HomeMy WebLinkAbout2024.11.18 CC MinutesMINUTES
City Council Meeting
City Hall Council Chambers
Monday, November 18, 2024
7:00 p.m.
Call to Order
Mayor Weidt called the meeting to order at 7:00 p.m.
Roll Call and Pledge of Allegiance
COUNCIL PRESENT: Klein, Miron, Petryk, Strub, Weidt
COUNCIL ABSENT: None
OTHERS PRESENT: City Administrator Bryan Bear, City Attorney Dave Snyder, City
Engineer Mark Erichson, Community Development Director Rachel Juba, Associate Planner
Max Gort, City Clerk Michele Lindau
Approval of Minutes for the November 4, 2024, City Council Meeting
Petryk made motion, Klein seconded, to approve the minutes for the City Council meeting held on
November 4, 2024, as presented.
All Ayes. Motion carried.
Approval Minutes for the November 12, 2024, Board of Canvass Meeting
Klein made motion, Miron seconded, to approve the minutes for the Board of Canvass meeting
held on November 12, 2024, as presented.
All Ayes. Motion carried.
Approval of Agenda
Weidt made motion, Klein seconded, to approve the agenda as amended by adding the
neighborhood meetings on November 26, 2024.
All Ayes. Motion carried.
Approval of Consent Agenda
Klein made motion, Strub seconded, to approve the following Consent Agenda.
1. Approve Claims Roster
2. Approve Street Capital Improvement Plan (CIP)
3. Approval Resolution Amending Provisions of Deferral of Special Assessment for Be
There, Inc. – Dee Davis
4. Approve Resolution Approving Variance for 12757 Homestead Drive North
5. Approve Resolution Approving Encroachment Agreement for 4803 163rd Street North
All Ayes. Motion carried.
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Page 2 of 5
Approve Claims Roster
Adoption of the Consent Agenda approved the Claims Roster as presented.
Approve Street Capital Improvement Plan (CIP)
At the October 28th City Council work session, staff presented a 5-year Capital Improvements
Plan for streets and trails. Specifically, staff reviewed the recent ratings of roadways and trails,
the prioritization of the next 5-years of improvements, and costs associated with these
improvements. Adoption of the Consent Agenda approved the 5-year Capital Improvements
Plan as presented.
Approval Resolution Amending Provisions of Deferral of Special Assessment for Be There,
Inc. – Dee Davis
At its October 3, 2011, meeting, Council approve a resolution to defer the special assessment on
property owned by Dee Davis, which located in the southwest corner of Hugo, west of Everton
Avenue. This was a vacant lot and eligible for deferment. Davis had requested the City remove
the accrued interest to date on the assessment and that the property not be subject to further
interest. Adoption of the Consent Agenda approved RESOLUTION 2024-55 AMENDING
PROVISIONS OF DEFERRAL OF A SPECIAL ASSESSMENT PIN 31.031.21.34.0009
Approve Resolution Approving Variance for 12757 Homestead Drive North
Jim and Laurie Stodola had requested a variance request to allow construction of a deck located
56 feet from the ordinary high-water level of Sunset Lake, where a structural setback of 100 feet
is required by ordinance. The deck was proposed to be constructed in-line with the existing
house. The Board considered the request at its Thursday, November 14, 2024, meeting and
unanimously recommended approval. Adoption of the Consent Agenda approved
RESOLUTION 2024-56 APPROVING A VARIANCE TO ALLOW CONSTRUCTION OF A
DECK WITHIN THE SHORELAND SETBACK REQUIREMENTS OF SUNSET LAKE FOR
THE PROPERTY LOCATED AT 12757 HOMESTEAD DRIVE NORTH.
Approve Resolution Approving Encroachment Agreement for 4803 163rd Street North
Capstone Homes had requested an encroachment agreement to construct a retaining wall within a
drainage and utility easement on property located at 4803 163rd Street North. The Senior
Engineering Technician had reviewed the location of the retaining wall and was comfortable
with the request. Adoption of the Consent Agenda approved RESOLUTION 2024-57
APPROVING AN ENCROACHMENT AGREEMENT TO ALLOW CONSTRUCTION OF A
RETAINING WALL WITHIN A DRAINAGE AND UTILITY EASEMENT ON THE
PROPERTY LOCATED AT 4803 163RD STREET NORTH.
Discussion on Cannabis Ordinance
By enacting Minnesota Statutes 2023, Chapter 342, the Minnesota Legislature had provided a
regulatory framework for the sale and manufacturing of cannabis and hemp products, the
licensing of cannabis and hemp businesses, and establishes a State Agency known as the Office
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Page 3 of 5
of Cannabis Management (OCM). Section 342.13 of the act allowed a local unit of government
to adopt “reasonable restrictions on the time, place, and manner” of the operation of cannabis
businesses.
Associate Planner Max Gort explained that staff had begun to draft an ordinance relating to and
regulating cannabis businesses within the City of Hugo, which would include definitions of
cannabis businesses, a procedure for registering cannabis retailers within the city, zoning and
land use designations for cannabis businesses, performance standards for cannabis businesses,
and processes related to temporary cannabis events. Staff was seeking Council direction on a
number of items within the draft ordinance, including proposed zoning, buffer requirements,
proposed fees, and temporary cannabis events. The draft ordinance would be available for
comment at a public hearing in December.
Gort reviewed the different types of cannabis business and pointed out the nine that would need
to have a specific place in the ordinance. Lower potency hemp was currently allowed under 2022
legislation. Microbusinesses and mezzobusinesses allow for multiple types of licenses and ways
to distribute product. They would be comparable to microbreweries, but there was no process in
Hugo City Code for microbreweries. The OMC would approve licenses and require a certificate
of compliance from the local government. The Washington County Sheriff's Office would likely
do the compliance checks, and the OCM would respond to complaints made by City on alleged
violations. Gort presented a chart with fees based on limits set by state statute showing the initial
fees and the renewal fees. The City would need to ensure businesses were in compliance when
licenses are renewed.
Gort showed zoning districts staff proposed for the different cannabis business types. State
statute required the City to have at least one retail license per 12,000 residents. The City would
need to register two licenses but could permit more. The workshop held in April indicated the
Council wanted to keep it at two. State Statute also established limits for cultivation at up to
30,000 square feet indoors and up to two acres outdoors. Statute also included more security
measures than for a normal Agricultural use, and it needed to be decided if cultivation should be
allowed in the rural district. Signage was regulated by City Code, but additional sign
requirements could be imposed for cannabis.
State Statute allowed for buffers for up to 1,000 feet from school and 500 feet from businesses
and areas frequented by minors. Gort presented a map showing the location of schools,
churches, daycares and parks frequented by minors that showed parcels that would be inside the
buffer allowed by statute. If the buffer were reduced to 300 feet, the same buffer in Hugo’s code
for sexuality-oriented business, more parcels would be permitted to have retail or industrial
cannabis businesses, but there were situations where neighboring proprieties in the same zoning
would have different permissions based by proximity. Cannabis businesses would be required to
have safeguards in place to ensure no access by minors, and impacts to neighboring properties
could be addressed through performance standards. For those reasons, staff had recommended
no buffering.
Gort talked about cannabis events that must be allowed by State Statute, but the City could place
restrictions on where and when. Staff was proposing no consumption be allowed on-site of
cannabis business or City-owned properties and the time be limited to 10 a.m. – 10 p.m. Gort
asked for questions and feedback from the Council.
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Weidt asked if the one license per 12,500 residents applied only to retail. Gort replied that it did.
The City was required to allow the other types of cannabis businesses, but market demand and
the zoning code could restrict where they could locate.
Petryk had questions on OCM guidance, whether cannabis was considered an agricultural crop,
if cannabis could spread to grow inadvertently, and how enforcement and driving under the
influence would be handled.
Gort replied that the OCM had a draft of rules and a guide for local governments that helped, but
a lot was still unknown. Guidance from the county and others was that cannabis would not be
considered the same as other agricultural products since it was more regulated. Some
communities were restricting growing to industrial areas and other are allowing it in rural areas.
Gort talked about the requirements for growing outdoors and said he understood the industry was
inclined to grow it indoor, which would minimize the spread. Currently, the Sheriff’s
Department was having discussions to address questions of enforcement.
Miron talked about how the State preempted some of the City’s abilities, and he questioned
whether other performance standards could still be met. Gort replied they would be subject to
existing standards along with all other applicable performance standards.
Strub talked about encouraging growers to do water reuse and the need to have performance
standards requiring plans to mitigate odor if apparent in cultivation and manufacturing
businesses.
Gort talked about having no limit to the number and size of agricultural buildings on parcels 20
or more acres in size, but there was a building size limit in state statute. He said the OMC also
allowed for cultivating and manufacturing businesses under the same roof.
Miron commented that cultivators could also process, making impacts more significant. Klein
added that it would not be much different than dairy farms that process and distribute.
Strub talked about different types of buffers, such as TH61, which buffers the school from the
Peloquin Industrial Park saying it would make no sense to create any other buffer that would
eliminate an industrial park.
Petryk asked about standards regarding consumption. Gort responded that State Statute dictates
that cities could restrict consumption to private property or in places not accessible to the public.
Retailers could not permit any on site consumption according to State Statute.
Weidt indicated he did not have enough information on cannabis events to comment.
Gort finished by informing the Council he would be giving the EDA this same presentation on
November 19, the Ordinance Review Committee (ORC) would be reviewing it on Monday, and
possibly hold the public hearing at the Planning Commission in December.
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Miron made motion, Klein seconded, to direct staff to schedule the public hearing to be held at
the Planning Commission on December 12, 2024.
All Ayes. Motion carried.
Schedule Legislative Reception on Wednesday, November 20, 2024
City Administrator Bryan Bear informed Council the White Bear Area Chamber of Commerce
was hosting their annual Legislative Reception on Wednesday, November 20th at Tria
Restaurant in North Oaks beginning at 4:30 p.m.
Miron made motion, Klein seconded, to schedule a meeting to attend the Legislative Reception.
All Ayes. Motion carried.
Schedule North Environmental Center Ribbon Cutting on Monday, December 2, 2024
City Administrator Bryan Bear informed Council Washington County had invited the Council to
the ribbon cutting for the North Environmental Center on Monday, December 2, 2024, from 3-
4:30 p.m.
Petryk made motion, Klein seconded, to schedule a meeting to attend the North Environmental
Center Ribbon Cutting.
All Ayes. Motion carried.
Schedule Street Improvement Project Neighborhood Meetings on Tuesday, November 26,
2024
Strub added this to the agenda to schedule a meeting to attend the neighborhood meetings on
Tuesday, November 26, 2024, to review the feasibility study for the Beaver Ponds Street
Improvement Project at 6 p.m. and the 2025 Improvement Project at 7:15 p.m.
Strub made motion, Klein seconded, to schedule a meeting to attend the neighborhood meetings
on the street projects.
All Ayes. Motion carried.
Adjournment
Klein made motion, Strub seconded, to adjourn at 7:54 p.m.
All Ayes. Motion carried.
Respectfully Submitted,
Michele Lindau, City Clerk