City Council - 2026-02-02
Meeting Intelligence Preview
Meeting Summary
The Albuquerque City Council meeting on February 2, 2026 focused primarily on a short-term rental ordinance (O-5) that would establish separation requirements between STR permits. After extensive debate and three amendments reducing the buffer from 330 feet to 100 feet and extending the effective date to July 1, 2026, the ordinance failed to pass. The council also approved O-7 repealing administrative question-and-answer period requirements, and received the first quarter FY2026 revenue and expense report showing projected overspending of $18.8 million across several departments.
Key Decisions (8)
Short-Term Rental Separation Requirement Ordinance (O-5)
Ordinance to establish minimum separation requirements between short-term rental permits was denied. As amended, it would have required 100-foot separation between STR permits in Districts 2, 6, and 7, with an effective date of July 1, 2026 to allow unregistered operators time to obtain permits and be grandfathered in.
Repeal of Administration Q&A Period Requirements (O-7)
Ordinance repealing ROA 1994 Section 2-1-10 requirements for the administration question and answer period, removing provisions added by O-24-50 that required extensive administration participation and follow-up responses.
First Quarter FY2026 Revenue and Expense Report (EC-18)
Receipt noted of the revenue and expense report showing GRT growth of 1.3% in November, cumulative 4.9% for the year. Report projects $18.8 million in overspending across departments including APD ($3.4M), City Legal ($825K), DMD ($5.2M), and AFR.
Floor Amendment 1 to O-5 - Reduce Buffer Distance
Amendment to reduce the buffer distance between short-term rental permits from 330 feet to 100 feet in all directions.
Floor Amendment 2a to O-5 - District Limitation
Amendment to limit separation requirements to Council Districts 2, 6, and 7 only instead of citywide application. Failed for lack of a second.
Floor Amendment 2b to O-5 - Effective Date Extension
Amendment to change effective date from five days after passing to July 1, 2026, allowing unregistered STR operators time to register and be grandfathered in.
Community Planning Area Assessment Report (EC-549)
Deferred to February 18, 2026 council meeting.
African American Advisory Board Establishment (O-11)
Rules suspended to introduce O-11 establishing the African American Advisory Board for the City of Albuquerque, placed on February 18 agenda for action.
Market Signals (5)
Commercial Demand
Short-term rentals in Albuquerque have declined 5% to approximately 2,000 units, with only about 800 properly registered, indicating market contraction and compliance challenges.
Housing Demand
Lodgers tax revenue was down 8% during October's Balloon Fiesta and declined for the entire year, attributed partly to the federal government shutdown affecting travel.
Sentiment
Cannabis GRT increased 9.6% in November after previous declines, though cumulative growth remains slightly negative at -3.2% for the fiscal year.
Infrastructure
Municipal Development projected to overspend by $5.2 million due to pump service contracts with Water Utility Authority, street light costs, and traffic light/copper theft repairs.
Housing Demand
Testimony indicated approximately 1,400 short-term rentals are rented less than 90 days per year, representing part-time or occasional rental activity rather than full commercial operations.