11-14-2022 City Council Packet - Laserfiche WebLink

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COUNCIL MINUTES DRAFT 43 FINANCE DEPARTMENT REPORT 44 2A) Consider 11t Reading of Ordinance No. 07-22, Establishing the 2023 City Fee Schedule 45 — Finance Director Lynch reviewed her written staff report. Staff brings forward a proposed fee 46 schedule annually in the form of an ordinance. Changes are noted in red in the ordinance. 47 Councilmember Lyden moved to approve the 1st reading of Ordinance No. 07-22 as presented. 48 Councilmember Ruhlan dseconded the motion. Motion carried on a voice vote. 49 ADMINISTRATION DEPARTMENT REPORT 50 There was no report from the Administration Department. 51 PUBLIC SAFETY DEPARTMENT REPORT 52 4A) Cannabinoid Ordinance: i. Consider 2nd Reading of Ordinance No. 03-22, 53 Enacting Ordinance Regulating Edible Cannabinoid Products; ii. Consider Resolution No. 54 22-133, Authorizing Summary Publication — Public Safety Director Swenson reviewed his 55 written staff report. Staff is recommending the final adoption of this ordinance that will 56 establish regulations in the City relative to the sale of edible cannabinoids. He noted that the 57 City's moratorium remains in place only until December; moving forward with this ordinance 58 will mean that it will take effect prior to expiration of the moratorium. He noted that there is one 59 business in the City that is "grandfathered" as far as the moratorium; they have been informed of 60 regulations coming forward. 61 62 John Hanselman, E & E Foods (d/b/a/Edwins Edibles) addressedt the council. He is under 63 contract to purchase the former Hammarheart building where he plans to operate a manufacturing 64 facility including for cannabinoids. He has no intention that his company will ever be selling 65 retail but only wholesale. His sales include on line sales. He would argue that the prohibition in 66 the ordinance for online sales doesn't apply to him because he is not retail. He would like to see 67 the ordinance change to ensure that he can sell on line as a wholesaler. 68 69 Mayor Rafferty noted that manufacturing will be allowed but he doesn't believe that online can 70 be allowed. Director Swenson explained that the City Attorney has opined that it wouldn't be 71 allowed with this ordinance. Director Swenson noted that the City's biggest interest in regulating 72 this product is to make sure it is kept out of the hands of underaged and he has concern with how 73 that goal aligns with online sales. 74 Councilmember Cavegn asked if the fact that this person wouldn't be a license holder exempts 75 him from the regulations of the ordinance. Director Swenson explained that the City is not 76 allowing internet sales first and, if it were to, those sales would be covered by the ordinance. 77 Mr. Hanselman noted that it's just a matter of him setting up his online sales in another 78 community — the end result will be the same. 79 Councilmember Ruhland remarked that he would probably support taking a look at the regulation 80 in the future to make sure it makes sense; he sees the online restriction is easily circumvented. 81 Mayor Rafferty noted that he hears council members may want to discuss some elements of the 82 ordinance further but in order to keep the ordinance on track, the council should consider it 83 without delay. 2