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WORKSHOP MINUTES <br />CITY COUNCIL <br />MAY 89 2024 <br />PRELIMINARY DISCUSSION OF POTENTIAL LICENSING AND REGULATIONS FOR <br />THC AND CANNABIS BUSINESSES <br />The City Clerk explained that in 2022, the Minnesota Legislature legalized THC and then in 2023 <br />legalized cannabis with sales anticipated to begin around January 2025. She stated that tonight staff <br />is looking for direction from the City Council on whether the city should license THC and/or <br />cannabis. She noted that the cannabis discussion will need to wait until after the Legislature <br />finishes session since law changes related to cannabis are anticipated, and then the state's new <br />Office of Cannabis Management needs to finalize their process and regulations for what cities can <br />and cannot regulate with cannabis. She stated that there are currently no regulations in Little <br />Canada for THC sales and there are at least four business selling THC products according to the <br />state's registration list. She noted that she has received several calls from businesses looking to <br />open THC businesses or start preparing to open a cannabis business. She reminded the Council that <br />there is a moratorium in place that does not allow any future cannabis businesses to open or <br />establish a business here in anticipation of selling cannabis until the moratorium either expires on <br />December 31, 2024 or the Council removes it. <br />There was Council consensus for staff to move forward with drafting an ordinance for licensing <br />THC sales using similar regulations as for tobacco licenses, including distance requirements from <br />schools and churches. There was Council consensus that they do want to regulate cannabis sales <br />and limit the number of cannabis businesses, and further discussion will happen after the state has <br />finalized their requirements and processes. <br />There being no further business, the meeting was adjourned at 7:22 p.m. <br />T omas Fischer, Mayor <br />Attest: <br />(9stopher Heinema , City Administrator <br />2 <br />