Ordinance 597 Regulations Cannabis & Lower Potency Hemp BusinessesCITY OF MENDOTA HEIGHTS
DAKOTA COUNTY, MINNESOTA
ORDINANCE NO. 597
AMENDING TITLE 3: BUSINESS AND LICENSE REGULATIONS TO REGULATE
CANNABIS AND LOWER -POTENCY HEMP BUSINESSES
The Ciry Council of the City of Mendota Heights does ordain
Section 1. City Code Title 3 —BUSINESS AND LICENSE REGULATIONS is hereby amended to add
Chapter 8: CANNABIS AND LOWER -POTENCY HEMP RETAIL REGISTRATION as follows:
3-8-1: PURPOSE AND SCOPE:
The purpose of this chapter is to implement the provisions of Minnesota Statutes, Chapter 342, which
authorizes the City of Mendota Heights to protect the public health, safety, and welfare of Mendota
Heights residents by regulating cannabis and lower -potency hemp retail businesses within the legal
boundaries of Mendota Heights.
3-8-2: DEFINTIONS
Unless otherwise noted in this section, words and phrases contained in Minn. Stat. 342.01 and the rules
promulgated pursuant to Minn. Stat. ch. 342 , shall have the same meanings in this chapter.
CANNABIS BUSINESS: A business licensed by the Office of Cannabis Management (OCM) as defined
by Minn. Stat 342.01 Solid. 14.
CANNABIS CULTIVATION or CULTIVATE CANNABIS: Growing cannabis plants from seed or
immature plant to mature plant, harvest cannabis flower from mature plant, package and label immature
plants and seedlings and cannabis flower for sale to other cannabis businesses, transport cannabis flower
to a cannabis manufacturer located on the same premises, and perform other actions approved by the
OCM.
CANNABIS CULTIVATOR: A cannabis business licensed to cultivate cannabis and packages cannabis
for sale to another cannabis business.
CANNABIS EVENT: A temporary cannabis event lasting no more than four days operating pursuant to
Minn. Stat. 342,39,
CANNABIS MANUFACTURER: A cannabis business that makes cannabis and/or hemp concentrate,
manufactures artificially derived cannabinoids, adult -use cannabis products, lower -potency hemp edibles,
and/or hemp -derived consumer products, and sells cannabis concentrate, hemp concentrate, artificially
derived cannabinoids, cannabis products, lower -potency hemp edibles, hemp -derived consumer products
to other cannabis businesses pursuant to Minn. Stat. 342.31.
CANNABIS MEZZOBUSINESS: A cannabis business that grows cannabis plants from seed or immature
plant to mature plant, harvests the cannabis flower from a mature plant, makes cannabis and/or hemp
concentrate, manufactures artificially derived cannabinoids, adult -use cannabis products, lower -potency
hemp edibles, and/or hemp -derived consumer products, and sells immature cannabis plants and seedlings,
adult -use cannabis flower, adult -use cannabis products, lower -potency hemp edibles, hemp -derived
consumer products, and other products authorized by law to other cannabis businesses and to consumers
pursuant to Minn. Stat. 342.29.
CANNABIS MICROBUSINESS: A cannabis business that grows cannabis plants from seed or immature
plant to mature plant, harvests the cannabis flower from a mature plant, makes cannabis and/or hemp
concentrate, manufactures artificially derived cannabinoids, adult -use cannabis products, lower -potency
hemp edibles, and/or hemp -derived consumer products, and sells immature cannabis plants and seedlings,
adult -use cannabis flower, adult -use cannabis products, lower -potency hemp edibles, hemp -derived
consumer products, and other products authorized by law to other cannabis businesses and to consumers,
including on -site consumption, pursuant to Minn. Stat, 342.28.
CANNABIS RETAIL BUSINESSES: A retail location and the retail location(s) of a mezzobusinesses
with a retail operations endorsement, microbusinesses with a retail operations endorsement, medical
combination businesses operating a retail location, and lower -potency hemp edible retailers.
CANNABIS RETAILER: Any person, partnership, firm, corporation, or association, foreign or domestic,
selling cannabis product to a consumer and not for the purpose of resale in any form.
CANNABIS TESTING FACILITY: A cannabis business that obtains and tests immature cannabis plants
and seedlings, cannabis flower, cannabis products, hemp plant parts, hemp concentrate, artificially
derived cannabinoids, lower -potency hemp edibles, and hemp -derived consumer products from cannabis
microbusinesses, cannabis mezzobusinesses, cannabis cultivators, cannabis manufacturers, cannabis
wholesalers, lower -potency hemp edible manufacturers, and industrial hemp growers pursuant to Minn.
Stat. 342.37,
CANNABIS WHOLESALER: A cannabis business that sells immature cannabis plants and seedlings,
cannabis flower, cannabis products, lower -potency hemp edibles, and hemp -derived consumer products to
cannabis microbusinesses, cannabis mezzobusinesses, cannabis manufacturers, and cannabis retailers
pursuant to Minn. Stat. 342.33.
DAYCARE: A location licensed with the Minnesota Department of Human Services to provide the care
of a child in a residence outside the child's own home for gain or otherwise, on a regular basis, for any
part of a 24-hour day.
LOWER -POTENCY HEMP EDIBLE MANUFACTURER: A business that manufactures and packages
lower -potency hemp edibles for consumer sale, and/or sells hemp concentrate and lower -potency hemp
edibles to other cannabis businesses and hemp businesses.
LOWER -POTENCY HEMP EDIBLE RETAILER: A business that sells lower -potency hemp edibles to
customers.
OFFICE OF CANNABIS MANAGEMENT: Minnesota Office of Cannabis Management, referred to as
"OCM" in this ordinance.
RESIDENTIAL TREATMENT FACILITY: As defined under Minn. Stat. 245.462 subd. 23
RETAIL REGISTRATION: An approved registration issued by the City of Mendota Heights to a state
licensed cannabis or lower -potency hemp retail business.
SCHOOL: A public school as defined under Minn. Stat. 120A.05 or a nonpublic school that must meet
the reporting requirements under Minn. Stat. 120A.24,
STATE LICENSE: An approved license issued by the State of Minnesota's Office of Cannabis
Management to a cannabis retail business.
3-8-3: ADMINISTRATION
The City Administrator or their designee is responsible for the administration and enforcement of this
ordinance. Any violation of the provisions of this ordinance or failure to comply with any of its
requirements constitutes a misdemeanor and is punishable as defined by law. Violations of this ordinance
can occur regardless of whether or not a permit is required for a regulated activity listed in this ordinance.
Nothing in this chapter shall prohibit the City from enforcing any other applicable remedy including but
not limited to injunctive relief.
3-8-4: REGISTRATION OF A CANNABIS ORLOWER=POTENCY HEMP RETAIL BUSINESS
A. Requirement to register a Cannabis or Lower -Potency Hemp Retail Business
1. No individual or entity may operate a cannabis or lower -potency hemp retail business within
Mendota Heights without first registering with the City of Mendota Heights,
2. Any cannabis or lower -potency hemp retail business that sells to a customer or patient
without valid retail registration shall incur a civil penalty of $2,000 for each violation.
3. Notwithstanding the foregoing provisions, the state shall not issue a license to any
cannabis business to operate in Indian country, as defined in United States Code, title 18,
section 1151, of a Minnesota Tribal government without the consent of the Tribal
government.
B. Compliance Checks Prior to Retail Registration
1. Prior to issuance of a retail registration, Mendota Heights shall conduct a preliminary
compliance check to ensure compliance with local ordinances.
2. Pursuant to Minn. Stat. 342, within 30 days of receiving a copy of a state license application
from OCM, the City of Mendota Heights shall certify on a form provided by OCM whether a
proposed retail location complies with zoning ordinances and, if applicable, whether the
proposed business complies with the state fire code and building code.
C. Registration and Application Procedure
1. Fees
a) The City of Mendota Heights shall not charge an application fee.
b) A registration fee, as established in the City of Mendota Height's fee schedule, shall
be charged to applicants depending on the type of retail business license applied for.
c) An initial registration fee shall not exceed $500 or half the amount of an initial state
license fee under Minn. Stat. 342.11, whichever is less. The initial registration fee
shall include the initial retail registration fee and the first annual renewal fee.
d) Any renewal retail registration fee imposed by the City shall be charged at the time of
the second renewal and each subsequent renewal thereafter.
e) A renewal retail registration fee shall not exceed $1,000 or half the amount of a
renewal state license fee under Minn. Stat. 342.11. whichever is less.
f) A medical combination business operating an adult -use retail location may only be
charged a single registration fee, not to exceed the lesser of a single retail registration
fee, defined under this section, of the adult -use retail business.
2. Application Submittal
The City shall issue a retail registration to a state -licensed retail business that adheres to the
requirements of Minn. Stat. 342.22
a) An applicant for a retail registration shall fill out an application form, as provided by
the City. Said form shall include, but is not limited to:
i. Full name of the property owner and applicant;
ii. Mailing address, email address, and telephone number of the applicant;
iii. Name of the cannabis or lower -potency hemp retail business to be registered;
iv. The address, legal description and parcel ID for the property which the retail
registration is sought;
v. If the applicant does not own the business premises, a true and complete
copy of the executed lease for the premises, if applicable.
vi. Certification that the applicant complies with the requirements of local
ordinances established pursuant to Minn. Stat. 342.13,
vii. Signature of the applicant or the authorized agency of the legal entity
applicant;
viii. If the registrant is a legal entity, the following information shall be provided
for the person designated as the general or primary manager on site: the full
name, date of birth, mailing address, contact telephone number, email
address;
ix. Any additional information the City deems necessary.
b) The applicant shall include with the form:
i. the registration fee as required in [Section 2.3.1];
ii. a copy of a valid state license or written notice of OCM license preapproval;
c) Once an application is considered complete, the City Administrator or their designee
shall inform the applicant as such, process the application fees, and forward the
application to the City Clerk for approval or denial.
d) The registration fee shall be non-refundable once processed.
3. Application Approval
a) Registration of a cannabis or lower -potency edible hemp retail business will be in
effect and only so long as the following requirements are met:
i. The applicant holds a valid license of license preapproval issued to the retail
business by the Office of Cannabis Management;
ii. The applicant paid the total sum of the initial registration fee and first year
renewal fee in the amounts required by the city's fee schedule;
iii. During a preliminary compliance check, the retail business is found to be in
compliance with the zoning and performance standards for cannabis or hemp
businesses established in Chapter 11 of this Code; and
iv. The retail business is current on all property taxes and assessments for the
property on which the business is located;
b) A state -licensed cannabis retail business application shall not be approved if the
cannabis retail business would exceed the maximum number of registered cannabis
retail businesses permitted under Section 3-8-4(F)1 of this ordinance.
c) Applications for registration will be processed on a first -come, first -served basis on
the City receiving a complete application and payment of all fees. Applications will
be considered complete when all materials and information required herein are
received by the City.
d)
A retail registration application shall not be approved or renewed if the applicant is
unable to meet the requirements of this ordinance.
e)
A retail registration application that meets the requirements of this ordinance shall be
approved.
4. Annual
Compliance Checks
a)
The City shall complete at minimum one compliance check for each registered
business per calendar year to assess if the business meets age verification
requirements, as required under [Minn. Star. 342.22 Subd. 4(b) and Minn. Stat.
342.24] and this chapter.
b)
Age verification compliance checks shall involve persons at least 17 years of age but
under the age of 21 who, with the prior written consent of a parent or guardian if the
person is under the age of 18, attempt to purchase adult -use cannabis flower, adult -
use cannabis products, lower -potency hemp edibles, or hemp -derived consumer
products under the direct supervision of a law enforcement officer or an employee of
the local unit of government.
c)
Any failures under this section must be reported to the Office of Cannabis
Management,
5. Location Change
A state -licensed
cannabis retail business shall be required to submit a new application for
registration under Section 2.3.2 if it seeks to move to a new location still within the legal
boundaries of the City of Mendota Heights.
D. Renewal of Registration
1. Renewal Process
a) The City shall renew an annual registration of astate-licensed retail business at the same
time OCM renews the retail businesslicense.
b) A registered business shall apply to renew registration on a form established by the City.
c) A retail registration issued under this ordinance shall not be transferred.
2. Renewal Fees
a) The Citymay charge a renewal fee for the registration starting at the second renewal, as
established in its fee schedule.
3. Renewal Application
a) The application for renewal of a retail registration shall include, but is not limited to
i. Items required under Section 3-84(C)2 of this chapter.
E. Suspension of Registration
1. When Suspension is Warranted
a) The City of Mendota Heights may suspend a registration if it violates this chapter or
poses an immediate threat to the health or safety of the public. The City shall
immediately notify the business in writing the grounds for the suspension.
2. Notification to OCM
a) The City shall immediately notify the OCM in writing the grounds for the suspension.
OCM will provide the City and business a response to the complaint within seven
calendar days and perform any necessary inspections within 30 calendar days.
3. Length of Suspension
a) The suspension of a retail registration maybe for up to 30 calendar days, unless OCM
suspends the license for a longer period. The business may not make sales to customers if
their registration is suspended.
4. Civil Penalties
a) Subject to Minn. Stat. 342.22, subd. 5(e) the City may impose a civil penalty, as specified
in the City of Mendota Heights's Fee Schedule, for registration violations, not to exceed
$25000.
F. Registration Mistakenly Issued or Renewed. If a registration is mistakenly issued or renewed to
any person or entity, for any reason, including but not limited to the submission of false or
misleading information by the license holder or applicant, the registration will be suspended upon
the discovery of ineligibility for registration under this chapter or state or other local law,
ordinance or other regulation. Any suspension will comply with the requirements of Minn. Stat.
§ 342.22, Subd, 5.
G. License Holder Responsibility. Every retail registration holder is responsible for conduct on the
registered premises and any sale of cannabis, hemp, or products containing cannabis or hemp by
an employee is the act of the Registration Holder for the purposes of all provisions of this chapter.
H. Limiting of Registrations
1. The City shall limit the number of cannabis retail businesses to no fewer than one registration
for every 12,500 residents within the City of Mendota Heights.
2. If Dakota County has one active cannabis retail registration for every 12,500 residents then
the City shall not be required to register additional businesses.
3-8-5: REQUIItEMENTS FOR A CANNABIS BUSINESS
A. Minimum Buffer Requirements
1. No cannabis business shall be located or operated within 500 feet of an existing lawful
cannabis business.
2.
No cannabis business shall be located or operated within 500 feet of an existing daycare,
residential treatment facility, or an attraction within a public park that is regularly used by
minors, including a playground or athletic field.
3.
No cannabis business shall be located or operated within 1000 feet of a school.
4.
Pursuant to Minn. Stat. 462.357 subd. le, nothing in Section 3-8-5(A) shall prohibit an active
cannabis business or a cannabis business seeking registration from continuing operation at the
same site if a daycare, residential treatment facility, attraction within a public park that is
regularly used by minors, or school moves within the minimum buffer zone.
B. Zoning and Land Use
1.
A cannabis or lower -potency hemp business licensed or endorsed by the OCM must be in
compliance with the City's Zoning Code including Title 12: Zoning, Chapter 3: Allowed
Uses, Table 12-3B-1.1 Table of Uses
C. Hours of Operation
1.
Cannabis businesses are limited to retail sale of cannabis, cannabis flower, cannabis products,
lower -potency hemp edibles, or hemp -derived consumer products between the hours of 8:00
a.m. and 10:00 p.m. on Monday -Saturday; and between the hours of 10:00 a.m. and 9:00 p.m.
on Sundays.
3-8-6 TEMPORARY CANNABIS EVENTS
A. License or Permit Required for Temporary Cannabis Events
1. License Required: A license or permit is required to be issued and approved by the City prior
to holding a Temporary Cannabis Event.
2. Registration and Application Procedure: A registration fee, as established in the City's fee
schedule, shall be charged to applicants for Temporary Cannabis Events.
3. Application Submittal and Review:
The City
shall require an application for
Temporary
Cannabis Events.
a) An applicant for a retail registration shall fill out an application form, as provided by the
City. Said form shall include, but is not limited to:
i. Full name of the property owner and applicant;
ii. Address, email address, and telephone number of the applicant;
b) The applicant shall include with the form:
i. The application fee as required in Section 3-8-6(A)2;
ii. A copy of the OCM cannabis event license application, submitted pursuant to
Minn. Star. 342,39 subd. 2.
c) The application shall be submitted to the City Administrator or their designee for review.
If the designee determines that a submitted application is incomplete, they shall return the
application to the applicant with the notice of deficiencies.
d) Once an application is considered complete, the designee shall inform the applicant as
such, process the application fees, and forward the application to the (insert
staff/department, or elected body that will approve or deny the request) for approval or
denial.
e) The application fee shall be non-refundable once processed.
f) The application for a license for a Temporary Cannabis Event shall meet the following
standards:
i. Outdoor consumption or use of cannabis at or on the property of a temporary
cannabis event is prohibited.
ii. The setback from any property line of any residential use or residential zoned
property shall be no less than 350 feet.
iii. All buffers identified in Sec. 3-8-5 also apply to Temporary Cannabis Events.
iv. The event may last no longer than four (4) days (96 hours)
v. The event shall operate in accordance with all applicable requirements for
temporary cannabis events under Minn. Stat., Chapter 342.
g) A request for a Temporary Cannabis Event that meets the requirements of this Section
shall be approved.
h) A request for a Temporary Cannabis Event that does not meet the requirements of this
Section shall be denied. The City shall notify the applicant of the standards not met and
basis for denial
SEVERABILITY
In the event that a court of competent jurisdiction adjudges any part of this chapter to be invalid, such
judgement shall not affect any other provision of this chapter not specifically included within the
judgement.
Section 2. Effective
date.
This ordinance shall
be effective immediately
following
adoption and publication
according to law.
Section 3. Summary Publication.
ADOPTED this 41s day of March, 2025 by the City Council for the City of Mendota Heights,
CTTY COUNCIL
CITY OF MENDOTA HEIGHTS
Stephanie B. Levine, Mayor
ATTEST:
Nancy Bauer, City Clerk