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MEMORANDUM OF UNDERSTANDING <br /> THIS MEMORANDUM OF UNDERSTANDING ("MOU") is made and is effective as <br /> of March 3, 2025, by and between the City of Mounds View, a Minnesota municipal corporation <br /> (the "City") and Great White Companies, LLC, a Minnesota limited liability company, and its <br /> successors and assigns ("GWC"). The City and GWC may be jointly referred to herein as the <br /> "Parties" and each of them, a"Party." <br /> WHEREAS,pursuant to Minnesota Statute § 342.32. subd. 5, a city may"establish, own, <br /> and operate a municipal cannabis store subject to the restrictions in this chapter"; and <br /> WHEREAS, pursuant to Minnesota Statute § 342.14, subd. 7, the Office of Cannabis <br /> Management ("OCM") "must issue a license to a city or county seeking to establish, own, or <br /> operate a single municipal cannabis store authorized under section 342.32, subdivision 5, if the <br /> city or county: (1) submits all information required by the office; (2) meets the minimum <br /> requirements under section 342.18 ,subd. 3; and (3) pays the applicable application and license <br /> fee; and <br /> WHEREAS, Minnesota Statute § 342.18, subd. 3 requires that an applicant must include <br /> information in their application regarding: "(1) security and record keeping; (2)employee training <br /> plan; (3)business plan and financial situation; (4)labor and employment practices; (5)knowledge <br /> and experience; and(6) environmental plan;" and <br /> WHEREAS, the OCM has released its application guidelines, which provide that <br /> "[m]unicipalities may seek to enter into agreements with non-governmental entities to operate a <br /> municipal retail cannabis store. These agreements must be disclosed as part of the application <br /> process. Depending on how these agreements are structured a non-governmental entity that <br /> operates a municipal cannabis retail location subject to an agreement with the municipality may <br /> be subject to the application and license limitations in Minnesota Statutes, section 342.185. <br /> similarly, depending on the structure of the private partnership and the services provided, <br /> employees of the private entity may be subject to background check requirements in Minnesota <br /> Statues, section 342.15"; and <br /> WHEREAS,the City intends to apply for a municipal license during the OCM's licensing <br /> cycle,which is the only licensing cycle currently scheduled,that opened on February 18,2025 and <br /> closes on March 14, 2025; and <br /> WHEREAS, the City intends to obtain a cannabis retailer license and has determined that <br /> it is in the best interest of the City, the use and protection of public dollars, and the health, safety, <br /> and wellness of the people of Mounds View, to contract with an independent contractor with <br /> experience with retail cannabis business operations to provide services at the single municipal <br /> cannabis store that will be operated by the city of Mounds View; ; and <br /> WHEREAS, GWC is such a cannabis consultant and desires to provide such services to <br /> the City. <br /> 1 <br /> DOCSOPEN\MU2 10\317\101215 5.v3-2/27/25 <br />