10.1 SR 10-16-2023 - Laserfiche WebLink

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Request for Action To Item Number Mayor and City Council 10.1 Agenda Section Meeting Date Prepared by Work Session October 16, 2023 Zack Carlton, Community Development Director Item Description Reviewed by Cannabis: Zoning and Licensing Cal Portner, City Administrator Reviewed by Action Requested Discuss the zoning and licensing options for cannabis growing, processing, and sales. Background/Discussion During the 2023 legislative session the state approved adult use recreational cannabis. The legislation requires the state to establish an Office of Cannabis Management, which will provide guidance for implementation of the new legislation. This office is not expected to begin licensing cannabis operations until early 2025, but we should begin discussions on how the city will allow these uses going forward. Staff began receiving inquiries regarding cannabis manufacturing and sales the week after the legislation was approved. Having a framework in place well in advance of the state’s capacity to issue licenses allows staff to better answer future inquiries. Specifically, staff would like guidance regarding the locations these uses should be permitted (zoning district and setbacks), the review process (permitted or conditional), and any use specific standards (odor) that the City Council may wish to regulate. We have also received inquiries for retail sales. The state mandates that we will have to have at least two licensed retailers of adult recreational cannabis. There are no limits to low potency/hemp-based THC product retailers. Of which we currently have 10 licensed with us and with the state. Financial Impact None Mission/Policy/Goal  Support the growth and development of the business community. Attachments  None The Elk River Vision A welcoming community with revolutionary and spirited resourcefulness, exceptional service, and community engagement that encourages and inspires prosperity. Updated: January 2023