourage Hopkins to consider similar safeguards rather than adopting a policy that permits unrestricted short-term rentals in residential areas. Please take the time to carefully evaluate the long-term impacts, and develop an ordinance that protects both homeowners and the character of our neighborhoods. Thank you for your consideration and for your service to our community. Sincerely, Jill Murray Interlachen Park, Hopkins Resident Sent from my iPhone This Message Is From an Untrusted Sender You have not previously corresponded with this sender. From:Nora Watts To:Ryan Krzos Subject:Hopkins Short Term Rentals Date:Tuesday, June 23, 2026 3:42:12 PM Nora and Charles Watts 133 Oakwood Road Hopkins nora_watts@comcast.net June 23rd, 2026 Hopkins City Council 1010 1st St S Hopkins, MN 55343 RE: Opposition to the Proposed Short-Term Rental Ordinance Dear City Council Members, I am writing to you today as a dedicated resident of 26 years to formally express my strong opposition to the current proposal that would allow or expand short-term rentals (STRs) within our residential neighborhoods. I urge the City Council to deny this proposal and instead prioritize the stability, safety, and long-term vitality of our community. Allowing short-term rentals in residential zones poses several risks to our quality of life. My primary concerns regarding this proposal include: Neighborhood Character & Safety: The introduction of transient, commercial lodging disrupts the cohesion and peace of established family neighborhoods. Unlike traditional neighbors, short-term guests have no long-term stake in the community, often resulting in increased noise, traffic, and strain on neighborhood parking. Loss of Long-Term Housing: With housing affordability being a pressing issue, converting residential properties into full-time, short-term lodging removes available homes from the local market. This diminishes the housing stock for families and long-term residents who wish to put down roots in Hopkins. Lack of Accountability: Even with regulations in place, enforcing occupancy limits, quiet hours, and property maintenance is incredibly challenging for municipal staff. It creates a "mini-hotel" environment that shifts the burden of policing absent investors onto permanent residents. Hopkins is a vibrant and close-knit community. To preserve the very qualities that make our city a great place to live, we must protect our housing for the people who actually reside, work, and contribute to our local economy year- round. I strongly urge you to vote against the proposed short-term rental ordinance. Thank you for your time, your public service, and for considering the concerns of your constituents. Best Regards, Charles and Nora Watts To: Planning and Zoning Commission Members, Ryan Krzos (City Planner) and Sam Gallagher (Associate Planner) From: Maggie Sedoff, Hopkins resident 122 Oakwood Road Date: June 22, 2026 Subject: Short Term Rentals in Neighborhood Zones I am writing to urge the Planning and Zoning Commission of the City of Hopkins to deny the proposal to eliminate the need for a Conditional Use Permit (CUP), thereby allowing Short Term Rentals (STR’s) in neighborhood zones. I am asking that the City pause on issuing any new CUP’s for short term rentals in progress to allow for additional investigation and public feedback to shape a new proposal to our City Zoning Code/Ordinances. While I agree the CUP is not a perfect mechanism to regulate STR’s long term, it currently incorporates public notification and an opportunity for public input into the STR approval process. Eliminating the CUP requirement, would essentially result in a rubber stamp for any new STR’s, via the licensing process. After reviewing the regulations of neighboring communities, I am concerned that Hopkins is moving too quickly, and in the wrong direction with regard to STR’s. Our closest neighbors St. Louis Park, Edina, Golden Valley, and Minnetonka all have much more stringent regulations requiring rentals to be a minimum of 30 days and/or that the property be homesteaded, eliminating investment property management in favor of local home- owners. The argument for eliminating the CUP because it does nothing to deter violations (operating a STR without a rental license) simply reinforces the need for strengthening licensing and/or zoning regulations before approving this proposal. Finally, I believe the review criteria used by Planning and Zoning could be interpreted differently. The two criteria are: 1) Conformity with the Comprehensive Plan: the 2040 Comprehensive Plan states a goal is to maintain the quality and safety of the overall housing stock, and maintaining a choice of quality housing options. 2) Whether the proposed Development Code text amendment corrects an error or inconsistency or will help meet the challenge of a changed or changing condition. • STR’s are not housing options, they are marketed and aimed at visitors. I agree that we want to “provide quality housing options to a variety of household types …”. This goal actually supports the need to implement a requirement for minimum rental of 30 days. • There is a shortage of housing stock in Hopkins, and an inability to expand causing housing prices to increase. Therefore, single family homes should be preserved for owners and long-term rentals who also have a vested interest in participating in the cohesiveness and safety of our neighborhoods. • The landscape of STR’s is changing, both locally and nationally. While a CUP may not be the right tool to manage STR’s long term, we need further investigation and discussion of additional options before removing it altogether and opening the door to STR’s throughout Hopkins neighborhoods without recourse. Summary of Recommendations: • Deny the current proposal to eliminate the CUP requirement for STR’s • Pause on granting any new CUP’s for Short Term Rentals to publicize and solicit feedback from residents of Hopkins in neighborhood zones • Modify zoning code to only allow Short Term Rentals in neighborhood zones for a minimum of 30 days • Require rental home-owners to be homestead in Hopkins or surrounding cities • Expand the notification range from 500 ft to 1,000 feet • Eliminate the need for a CUP which remains with the property even after it is sold • Incorporate residential training program requirement every three years • Require and inspection every three years • Increase the penalty for operating a STR without a rental license Thank you, for your consideration. Maggie Sedoff