[HISTORY: Adopted by the City of Isanti 5-2-2023 by Ord. No. 786.[1] Amendments noted where applicable.]
[1]
Editor's Note: This ordinance was originally adopted as Ch.
298 but was renumbered to maintain the organization of the Code.
The purpose of this chapter is to regulate the sale of certain
legalized adult-use products that contain tetrahydrocannabinol and
that meet the requirements to be sold for human or animal consumption
under Minn. Stat. § 151.72 ("THC products") for the following
reasons:
A.
The Minnesota Legislature amended Minn. Stat. § 151.72
to allow the sale of certain products containing tetrahydrocannabinol
(THC).
B.
The new law does not prohibit municipalities from adopting and enforcing
local ordinances to regulate THC product businesses including, but
not limited to, local zoning and land use requirements and business
registration requirements.
[Amended 6-20-2023 by Ord. No. 790]
C.
The City has the opportunity to be proactive and make decisions that
will mitigate threat and reduce exposure of young people to the products
or to the marketing of these products and improve compliance among
THC product retailers with laws prohibiting the sale or marketing
of THC products to youth.
Except as may otherwise be provided or clearly implied by context,
all terms shall be given their commonly accepted definitions. For
the purpose of this chapter, the following definitions shall apply
unless the context clearly indicates or requires a different meaning.
The definitions in Minn. Stat. § 151.72., as may be amended
from time to time, are hereby incorporated and other terms as applicable
are in addition to those.
Any product containing cannabinoids, including an edible
cannabinoid product, that is sold for human consumption whether chewed,
smoked, inhaled, snorted, sniffed, vaporized, or ingested by other
means.
The system the City uses to investigate and ensure that those
authorized to sell cannabinoid or licensed products are following
and complying with the requirements of this chapter. Compliance checks
involve the use of persons under 21 who purchase or attempt to purchase
cannabinoid or licensed products. Compliance checks may also be conducted
by the City or other units of government for educational, research,
and training purposes, or for investigating or enforcing federal,
state, or local laws and regulations relating to cannabinoid or licensed
products.
Any product that is intended to be eaten or consumed as a
beverage by humans, contains a cannabinoid in connection with food
ingredients, and is not a drug.[1]
Any product that contains more than trace amounts of tetrahydrocannabinol
and that meets the requirements to be sold for human or animal consumption
under Minn. Stat. § 151.72, as may be amended from time
to time. Licensed product does not include medical cannabis as defined
in Minn. Stat. § 152.22, Subd. 6, as may be amended from
time to time.
Any form of business operated out of a kiosk, truck, van,
automobile, or other type of vehicle or transportable shelter and
not a fixed address storefront or other permanent type of structure
authorized for sales transactions.
The person in legal possession and control of a location
by reason of ownership, lease, contract or agreement, for the sale
of cannabinoid products at retail.
Any place of business where cannabinoid or licensed products
are available for sale to the general public, including, but not be
limited to, grocery stores, tobacco products shops, CBD stores, convenience
stores, gasoline service stations, bars, and restaurants.
Any transfer of goods for money, trade, barter, or other
consideration.
Open displays of cannabinoid or licensed products in any
manner where any person has access to the cannabinoid or licensed
products without the assistance or intervention of the registered
establishment or the registered establishment's employee. Assistance
or intervention means the actual physical exchange of the cannabinoid
or licensed product between the customer and the registered establishment
or employee.
[Amended 6-20-2023 by Ord. No. 790]
Abbreviation for tetrahydrocannabinol.
Any mechanical, electric, or electronic, or other type of
device that dispenses cannabinoid or licensed products upon the insertion
of money, tokens, or other form of payment directly into the machine
by the person seeking to purchase the cannabinoid or licensed product.
[1]
Editor's Note: The former definition of "exclusive liquor
store," which immediately followed, was repealed 6-20-2023 by Ord.
No. 790.
[Amended 6-20-2023 by Ord. No. 790]
It will be unlawful for any person to sell at retail any cannabinoid
product as defined above or edible cannabinoid products within the
City unless the owner has registered their business with the City.
[Amended 6-20-2023 by Ord. No. 790]
A.
Application.
(1)
Any retail business owner desiring to sell cannabinoid products will
make and file with the City Clerk an application, in writing. Such
application will give the name and resident address of the applicant,
if an individual; will identify the location at which it is proposed
to sell the cannabinoid products at retail, and will provide such
other information as the City may require from time to time.
(2)
The City Clerk will immediately transmit a copy of the application
to the Chief of Police, who will investigate all facts and information
which he/she can reasonably find, bearing upon the question of the
applicant's fitness to receive the registration and to perform
the duties imposed by this chapter. Upon completing the investigation,
the Chief of Police will report, in writing, his/her findings to the
City Administrator or designee, together with his/her recommendation
as to the issuance of registration certificate to the applicant. The
City Administrator or designee will submit to the City Council the
report of the Chief of Police, together with the recommendation as
to the issuance of the registration certificate to the applicant.
B.
Action. The City Council will consider the facts and recommendation
of the Chief of Police and of the City Administrator, together with
any material facts which it may have or obtain, and then, by motion,
will approve or deny the application. If the City Council has approved
the application, it is the duty of the City Clerk to notify the applicant
and provide a registration certificate.
C.
Term. All registrations issued under this chapter shall expire at
12:00 midnight on December 31 of each year.
D.
Revocation or suspension. Any registration issued under this chapter may be revoked or suspended as provided in § 123-14.
E.
Transfers. All registrations issued under this chapter shall be valid
only on the premises for which the registration was issued and only
for the person or business to whom the registration was issued. The
transfer of any registration certificate to another location, business,
or person is prohibited.
F.
Display. All registration certificates shall be posted and displayed
in plain view of the general public on the registered premises.
G.
Renewals. The renewal of a registration certificate issued under
this chapter shall be handled in the same manner as the original application.
The request for a renewal shall be made at least 30 days but no more
than 60 days before the expiration of the current registration.
H.
Issuance as privilege and not a right. The issuance of a registration
certificate issued under this chapter is a privilege and does not
entitle the registration holder to automatic renewal of the registration.
[Amended 6-20-2023 by Ord. No. 790]
No registration shall be issued under this chapter until the
appropriate registration fee shall be paid in full. The fee for the
registration under this chapter shall be established by the City Council
and adopted in the City Fee Schedule, and may be amended from time
to time. The fee will not be pro-rated for mid-year licenses.
[Amended 6-20-2023 by Ord. No. 790]
A.
Ineligibility.
(1)
Moveable place of business. No registration certificate shall be
issued to a moveable place of business.
(2)
No registration will be approved unless the premises proposed to
be registered complies with all applicable zoning requirements.
(3)
The retail establishment shall be located not less than 300 feet
of a school.
B.
Grounds for denial. Grounds for denying the issuance or renewal of
a registration under this chapter include, but are not limited to,
the following:
(1)
The applicant is under the age of 21 years.
(2)
The applicant is prohibited by federal, state, or other local law,
ordinance, or other regulation from holding registration.
(3)
The applicant has been convicted within the past five years for any
violation of a federal, state, or local law, other ordinance, provision,
or other regulation relating to the licensed products.
(4)
The applicant has had a registration to sell licensed products suspended
or revoked during the 12 months preceding the date of application,
or the applicant has or had an interest in another premises authorized
to sell licensed products, whether in the City or in another jurisdiction,
that has had a registration to sell licensed products suspended or
revoked during the same time period, provided the applicant had an
interest in the premises at the time of the revocation or suspension,
or at the time of the violation that led to the revocation or suspension.
(5)
The applicant is a business that does not have an operating officer
or manager who is eligible pursuant to the provisions of this chapter.
(7)
The applicant fails to provide any information required on the application
or provides false or misleading information. Any false statement on
an application, or any willful omission of any information called
for on such application form, shall cause an automatic refusal of
registration, or if already issued, shall render any registration
issued pursuant thereto void and of no effect to protect the applicant
from prosecution for violation of this chapter, or any part thereof.
C.
No registration shall be granted or renewed for operation on any premises on which real estate taxes, assessments, or other financial claims of the City or of the state are due, delinquent, or unpaid. If an action has been commenced pursuant to the provisions of Minn. Stat. Ch. 278, questioning the amount or validity of taxes, the Council may, on application by the business owner, waive strict compliance with this provision; no waiver may be granted, however, for taxes, or any portion thereof, which remain unpaid for a period exceeding one year after becoming due unless such one-year period is extended through no fault of the licensee.
In accordance with Minn. Stat. § 151.72, Subd. 3,
as may be amended from time to time:
A.
A product containing nonintoxicating cannabinoids, including cannabinoid
products and edible cannabinoid products, may be sold for human or
animal consumption only if all of the requirements of this section
are met, provided that a product sold for human or animal consumption
does not contain more than 0.3% of any tetrahydrocannabinol and an
edible cannabinoid product does not contain more than five milligrams
of any tetrahydrocannabinol in a single serving, or more than a total
of 50 milligrams of any tetrahydrocannabinol per package.
B.
No other substance extracted or otherwise derived from hemp may be
sold for human consumption if the substance is intended:
C.
No product containing any cannabinoid or tetrahydrocannabinol extracted
or otherwise derived from hemp may be sold to any individual who is
under the age of 21.
D.
Products that meet the requirements of this section are not controlled
substances under Minn. Stat. § 152.02.
In accordance with Minn. Stat. § 151.72, Subd. 4,
as may be amended from time to time.
In accordance with Minn. Stat. § 151.72, Subd. 5,
as may be amended from time to time.
A.
A label containing at least the following information must be affixed
to the packaging or container of all edible cannabinoid products sold
to consumers:
In accordance with Minn. Stat. § 151.72, Subd. 5a,
as may be amended from time to time.
A.
An edible cannabinoid product must not:
(1)
Bear the likeness or contain cartoon-like characteristics of a real
or fictional person, animal, or fruit that appeals to children;
(2)
Be modeled after a brand of products primarily consumed by or marketed
to children;
(3)
Be made by applying an extracted or concentrated hemp-derived cannabinoid
to a commercially available candy or snack food item;
(4)
Contain an ingredient, other than a hemp-derived cannabinoid, that
is not approved by the United States Food and Drug Administration
for use in food;
(5)
Be packaged in a way that resembles the trademarked, characteristic,
or product-specialized packaging of any commercially available food
product; or
(6)
Be packaged in a container that includes a statement, artwork, or
design that could reasonably mislead any person to believe that the
package contains anything other than an edible cannabinoid product.
B.
An edible cannabinoid product must be prepackaged in packaging or
a container that is child-resistant, tamper-evident, and opaque or
placed in packaging or a container that is child-resistant, tamper-evident,
and opaque at the final point of sale to a customer. The requirement
that packaging be child-resistant does not apply to an edible cannabinoid
product that is intended to be consumed as a beverage and which contains
no more than a trace amount of any tetrahydrocannabinol.
C.
If an edible cannabinoid product is intended for more than a single
use or contains multiple servings, each serving must be indicated
by scoring, wrapping, or other indicators designating the individual
serving size.
D.
An edible cannabinoid product must not contain more than five milligrams
of any tetrahydrocannabinol in a single serving, or more than a total
of 50 milligrams of any tetrahydrocannabinol per package.
A.
Samples prohibited. Sampling of cannabinoid products within any retail
establishment under this chapter is prohibited. No person shall distribute
samples of any cannabinoid products free of charge or at a nominal
cost. The distribution of cannabinoid products as a free donation
is prohibited.
[Amended 6-20-2023 by Ord. No. 790]
B.
Coupon and price promotion. No person shall accept or redeem any
coupon, price promotion, or other instrument or mechanism, whether
in paper, digital, electronic, mobile, or any other form, that provides
any cannabinoid products to a consumer at no cost or at a price that
is less than the nondiscounted, standard price listed by a retailer
on the item or on any related shelving, posting, advertising, or display
at the location where the item is sold or offered for sale, including
all applicable taxes.
C.
Self-service displays. All cannabinoid products must be stored behind
the sales counter, in a locked case, in a storage unit, or in another
area not freely accessible to the general public. No person shall
allow the sale of cannabinoid products in open displays that are accessible
to the public without the intervention of a store employee. This section
does not apply to a retail establishment, as defined in this chapter,
that is continuously staffed by an employee from which persons under
21 years of age are prohibited from entering the store.
D.
Prohibition against retail sales of cannabinoid products by vending
machines. No person will sell or dispense cannabinoid products through
use of a vending machine.
E.
Delivery sales. All sales of cannabinoid products must be conducted
in person, in a registered retail establishment under this chapter,
in over-the-counter sales transactions.
[Amended 6-20-2023 by Ord. No. 790]
F.
Use or possession. It shall be a violation of this chapter for any
person under age 21 to use or possess any cannabinoid product. This
subsection shall not apply to persons under the age of 21 lawfully
involved in a compliance check.
G.
Procurement. It shall be a violation of this chapter for any person
under age 21 to purchase or sell or attempt to purchase or sell or
otherwise obtain any cannabinoid product and it shall be a violation
of this chapter for any person to purchase or sell to or otherwise
obtain such items on behalf of a person under the age of 21. It shall
further be a violation for any person to coerce or attempt to coerce
a person under the age of 21 to illegally purchase or otherwise obtain
or use cannabinoid product. This subsection shall not apply to persons
under the age of 21 lawfully involved in a compliance check.
[Amended 6-20-2023 by Ord. No. 790]
At each location where cannabinoid products are sold, the registered
establishment shall display a sign in plain view to provide public
notice that selling any of these products to any person under the
age of 21 is illegal and subject to penalties. The notice shall be
placed in a conspicuous location in the registered establishment and
shall be readily visible to any person who is purchasing or attempting
to purchase these products. The sign shall provide notice that all
persons responsible for selling these products must verify, by means
of photographic identification containing the bearer's date of
birth, the age of any person under 30 years of age.
[Amended 6-20-2023 by Ord. No. 790]
At each location where cannabinoid products or edible cannabinoid
products are sold, the registered establishment shall verify, by means
of government-issued photographic identification containing the bearer's
date of birth, that the purchaser or person attempting to make the
purchase is at least 21 years of age. Verification is not required
if the purchaser or person attempting to make the purchase is 30 years
of age or older. It shall not constitute a defense to a violation
of this section that the person appeared to be 30 years of age or
older.
[Amended 6-20-2023 by Ord. No. 790]
A.
Notice of violation. The Chief of Police will provide, in writing,
to the registered establishment either personally or by mail, notice
of any alleged violation of the provisions of this chapter or Minnesota
Statutes Chapter 151.
B.
Mandatory revocation. The Council may revoke the registration of
any registered establishment under this chapter upon review of violations
of any provisions of this chapter or Minnesota Statutes Chapter 151.
[Amended 6-20-2023 by Ord. No. 790]
All registered establishments are responsible for the actions
of their employees in regard to the sale, offer to sell, and furnishing
of licensed products on the registered premises. The sale, offer to
sell, or furnishing of any licensed product by an employee shall be
considered an act of the registered establishment. Nothing in this
section shall be construed as prohibiting the City from also subjecting
the employee to any civil penalties that the City deems to be appropriate
under this chapter, state or federal law, or other applicable law
or regulation.
[Amended 6-20-2023 by Ord. No. 790]
A.
All premises registered under this chapter shall be open to inspection
by the City during regular business hours. Any police officer, building
inspector, or any properly designated officer or employee of the City
shall have the unqualified right to enter, inspect and search the
public portion of the premises of a registered establishment under
this chapter during business hours without a search warrant. From
time to time, but at least once per year, the City shall conduct compliance
checks. No person used in compliance checks shall attempt to use a
false identification misrepresenting their age. All persons lawfully
engaged in a compliance check shall answer all questions about their
age asked by the registered establishment or their employee, and produce
any identification, if any exists, for which they are asked. The City
may conduct a compliance check that involves the participation of
a person at least 18 years of age, but under the age of 21 to enter
the registered premises to attempt to purchase the licensed products.
Persons used for the purpose of compliance checks shall be supervised
by law enforcement or other designated personnel. Nothing in this
chapter shall prohibit compliance checks authorized by state or federal
laws for educational, research, or training purposes, or required
for the enforcement of a particular state or federal law.
B.
Additionally, from time to time, the City will conduct inspections
to determine compliance with any or all other aspects of this chapter.
This chapter does not apply to the sale of any product by a
registered medical cannabis manufacturer pursuant to Minn. Stat. §§ 152.22
to 152.37.
If any section or provision of this chapter is held invalid,
such invalidity will not affect other section or provisions that can
be given force and effect without the invalidated section or provision.
