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HomeMy WebLinkAbout4 - Ordinance Amendment - Cannabis and Hemp To: Planning Commissioners From: John Hinzman, Community Development Director Date: November 13, 2023 Item: Public Hearing - Amend City Code Chapter – 155.07(J) - THC Beverage Sales Planning Commission Action Requested Hold a public hearing and recommend action to amend City Code Chapter 155.07(J) – Zoning Ordinance – Performance Standards – Cannabis Businesses. The amendment makes the following changes: • Allows for the sale of intoxicating cannabis products (including THC-infused beverages) in establishments with on or off-sale liquor licenses. • On-sale and off-sale licensed liquor establishments zoned C-3 and C-4 may sell any intoxicating cannabis products. • On-sale and off-sale licensed liquor establishments not zoned C-3 and C-4 would be limited to the sale of THC infused beverages only. Background Earlier this year, the City established ordinance requirements for cannabis and hemp uses, sales, and operations, The ordinance prohibited the sale of intoxicating cannabis products at exclusive liquor stores or on sale liquor establishments. Public Safety Committee of City Council The Public Safety Committee (Councilmembers Haus, Fox, and Leifeld) reviewed the proposed changes and were supportive of enaction. Recommendation Approval of the proposed ordinance is recommended. Attachment • Ordinance Amendment – Sales and Operations of Cannabis and Hemp Businesses. Planning Commission Memorandum ORDINANCE NO. XXX AN ORDINANCE FOR THE CITY OF HASTINGS, MINNESOTA, AMENDING HASTINGS CITY CODE CHAPTER 155 - ZONING ORDINANCE REGARDING USES, SALES AND OPERATIONS OF CANNABIS AND HEMP BUSINESSES The City Council of the City of Hastings, Dakota County, Minnesota, does hereby ordain as follows: SECTION 1. AMENDMENT. The Code of the City of Hastings, County of Dakota, State of Minnesota, Chapter 155, Section 155.07.J.2 SPECIAL PROVISIONS shall be amended as follows: 2. Performance Standards: a. A cannabis business shall only operate in an authorized zoning district with approved State and local license or registration. a. b. Notwithstanding Section 2.a., an establishment with an on-sale or off- sale liquor license shall be allowed to sell THC-infused beverages with a cannabis business retail license. However, the establishment shall only be allowed to sell THC-infused beverages and shall not sell any other cannabis products, unless the establishment is located in a C-3 or C-4 zoning district. b.c. Any person selling or distributing cannabis products shall require proof of age by means of government issued photographic identification from the prospective purchaser showing purchaser is twenty-one (21) years old or older. c.d. Signage identifying the legal sales age and the age verification requirement shall be posted at the point of sale. The required signage shall be posted in a manner so that it is clearly visible to anyone who is considering or making a purchase. The sign shall provide notice that all persons responsible for selling these products must verify the age of any person under thirty (30) years of age, by means of photographic identification required in this section, containing the bearer’s date of birth. d.e. Cannabis products must comply with the testing, labeling and packaging requirements in Minnesota State law. Formatted: Indent: Left: 1.25", No bullets or numbering Formatted: Font: (Default) Arial e.f. No sales or distribution of intoxicating cannabis products shall be allowed at the licensed premises after 10 p.m. or before 8:00 a.m. f.g. It shall be unlawful for a retailer to allow the sale of intoxicating cannabis products or cannabis related devices by any means whereby a customer has access to such items without having to request the item from the retailer or the retailer’s employee. There shall be a physical exchange of the intoxicating cannabis product or cannabis-related devices between the retailer or the retailer’s employee and the customer. All intoxicating cannabis products and cannabis-related devices shall be either stored behind a counter or other area not freely accessible to customers, or in a storage unit or case not open and accessible to the general public. g.h. All retail establishments of intoxicating cannabis products shall have a security plan approved by the Police Chief stating how the facility will address public health, welfare and safety concerns including, but not limited to security, fencing, lighting, window coverings, door placement, and landscaping. h.i. Compliance Checks and Inspections: All licensed premises must be open to inspection by the local law enforcement or other authorized City officials during regular business hours. From time to time, but at least once per year, the City will conduct compliance checks on Retailers and Edible Retailers of intoxicating cannabis products by engaging persons between the ages of seventeen (17) and twenty-one (21) years, to enter the licensed premises to attempt to purchase intoxicating cannabis products. Persons used for compliance checks are not guilty of the unlawful purchase or attempted purchase, nor the unlawful possession of intoxicating cannabis products when the items are obtained or attempted to be obtained as a part of the compliance check. No person used in compliance checks may attempt to use a false identification misrepresenting the person's age, and all persons lawfully engaged in a compliance check may answer all questions about the person's age asked by the retailer or his or her employee and shall produce any identification, if any exists, for which he or she is asked. Nothing in this section prohibits compliance checks authorized by State or Federal laws for educational, research or training purposes, or required for the enforcement of a particular State or Federal law. SECTION 2. AMENDMENT. The Code of the City of Hastings, County of Dakota, State of Minnesota, Chapter 155, Section 155.07.J.3 SPECIAL PROVISIONS shall be amended as follows: 3. Prohibited Acts: a. It shall be unlawful for any person to sell, purchase, obtain or otherwise provide any intoxicating cannabis product to any person under the age of twenty-one (21). b. It shall be unlawful for any person under the age of twenty-one (21) to possess any intoxicating cannabis product. This chapter shall not apply to persons under the age of 21 lawfully involved in a compliance check. c. It shall be unlawful for any person under the age of twenty-one (21) to use or consume any intoxicating cannabis product, unless it is legally authorized medical cannabis. d. It shall be unlawful for any person under the age of twenty-one (21) to attempt to disguise the person’s true age by the use of a false form of identification, whether the identification is that of another person or one in which the age of the person has been modified or tampered with, to represent an age older than the actual age of the person, in order to purchase any intoxicating cannabis product. e. No adult-use cannabinoid or cannabis product may contain more than 0.3% of THC. f. No edible cannabis product can contain an amount of THC that exceeds the per serving or per package requirements in Minnesota State law. g. No intoxicating cannabis product may be sold to an obviously intoxicated person or a person under the influence of a controlled substance. h. No one under the age of twenty-one (21) shall sell intoxicating cannabis products. i. Intoxicating cannabis products cannot be sold in vending machines, by transient merchants, peddlers, at a movable place of business, through a drive-through window, at special events, home occupations, by internet sales or delivery service. j. Intoxicating cannabis products cannot be sold at exclusive liquor stores or on-sale liquor establishments. k.j. No sampling or free donations or distributions of intoxicating cannabis products is allowed. Formatted: Font: (Default) Arial Formatted: Normal, Indent: Left: 0", First line: 0" Formatted: Indent: Left: 1.19", No bullets or numbering l.k. No sales of intoxicating cannabis products may be completed through self-check-out. The retailer or retailer’s employee must process each transaction at a point of sale. SECTION 3. SUMMARY PUBLICATION. Pursuant to Minnesota Statutes Section 412.191, in the case of a lengthy ordinance, a summary may be published. While a copy of the entire ordinance is available without cost at the office of the City Clerk, the following summary is approved by the City Council and shall be published in lieu of publishing the entire ordinance. The text amendment adopted by the Hastings City Council on , 2023 modifies the Zoning Ordinance to allow on-sale and off-sale retail sales of cannabis-infused beverages that are under .3% THC at restaurants and liquor stores. SECTION 4. EFFECTIVE DATE. This ordinance shall be in full force and effect on July 1, 2023. Passed this day of , 2023. Mary Fasbender, Mayor Attest: Kelly Murtaugh, City Clerk Published in the _________ on [Date].