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Planning Commission Agenda - 11/04/2024AGENDA REGULAR MEETING — PLANNING COMMISSION Monday, November 4, 2024— 6:00 p.m. Mississippi Room, Monticello Community Center Commissioners: Chair Paul Konsor, Vice Chair Andrew Tapper, Teri Lehner, Melissa Robeck, Rob Stark Council Liaison: Councilmember Gabler Staff: Angela Schumann, Steve Grittman, Ron Hackenmueller, Tyler Bevier 1. General Business A. Call to Order B. Roll Call C. Consideration of Additional Agenda Items D. Approval of Agenda E. Approval of Meeting Minutes • Regular Meeting Minutes - June 4, 2024 • Regular Meeting Minutes — August 6, 2024 • Workshop Minutes —September 3, 2024 • Regular Meeting Minutes — September 3, 2024 • Regular Meeting Minutes — October 1, 2024 • Special Meeting Minutes — October 23, 2024 F. Citizen Comment 2. Public Hearings A. Consideration of an amendment to Title IX for General Regulations, Title XI for Business Regulations and Title XV, Chapter 153: Zoning, for the regulation of Cannabis land uses subject to local adoption of the provisions and mandates of the Minnesota State Statute Chapter 342. Applicant: City of Monticello 3. Regular Agenda 4. Other Business A. Community Development Director's Report 5. Adjournment MINUTES REGULAR MEETING — PLANNING COMMISSION OCTOBER, 1, 2024— 6:00 p.m. Mississippi Room, Monticello Community Center Commissioners Present: Chair Paul Konsor, Vice Chair Andrew Tapper, Melissa Robeck, Rob Stark Commissioners Absent: Teri Lehner Council Liaison: Councilmember Gabler Staff: Angela Schumann, Steve Grittman, Ron Hackenmueller, Tyler Bevier 1. General Business A. Call to Order Chair Paul Konsor called the regular meeting of the Monticello Planning Commission to order at 6:11 p.m. B. Roll Call Paul Konsor called the roll. C. Consideration of Additional Agenda Items None D. Approval of Agenda ANDREW TAPPER MOTIONED TO APPROVE THE AGENDA. ROB STARK SECONDED. MOTION CARRIED, 4-0. E. Approval of Meeting Minutes • Regular Meeting Minutes - June 4, 2024, Workshop Minutes — September 3, 2024 and Regular Meeting Minutes — September 3, 2024. PAUL KONSOR MOVED TO TABLE THE JUNE 4, 2024 REGULAR MEETING MINUTES. ANDREW TAPPER SECONDED THE MOTION. MOTION CARRIED, 4- 0. Regular Meeting Minutes — August 6, 2024 ROB STARK MOVED TO TABLE THE AUGUST 6, 2024 REGULAR MEETING MINUTES. PAUL KONSOR SECONDED THE MOTION. MOTION CARRIED, 4-0. • Workshop Minutes— September 16. 2024 A CORRECTION OF THE MINUTES WAS REQUESTED BY PAUL KONSOR TO REMOVE "MR. KONSOR" FROM THE LAST ITEM ON THE WORKSHOP MINUTES OF SEPTEMBER 16, 2024 TO REFLECT THE COMMENT WAS MADE FROM A MEMBER OF THE PUBLIC REGARDING HOUSE PRICING. ANDREW TAPPER MOVED TO APPROVE THE SEPTEMBER 16, 2024 WORKSHOP MINUTES AS CORRECTED, PAUL KONSOR SECONDED THE MOTION. MOTION CARRIED, 4-0. Audio and visual recording for the October 1, 2024 Planning Commission meeting corrupted at 4 minutes and 16 seconds and continues for the remainder of the meeting. Citizen Comment None 2. Public Hearings A. Continued Public Hearing — Consideration of a Request for Amendment to the Camping World Planned Unit Development District as related to required building materials Applicant: Camping World Community Development Director Angela Schumann stated the applicant has withdrawn their application. It is their intention to use E.F.I.S. on the walls, and staff will follow for compliance. No questions from commissioners. B. Consideration of a Request for Application for Amendment to Conditional Use Permit for Planned Unit Development, Preliminary Plat and Final Plat Applicant: Stephen Rohlf Steve Grittman began with the overview of the preliminary plat, explaining that the proposed parcel for subdivision jogs around a series of existing improvements. The lot is currently used for parking and storage. The applicant is seeking approval to split the existing Lot 2. Steve Grittman stated that both of the resulting parcels are easily in compliance with zoning ordinance for lot size and frontage. There are existing encroachments on the proposed Lot 1 such as small sheds, paved areas, an area used by a daycare, and a paved area to the north along Metro West dealership property. Steve Grittman continued noting 2 that if there is future development of Lot 1, then those non -conformities would be brought into compliance. Steve Grittman stated that staff is recommending approval with the Exhibit Z conditions, including working with the City Engineer regarding the end of Sandberg Road to determine if should be additional right-of-way for the cul-de- sac. Chair Paul Konsor opened the public hearing portion of the agenda item Paul Konsor welcomed the applicant and reminded public commenters to state their name and address Stephen Rohlf, 188 Avenue, Elk River, addressed the Commission representing Cornerstone Auto. He stated that the daycare shed encroachment was allowed by the current property owners and requested clarification on the cul-de-sac right-of-way requirement. Angela Schumann stated that staff would make it a priority to communicate requirements for the cul-de-sac and if any expansion of right-of-way is needed. Paul Konsor closed the public hearing portion of the agenda item. ANDREW TAPPER MOVED TO ADOPT RESOLUTION NO. PC 2024-39 RECOMMENDING APPROVAL OF THE PRELIMINARY PLAT OF THE CARCONE SECOND ADDITION, SUBJECT TO THE CONDITIONS IN EXHIBIT Z AND BASED ON FINDINGS IN SAID RESOLUTION. MELISSA ROBECK SECONDED THE MOTION. MOTION CARRIED, 4-0. ANDREW TAPPER MOTIONED TO ADOPT RESOLUTION NO. PC-2024-40 RECOMMENDING APPROVAL OF AMENDMENT TO THE CONDITIONAL USE PERMIT FOR PLANNED UNIT DEVELOPMENT FOR THE CARCONE ADDITION, SUBJECT TO THE CONDITIONS IN EXHIBIT Z AND BASED ON FINDINGS IN SAID RESOLUTION. MELISSA ROBECK SECONDED THE MOTION. MOTION CARRIED, 4-0. C. Consideration of a Reauest for Amendment to Bie River 445 Planned Unit Development District and Development and Final Stage Planned Unit Development for Automobile Repair — Minor use. Applicant: SFP-E, LLC Steve Grittman began with an overview of the Big River 44 Planned Unit Development. He indicated that the northwest corner of the development is for consideration for a minor auto repair facility and the applicant is developing the site in concert with the originally approved PUD and the site layout. Regarding the flow of vehicles he stated there are two entrances to the property. Steve Grittman continued that the developers of Big River 445 are still in the final platting of the lots and that the platting is a condition of the approval; the plat needs to be final before a permit can be issued. 3 Steve Grittman walked through the Exhibit Z requirements. stating that city staff also recommend a administrative conditions including required cross -access assurance. Other conditions require that there is no outdoor storage of the tires, and to specify the use of the canopy area proposed for the building. Steve Grittman continued that city staff want to make sure there is no use of the parking area for maintenance of the vehicles, and stated there is no concern with the parking supply for customers or employees. He continued that staff is requesting the building material for the canopy extension area comply with building standards, all rooftop equipment is screened, and that no trash or waste could extend higher than the screening walls. HE noted that large vehicle minor repair would be a flexibility of the site. Steve Grittman concluded with the amenity improvement near the stormwater area for a public use in tandem with the original PUD that included small amenity improvements for the public. Staff believes this is an appropriate use and recommends approval for the development stage PUD and amendment to the Big River PUD. Paul Konsor stated the questions he had regarding signage and materials were addressed by Steve Grittman and asked about the adjustments for the commercial building standard. Steve Grittman said the materials are generally masonry for the majority of the building; staff has asked for metal siding for the canopy extension area to be replaced with general commercial building materials to match city standards. Andrew Tapper asked if the materials need to be precast. Steve Grittman stated that they do not. Andrew Tapper said the screening looked complete, yet does not have a roof. Steve Grittman stated the material for the screening area is not described and the use is not confirmed from the applicant. Paul Konsor opened the public hearing portion of the agenda item. Ron Issacson, 411 East Main Street, Bozeman, MT, 50015, addressed the Commission on behalf of Les Schwab. In regards to Exhibit Z, he indicated that the canopy building materials would be updated, and that the use is the same as the other work bays, but is where a boat trailer could pull through to be worked on. Regarding conditions relating to the bullpen area, he stated there is no outdoor storage for the bull pen, and clarified that the bullpen is the larger 8' tall fence, with a dark bronze steel slate with no spacing. He stated that the bull pen is for spent tires are stored and picked up once a week. Regarding the expected types of vehicles, he note that these are spelled out in the application narrative with a variety of vehicle types that will vary; including, motorhomes, four wheelers, boat trailers, pickups, cars, tractor trailers. Paul Konsor stated they were not familiar with Les Schwab and asked for a rough estimate of the number of vehicles that are coming through for tractor trailers M and RVs. The applicant stated it is mostly cars, but other types of vehicles may pull off the freeway for a repair. Paul Konsor inquired whether the applicant had evaluated the turning radius on the private roads to accommodate these vehicles. The applicant stated that a turn analysis was completed early on in the process with a tractor trailer used in a simulation to make sure the circulation worked. Paul Konsor asked why the bullpen was open on the top. Applicant stated that it was standard for Les Schwab. Charlotte Gabler stated the appreciation for the frequent pickup of tires and noted that it is placed behind a fence. Shefollowed up with a question on why Monticello was chosen for their next location. The applicant stated a retail study showed an expansion into Minnesota after a recent push in North Dakota. The demographics, economies, farm and ranch areas are attractive for the tire changes. Paul Konsor closed the public hearing portion of the agenda item. Paul Konsor brought the discussion back to Commissioners. Andrew Tapper asked about the non -conforming billboards. Angela Schumann stated there were two billboards that were lawfully non- conforming. One was removed and one dynamic display billboard was replaced in the exact location at same height and area. PAUL KONSOR MOVED TO ADOPT RESOLUTION NO. PC 2024-41 RECOMMENDING APPROVAL OF A DEVELOPMENT & FINAL STAGE PUD FOR LOT 4, BLOCK 1, BIG RIVER 445 SECOND ADDITION, SUBJECT TO THE CONDITIONS IN EXHIBIT Z AND BASED ON FINDINGS IN SAID RESOLUTION. ANDREW TAPPER SECONDED THE MOTION, MOTION CARRIED, 4-0 PAUL KONSOR MOVED TO ADOPT RESOLUTION NO. PC 2024-42 RECOMMENDING APPROVAL OF AN AMENDMENT TO THE BIG RIVER 445 PUD ZONING DISTRICT, LOT 4, BLOCK 1, BIG RIVER 445 SECOND ADDITION, SUBJECT TO THE CONDITIONS IN EXHIBIT Z AND BASED ON FINDINGS IN SAID RESOLUTION. ROB STARK SECONDED THE MOTION, MOTION CARRIED, 4-0. D. Consideration of a Request for Amendment to Big River 445 Planned Unit Development District and Development and Final Stage Planned Unit Development for Automobile Repair — Minor use. Applicant: Valvoline, LLC Steve Grittman opened with an overview of Big River 445 similar to the prior item regarding the proposed Development Stage PUD and amendment to the zoning ordinance. This application request incorporates the final plans on Lot 2 of this portion of the plat. Regarding configuration of the site, traffic will enter on the west, circulate through the site, and with the nature of use vehicles will enter the building. Passengers will stay in the vehicle and the vehicle exits when oil change is complete along the internal access road. Regarding access, Steve Grittman spoke of the shared driveway and that the site is reliant on the shared private cross -access road. Steve Grittman walked through the Exhibit Z requirements. These include final plat recording for permitting, and an amended PUD district to incorporate final site plans. Staff is recommending approval of the development stage PUD and amendment to the planned unit development district. Paul Konsor asked if there was an area for benches, as the previous applicant was asked. Steve Grittman stated there is a sidewalk on the north side of the site. The proximity of the prior application stormwater area was why it was attached to the recommendation in that application. Melissa Robeck asked if there was uniformity around the PUD building plans as the buildings all have different looks. Andrew Tapper stated that each development likes to have their own brand on the buildings. Steve Grittman explained that common architecture was not a requirement of the Big River 445 PUD, but stated that lighting and signage is required to be in conformity, rather than the building materials. Paul Konsor opened the public hearing portion of the agenda item. Jim Douthit, 11400, San Antonio, Texas, addressed the Commission, representing the applicant. He stated that 100% of the materials that are worked with in the proposed facility are recycled in a 15-minute oil change, with an estimated 15 oil changes in a day on average, and explained the oil change process for the user. All the work takes place inside the building, no work is done outside. Any water that leaves the building goes through an oil and water separator so no oil leaves the facility. The tanks at the lower level are filled by truck, and extract the old oil. There are no oil cans or gallon drums on site. He noted that the trash enclosure is similar to the building. He stated that several locations are being constructed in the Minnesota market. Paul Konsor asked if the tanks are used versus individually bottles. The applicant stated that it would all be coming from the tanks that are serviced once a week. Paul Konsor closed public hearing portion of the agenda item. ROB STARK MOVED TO ADOPT RESOLUTION NO. PC 2024-43 RECOMMENDING APPROVAL OF A DEVELOPMENT & FINAL STAGE PUD FOR LOT 2, BLOCK 1, BIG RIVER 445 SECOND ADDITION, SUBJECT TO THE CONDITIONS IN EXHIBIT Z AND C: BASED ON THE FINDINGS IN SAID RESOLUTION. ANDREW TAPPER SECONDED THE MOTION, MOTION CARRIED, 4-0 ROB STARK MOVED TO ADOPT RESOLUTION NO. PC 2024-44 RECOMMENDING APPROVAL OF AMENDMENT TO THE BIG RIVER PUD ZONING DISTRICT, LOT 2, BLOCK 1, BIG RIVER SECOND ADDITION SUBJECT TO THE CONDITIONS IN EXHIBIT Z AND BASED ON FINDINGS IN SAID RESOLUTION. ANDREW TAPPER SECONDED THE MOTION, MOTION CARRIED, 4-0 3. Regular Agenda 4. Other Business A. Community Development Director's Report Angela Schumann gave an update on City Council actions regarding the enforcement zoning amendment and the Wendy's CUP approval. She also noted upcoming special meetings, including those for cannabis ordinance development. It was noted that the planning Commission vacancy interviews will occur before the Monday, November 41" meeting. She reminded the Commissioners that the January 2025 meeting will be the regular officer appointments. Angela Schumann then gave an introduction to the Community and Economic Development Coordinator Tyler Bevier. 5. Adjournment ANDREW TAPPER MOVED TO ADJOURN THE OCTOBER 1, 2024 REGULAR MEETING ONF THE MONTICELLO PLANNING COMMISSION. MELLISSA ROEBECK SECONDED THE MOTION. MOTION CARRIED, 4-0. MEETING ADJOURNED. Recorded By: Tyler Bevier Date Approved: November 4, 2024 ATTEST: Angela Schumann, Community Development Director 7 MINUTES JOINT CITY COUNCIL/MONTICELLO PLANNING COMMISSION SPECIAL MEETING Wednesday, October 23, 2024 — 5:00 PM Monticello Community Center Planning Commissioners Present Chair Paul Konsor, Vice Chair Andrew Tapper, Teri Lehner, Planning Commissioners Absent: City Councilmembers Present: City Councilmembers Absent: Staff: 1. Call to Order Melissa Robeck, Rob Stark Charlotte Gabler, Sam Murdoff, Tracy Hinz, Lee Martie Mayor Lloyd Hilgart Angela Schumann, Tyler Bevier, Ron Hackenmueller, Steve Grittman — Grittman Consulting, Jack Brooksbank — Campbell Knutson Chair Paul Konsor called the meeting to order at 5:01 p.m. 2. Discussion on draft amendments to Citv Code (Various Chanters and Sections). as related to the regulation of Cannabis businesses. Community Development Director Angela Schumann began with an overview of the workshop and welcomed Jack Brooksbank from the City Attorney's office. Introductions were given from the City Council members and Planning Commission members. Angela Schumann explained the workshop would focus on the zoning ordinance, including general regulations and specific -use regulations for cannabis business, proposed locations for allowing cannabis use, distance buffer between uses allowed by statute. She reminded policymakers that no formal action would be made, only discussion for development of the ordinance. Angela Schumann first explained the intention to present a draft retail registration ordinance and its location in the business regulations portion of the City Code. The business registration ordinance will outline the process for registering certain types of cannabis businesses, and reminded policymakers of the 16 different types of licenses. She noted that Monticello had delegated registration to Wright County via the Joint - Powers Agreement (JPA). Local jurisdictions can issue retail registration for a subset of the 16 types of cannabis businesses, including cannabis micro -businesses and cannabis mezzo -businesses with a retail endorsements, cannabis retailers and cannabis medical retailers. Angela Schumann reminded policymakers that Wright County is electing to not register low -potency hemp retail, as they are an existing business, yet it will fall under Statute 342. Angela Schumann reminded the policymakers the registration will require a crosscheck. The local jurisdiction will verify maximum number of registrations, zoning requirements and compliance with proposed buffers. Although the registration process has been delegated to Wright County, the City will need to adopt an ordinance for retail registration that includes Monticello's registration cap, the delegation to Wright County, and the required buffers. Chair Paul Konsor asked about the license types and if the hemp -related and medical related licenss count towards the registration count. City Attorney representative Jack Brooksbank stated that the hemp retailers would still need to register, yet would not count to the two retailer requirement by statute based on Monticello's population. He explained that the registration pertains to recreational retail cannabis including cannabis microbusinesses, cannabis mezzobusinesses, and retailers. Only those types of registrations count towards the two minimum registrations for Monticello. Angela Schumann reminded the policymakers that staff has acknowledged that this is a starting point and that the adopted ordinances are likely to change as the environment shifts, data is collected and any state law changes. City Planner Steve Grittman began with the zoning discussion noting that an ordinance cannot prohibit the 16 license types, but the City retains the zoning authority by statute to regulate for where the license types can locate and the land use performance standards. For purposes of discussion, staff would suggest that retail cannabis facilities are grouped into B-3, B-4 business districts, with the industrial cannabis business grouping in 1-1 light -industrial, and 1-2 heavy industrial districts. Steve Grittman spoke about the regulatory standards for each use category; including the buffer, aspects of outdoor storage, managing odor, and requirements of general standards of building codes and standards of the zoning district. A separate table of cannabis uses has been prepared including permitted, conditionally permitted and not allowed. Zoning districts other than B-3, B-4 and 1-1 and 1-2 were not included as they are adjacent to residential neighborhoods, except for the very limited lower -potency hemp retailers as B-2 uses. Steve Grittman reminded policymakers on the 30-day timeline to respond to a cannabis license application for the location within Monticello. The state Office of Cannabis Management will notify the City. The city would utilize our existing processes if a conditional use permit is required. 2 Steve Grittman gave an overview of microbusiness and mezzobusiness, as defined by the size of the building nd allowable activities. Their allowable business endorsements are intertwined and both can request a retail endorsement. Staff is proposing for discussion that the retailing component would need to be located in B-3 or B-4, and the cultivation and the production industrial element would be in the 1-1 (light industrial) or 1-2 (heavy Industrial). The intent is to separate uses, even if a single business entity is the same applicant. The rationale is related both to reducing buffer conflicts, reduce retail trips within industrial districts and to congregate trips from the user for retail purposes. Lee Martie asked if they would still be considered one licensee, even with two locations. Steve Grittman confirmed. Charlotte Gabler asked if these businesses would be eligible to applyfor a PUD, if the applicant did not see a fit in the 1-1, 1-2 or B-3, B-4 districts. Steve Grittman stated that they write a custom zoning district for the individual project, and as a rezoning action that decision would be at the discretion of the City. Andrew Tapper stated a possible PUD consideration scenario would be a combination retail and industrial cannabis use in Otter Creek. Angela Schumann noted that regulations prohibit operation of a cannabis business in residential zoning districts. Steve Grittman confirmed that and stated a Home Occupation Permit would not be an appropriate licensee. Angela Schumann asked the City Attorney's office if there would be a way to prohibit the use of PUD for cannabis businesses. The City Attorney's office stated his recommendation that the City could not adopt an ordinance prohibiting a future Council from adopting an ordinance that has not been established yet. Steve Grittman reviewed the draft Cannabis Business Use table noting that is similar to the existing zoning use table, with permitted uses, conditional uses and prohibition. Consistent with the proposed text language, the retailers are in the B-3 and B-4 districts and industrial uses are located within the 1-1 and 1-2 districts within the table. Cannabis Events are treated as administrative permits in B-3 and B-4 and he stated that low - potency hemp is identified in the B-2, B-3, and B-4 districts. He continued throughThe delivery service for the retail delivery of the product is proposed in the B-3, and B-4 with a Conditional Use Permit. Andrew Tapper asked for the rationale for excluding the Central Community District (CCD). Angela Schumann stated CCD and Pointes District have residential components and may be excluded because of that aspect, along with parks and other buffers. 3 Charlotte Gabler asked about drive-throughs. Steve Grittman indicated that a drive - through would be prohibited both in ordinance and by statute and deferred to the City Attorney's office for clarification. Paul Konsor asked if the regulatory requirements for allowing businesses was coming from the State or Wright County. Angela Schumann clarified that it is per the statute that that we can regulate, we cannot prohibit. Steve Grittman echoed this and further that the prohibition cannot be done with buffers. Paul Konsor asked if it is feasible to manage odor control in the manufacturing district and its spillover into residential areas or area roadways. Steve Grittman stated there is technology to scrub and filter odors and odors cannot cross the property line. Angela Schumann reminded policymakers that the City cannot prohibit manufacturers and only apply the registration cap for cannabis retailers. Charlotte Gabler asked if the cannabis notification deadlines are separate from that of the zoning 60-day rule. Steve Grittman confirmed that they are separate. Angela Schumann stated the allowance for CUP was written with consultation with the City Attorney's office , as the statute is less than specific on guidance. Angela Schumann reminded policymakers of the buffer maximums in the statute, including 1,000 feet from a school, 500 feet from a day care center, 500 feet from a residential treatment facility and 500 feet from a park amenity where minors may congregate. She reminded policymakers that they can reduce the buffer distancing, yet may not exceed state statute maximums. Angela Schumann gave an overview of the planning department's recommendation regarding the park buffer and that of the city attorney's office. The planning department is recommending all parks be included as it is difficult to distinguish between where minors would not congregate. The city attorney's office is narrowing the scope in their interpretation of the statute and only looking for parks with park attractions where minors would congregate. Angela Schumann shared how staff prepared maps for both scenarios and in either scenario of the interpretation that there is a minimum of 25% of the parcels available in the allowable zoning districts for cannabis business operations. Angela Schumann reminded policymakers that they do not need make sure these parcels are available for lease or sale, simply that they are allowed for use. It was shared that legal challenges could present themselves if one believes the city has over -buffered themselves greater than statute's intention. Steve Grittman illustrated M the vagueness of the statute and the likelihood there would be updates to the statute from the state. Teri Lehner asked if a park receives a new amenity, whether it would drive out the cannabis business. Steve Grittman stated the City would not be able to prohibit the existing businesses, yet a new buffer would be created with annual review. Paul Konsor asked if the ordinance would only relate to public parks. Steve Grittman stated only public parks are subject to the buffer. Paul Konsor asked about county enforcement procedures. Angela Schumann stated that the county is taking a broader approach to regulation and noted that staff have reached out to the Wright County Sherriffs Office and the Monticello School District. In prior initial discussion, the district seemed to lean towards maximum buffers for schools. Teri Lehner spoke about the desire to take the conservative approach and open up slowly, versus having to try and close the door later. Paul Konsor gave support to the maximum buffer for schools. Rob Stark supported the maximum buffer for schools. This was echoed by Melissa Robeck for a maximum for schools and daycare. Angela Schumann reminded the boards that residential home day cares are included in the buffer. Andrew Tapper stated that the home day care has the least effect and could be redundant as the majority of the day cares are located in a residential neighborhoods, which already would not allow for cannabis businesses. Sam Murdoff spoke about the Goddard School being approved and yet is unbuilt, if this was built it would exclude nearby properties such as the movie theatre. Paul Konsor asked if the City could make a choice to add one buffer to day care centers and home day cares. Angela Schumann asked the City Attorney's office if regulation for day cares in B-3, B-4 and day cares in residential areas could be buffered separately. Jack Brooksbank confirmed. Andrew Tapper spoke about the desire to not limit future development of day cares with the proposed language. Tracy Hinz asked for clarification on the discussion points for the evening. Angela Schumann responded that staff is looking for feedback on the buffers, the zoning districts allowances and whether micro and mezzo retail businesses should be allowed to include retail within the industrial districts or to keep uses in the retail districts. Charlotte Gabler asked if a conditional use could be used for the accessory portion of micro and mezzo businesses' retail component in industrial districts. Staff confirmed. Andrew Tapper concurred that it is easier to open up the allowable uses slowly, versus having to backtrack later. Sam Murdoff explained that it is important for the City to evaluate its overall position on whether it wants cannabis businesses to locate in Monticello, or whether it wishes to take a more restrictive approach. If it wants to allow businesses, then where those businesses are allowed would be more broadly written into ordinance. Angela Schumann stated that Wright County now indicated that they will allow the City to exceed the 2 retail registration regardless of how many registrations are in the county, and exceeding 2 retail registrations would not remove Monticello from the Joint -Powers Agreement (JPA) as discussed in the prior workshop. Rob Stark agreed with a more measured approach versus a an initial 'free-for-all'. Angela Schumann spoke about how staff plans to continue conversations and open dialogue with Office of Cannabis Management and local law enforcement. Local law enforcement could be asked to give a report specifically regarding cannabis businesses to share with the planning commission. Teri Lehner asked about inquiries from cannabis businesses for Monticello and surrounding communities. Angela Schumann stated that based on a recent Star Tribune article it appears that Monticello has one inquiry for a cannabis business license with OCM.. Paul Konsor asked if medical cannabis is treated differently for tonight's discussion. Angela Schumann concurred based on the attorney's presented information for medical cannabis registration and that these have a specific designation in the table. Lee Martie summarized feedback from the evening's workshop that policymakers wanted to keep the 1000' school buffer, 500' buffer from amenities used by minors within the parks consistent with the city attorney's recommendation, zero -in on daycares buffers, and for the 1-1 and I -2 districts to prohibit retail at this time. Jack Brooksbank spoke to the difficulty of the language interpretation for attractions for minors versus attractions in general regarding the outer edge measurement for the attraction. He also spoke in regard to the day care buffers that the city should have a rationale for that approach. Andrew Tapper proposed language to state that the day care buffer applies in districts where cannabis is not allowed, yet a district where the cannabis is allowed then no buffer, such as B-3, B-4. Angela Schumann reviewed the concluding item of the evening, Cannabis Events. C: Steve Grittman gave an overview of cannabis events and as recommended, they would need to be located in a B-3, or B-4 district on a non -buffered site. Consumption at events, would be limited based on other regulations, , yet would allow for consumption of edibles and informational handouts. Angela Schumann asked if policymakers would like to allow cannabis events on publicly - owned property. Tracy Hinz asked if the City was required to allow cannabis events. Steve Grittman stated the statute states that cities must allow the events, and up to 4 consecutive days. Jack Brooksbank stated that cannabis samples are not allowed per State Statute. Angela Schumann stated that a property that is vacant in the B-3 or B-4 could be allowed for cannabis events, granted all other conditions are met. The general consensus from policymakers was not to prohibit publicly -owned properties at this time. Angela Schumann gave an overview of the next steps, regarding publication of the public hearing and posting with planning commission review on November 4, with council review on November 25 pending Planning Commission recommendation, with a study document in place with the research from the interim ordinance. 3. Adjournment by consensus Recorded By: Tyler Bevier Date Approved: November 4, 2024 ATTEST: Angela Schumann, Community Development Director 7 Planning Commission Agenda— 11/04/2024 2A. PUBLIC HEARING - Consideration of an amendment to Title IX for General Reeulation Title XI for Business Regulations and Title XV, Chapter 153: Zoning, for the regulation of Cannabis land uses subject to local adoption of the provisions and mandates of the Minnesota State Statute Chapter 342. Applicant: Citv of Monticello Prepared by: Grittman Consulting - Meeting Date: Council Date (pending Stephen Grittman, City Planner and Commission action): Community Development Director 11/04/24 11/25/24 Additional Analysis by: City Clerk, City Attorney, Community & Economic Development Coordinator, Chief Building & Zoning Official ALTERNATIVE ACTIONS 1. Motion to adopt Resolution PC-2024-45 and Resolution PC-2024-46 recommending adoption of Ordinance No. 835 for amendment to Monticello City Code Title XV: Land Usage, Chapter 153: Zoning and Title IX: General Regulations, Chapter 96: Public Gatherings for establishing regulations for cannabis and low -potency hemp products pursuant to Minn. Stat. 342, based on finding in said Resolution. 2. Motion to deny adoption of Resolution PC-2024-45 and Resolution PC-2024-46 recommending adoption of Ordinance No. 835 for amendment to Monticello City Code Title XV: Land Usage, Chapter 153: Zoning and Title IX: General Regulations, Chapter 96: Public Gatherings for establishing regulations for cannabis and low -potency hemp products pursuant to Minn. Stat. 342, based on findings to be made by the Planning Commission. 3. Motion to table adoption of Resolution PC-2024-45 and Resolution PC-2024-46 recommend adoption of Ordinance No. 835 for amendment to Monticello City Code Title XV: Land Usage, Chapter 153: Zoning and Title IX: General Regulations, Chapter 96: Public Gatherings for establishing regulations for cannabis and low -potency hemp products pursuant to Minn. Stat. 342. REFERENCE AND BACKGROUND In 2023, the State of Minnesota legalized recreational adult -use cannabis and a regulatory framework for cannabis and low -potency hemp. Minnesota Statutes Chapter 342 legalizes the possession, use, manufacturing, and sale of certain cannabis products. The law also establishes 1 Planning Commission Agenda-11/04/2024 the Office of Cannabis Management (OCM), which will be responsible for the regulation of the cannabis and hemp consumer industry in Minnesota, including licensure. Cities are allowed to adopt reasonable restrictions on the time, place, and manner of the operations of a cannabis business through adoption of zoning ordinances. Cities are not allowed to prohibit cannabis businesses as established under the law. In considering licensure for cannabis businesses, the OCM will forward license applications to cities for verification of compliance with local zoning ordinances. The OCM may not issue a license to a cannabis business that does not meet local zoning and land use laws. The local municipality will have 30 days to provide input to OCM on the application. The City of Monticello has adopted an interim ordinance for moratorium prohibiting the operation of cannabis business on August 28, 2023. The interim ordinance allowed the City time to study the new law, its impacts, and to develop local ordinances. The interim ordinance ends on January 1, 2025, and may not be extended, consistent with state statute. To support development of local cannabis and low -potency hemp regulations in response to the new law, public meetings of the Planning Commission and City Council were held in October of 2024. A special meeting of the two boards held on October 1, 2024 and provided an overview of the new law and a summary of potential ordinance amendments for cannabis business regulation. At the conclusion of the meeting, the City Council formally approved the development of cannabis -related ordinances for consideration and called for a public hearing on the land use ordinances on November 4, 2024. The second public meeting of the Planning Commission and City Council was a workshop held on October 23, 2024, with discussion focused on the development of zoning regulations for cannabis businesses. No formal action was taken during the workshop. The two bodies provided feedback on buffer requirements, zoning district allowances and applicable use standards. With the input of the boards and resource information from a variety of sources, staff have developed a draft zoning ordinance for review and public hearing consideration. The proposed amendment to Title XV. Land Usage, Chapter 153 —Zoning provides for the regulation of time, place and manner for the cannabis business license types authorized by Minn. Stat. 342. A companion amendment to Title Xl: General Regulations, Chapter 96 — Public Gathering is also proposed to detail the standards for temporary cannabis events. The draft ordinance proposes definitions, findings, general requirements, use allowances by district, and specific performance standards for cannabis businesses. A summary of primary components of the draft ordinance follows. Planning Commission Agenda-11/04/2024 • Definitions: provide clarity on the application of Monticello's cannabis ordinances. All other definitions defer to statute. • General Regulations applicable to all cannabis uses: o Establishes the minimum buffers between cannabis businesses and schools, parks, childcares, and residential treatment facilities. The City can be less restrictive than the state in setting buffer distances, but not more so. The proposed buffers fall within the parameters of state maximums and are proposed as: (10) No cannabis -related business use shall be located closer to any property occupied by any of the following uses, measured as a horizontal distance from the closest point of the property on which the cannabis business is located to the closest point of the property occupied by: a. School: 1,000 feet. b. Day care: 500 feet from any day care facility that is located in a zoning district where cannabis businesses are not allowed. This buffer shall not apply to day care facilities that are located in a zoning district in which a cannabis business is allowed. c. Residential Treatment Facility: 500 feet. d. Public Park: 500 feet from amenities regularly used by minors within a public park. Public parks included shall be as identified in the City's most currently adopted Park System or Master Plan. This buffer shall not apply to sidewalks or trails, or other public lands. o Requires that the operation of cannabis businesses meet the requirements of state statute and the other applicable standards of the zoning ordinance. For example, a cannabis business must comply with the City's ordinances for parking, building materials, and landscaping. o Other general regulations of note: ■ No odor may be detected beyond the property line ■ Outdoor storage is prohibited for any cannabis use ■ Signage must be consistent with Chapter 342 and the Monticello ordinance • Use Table: o The draft ordinance limits exclusively retail activities of cannabis businesses to two primary zoning districts, B-3 (Highway Business) and B-4 (Regional Business). 3 Planning Commission Agenda-11/04/2024 While the city's ordinance currently allows general retail in other business districts, such as B-2 or CCD, the restriction for cannabis retail to the City's more intense retail districts recognizes that other commercial districts are generally in close proximity to residential districts and/or allow mixed residential and commercial uses, which could present a conflict with the regulatory buffers. In addition, the location of cannabis businesses in B-3 or B-4 district recognizes the concentration of retail activity in these areas, supporting convenience and consolidation of retail trips. ■ Microbusiness and mezzobusinesses may include a retail endorsement which allows operation at a standalone location or in combination with its other endorsement activities. The ordinance as proposed allows the retail component of microbusiness and mezzobusinesses in the B-3 and B-4 commercial districts only. This is to avoid additional retail activity in industrial districts, which presents other land use impacts inconsistent with industrial districts. ■ The two separate locations qualify as one cannabis business for registration purposes. ■ The number of retail registrations for cannabis businesses will be set by the City Council in its retail registration ordinance and based on allowances in state law. o The majority of other cannabis business types are proposed to be limited to the 1-1 (Light Industrial) and 1-2 (Heavy Industrial) zoning districts given their characteristics and operational aspects are similar to other industrial uses. These include cultivation, wholesale activity and/or manufacturing uses. ■ The majority of cannabis businesses in the 1-1 are proposed as conditional uses. The majority of cannabis businesses within the 1-2 district are proposed as permitted. Again, no retail cannabis activity permitted as an accessory use. • Specific Use Standards: The draft ordinance provides specific performance standards for individual cannabis business types. These regulations are intended to address the potential land use impacts both to the subject site and surrounding properties. The use standards are similar to those for other commercial and industrial uses as applicable. • Temporary Uses: The draft ordinance provides the outline of companion regulations for cannabis events, which will be included within Title X: General Regulations of the City Code. A cross-reference with the zoning ordinance is provided. Cannabis events are allowed up to four consecutive days. 4 Planning Commission Agenda-11/04/2024 In addition to the proposed zoning ordinances regulating the time, place and manner of cannabis and low -potency hemp businesses, the City Council will be asked to consider amendments to the Code to address other components of cannabis and low -potency hemp regulations including retail registration, smoking and public use, and companion special event permitting. STAFF RECOMMENDED ACTION Staff recommends alternative 1 above for adoption of the proposed cannabis zoning regulations. The recommendation is based on findings specified in the resolutions recommending approval, including the City's authority to consider zoning ordinances for the purpose of promoting the public health, safety, and general welfare for the municipality. It is fully recognized that as Minnesota's cannabis law is implemented, further amendments to address rulemaking by the Office of Cannabis Management and additional legislative action may be needed. To address any changes to the ordinance as a result of rule -making or statutory amendments, staff will coordinate a workshop in early to mid-2025. Information on registrations, concerns/complaints, and law enforcement impacts will also be gathered for review. SUPPORTING DATA A. Resolution PC-2024-45, Zoning Ordinance Amendment B. Resolution PC-2024-46, Temporary Cannabis Related Events C. Ordinance 835, Draft D. Cannabis Definitions, Cannabis Business License Information, & Cannabis Use Activities by License Type E. Preliminary Buffer Application Mapping Analysis F. Office of Cannabis Management, Cannabis Events Excerpt G. October 18, 2024 Staff Memo - Cannabis Regulations H. October 1, 2024 Meeting Agenda October 23. 2024 Meetine Agenda CITY OF MONTICELLO WRIGHT COUNTY, MINNESOTA e ► ► ► 010 ►] �ll►�ll�*f [@ RESOLUTION NO. PC 2024-45 A RESOLUTION OF THE PLANNING COMMISSION OF THE CITY OF MONTICELLO RECOMMENDING APPROVAL OF AN AMENDMENT TO TITLE XI: LAND USAGE, CHAPTER 153: ZONING PROVIDING FOR THE REGULATION OF CANNABIS -RELATED BUSINESSES WHEREAS, the State of Minnesota has City has enacted Minn. Stat. Chapter 342 authorizing the operation of cannabis -related business enterprises; and WHEREAS, the legislation authorizes local government to exercise land use management regulations over cannabis business operations; and WHEREAS, the City of Monticello finds that such regulation is in the best interests of the community and its residents and business properties; and WHEREAS, with the applicable Ordinance, the City would establish adequate opportunity for such uses to locate and operate with the City, while protecting the health, safety, and welfare of the community; and WHEREAS, the Planning Commission has reviewed the amendments modifying the applicable ordinances and their effect on the City's land use plans and policies; and WHEREAS, the Planning Commission held a public hearing on November 4th, 2024 on the proposed amendment and members of the public were provided the opportunity to present information to the Planning Commission; and WHEREAS, the Planning Commission has considered all of the comments and the staff report, which are incorporated by reference into the resolution; and WHEREAS, the Planning Commission of the City of Monticello makes the following Findings of Fact in relation to the recommendation of approval: 1. The amendments for the regulation of cannabis businesses will promote the community's interest in reasonable stability in zoning for now and in the future, and that the proposed provisions are in the public interest and for the public good, and are in the interest of the public health, safety, welfare of City residents. 2. The City's land use planning documents direct a balanced approach to development, requiring adherence to high standards of use, but also recognizing the needs of the private development market to efficiently plan for and finance that development. 3. The location of cannabis -related businesses has the potential for adverse land use impacts without reasonable regulations and land use management. 4. Regulations are required to address general locations in the City, including (but not limited to) proximity to schools, daycare facilities, residential treatment facilities, and public parks where minors may regularly assemble. 5. The City finds that these land use regulations, in concert with other state, county, and local regulations, are critical factors in managing these businesses, as well as providing for their ability to be successful as private enterprises. 6. The proposed amendments create a reasonable process for both the City and the private development interests working in the community. 7. The proposed amendment details meet the intent and requirements of the applicable zoning regulations, with the City's Comprehensive Plan goals and objectives, and are consistent with the applicable land use policies and ordinances. NOW, THEREFORE, BE IT RESOLVED, by the Planning Commission of the City of Monticello, Minnesota recommends that the Monticello City Council approves the proposed zoning amendments in Ordinance No. 835, based on the findings noted herein. ADOPTED this 41" day of November, 2024 by the Planning Commission of the City of Monticello, Minnesota. MONTICELLO PLANNING COMMISSION IN ATTEST: Paul Konsor, Chair Angela Schumann, Community Development Director CITY OF MONTICELLO WRIGHT COUNTY, MINNESOTA e ► ► ► 010 ►] �ll►�ll�*f [@ RESOLUTION NO. PC 2024-46 A RESOLUTION OF THE PLANNING COMMISSION OF THE CITY OF MONTICELLO RECOMMENDING APPROVAL OF AN AMENDMENT TO MONTICELLO CITY CODE TITLE XV: LAND USAGE, CHAPTER 153: ZONING AND TITLE IX: GENERAL REGULATIONS, CHAPTER 96: GATHERINGS PROVIDING FOR THE REGULATION OF TEMPORARY CANNABIS -RELATED EVENTS WHEREAS, the State of Minnesota has City has enacted Minn. Stat. Chapter 342 authorizing the operation of cannabis -related business enterprises, including the operation of temporary cannabis -related events; and WHEREAS, the legislation authorizes local government to exercise land use management regulations over cannabis business operations, including such temporary events; and WHEREAS, the City of Monticello finds that such regulation is in the best interests of the community and its residents and business properties; and WHEREAS, with the applicable Ordinance, the City would establish adequate opportunity for such uses to locate and operate with the City, while protecting the health, safety, and welfare of the community; and WHEREAS, the Planning Commission has reviewed the amendments modifying the applicable ordinances and their effect on the City's land use plans and policies; and WHEREAS, the Planning Commission held a public hearing on November 41", 2024 on the proposed amendments and members of the public were provided the opportunity to present information to the Planning Commission; and WHEREAS, the Planning Commission has considered all of the comments and the staff report, which are incorporated by reference into the resolution; and WHEREAS, the Planning Commission of the City of Monticello makes the following Findings of Fact in relation to the recommendation of approval: 1. The amendments for the regulation of cannabis businesses will promote the community's interest in reasonable stability in zoning for now and in the future, and that the proposed provisions are in the public interest and for the public good, and are in the interest of the public health, safety, welfare of City residents. 2. The City's land use planning documents direct a balanced approach to legitimate business uses, requiring adherence to high standards of use, but also recognizing the needs of the private development market to efficiently plan for and finance those uses. 3. The location of temporary cannabis -related events has the potential for adverse land use impacts without reasonable regulations and land use management. 4. Regulations are required to address general locations in the City, including (but not limited to) proximity to schools, daycare facilities, residential treatment facilities, and public parks where minors may regularly assemble. 5. The City finds that these land use regulations, in concert with other state, county, and local regulations, are critical factors in managing these events, as well as providing for their ability to be successful as private enterprises 6. The proposed amendments create a reasonable process for both the City and the private interests working in the community. 7. The proposed amendment details meet the intent and requirements of the applicable zoning regulations, with the City's Comprehensive Plan goals and objectives, and are consistent with the applicable land use policies and ordinances. NOW, THEREFORE, BE IT RESOLVED, by the Planning Commission of the City of Monticello, Minnesota recommends that the Monticello City Council approves the proposed zoning amendments in Ordinance No. 835, based on the findings noted herein. ADOPTED this 41" day of November, 2024 by the Planning Commission of the City of Monticello, Minnesota. MONTICELLO PLANNING COMMISSION -31 ATTEST: Paul Konsor, Chair Angela Schumann, Community Development Director ORDINANCE NO. 835 CITY OF MONTICELLO WRIGHT COUNTY, MINNESOTA AN ORDINANCE AMENDING THE CITY CODE OF THE CITY OF MONTICELLO, TITLE XV: LAND USAGE, CHAPTER 153: ZONING AND TITLE IX: GENERAL REGULATIONS, CHAPTER 96: GATHERINGS PROVIDING FOR THE REGULATION OF TEMPORARY CANNABIS -RELATED EVENTS AND ESTABLISHING REGULATIONS FOR CANNABIS AND LOW -POTENCY HEMP PRODUCTS PURSUANT TO MINN. STAT. 342 IT IS HEREBY ORDAINED by the City Council of the City of Monticello, Minnesota: Section 1. Section § 153.012 DEFINITIONS shall be amended to add the following: CANNABIS -RELATED BUSINESSES. Unless otherwise noted in this section, words and phrases contained in Minn. Stat. 342.01 and the rules promulgated pursuant to any of these acts, shall have the same meanings in this ordinance. (a) Cannabis Cultivation: A cannabis business licensed by the State to grow cannabis plants within the approved amount of space 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, or perform other actions approved by the office, for either adult use or medical use. (b) Cannabis Retail Businesses: A business enterprise that is licensed by OCM for one of the following cannabis -related uses: A cannabis retailer, or the location(s) of a mezzobusiness with a retail operations endorsement, or the retail locations of a microbusiness with a retail operations endorsement, medical cannabis retailer, or a medical combination businesses operating a retail dispensary location, (and excluding) lower -potency hemp edible retailers. (c) Cannabis Industrial Business: A business enterprise that is licensed by OCM for one of the following cannabis -related uses: (1) Cultivator; (2) Manufacturer; (3) Wholesaler; (4) Transporter; (5) Testing Facility; (6) Delivery Service; (7) Mezzobusiness; (8) Microbusiness; (9) any such business that conducts these activities for Lower Potency Hemp enterprises; (10) any such business that conducts these activities for Medical Cannabis enterprises; or (11) any other cannabis -related business enterprise that is not expressly and solely a retail business. (d) 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. ORDINANCE NO. 835 (e) Lower -potency Hemp Edible: As defined under Minn. Stat. 342.01 subd. 50. (f) Office of Cannabis Management: Minnesota Office of Cannabis Management, referred to as "OCM" in this ordinance. (g) Place of Public Accommodation: A business, accommodation, refreshment, entertainment, recreation, or transportation facility of any kind, whether licensed or not, whose goods, services, facilities, privileges, advantages or accommodations are extended, offered, sold, or otherwise made available to the public. (h) Preliminary License Approval: OCM pre -approval for a cannabis business license for applicants who qualify under Minn. Stat. 342.17. (i) Residential Treatment Facility: As defined under Minn. Stat. Chapter 245(G). 0) Retail Registration: An approved registration issued by the City to a state - licensed cannabis retail business. (k) 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. (1) State License: An approved license issued by the State of Minnesota's Office of Cannabis Management to a cannabis retail business. Section 2. Section §153.090 USE TABLE, shall be amended to add Table 5-1C: Cannabis Business Uses See Exhibit A — Table 5-1C: Cannabis Business Uses Section 3. Section § 153.091(A) General regulations applicable to all uses shall be amended to add the following: (4) Cannabis -related businesses. (a) Findings and Purpose. 1. The City of Monticello (hereinafter "City") makes the following legislative findings: The purpose of this ordinance is to implement the provisions of Minnesota Statutes, chapter 342, which authorizes the City to protect the public health, safety, welfare of City residents by regulating cannabis businesses within the legal boundaries of City. 2. The City finds and concludes that the proposed provisions are appropriate and lawful land use regulations for City, that the proposed amendments will promote the community's interest in reasonable stability in zoning for now and in the future, and that the proposed provisions are in the public interest and for the public good. (b) Authority & Jurisdiction 1. The City has the authority to adopt this ordinance pursuant to: ORDINANCE NO. 835 a. Minn. Stat. 342.13(c), regarding the authority of a local unit of government to adopt reasonable restrictions of the time, place, and manner of the operation of a cannabis business provided that such restrictions do not prohibit the establishment or operation of cannabis businesses. b. Minn. Stat. 342.22, regarding the local registration and enforcement requirements of state -licensed cannabis retail businesses and lower -potency hemp edible retail businesses, subject to any Joint Powers Agreement with Wright County which explicitly supersedes these regulations. c. Minn. Stat. 152.0263, Subd. 5, regarding the use of cannabis in public places. d. Minn. Stat. 462.357, regarding the authority of a local authority to adopt zoning ordinances. (c) Any cannabis -related business or lower -potency hemp edible business licensed by the State of Minnesota under Minn. Stat. 342 shall be subject to the following requirements, in addition to any specific standards in this section, and other reasonable regulations required as a condition of any zoning permit issued for such uses. 1. No cannabis -related use shall operate outside of the hours of operation established by Minn. Stat. 342, or those established by the City of Monticello, whichever is more restrictive. 2. No cannabis business use shall operate or occur on property used for residential purpose 3. No cannabis -related business use shall create odors that are detectable beyond the property lines of such use. 4. The facility shall display its state issued license on the interior of the facility, visible to the public, at all times. 5. No person or facility shall dispose of cannabis or cannabis -containing products in an unsecured waste receptacle not in possession and control of the licensee and designed to prohibit unauthorized access. 6. All cultivation, processing, storage, display, sales or other distribution of cannabis shall occur within an enclosed building and shall not be visible from the exterior of the building. 7. Outdoor storage is prohibited for all cannabis -related uses. 8. Cannabis -related business uses shall comply with the City of Monticello's sign regulations. ORDINANCE NO. 835 9. Cannabis -related business uses shall comply with all other applicable standards of the Monticello zoning ordinance and City Code. 10. Buffers. No cannabis -related business use shall be located closer to any property occupied by any of the following uses, measured as a horizontal distance from the closest point of the property on which the cannabis business is located to the closest point of the property occupied by: a. School: 1,000 feet. b. Daycare: 500 feet from any day care facility that is located in a zoning district where cannabis businesses are not allowed. This buffer shall not apply to day care facilities that are located in a zoning district in which a cannabis business is allowed. c. Residential Treatment Facility: 500 feet. d. Public Park: 500 feet from amenities regularly used by minors within a public park. Public parks included shall be as identified in the City's most currently adopted Park System or Master Plan. This buffer shall not apply to sidewalks or trails, or other public lands. Section 4. Section § 153.091(E) Regulations for commercial uses shall be amended to add the following: (7) Cannabis Retail Business. Including Cannabis Retailer, Medical Cannabis Retailer, Medical Cannabis Combination Business with Retail Location, Cannabis Microbusiness Retail Location, and Cannabis Mezzobusiness Retail Location shall be subject to the following standards: (a) Cannabis Retailers as enumerated above shall comply with all of the requirements of Section 153.091(C). (b) Any location of a Cannabis Retailer, Medical Cannabis Retailer, Medical Combination Business Retail Location, Cannabis Microbusiness Retail location or Cannabis Mezzobusiness Retail location in a B-3 or B-4 zoning district shall have a license or endorsement allowing for retail sales at that location from the State of Minnesota OCM. (c) The combination of retail cannabis sales and any other cannabis business as a "microbusiness" or "mezzobusiness" shall be considered a single business entity for purposes of signage allowances. (d) No cannabis -related business shall permit consumption of any product on -site, except by Conditional Use Permit, subject to the following conditions: 1. The facility shall only be located in the B-3 or B-4 zoning district. ORDINANCE NO. 835 2. If the facility is a part of a multi -tenant building, the facility shall ensure that no odors from smoke or other on -site activities can detectable outside of the facility. 3. Consumption may be allowed only indoors, located in a specified area physically separated from other retail floor space. (e) No Cannabis -related business with a retail component or endorsement shall provide delivery of its product to retail customers unless expressly allowed by a State license, except that Medical Cannabis Retailers may make deliveries to their customers with valid medical prescriptions. (f) Receipt of cannabis products by a retail customer shall only occur within the building establishment and shall not occur through any outside pick-up or drive -through delivery process. Section 5. Section §153.091(F) Regulations for industrial uses shall be amended to add the following: (7) Industrial Cannabis Businesses. Including the following cannabis -related uses: (1) Cultivator; (2) Manufacturer; (3) Wholesaler; (4) Transporter; (5) Testing Facility; (6) Delivery Service; (7) Mezzobusiness; (8) Microbusiness; (9) any such business that conducts these activities for Lower Potency Hemp enterprises; (10) any such business that conducts these activities for Medical Cannabis enterprises; or (11) any other cannabis -related business enterprise that is not expressly and solely a retail business, shall be subject to the following standards: (a) Industrial Cannabis Businesses shall comply with all of the requirements of Section 153.091(C). (b) The entire site other than that taken up by a building, structure, or plantings shall be paved. (c) A drainage system subject to the approval of the Community Development Department shall be installed. (d) The lighting shall be accomplished in such a way as to have no direct source of light visible from adjacent land in residential use or from the public right-of-way and shall be in compliance with § 153.063. (e) In an I-1 District, when abutting a residential use, the property shall be screened with an opaque buffer (Table 4-2, Buffer Type "D") in accordance with § 153.060(G). (f) In an I-2 District, no parcel may be used for cannabis -related business if such parcel abuts a residential district. (g) All signing and informational or visual communication devices shall be minimized and shall be in compliance with § 153.064. (h) Provisions are made to control and reduce noise. ORDINANCE NO. 835 (i) Waste -handling equipment and processes shall be enclosed and indoors. (j) No outside storage shall be allowed for any cannabis -related business. Parking of delivery or transport vehicles shall occur only in designated spaces, and shall not be considered outside storage. (k) Cannabis cultivation uses as part of any Industrial Cannabis Business shall be subject to the following additional requirements: 1. Cannabis Cultivators shall limit site and/or building lighting to ensure that light at the property line is measured at 0.0 footcandles. 2. All lighting shall be hooded, downcast, and not create glare to any other property. 3. All buildings shall comply with the City's zoning and building regulations, and be adaptable to other non -cultivation use. Section 6. Section §153.093(E) Specific Standards for temporary uses shall be amended to add the following: (12) Temporary Cannabis Events. (a) Any Temporary Cannabis Event shall comply with all requirements of § 96.21-96.24, Special Event Permit, and § 96.25, Temporary Cannabis Events. Section 7. Chapter 96 PUBLIC GATHERINGS shall be amended to add the following: § 96.25 TEMPORARY CANNABIS EVENTS. A. Any Temporary Cannabis Event shall comply with all requirements of § 153.093, Temporary Uses. B. Any Temporary Cannabis Event shall comply with all the requirements of this Section, and all of the requirements of § 96.21-96.24, Special Event Permit. C. No Temporary Cannabis Event shall be permitted except where the Event organizer holds a valid Temporary Cannabis Event Organizer license from the State of Minnesota Office of Cannabis Management. D. No Temporary Cannabis Event that provides retail sales of any cannabis or low - potency hemp product may occur in any location other than a B-3 or B-4 zoning district, and shall be subject to the buffer requirements as found in § 153.091 (A)(4)c. of this Code. E. A Temporary Cannabis Event that does not allow retail sales or on -site consumption may be held in other locations of the City, except that no such event shall occur on property used for residential purposes. F. No Temporary Cannabis Event shall allow smoking of any tobacco, cannabis, or lower -potency hemp product. G. A Temporary Cannabis Event may allow consumption of cannabis or low -potency hemp products that are ingestible as a beverage or as a product to be eaten provided ORDINANCE NO. 835 the event follows the requirements for such on -site consumption set forth in Minnesota Statutes Chapter 342. H. A Temporary Cannabis Event may occur on any property eligible under this Section, whether such property is occupied by another principal use and/or building, or such property is vacant. Section 8. The City Clerk is hereby directed to make the changes required by this Ordinance as part of the Official Monticello City Code, Title XV, Chapter 153, Zoning Ordinance, and Title IX, Chapter 96, Public Gatherings and to renumber the tables and chapters accordingly as necessary to provide the intended effect of this Ordinance. The City Clerk is further directed to make necessary corrections to any internal citations that result from said renumbering process, provided that such changes retain the purpose and intent of the Zoning Ordinance as has been adopted. Section 9. This Ordinance shall take effect and be in full force from and after its passage and publication. The ordinance in its entirety shall be posted on the City website after publication. Copies of the complete Ordinance are available online and at Monticello City Hall for examination upon request. ADOPTED BYthe Monticello City Council this 251h day of November, 2024. CITY OF MONTICELLO Lloyd Hilgart, Mayor ATTEST: Rachel Leonard, City Administrator VOTING IN FAVOR: VOTING IN OPPOSITION: NOT PRESENT: Ordinance No. 835: Exhibit A Table 5-1C, Cannabis Business Uses A R-A R-1 R 2 TN R 3 R-4 B-1 B-2 B-3 B-4 CCD PCD IBC 1-1 1-2 Additional Requirements Commercial O Cannabis N N N N N N N N N P P N N N N N § 153.091(E)(7) Retailer Cannabis Microbusiness - N N N N N N N N N P/C* P/C* N N N N N § 153.091(E)(7) Retail Location Only *CUP required for on - site consumption CUP Cannabis Mezzobusiness— N N N N N N N N N P P N N N N N § 153.091(E)(7) Retail Location Only Medical Cannabis Retailer N N N N N N N N N P P N N N N N § 153.091(E)(7) Medical Cannabis P P § 153.091(E)(7) Combination Business — Retail Location Only Lower Potency Hemp Edible N N N N N N N N P P P N N N N N § 153.091(E)(7) Retailer Temporary Cannabis Event N N N N N N N N N A A N N N N N § 153.093(E)(12) Industrial Uses § 96.21 - § 96.25 Cannabis Cultivator N N N N N N N N N N N N N N C P §153.091(F)(7) § 153.091(F)(7) Cannabis Manufacturer N N N N N N N N N N N N N N C P § 153.091(F)(7) Cannabis Microbusiness N N N N N N N N N N N N N N C P § 153.091(F)(7) Cannabis Mezzobusiness N N N N N N N N N N N N N N C P § 153.091(F)(7) Cannabis Wholesaler N N N N N N N N N N N N N N C P § 153.091(F)(7) Cannabis Transporter N N N N N N N N N N N N N N C P § 153.091(F)(7) Cannabis Testing Facility N N N N N N N N N N N N N N C P § 153.091(F)(7) Cannabis Delivery Service N N N N N N N N N C* C* N N N C P § 153.091(F)(7) *Accessory only to Licensed Cannabis or Lower -Potency Hemp Retail in B-3 or B-4 Medical Cannabis N N N N N N N N N N N N N N C P § 153.091(F)(7) Processor Medical Cannabis N N N N N N N N N N N N N N C P § 153.091(F)(7) Combination Business Lower Potency Hemp Edible N N N N N N N N N N N N N N C P § 153.091(F)(7) Manufacturer N- Not Allowed P -Permitted I C - Conditional I - Interim A -Administrative EXHIBITA �� Monticello Cannabis Definitions, Cannabis Business License Information, & Cannabis Use Activities by License Type (Informational Only) Definitions, Excerpts Source: 2023 Minnesota Statutes 342.01 Definitions https://www. revisor. mn. gov/statutes/cite/342.01 Subd. 20 Cannabis product. (a) "Cannabis product" means any of the following: (1) cannabis concentrate; (2) a product infused with cannabinoids, including but not limited to tetrahydrocannabinol, extracted or derived from cannabis plants or cannabis flower; or (3) any other product that contains cannabis concentrate. (b) Cannabis product includes adult -use cannabis products, including but not limited to edible cannabis products and medical cannabinoid products. Cannabis product does not include cannabis flower, artificially derived cannabinoid, lower -potency hemp edibles, hemp -derived consumer products, or hemp -derived topical products. Subd. 31.Edible cannabis product. "Edible cannabis product" means any product that is intended to be eaten or consumed as a beverage by humans; contains a cannabinoid other than an artificially derived cannabinoid in combination with food ingredients; is not a drug; and is a type of product approved for sale by the office, or is substantially similar to a product approved by the office including but not limited to products that resemble nonalcoholic beverages, candy, and baked goods. Edible cannabis product does not include lower -potency hemp edibles. Subd. 37.Hemp-derived consumer product. (a) "Hemp -derived consumer product" means a product intended for human or animal consumption, does not contain cannabis flower or cannabis concentrate, and: (1) contains or consists of hemp plant parts; or EXHIBITA (2) contains hemp concentrate or artificially derived cannabinoids in combination with other ingredients. (b) Hemp -derived consumer product does not include artificially derived cannabinoids, lower - potency hemp edibles, hemp -derived topical products, hemp fiber products, or hemp grain. Subd. SO.Lower-potency hemp edible. "Lower -potency hemp edible" means any product that: (1) is intended to be eaten or consumed as a beverage by humans; (2) contains hemp concentrate or an artificially derived cannabinoid, in combination with food ingredients; (3) is not a drug; (4) consists of servings that contain no more than five milligrams of delta-9 tetrahydrocannabinol, 25 milligrams of cannabidiol, 25 milligrams of cannabigerol, or any combination of those cannabinoids that does not exceed the identified amounts; (5) does not contain more than a combined total of 0.5 milligrams of all other cannabinoids per serving; (6) does not contain an artificially derived cannabinoid other than delta-9 tetrahydrocannabinol; (7) does not contain a cannabinoid derived from cannabis plants or cannabis flower; and (8) is a type of product approved for sale by the office or is substantially similar to a product approved by the office, including but not limited to products that resemble nonalcoholic beverages, candy, and baked goods. 2 EXHIBITA Cannabis Business License Information Source: Office of Cannabis Management General Licenses, Available License Types https.Ilmn. gov/ocm/businesses/licensing/ 1. Cannabis microbusinesses: Cannabis microbusinesses can grow, make, sell, and buy cannabis (including plants and seedlings) and lower -potency hemp products. They can also have on -site lounges where customers can use cannabis. a. Cultivation up to 5,000 square feet of plant canopy indoors, and one half acre outdoors (and up to one acre with OCM approval) b. May operate one retail location 2. Cannabis mezzobusinesses: Cannabis mezzobusinesses can grow, make, sell, and buy cannabis (including plants and seedlings) and lower -potency hemp products. This license type is available in limited quantities, and licensees will be selected through a vetted I otte ry. a. Cultivation up to 15,000 square feet of plant canopy indoors and upwards with OCM approval, and one acre outdoor (and up to three acres with OCM approval) b. May operate up to three retail locations; locations do not have to be at same location 3. Cannabis cultivators: Cannabis cultivators can grow cannabis plants from seed to maturity. Cultivators are allowed to harvest, package, label, and transport fully grown cannabis plants to manufacturers. They can also package, label, and transport seedlings. This license type is available in limited quantities, and licensees will be selected through a vetted lottery. 4. Cannabis manufacturers: Cannabis manufacturers process raw cannabis plants into various products, such as edibles, concentrates, wax, oils, and tinctures. Manufacturers can buy cannabis flowers, cannabis products, and lower -potency hemp products from other cannabis businesses. They turn these materials into cannabis products, then package and sell them to other cannabis businesses. This license type is available in limited quantities, and licensees will be selected through a vetted lottery. S. Cannabis retailers: Cannabis retailers sell packaged cannabis products to the general public and medical patients. They can buy cannabis (including plants and seedlings) and lower - potency hemp products from other cannabis businesses and sell them to customers. This license type is available in limited quantities, and licensees will be selected through a vetted lottery. A cannabis retailer may operate up to five retail locations; however, no person, cooperative, or business may hold a license to own or operate more than one cannabis retail business in one city and three retail businesses in one county. 3 EXHIBITA 6. Cannabis Wholesaler: Cannabis wholesalers buy cannabis, cannabis products, and lower - potency hemp products from cannabis businesses and then sell them to other cannabis business. 7. Cannabis transporters: Cannabis transporters are businesses that move cannabis, cannabis products, and lower -potency hemp products between businesses. 8. Cannabis testing facilities: Cannabis testing facilities receive cannabis, cannabis products, and lower -potency hemp products from manufacturers and cultivators to test. They ensure these products meet safety standards. 9. Cannabis event organizers: Cannabis event organizers plan and host events featuring cannabis, and may allow for the sale of cannabis, cannabis products, and lower -potency hemp products to consumers at events like festivals (an event cannot last more than four days). They can also provide spaces for consumers to use cannabis. An event organizer must receive local approval, including obtaining any necessary permits or licenses issued by a local unit of government. 10. Cannabis delivery service: A cannabis delivery service purchase cannabis and lower - potency hemp products from specific cannabis businesses and sell and deliver those products directly to consumers. 11. Lower -potency hemp edible manufacturers: Lower -potency hemp edible manufacturers produce edibles from hemp. These manufacturers can create, package, and label lower - potency hemp products, and sell them to cannabis businesses. This license type cannot hold any cannabis business licenses. 12. Lower -potency hemp edible retailers: Lower -potency hemp edible retailers sell packaged lower -potency hemp edibles to consumers. This license type cannot hold any cannabis business licenses. 13. Medical cannabis combination businesses (medical cannabis cultivator, medical cannabis processor, medical cannabis retailer, or medical cannabis combination business): Medical cannabis combination businesses can grow, manufacture, package, label, and sell cannabis products (including cannabis plants and seedlings) to both medical patients and adult consumers. These businesses can package and sell medical cannabis products to other eligible cannabis businesses. They are allowed to cultivate up to 60,000 square feet of medical cannabis plant canopy for distribution into the medical market, and depending upon the total amount of medical sales the year prior, up to an additional 30,000 square feet of cannabis plant canopy for distribution into the adult -use market. 0 EXHIBITA Cannabis Business Use Activities by License Types Source: City of St. Paul Planning & Economic Development Staff Report to St. Paul Planning Commission Comprehensive and Neighborhood Planning Committee March 15, 2024 The chart below provides general information on the types of activities and/or endorsements a cannabis business type allows. This is not a zoning district or use allowance table. Litense Type Business Activity Cannabis Retail Cannabis Product On -site Other Sales Wholesale Cultivation Manufacturing Consumption Activity Cannabis Microbusiness X X X X X Cannabis Mezzobusiness x X X X Cannabis Cultivator X X Cannabis Manufacturer X X Cannabis Retailer x Cannabis Wholesaler x Cannabis Transporter X Cannabis Testing Facility X Cannabis Event X Organizer Cannabis Delivery X Service Medical Cannabis X X Cultivator Medical Cannabis x X Processor Medical Cannabis x Retailer Medical Cannabis Combination Business. x x x x Lower -potency Hemp x Edible Manufacturer Lower -potency Hemp x x Edible Retailer 5 LA o A-O: Agriculture - Open Space Day Care 33� R-A: Residential Amentities District Park ,v R-1: Single Family Residential School \`\ T-N: Traditional Neighborhood Residence Area 0 500 ft. Day Care Buffer N w \.\ m R-2: Single Family and 2 Family Residential 500 ft. All Park Buffer �\ R-PUD: Residential Planned Unit Development 1000 ft. School Buffer o \� \\� 0 R-3: Medium Density Residential 0 Parcel Boundary Fn v ; v R-4: High Density Residential 0 City Boundary � \ c> M-H: Manufactured Home Park District �.\ B-1: Neighborhood Business Q \� B-2: Limited Business �\ B-3: Highway Business Si B-4: Regional Business o �\ CCD: Central Community District IBC: Industrial and Business Campus District a I-1: Light Industrial o 1-2: Heavy Industrial N ROW A i -� I ` • I \ Split _ _ I I 1 , UP . I I I I II I I 1 I I I r-------� � I ----I I j I , I I CITY OF Figure 1 N � Monticello Cannabis Zoning 0 4,000 Feet \ n �C V V J Transparent Zoning + All Parks + Pointes at Cedar Park 1 inch = 4,000 feet 25 25 1 25 ME ME 1 r 'a 4j ■ WE �q MES/ 2 5 a■ 25 ME ME ME Total Number of Parcels by Zoning District Zoning Classification Number of Parcels A-O 31 B-1 10 B-2 26 B-3 82 B-4 66 CCD 271 PCD 8 IBC 15 1-1 43 1-2 45 Figures 1 & 3 - Total Number of Parcels Remaining AFTER the Buffer is Applied Zoning Classification Number of Parcels A-O 8 B-1 2 B-2 10 B-3 46 B-4 40 CCD 77 PCD 0 IBC 2 1-1 12 1-2 17 Figure 2 & 4 - Total Number of Parcels Remaining AFTER the Buffer is Applied Zoning Classification Number of Parcels A-O 10 B-1 2 B-2 13 B-3 59 B-4 47 CCD 85 PCD 7 IBC 2 1-1 12 1-2 25 Home Hosting Cannabis Events With On -Site Consumption Hosting Cannabis Events with On -Site Consumption Office of Cannabis Management Home For Adult Consumers Starting a Business Rulemaking Expungement Tribal Nations About Us With the passage of Minnesota Session Laws - 2023, chapter 63, adults in Minnesota have begun to explore the many ways to use and enjoy legal cannabis. As the weather improves and holidays and events begin to appear on the calendar, the Office of Cannabis Management (OCM) provides the following information to those wishing to plan public events. The new law includes specific sections that make possible the ability to host an event, open to the public, where cannabis and hemp -derived edible products are consumed. (Minnesota Statutes, sections 342.24, 342.28, 342.39, 342.40). While most parts of the law went into effect on July 1, 2023, until the Office's rules are in force in early 2025, there is no mechanism for OCM to license event organizers or to issue on -site endorsements for other cannabis license holders. The information below provides key information that may impact where and if you can host an event, and what products or activities may be allowed at such an event. Disclaimer This document is designed to assist persons and businesses wishing to host public events celebrating adult -use cannabis and lower -potency hemp edibles. This document is not intended to provide legal guidance to any person or business, and it is recommended that anyone seeking to hold a cannabis event seek independent legal counsel. New Cannabis Laws Public Consumption Minnesota Statutes, section 342.09 regulates the locations where cannabis may and may not be used. Specifically, cannabis use is allowed only for those age 21 and over: • at a private residence; • on private property, not generally accessible by the public, where allowed by the property owner; or • on the premises of an establishment or event licensed to permit on -site consumption. Sale of Cannabis Products at Events Minnesota Statutes, section 342.09, subdivision 4 prohibits the sale of cannabis flower and cannabis products "without a license issued under this chapter that authorizes the sale." Licenses to sell cannabis at retail will only be issued once the office adopts rules governing the cannabis industry. Moreover, while Minnesota has legalized the sale of the adult use of cannabis flower, cannabis products, lower -potency hemp edibles, or hemp -derived consumer products, the legislature did add new statutory provisions, Minnesota Statutes, section 152.0264, making illegal the unlawful sale of cannabis. With respect to both consumption and sale, any cannabis event would need to comply with the new cannabis law as it stands today, the existing laws on hemp -derived cannabinoid products, and any applicable local ordinances or rules related to events —in particular those related to alcohol and lower -potency hemp products. Existing Hemp -Derived Cannabinoid Products Laws Minnesota Statutes, section 151.72 regulates the sale of hemp -derived edibles to adult consumers age 21 and over and assigns regulation of this market to the Minnesota Department of Health. Any retailer or business wishing to sell edible cannabinoid products must register with the Commissioner of Health. Section 151.72 also contains provisions for the sale of product designed to be consumed on -site: • the retailer must also hold an on -sale license issued under chapter 340A; • products must be served in original packaging, but may be removed from the products' packaging by customers and consumed on site; • products must not be sold to a customer who the retailer knows or reasonably should know is intoxicated; • products must not be permitted to be mixed with an alcoholic beverage; and • products that have been removed from packaging must not be removed from the premises. The Minnesota Department of Health provides a Hemp -Derived Cannabinoid Product Event Checklist (PDF). for people wishing to host a hemp -derived cannabinoid product event. Local Considerations Finally, as you consider hosting an event that may feature either cannabis or hemp -derived cannabinoid products, consider the requirements of the municipality in which the event will occur. It is recommended that you reach out to the municipality with jurisdiction over your event's location to ensure that your event is in compliance with all local requirements. If you plan to sell hemp -derived cannabinoid products for on -site consumption, you will want to ensure that the location of the event has a liquor license issued by the appropriate authority. If the event will feature retail sale of tobacco, tobacco -related devices, and electronic delivery devices, it may require a local tobacco license, under Minnesota Statutes, section 461.12. Depending on where you host your event, you may be required to obtain local permits, insurance, and/or security. Frequently Asked Questions Can I give away free samples? What if my organization gives out samples in exchange for a donation? Minnesota Statutes, section 342.09 allows an individual to give to another individual who is age 21 or older two ounces of cannabis flower, eight grams of cannabis concentrate, or 800 mgs of cannabis or lower -potency hemp edibles. Cannabis may be gifted if the gift is made without a promise of payment or exchange of other goods and services and is not associated with a commercial transaction. Can I create advertising or merchandise for my event? Minnesota Statutes, section 342.64 provides limitations on advertising for cannabis businesses, hemp businesses, and other persons that includes images likely to appeal to children, including cartoons, toys, animals, or children. Similar prohibitions are found in Minnesota Statutes, section 151.72, subdivision 5a. Minnesota Statutes, section 342.01 defines advertisements to include "any written or oral statement, illustration, or depiction that is intended to promote sales of cannabis flower, cannabis products, lower -potency hemp edibles, hemp -derived consumer products, or sales at a specific cannabis business or hemp business[.]" What about the Clean Indoor Air Act? Minnesota Statutes, section 144.414 prohibits smoking —including use of an electronic delivery device —inside a public place, a day care, a hospital, or on public transportation. Return to top CITY OF Monticello MEMORANDUM TO: Monticello City Council and Monticello Planning Commission FROM: Angela Schumann, Community Development Director DATE: October 18, 2024 RE: Cannabis Regulations Overview In November and December of 2024, the Planning Commission and City Council will be asked to consider ordinance amendments regulating cannabis businesses and cannabis use within the city. As a reminder, the City cannot prohibit any of the types of cannabis businesses authorized by law, and the statute provides specific limitations on other regulations for cannabis sale and consumption. To support ordinance development for local regulations, two public meetings of the Planning Commission and City Council were set. The first was a special meeting of the two boards held on October 1, 2024. The second public meeting of the Planning Commission and City Council is set for Wednesday, October 23, 2024. The meeting will be in a workshop format, with discussion focused on zoning regulations for cannabis businesses. No formal action will be taken. During the October 1, 2024 meeting of the Planning Commission and City Council, general context on Minnesota Statute 342—Cannabis was provided, along with a timeline of past actions and future considerations relating to cannabis regulation. City Council was asked to provide direction to staff on ordinance development as related to cannabis business retail registration, cannabis special event permitting and smoking. The boards also briefly reviewed the next steps for development of cannabis land use (zoning) regulations. Following discussion, City Council formally approved the development of cannabis - related ordinances for consideration and called for a public hearing on the land use ordinances. The cannabis ordinances proposed are listed below, with a brief description of the policy - related considerations and the direction provided by the boards October 1, 2024. More detail on specific discussion can be found in the approved minutes of the meeting. 1. Title XI: Business Regulations Ordinance Background: Minn. Stat. 342 details the types of cannabis business licenses authorized and provides for a local jurisdiction registration process for a specific retail sub -set of cannabis businesses. The State of Minnesota, through the Office of Cannabis Management, will issue cannabis business licenses. Under the law, cities are allowed to limit cannabis retailer registrations to no fewer than one registration for every 12,500 residents. For Monticello, this equates to two business registrations. In addition, if a county reaches the registration requirement of one active registration for every 12,500 residents, a city within the county is not required to register any additional cannabis businesses. Cities may also adopt a maximum distance buffers to prohibit the operation of a cannabis business within 1,000 feet of a school, or 500 feet of a day care, residential treatment facility, or an attraction within a public park that is regularly used by minors, including a playground or athletic field. A city may decrease these buffer distances by ordinance, but not increase. While Monticello has delegated its registration of cannabis retailers to Wright County under a joint powers agreement, the City will need to adopt amendments to its Business Regulations ordinance to include a retail registration process specifying the delegation to Wright County and establishing both the maximum number of cannabis business retail registrations for the City and the required buffer distances. Policy Considerations: The establishment of cannabis retail with the community includes both the potential for public health impacts and law enforcement impacts. Given these considerations, staff's recommendation was to limit the initial cannabis retail registration number for Monticello to the minimum of two businesses as required by statute. Staff also recommended setting the maximum buffers consistent with the statute maximums. The rationale for the staff recommendation is the ability to monitor demand for these types of businesses, available public health data, and information on compliance and enforcement issues from Wright County. The City can amend the ordinance to increase the number based on an evaluation of those considerations. In the most recent conversations with Wright County, it was confirmed that should the intended county- wide maximum of 15 retail registrations be issued, the City could amend its ordinance to allow additional registrations beyond the County maximum. Regarding the buffers, staff's recommendation was based on the same consideration for public health and law enforcement impacts. Preliminary mapping completed by the 2 City (attached) indicates that there would be sufficient available commercial and industrial parcels available for retail registrations after application of the maximum buffers. Direction: The consensus of the Council members present on October 1, 2024 was to initially set the registration number at two retail registrations consistent with the state minimum and staff recommendation. The City Attorney's office is preparing an amendment to the Business Regulation code for cannabis retail registration. The draft ordinance for registration will be brought to the PARC for a recommendation prior to Council consideration given the park buffer requirement. Council consideration in November or December is intended. 2. Title XIII: General Offenses Ordinance (or Title IX: General Regulations) Background: Wright County Ordinance No. 23-3 is currently in place, which prohibits the use of cannabis within any public place. The ordinance also includes lower -potency hemp products. The ordinance is applicable throughout Wright County, including individual municipalities. The ordinance prohibits the use of any cannabis product in any public place as defined by the ordinance. There is an exemption for licensed cannabis events, which is discussed later in this memo. Wright County staff have stated that it is their intent to leave the ordinance in place as part of their overall cannabis regulation. In addition to the Wright County ordinance, the City of Monticello currently has a park rule in place which prohibits smoking within public parks. This is not in ordinance. While Wright County's ordinance is in place and prohibits the use of any cannabis product in public places, it is recommended that Monticello also adopt a city ordinance to further define the city's position on public use for enforcement purposes. Amendment to the General Regulations section of the City code will be presented for consideration to adopt a city -specific ordinance prohibiting smoking, including cannabis. Policy Considerations: Smoking within any public place is a public health policy decision. Unlike alcohol, which is voluntarily consumed, smoking has a second-hand or involuntary component. While Minnesota law has made cannabis legal, public health study is on -going related to its effects and impacts. 3 Staff's initial recommendation was to develop an ordinance which would prohibit all types of smoking, inclusive of tobacco and cannabis products in public places. Public parks, outdoor spaces surrounding public buildings (public property), municipal parking lots and public events held on public property were initially recommended to be included in the prohibition. Staff also presented for discussion the consideration of prohibiting smoking within 25' from places of public accommodation, such as common entries, restaurants, etc. The recommendation did not include prohibition of the use of cannabis edibles. The rationale for the recommendation is related to second-hand smoke concerns as well as public nuisance complaints. As defined by Monticello's current ordinance, nuisances are those acts which "annoy, injure, or endanger the safety, health, comfort, or repose of the public" and/or "render a considerable number of persons insecure in life or in use of property", among other concerns. Smoking has generated complaints to the City Clerk's office and has created littering and nuisance issues in City parks. Direction: The consensus of the Council members present was to continue forward with preparation of a draft ordinance but limit the ordinance to prohibiting smoking within public parks and events held on public property. The City Clerk's office is preparing a draft ordinance in consultation with the City Attorney. The draft smoking ordinance will be brought to the PARC for a recommendation prior to Council consideration given the park -related issues. The smoking ordinance is likely to move forward for consideration in December. 3. Title IX: General Regulations Ordinance Background: Minn. Stat. 342 provides for specific Cannabis Event activities, which are open to the public and where cannabis and low -potency hemp products may be consumed. Events may be open to the public and the organizer must hold a cannabis event organizer license. The law limits cannabis use to those over 21 only and limits consumption to a private residence, private property not generally accessible to the public and where allowed by the property owner, or on the premises of an establishment or event licensed to permit on -site consumption. The law also prohibits the sale of cannabis flower and cannabis products without a license, which license must include a designated location. 0 Taken together, these provisions would allow cannabis use during events arranged through a licensed cannabis event organizer, but sale of cannabis products at a cannabis event would be limited to locations where retail sales are already permitted by the local jurisdiction. While cannabis use events could include consumption via edible ingestion and/or smoking, both local ordinances adopted for smoking and the existing Minnesota Indoor Clean Air Act would further limit eligible locations where cannabis events allow consumption via smoking. Given these parameters, it is recommended that the City develop an ordinance framework for the time, place and manner associated with hosting cannabis events. The framework would add clarity to the complexity surrounding use, sale and location for these events. Policy Considerations: The policy considerations related to cannabis events includes both the public health and nuisance considerations noted earlier for the smoking ordinance, as well as the potential risks associated with cannabis use and sales on public property. Staff's recommendation for cannabis event permitting is to develop an ordinance allowing such events within the existing "Special Event" permit section of the City's "General Regulations" code and limiting their location to those areas where the City has permitted retail sales via zoning district regulations. In applying this standard, cannabis events could be allowed in locations where both cannabis sales and on -site consumption are permitted within the zoning ordinance. Staff recommend that cannabis events be prohibited in public places such as parks, streets and municipal parking lots. The rationale for the recommendation is related to the public health second-hand smoke concern and public nuisance impacts. Direction: The consensus of the Council members present was to continue forward with preparation of a draft amendment to the General Regulations Special Events ordinance, with the understanding that more discussion would be needed. Likely discussion points would include available locations for this activity and enforcement related to product sale compliance. A draft ordinance amendment to the General Regulations code is being prepared in conjunction with the draft zoning ordinance, given the reference to allowable locations 5 by zoning. The City Planner is preparing a draft ordinance, in consultation with the City Attorney and Community Development staff and City Clerk. 4. Title XV: Land Usage Background: Minn. Stat. 342 does not preempt local jurisdictions from setting reasonable regulations for the time, place and manner of cannabis businesses. However, as noted earlier, the City cannot prohibit any of the businesses allowed by statute. During the October 1, 2024 meeting staff suggested development of zoning regulations which include the following: general regulations applicable to all cannabis businesses (including the required buffer consistent with the retail registration ordinance), identification of cannabis businesses as permitted or conditional by zoning district, and minimum performance standards for individual cannabis use types. A draft zoning ordinance amendment for cannabis land uses has been developed for discussion and direction during the October 23, 2024 joint Planning Commission and City Council workshop. Summary The City's current moratorium on cannabis business operation ends on January 1, 2025, and may not be extended. Following the joint workshop on October 23 d, 2024, staff will prepare a final draft of the zoning ordinance amendment. The hearing on the proposed amendment to Title XV, Chapter 153—Zoning will be held on Monday, November4, 2024. Council consideration of the zoning amendments is expected to occur in late November. The proposed amendments to the other sections of City Code (Business Regulations, General Regulations, General Offenses) are expected to be brought to City Council for consideration in late November or early December. It is fully expected that as the law continue to evolve on cannabis and more is understood in terms of local demand and impacts, amendments to the proposed ordinances will be necessary. Supporting Data Cannabis Discussion Graphic Wright County Ordinance 23-3 R Planning Commission Agenda — 11/04/24 4A. Community Development Director's Report Council Action on/related to Commission Recommendations • Consideration of a Request for Application for Amendment to Conditional Use Permit for Planned Unit Development, Preliminary Plat and Final Plat. Applicant: Stephen Rohlf Approved on the October 25, 2024 City Council consent agenda. Consideration of a Request for Amendment to Big River 445 Planned Unit Development District and Development and Final Stage Planned Unit Development for Automobile Repair— Minor use. Applicant: SFP-E, LLC Approved on the October 25, 2024 City Council consent agenda. Consideration of a Request for Amendment to Big River 445 Planned Unit Development District and Development and Final Stage Planned Unit Development for Automobile Repair— Minor use. Applicant: Valvoline, LLC Approved on the October 25, 2024 City Council consent agenda. 2025 Planning Commission Workplan In December, staff will request feedback from the Commission on development of the 2025 Workplan. The 2024 Planning Commission Workplan is attached for reference. Hotel Project Updates The hotel/restaurant project previously approved for development on Chelsea Road, on the northern side of The Pointes continues to work on construction documents and review of agreements. A late fall start was planned based on last correspondence. The hotel/restaurant project proposed along 1-94 on the east side of the community requires application for final plat and final stage PUD, as well as annexation approval. Those applications are anticipated in November. A late fall start was also planned based on last correspondence. Rental Connections Program The next Rental Connections meeting is scheduled for November 13th, 2024. The meetings with owners and property managers of Monticello's multi -family projects are an opportunity to share information on existing City programs and build communication with tenants. The November meeting will focus on fire safety and the fire inspection program. Heart Strong Monticello will also present to the group with the hope of increasing AED awareness and access. Increasing communication opportunities with our rental owners, managers and residents is a great way to build relationships and help them feel more connected to our community. Site Landscaping Inspections As summer turned into fall, the Community Development Department completed a number of site landscaping inspections. These inspections ensure development sites are Planning Commission Agenda — 11/04/24 in compliance with their approved plans and allow us to reduce the securities held to guarantee installation and survival. The good news is that the development sites are compliant in the majority. These small details make a big difference in the community! As Community Development adjusts to staffing changes, we are also hopeful that we will add compliance inspections for approved Conditional Use Permit and PUD conditions. This is an important step in verification that development sites are meeting the Council's approval requirements. Downtown Facade Improvement Forgivable Loan Program More Downtown businesses are taking advantage of the EDA's Downtown Fagade Improvement program. Staff have been assisting three downtown properties seeing to utilize the program for their proposed fagade improvement projects. These properties include Lucille Murray's Studio of Dance and Monticello Family Dentistry. Bliss Salon recently completed their faced improvements using the program, as well. The fagade improvements represent a significant reinvestment in the downtown area and are part of a multi -faceted approach to downtown revitalization. Block 34 — Redevelopment Steps The EDA released a Request for Proposal for site redevelopment concepts for the publicly owned property on Block 34 in September of 2024. Two proposals were received by the September 30, 2024, deadline. As a next step, the two RFI responders will be invited to attend an EDA Workshop in early November to present and discuss their specific submittals. Following the workshops, the EDA will work through the next steps for redevelopment on the block, including timeline, phasing and public feedback process. Development Status Current status update through October is attached. CITY OF Monticello Planning Commission 2021-2025 Workplan Monticello 2024 UPDATE The Monticello Planning Commission is established to advise the Mayor, Council and Community Development Department in matters concerning planning and land use matters; to review and make recommendations regarding the Monticello 2040 Vision + Plan, subdivision and zoning ordinances and other planning rules and regulations; to establish planning rules and regulations; and to conduct public hearings. Purpose Statement: The Planning Commission will support efforts to implement the Monticello 2040 Vision + Plan. The Planning Commission will work collaboratively with the City Council, other City boards and commissions, and community stakeholders in its work to achieve the Plan and the strategic goals of the city. Organizational & Training Activities: • League of Minnesota Cities training o Land Use Mini Course - Land Use (Mini -Course) - League of Minnesota Cities (Imc o Land Use Regulation: Your Role in Land -Use Decision Making - Land Use Regulation: Your Role in Land -Use Decision Making - League of Minnesota Cities (Imc.ore) • Continue to support regional planning as identified by the Monticello 2040 Vision + Plan. o Implementation Chapter - Land Use, Growth & Orderly Annexation ■ Strategy 1.10.1 - Consider the outcomes of regional planning initiatives and participate in processes resulting from the efforts of the Central Mississippi River Regional Partnership. • Consistent with Policy 1.2 for Agency Coordination, monitor opportunity for engagement in roadway and pathway connectivity planning across jurisdictions, including the current Planning and Environmental Linkage study. • Initiate and/or facilitate organizational projects in support of the Monticello 2040 Vision + Plan. o Implementation Chapter - Land Use, Growth & Orderly Annexation ■ Strategy 1.1.1- Facilitate biannual meetings to serve as a "Development Forum" with interested property owners, realtors, builders and developers to discuss long-term planning, real estate market conditions. • Pending outcomes of a 2024 City Housing Workshop, facilitate a housing forum with builders and developers. 11Page Comprehensive Plan Activities: • Support the implementation of the Monticello 2040 Vision + Plan through implementation of the Goals, Policies and Strategies identified within the Plan. o Land Use, Growth & Orderly Annexation Chapter ■ Review Land Use, Growth & Orderly Annexation Goals from Chapter 3 of the 2040 Plan. ■ Participate in a Council and Commission workshop on the amended Orderly Annexation Agreement. ■ Residential Land Uses • As needed following the 2024 Housing Policy Workshop, consider amendments in the Goals, Policies and Strategies of the Implementation Chapter of the Monticello 2040 Comprehensive Plan, as well as the Future Land Use Map. o Economic Development Chapter ■ Review industrial land inventory and planning consistent with Monticello 2040 Land Use policies for industrial land use, including: • Policies 1.1 (Land Use) and 8.1 (Economic Development) - Opportunity Areas • Policy 1.2 - Growth Management (Land Use) • Policy 5.1 - Land Supply and Employment Growth (Land Use) • Policy 2.1 - Diverse Economic Sectors (Economic Development) • Policy 2.4 — Industrial and Business Site Analysis and Availability (Economic Development) • Continue to support the priority projects set by the City Council, including The Pointes at Cedar and reinvestment in Downtown Monticello. Small Area Plans for both projects are adopted as Appendices to the 2040 Plan. Zoning Ordinance/Map Activities: • With City Council, establish City policy related to recent cannabis legislation, adopting the necessary amendments to the Monticello Zoning Ordinance. • Consider amendments to the Monticello Zoning Ordinance and Official Zoning Map in support of the Monticello 2040 Vision + Plan guided land use, including, but not limited to the following. Evaluation of Zoning Map: ■ CCD and its Sub -Districts Evaluation of the following Zoning Code sections: ■ Floor area ratio requirements for commercial, industrial zoning districts ■ Impervious surface requirements for residential districts ■ Updating noise standards for more practical enforcement ■ Evaluation of regulation on short term rentals ■ Evaluation of the need for both B-3 and B-4 Districts ■ Evaluation of temporary use permits for portable container retail/specialty eating establishments 21Page Subdivision Ordinance Activities: • Complete a review and amendment of the Monticello Subdivision Ordinance, including consideration of amendments as recommended in the Goals, Policies and Strategies of the Implementation Chapter of the Monticello Comprehensive Plan as follows. o Implementation Chapter, Land Use, Growth & Orderly Annexation Strategy 2.5.1 - Implement measures to slow down or "calm" traffic on local streets by using design techniques and measures to improve traffic safety, provide eyes on the street, and enhance the quality of life in Monticello's neighborhoods. Strategy 3.8.2 - Require pedestrian and bike connections in new commercial development. ■ Strategy 6.5.1- Conduct regular review of parkland allocation and ensure sufficient amount of land is designated for parks and recreation activities in the City as the population increases. Research & City Department Update Topics As resources and time allow, the Planning Commission will consider research and information related to the following topic areas. Topic Annexation Process Sacred Settlements (2023 Legislative change) Policy and decision -making — City Board and Commission authority discussion Review actions and next steps for East Bertram Planning Area and Northwest Planning Areas identified in the Monticello 2040 Vision + Plan 31Page MONTICELLO DEVELOPMENT PROJECTS 88 acre parcel bounded by The Meadows to the North, Highway 25 to the Wert, 85th Street NE to the South, and the Feather-, Residential Concept Stage review for a planned unit development for a multi -phase Medical ice Joint City Council and Plannine Project Commercial/Light Industrial neighbohood to the East Buildings on roughly 25 acres, with subsequent phases of private development to follow. Commission review on 3125/24 On hold joint City Council and Planning General Equipment Industrial 13 one parcel along CSAH 39 and West Chelsea Road Concept Stage review for planned unit development for Machmery/Truck Repair and Sales Commission .in. on 7/2/24 Post Concept Stage PU D, Pre -Development Stage PUD Application Submittal 1PB Land/Meadowbrook Residential 44 acre parcel along Edmonton Avenue Concept Stage review for planned unit development for single-family residential Reviewed in Joint PC/CC on 9/3/24 Concept Stage PU D Submittal Tamarack/The Meadows at Pioneer Park Pencil La Use Applicatio Projects Residential Project Type 68 acre parcels a long Fallon Avenue Add,ess/Locat[on Concept Stage review for planned unit development for single-family residential D­ ipti Reviewed i n Joint PC/CC on 9/16/24 Concept Stage PU D Submittal Appro,al Di,t, & l,f,, Progress Report ng nd n Nearthe Southeastcorner d85th Street NE and Fallon Ave NE, Also South of Concept Stage review for a planned unit development for a 298-unit residential Reviewed by Pannine Commission on Preliminary Plat,Remning and Development Stage PUD Application Haven Ridge West Residential 85th Street NE between Eislele Ave N E and Edmonton Ave NE development with various lot sizes and townhome section 8/6/2024: Approved; Next Submittals to Final Plat and PUD 6321E. Broadway Street bound by Interstate 94 to the North and East Development Stage PU D and preliminary plat for a76-room hotel, 15,000 square -foot event Reviewed by Plannine Commission on Preliminary Plat,Remning and Development Stage PUD Application Broadway Plaza PUD Commercial Broadway Street to the South center, 6,800 square -foot restaurant, and a 6,000 square -foot port -frame building. 7224 Submitted; Council review pending 1.46 acre vacant lot a long the West side of Fallon Ave NE between Washburn Development Stage review for a plan red unit development of a vacant site for a n l ndustrial Reviewed by Plannine Commission on Development Stage PUD Application Submittal approved; pending Final Mastercrak Outdoors PUD Industrial Computer Grou p and Norland Truck Sales Service use 7224 & Stage and Rezoning P,evi..sly Approved P,.je- Savanna Vista Apartmentr Project Type Residential Add ... s/L,c,tl,, Southeast area of The Pointes at Cedar D—riptimn 2 100 unit multi -family apartments App—.1 D.te Irm 12/13/2021 P,,g ... s Report First Building CO; continued construction Twin Pines Apartments Residential South Side of School Blvd. East of Wal-Mart 96 multi -family unit apartment building 2 28 2022 Vet to Break Ground/Received Plat Ear. on 1/22/24 Block 52 Redevelopment Mixed -Use NE Corner of Highway 25 and Broadway St 87multi-family units with rougly 30,000 sq ft of 1st floor commercial 7112022 Received Temporary CO/Residenial Units Being Rented/Office User CO Featherstone 6th Addition Residential North of 85th St NE and West of Highway 25 21 Single-family lots with commercially guided outlots for future development 4 25 2022 Under Construction (Last New Cruet. Permit Pulled) Haven Ridge 2nd Addition Residential South of Farmstead Ave and West of Fallon Ave NE 59 Single -Family Lot Development Reapproved 8/28/2023 Site Grading Commenced (Building Permits Being Issued) Headwaters West Development Residential Along South side of 7th St W between Elm St and Golf Course Rd 82 Twinhomes Senior 55+Development 4 22 2024 Under Construction Deephaven 3 (Lot 2) Commercial Southeast corner of Cedar St and Chelsea Rd New Construction of a Clinic/Medical Service Facility (10,000 sq ft) N/A (Permitted Use) Completed JimmyJohns/Baskin Robbins Commercial Southeast Corner of Oakwood Drive E and Cedar Street New Construction of Quick Service Restaurant with Drive -Through Service 1 22 2024 Commenced Vacant property north of Chelsea Rd, south of Interstate 94, and west of PUD for New Construction of two commercial lots for a quick -service restaurant and Big River Commercial Fermin Avenue a coffee shop, with blots platted for subsequent commercial development. 482024 Commenced, Chipotle and Starbucks Permitted New Construction of a Panera Bread Location (Restaurant and Drive -through service) in the Panera Bread Commercial Vacant Lot west of Mattress Firm/AT&T location on E. 7th Street B-4, Regional Business District 5 28 2024 Permitted Holiday Store EV Charging Stations Commercial 110 Oakwood Drive E. Installation of up to 12 Electric Vehicle Charging Stations in Lot behind Building 5282024 Permitted Preliminary & Final Plat of Cedar Street Storage, Dev. & Final Stage PUD for expansion of StorageUnk(Donnas Site) PU D and Plat Commercial 36 RondasRoad (Southeast corner of Dundas Road and Cedar Street) permanent storage area 6242024 Approved; Not Started Conditional Use Permit Request for Wrecker & Towing Service as a Principal Use in the B-3, ' Bob's Towing Conditional Use Permit Commercial 219 Sandberg Road Highway Business District 6242024 Approved Development Stage Permit (CUP) for construction of a 98-room hotel and restaurant in the Development Stage permit approved; pending conditions resolution and Good Neighbor- Pointes at Cedar Development Commercial Along south side of Chelsea Road directly north of Deephaven Apartments northern"Populus" biomeof the Pointes at Cedar District 7222024 building permit Wendy's CUP Commercial Near Highland Way, Union Crossings Conditional Use Permit for Amendmentto PUD and a ccessory drive -through 9232024 Approved , Valvoline Big River 445 PUD Amdt to Big River 445 PUD a nd Development and Final Stale PUD - Auto Repair - Minor 10/28/2024 Approved Commercial Les Schwab Commercial Big River 445 PUD Arndt to Big River 445 PUD and Development and Final State PUD - Auto Repair - Minor 10/28/2024 Approved