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3 STUDY OF MEDICAL CANNABIS MANUFACTURERS AND CANNABIS FACILITIES CITY OF SAINT ANTHONY VILLAGE 1.0 EXECUTIVE SUMMARY Following the legalization of medical cannabis by the State of Minnesota, the City of Saint Anthony Village, Minnesota (the “City”) enacted Ordinance 2015-02; Interim Ordinance Prohibiting Medical Cannabis Manufacturers and Cannabis Facilities on February 24, 2015 (the “Interim Ordinance”) that imposed an interim moratorium on medical cannabis manufacturers and cannabis facilities within the City and directed City staff to prepare an in-depth study evaluating the need to revise the City Code to regulate Medical Cannabis Manufacturers and Cannabis Facilities. The goals of the Study are as follows: • Determine the status of medical cannabis under the City Code; • Determine the status of medical cannabis manufacturers and facilities under the City’s Zoning Code; • Determine whether the Zoning Code’s application to medical cannabis manufacturers and facilities is consistent with the City’s intent in planning for property use within its zoning districts; • Evaluate the challenges involved with regulating medical cannabis manufacturers and facilities; • Ensure that, if amended, the Zoning Code is improved in regards to consistency and clarity with respect to medical cannabis manufacturers; and • Ensure that the Zoning Code is consistent with state law pertaining to medical cannabis. To increase clarity and consistency within the Zoning Code following the legalization of medical cannabis, the City Council should consider amending the Zoning Code. The City should do so in a manner that conforms to the original intent of the City’s zoning plan. This Study describes three potential options for the City in amending its Zoning Code: • Option 1. Take no action. • Option 2. Adopt amendments to the Zoning Code to make cannabis facilities a permitted conditional use limited to the LI District. • Option 3. Adopt an amendment to the Zoning Code prohibiting cannabis facilities in the City. Overall, Option #3 represents the best course of action for the City. The complete Study, including the basis for this final recommendation, follows in the sections below. 2.0 BACKGROUND INFORMATION Prior to analyzing whether the Zoning Code should be amended, it is first important to understand the context within which this Study operates. This Study therefore provides background information regarding the legalization of medical cannabis in the State of Minnesota. 11