HomeMy WebLinkAboutItem 02 CannabisCity of Lakeville
Planning Department
M e morandum
To: Planning Commission
From: Tina Goodroad, Community Development Director
Date: November 7, 2023
Subject: Packet Material for the November 16, 2023 Planning Commission Work Session
Agenda Item: Cannabis Zoning Discussion
BACKGROUND
Legalization of cannabis was signed into law on May 30, 2023. Commercial growing, processing,
and retail sales will fall under the regulation of the new state Office of Cannabis Management
(OCM) who will begin licensing as early as January 1, 2025. OCM will be responsible for all
commercial regulation including licensing split between cultivation, manufacture, distribution,
and retail. Cities are responsible for registration. If the business has a valid state license, passes
the compliance checks, and has paid all the fees and taxes, the city must issue the registration.
State Statute requires that a city must issue at least one registration per 12,500 residents. For
Lakeville, this means up to six registrations.
Municipal regulations are generally preempted. Cities may not ban use, possession, or
transportation. Cities cannot prohibit businesses from operating if licensed by the state.
However, cities do have a role when it comes to zoning. Cannabis businesses are viewed as any
other type of legal business, subject to the City’s general zoning regulations. A condition of
obtaining a full-strength retail license will be demonstrating compliance with local zoning
regulations. Local ordinances can be adopted to regulate reasonable restrictions on the time,
place, and manner of operation of a cannabis business.
The statute also specifically mentions setbacks that may be incorporated into ordinances: 1,000
feet from a school and 500 feet from a daycare, residential treatment facility or “attraction within
2
a public park that is regularly used by minors: like a playground, playfield, etc. These limitations
are not required but an option. The statute also limits hours allowing businesses to sell between
10:00 a.m. and 9:00 p.m.; cannot sell between 2:00 a.m. and 8:00 a.m. (10:00 a.m. on Sundays).
City’s may restrict the hours not listed in statute.
Next Steps
Consider appropriate zoning districts for cultivation, manufacture, distribution, and retail
locations (dispensaries) and whether the uses should be permitted, conditional, interim or
accessory. The I-1, Light Industrial and I-2, General Industrial zoning districts allow for
manufacturing, warehouse and distribution as permitted uses. Cultivation/manufacturing of
cannabis is conducted internally due to temperature control requirements.
Retail sales are permitted uses in the C-1, Neighborhood Business District, C-2, Highway
Commercial District, C-3, General Commercial District and C-CBD, Commercial-Central
Business District. A dispensary would be considered a retail use. Considering the possible
distance limitations allowed by statute, these retail districts are the most impacted by the
limitations. A map has been prepared that displays the distance limitations over the zoning
districts.
Discussion
Staff is looking for Planning Commission input on the different types of cannabis uses
(growing/manufactuing, distribution, and retail sales) and the appropriate zoning district(s) for
each. Should these uses be permitted, conditional, interim or accessory? Does the commission
want to see the distance limitations included in a future ordinance? What other information
does the commission want to review prior to considering a zoning ordinance text amendment
early next year?
Attachment
Cannabis dispensary restrictions map
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210TH ST W
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185TH ST W
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202ND ST W
200TH ST W
Century
Middle
School
Cherryview
Elementary SchoolCrystal LakeEd. CenterKenwood
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North High
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Schools
Parks (with playgrounds, ball fields, etc.)
Retail Zoning Districts
C-1
C-2
C-3
C-CBD
M-1
M-2
Dispensary Restricted Area
Cannabis Dispensary Restrictions
¯0 1 20.5 Miles
1000 ft from schools or 500 ft from day care facilities &
public parks regularly used by minors.
P:\Projects\Community Development\Cannabis Dispensary Location Restrictions\Cannabis Dispensary Location Restrictions.aprx