The community's governing council gave final approval Tuesday evening to an ordinance that also forecloses any oil and gas exploration within the city limits.
Colorado's Democratic governor, John Hickenlooper, has publicly threatened to sue any city or town in the state that bans fracking.
Fort Collins officials were not swayed by the threat.
Denver 9News quoted criticism of Hickenlooper by the city's mayor pro tempore, Kelly Ohlson.
"He seems at times to be more concerned about the gas industry, rather than the health and safety of the citizens he represents," Ohlson said.
Loveland, a community in Boulder county, has also prohibited fracking.
