HomeMy WebLinkAbout01-25 - Ordinance - Amending 617 Cannabis BusinessesV Reading: February 10, 2025
Website Notice: February 11, 2025
2"d Reading: February 24, 2025
Publication: March 4, 2025
Adoption: February 24, 2025
Effective: April 3, 2025
CITY OF LINO LAKES
ORDINANCE NO. 01-25
ORDINANCE AMENDING 617 OF THE CITY CODE
CONCERNING THE REGULATION OF CANNABIS BUSINESSES
The City Council of Lino Lakes ordains:
Section 1. Chapter 617 of the Lino Lakes City Code is hereby amended in its entirety to
read as follows:
CHAPTER 617
CANNABIS BUSINESSES
SECTION:
617.01: Findings and Purpose: Authoritv and Jurisdiction
617.02: Definitions
617.03: State License Required
617.04: Retail Registration
617.05: Performance Standards
617.06: Minimum Buffer Requirement
617.07: TemDorary Cannabis Events
617.08: Use in Public Places
617.09: Local Government as a Cannabis Retailer
617.10 Severabilitv
617.01 FINDINGS AND PURPOSE• AUTHORITY AND JURISDICTION
(1). Findings and Purpose. The city makes the following legislative findings:
(a) The purpose of this chapter is to implement the provisions of Minnesota Statutes,
chapter 342, which authorizes the city to protect the public health, safety, welfare
of residents by regulating cannabis businesses within the city.
(b) The city finds that the proposed provisions are appropriate and lawful land use
regulations for the city, that the proposed regulations will promote the interests
of the communitv for now and in the future, and that the DroDosed provisions are
in the public interest and for the public good.
(2). Authority. The city has the authority to adopt this chapter pursuant to:
4838-5794-226587v2
(a) Minnesota Statutes, section 342.13(c), regarding the authority of a local unit of
government to adopt reasonable restrictions of the time, place, and manner of
the operation of a cannabis business provided that such restrictions do not
prohibit the establishment or operation of cannabis businesses.
(b) Minnesota Statutes, section 342.22, regarding the local registration and
enforcement requirements of state licensed cannabis retail businesses and lower
potency hemp edible retail businesses.
(c) Minnesota Statutes, section 152.0263, Subd. 5, regarding the use of cannabis in
public places.
617.02 DEFINITIONS
Unless otherwise noted in this chapter, words and phrases contained in Minnesota Statutes,
section 342.01 and the rules promulgated pursuant to any of these acts, shall have the same
meanings in this chapter:
ADULT USE CANNABIS PRODUCT. As defined under Minnesota Statutes section 342.01 subd.
4.
CANNABIS BUSINESS. In accordance with Minnesota Statutes. section 342.01. subdivision 14
"Cannabis Business" means any of the following license types: Cannabis Microbusiness, Cannabis
Mezzobusiness Cannabis Cultivator Cannabis Manufacturer Cannabis Retailer Cannabis
Wholesaler, Cannabis Transporter, Cannabis Testing Facility, Cannabis Event Organizer, Cannabis
Delivery Service, Medical Cannabis Cultivator, Medical Cannabis Processor, Medical Cannabis
Retailer. and Medical Cannabis Combination Business.
CANNABIS RETAIL BUSINESS. A state licensed retail location and the retail location(s) of a
mezzobusinesses with a retail operations endorsement, microbusinesses with a retail operations
endorsement, medical combination businesses operating a retail location, excluding lower
Potency hemp edible retailers.
CANNABIS RETAILER. Any person, partnership, firm, corporation, or association, foreign or
domestic, selling cannabis product to a consumer and not for the purpose of resale in any form.
LOWER POTENCY HEMP EDIBLE. As defined under Minnesota Statutes section 342.01 subd. 50.
LOWER POTENCY HEMP EDIBLE RETAILER OR HEMP RETAIL BUSINESS. A hemp business, as
defined by Minnesota Statutes, section 342.01, Subd. 34, that holds a valid lower -potency hemp
edible retailer license.
OFFICE OF CANNABIS MANAGEMENT. State of Minnesota Office of Cannabis Management, as
may be referred to as "OCM" in reference to this chapter.
PLACE OF PUBLIC ACCOMMODATION. A business accommodation refreshment entertainment
recreation, or transportation facility of any kind, whether licensed or not, whose goods, services,
facilities, privileges, advantages or accommodations are extended, offered, sold, or otherwise
made available to the public.
PRELIMINARY LICENSE APPROVAL. Office of Cannabis Management pre -approval for a cannabis
business license for applicants who qualify under Minnesota Statutes, section 342.17.
PUBLIC PLACE. A public park or trail, public street or sidewalk; any enclosed, indoor area used by
the general public, including, but not limited to, restaurants; bars; any other food or liquor
establishment; hospitals; nursing homes; auditoriums; arenas; gyms; meeting rooms; common
areas of rental aaartment buildings, and other Dlaces of Dublic accommodation.
RESIDENTIAL TREATMENT FACILITY. As defined under Minnesota Statute section 245.462 Subd.
23.
RETAIL REGISTRATION. An approved registration issued by the city to a cannabis retail business.
SCHOOL. A public school as defined under Minnesota Statutes, section 120A.05 or a nonpublic
school that complies with the reporting requirements under Minnesota Statute, section 120A.24.
STATE LICENSE. An approved license issued by the Office of Cannabis Management to a cannabis
retail business.
617.03: STATE LICENSE REQUIRED.
Operation of a cannabis business of the types established by Minnesota Statues, section 324.10
within the city shall require a state license in accordance with Minnesota Statutes, section
342.14.
617.04: RETAIL REGISTRATION:
(1) Consent to Registering Cannabis Businesses and Hemp Retail Business
(a) No individual or entity may operate a state -licensed cannabis retail business or
hemp retail business within Lino Lakes without first registering with the city.
(b) Any state -licensed cannabis retail business or hemp retail business that sells to a
customer or patient without a valid retail registration shall incur a civil penalty of
up to $2,000 per violation.
Compliance Checks Prior to Retail Registration
(a) Prior to issuance of a cannabis retail business or hemp retail business registration,
the city shall conduct a preliminary compliance check to ensure compliance with
local ordinances.
(b) Pursuant to Minnesota Statutes Chapter 342, within 30 days of receiving a copy of
a state license application from OCM, the city shall certify on a form provided by
OCM whether a proposed cannabis retail business or hemp retail business
complies with local zoning ordinances and, if applicable, whether the proposed
business complies with the city's zoning ordinance and state fire and building
codes.
(3) Registrations Limited:
(a) The city limits the number of cannabis retail businesses to no more than one
registration for every 12,500 residents within city limits.
(b) Registrations for cannabis retail businesses shall be issued in order as of the date
the citv has received a complete application.
(4) Registration Fees:
(a) Applicants for registration or renewal registrations shall be required to pay the
registration and renewal fees as established by the city's fee schedule depending
upon the type of retail business license applied for and in accordance with the
following:
An initial retail registration fee shall not exceed five hundred dollars ($500)
or one-half (1/2) the amount of an initial state license fee established by
Minnesota Statutes, section 342.11, whichever is less. The initial
registration fee shall include the initial retail registration fee and the first
annual renewal fee.
2. Any renewal retail registration fee imposed by the city shall be charged at
the time of the second renewal and each subsequent renewal thereafter.
3. A renewal retail registration fee shall not exceed one thousand dollars
($1,000) or one-half (1/2) the amount of a renewal state license fee
established by Minnesota Statutes, section 342.11, whichever is less.
4. A medical combination business operating as an adult -use retail location
shall only be charged a single registration fee, not to exceed the lesser of
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a single retail registration fee, defined by this section, for the adult -use
retail business.
5. No registration fee shall be required for location change applications
required under Section 617.04 (8) of this chapter.
(b) The registration/renewal fee shall be non-refundable once processed in
accordance with Section 617.04(6) of this chapter.
(5) Application Submittal.
(a) The city shall issue a retail registration to a state -licensed cannabis retail business
or hemp retail business that adheres to the requirements of Minnesota Statutes,
section 342.22 and is in compliance with this chapter.
1. An applicant for either a cannabis or hemp retail registration shall fill out
an application form, as provided by the city. The application form shall
include, but is not limited to:
Full name of the property owner and applicant.
ii. Address, email address, and telephone number of the applicant.
iii. The address and parcel ID for the property which the retai
registration is sought.
iv. Name of the cannabis retail business or hemp retail business
registered.
V. Certification that the applicant complies with the requirements of
local ordinances established pursuant to Minn. Stat. 342.13.
2. The applicant shall include with the form:
i. The registration fee as required in Section 617.04(a) of this chapter.
ii. A copy of a valid state license or written notice of OCM license
preapproval.
iii. A map showing the retail store meets the minimum buffer
requirements outlined in Section 617.06 of this section of this
chapter.
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3. Once an application is considered complete, the City Clerk shall inform the
applicant as such, process the application fees, and forward the application
to the City Administrator or designee for approval or denial.
(6) Application Approval. Registration of a cannabis retail business or hemp retail busin
will be approved by the city and in effect so long as the following requirements are met:
(a) A state -licensed cannabis retail business registration will not exceed the maximum
number of registered cannabis retail businesses permitted under Section
617.04(3) of this chapter.
(b) All applicable registration/renewal fees are paid in full.
(c) The applicant holds a valid license or license preapproval issued to the cannabis
retail business by OCM for a cannabis retail license or valid lower -potency hemp
edible retailer license issued by OCM for a hemp retail license.
(d) If applicable, the applicant is current on all property taxes and assessments at the
location where the retail establishment is located• and
(e) The cannabis retail business or hemp retail business is found to be in compliance
with the zoning code (Chapter 1007) and all requirements of Section 6.17.05 and
617.06
Annual Compliance Chec
(a) The city shall complete at minimum one unannounced compliance check per
calendar year of every registered cannabis retail business and hemp retail
business to assess if the business meets age verification requirements, as required
under Minnesota Statutes, section 342.22, Subd. 4(b), Minnesota Statutes, section
342.24, and this chapter.
(b) Age verification compliance checks shall involve persons at least 17 years of age
but under the age of 21 who, with the prior written consent of a parent or
guardian- if the person is under the age of 18, attempt to purchase adult -use
cannabis flower, adult -use cannabis products, lower -potency hemp edibles, or
hemp -derived consumer products under the direct supervision of a law
enforcement officer or an employee of the local unit of government.
(d) Any failures under this section must be reported to the Office of Cannabis
Management.
(8) Location Change
(a) A registered cannabis retail business or hemp retail business shall be required to
submit a new application for registration under Section 617.04 of this chapter if it
seeks to move to a new location still within the citv.
(b) A previously registered cannabis retail business or hemp retail business that seeks
to change locations within the city shall be subject to all requirements of this
chapter, including but not limited to the location requirements established by
Chapter 1007 of the city code (zoning ordinance).
(9) Registration is nontransferable. Cannabis retail business and hemp retail business
registrations issued under this chapter shall not be transferred to a different cannabis
retail business or hemp retail business.
(10) Renewal of Registration. A registration for a state -licensed cannabis retail business or a
hemp retail business shall be renewed at the same time OCM renews the license for that
business, provided:
(a) The business shall apply to renew registration on a form established by the city.
(c) An applicant for a renewal registration shall pay the renewal registration fee
required under Section 617.04 (4) of this chapter.
(d) The application for renewal of a retail registration shall include but is not limited
items required under Section 617.04 (5) of this chapter.
(11) Suspension of Registration
(a) When Suspension is Warranted.
1. The city may suspend a cannabis or hemp business's registration if it
violates the provisions of this chapter or poses an immediate threat to the
health or safety of the public. The city shall immediately notify the business
in writing the grounds for the suspension.
2. Notification to OCM.
The city shall immediately notify the OCM in writing of the grounds for the
suspension. OCM will provide the city and cannabis retail business or hemp
retail business a response to the complaint within seven calendar days and
perform any necessary inspections within 30 calendar days.
3. Length of Suspension.
The suspension of a cannabis retail business or hemp retail business
registration may be up to 30 calendar days, unless OCM suspends the
license for a longer period. The business may not make sales to customers
if their registration is suspended.
The City Administrator or designee shall determine the appropriate
length of suspension. For the first violation, the presumptive
suspension shall be seven (7) days. For a second violation found
within an eighteen (18) month period, the presumptive suspension
shall be fourteen (14) days. For a third and all subsequent violations
within an eighteen (18) month period, the presumptive suspension
shall be thirty (30) days. Nothing in this section shall prevent the
City Administrator or designee from deviating from the
presumptive suspension length based on the specific
circumstances of a given violation, including but not limited to the
severity of the violation, whether the violation was knowing or
intentional, and the degree of risk to the public health caused by
the violation.
ii. The city may reinstate a registration if it determined that the
violations have been resolved.
iii. The city shall reinstate a registration if OCM orders reinstatement.
4. Civil Penalties.
Subiect to Minnesota Statutes, section 342.22, Subd. 5(e) the city may
impose a civil penalty, as specified in the city's fee schedule, for
registration violations, not to exceed $2,000.
617.05 PERFORMANCE STANDARDS: Operation of a cannabis business of the types established
by Minnesota Statues, section 324.10 within the city shall comply with the provisions of this
chapter and the following:
1) Building Code. The cannabis business shall comply with the provisions of 1003, of this
code.
(2) Zoning Ordinance. The cannabis business shall comply with the provisions of Chapter
1007 of this code.
(3) Ventilation: A cannabis business shall be ventilated so that the odor of marijuana
cannot be detected by a person with a normal sense of smell at the exterior of the
cannabis business at the property line.
(4) Age Limitations: No cannabis flower, cannabis products, lower -potency hemp edibles, or
hemp derived consumer products shall be sold to any person under twenty-one (21) years
of age unless the person is enrolled in the registry program and the cannabis business
holds a medical cannabis retail endorsement.
(5) Hours of Operation. Cannabis businesses are limited to retail sale of cannabis, cannabis
flower, cannabis products, lower -potency hemp edibles, or hemp -derived consumer
products between the hours of 10:00 am and 9:00 pm, Sunday through Saturday.
Prohibited Activities:
(a) Consumption or use of edible cannabis products onsite of a cannabis retail
business is prohibited except for licensed microbusinesses that have an on -site
consumption endorsement and meets all requirements of Minnesota Statutes,
section 342.28, Subd. 10.
(b) There shall be no outdoor events or sales associated with a cannabis business• all
such activities shall occur within a principal or accessory building, including
temporary structures, as allowed in compliance with Chanter 1007 of this code.
(c) No cannabis business shall occupy a residential dwelling unit.
617.06 MINIMUM BUFFER REQUIREMENT. Except as provided for in subpart 2 of this
subdivision, setbacks shall be measured from the closest point of the property line upon
which the cannabis business is located, to the property line of the following uses:
(1) A cannabis retail business shall not operate within 1000 feet of a school, and 500 feet of
a residential treatment facility.
(2) A cannabis retail business shall not operate within 500 feet of an attraction within a public
park that is regularly used by minors, including a playground or athletic field. For purposes
of this subpart, the distance measured shall be between the closest point of the property
line upon which the cannabis business is located and the attraction that is regularly used
by minors.
(3) Nothing in this section shall prohibit an active cannabis business or a cannabis business
seeking registration from continuing operation at the same site if a school, residential
treatment facility, or a park attraction regularly used by minors, is installed or moves
within the minimum buffer zone.
617.07 TEMPORARY CANNIBIS EVENTS:
(1) Temporary Cannabis Event Permit Required: A temporary cannabis event permit is
required to be issued and approved by the city prior to holding a Temporary Cannabis
Event.
(2) Fee: A registration fee, as established in city's fee schedule, shall be charged to applicants
for a temporary cannabis event permit. The application fee shall be non-refundable.
(3) Application Submittal and Review:
(a) An applicant for a temporary cannabis event permit shall fill out an application
form, as provided by the city. The application shall include, but is not limited to:
1. Full name of the property owner and applicant.
2. Address, email address, and telephone number of the applicant.
3. Site plan of event space, including location and number of access points.
4. Proposed capacity of event space.
5. Plans for security to general public safety, security for cannabis workers,
security of intoxicating cannabinoid product displays, and storage
security of intoxicating cannabinoid products.
6. Plans on how to restrict access of intoxicating products to minors and
verify age at the time of sale.
7. Plans on how waste will be disposed properly.
8. Details on how sales take place in an established retail space and how
sales are recorded for tax collection.
9. Full list of all vendors with a brief explanation of what thev are
providing/selling and their license number/information.
10. Other information as required by the city based on the type or size of the
event.
(b) The applicant shall include with the application form:
The application fee as required in Section 617.07 (2) of this chapter.
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2. A copy of the OCM cannabis event license application, submitted pursuant
to Minn. Stat. 342.39 subd. 2.
3. The application shall be submitted to the City Clerk or designee for review,
no less than 45 days prior to the event. If the designee determines that a
submitted application is incomplete, they shall return the application to
the applicant with the notice of deficiencies.
(c) Once an application is considered complete, the City Clerk shall inform the
applicant that the application is complete, process the application fees, and
forward the application to the City Council for approval or denial at a regularly
scheduled Citv Council meeting.
1. The application for a temporary cannabis event permit shall meet the
following standards:
a. Minimum Buffer Zone Required: A temporary cannabis event shall
provide the minimum buffer zones required under section 617.06 of
this chapter.
b. Temporary cannabis events shall only occur between the hours of
ten o'clock (10:00) A.M. and ten o'clock (9:00) P.M, unless extended
by the city council with approval of a special event permit.
C. Adequate security for the event is in place to ensure compliance
with the requirements of state law and city code.
(d) An application for a temporary cannabis event permit that meets the
requirements of this section shall be approved.
(e) A request for a temporary cannabis event permit that does not meet the
requirements of this section shall be denied. The city shall notify the applicant of
the standards not met and basis for denial.
617.08 USE IN PUBLIC PLACES: No person shall use cannabis flower, cannabis products, lower
potency hemp edibles, or hemp -derived consumer products in a public place or a place of public
accommodation unless the premises is an establishment, or an event licensed to permit on -site
consumption of cannabis products.
617.09 LOCAL GOVERNMENT ASA CANNABIS RETAILER. Any municipal cannabis retail store shall
not be included in any limitation on the number of registered cannabis retail businesses
established in this ordinance.
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(1) Notwithstanding anything within this Chapter to the contrary, the city may establish, own
and operate one municipal cannabis retail business.
(2) The city shall be subject to all the same retail license requirements and procedures
applicable to all other applicants.
617.10 SEVERABILITY:
If any provision of this chapter is for any reason held to be invalid, such decision shall not affect
the validity of the remaining provisions of this chapter.
Section 2. This Ordinance shall be in force and effect from and after upon its passage and
publication according to the Lino Lakes City Charter.
ADOPTED by the Lino Lakes City Council this 24th day of February, 2025.
ATTEST
Roberta Colotti, CMC, City Clerk
CITY OF LINO LAKES
BY: _ k LL' .
R ferty, Mayor
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