Clay County Commission
Dan Haglund
The details of the growth, manufacturing and retail sales of cannabis next year are getting less fuzzy.
Assistant Clay County Attorney Michael Leeser presented the Clay County Board of Commissioners what to expect in the coming year in a public hearing on Tuesday in Moorhead.
Leeser rolled out the Cannabis Zoning Ordinance and Public Use Ordinance proposal for the board, and was flanked by planning technician Erika Franck and Corey Bang of Clay County Solid Waste.
In the spring of 2023, the Minnesota Legislature legalized and decriminalized the use of cannabis in Minnesota, effective Aug. 1, 2023, marking the 23rd state to do so. People ages 21 and up can possess up to 2 ounces of cannabis and consume cannabis without legal penalty.
Minnesota cities have additional rules guiding where it can be sold and consumed.
But the retail sale of cannabis here is set to begin next year. The Cannabis bill is likely to be signed into law amending legislation passed last year that would allow for granting licenses prior to 2025.
The purpose of considering cannabis zoning regulations now is to provide local regulatory certainty and to promote the public health, safety and general welfare of citizens.
Leeser went through the comprehensive plan goals and objectives for the county as such:
The first objective is for agricultural reasons, and to recognize and protect the agricultural character of the county.
The second objective is for commercial and industrial purposes. This includes the encouragement of commercial and industrial development that is in harmony with the agricultural and rural character of the county; and promotes the incorporated communities within the county as prime commercial and industrial locations for development.
Leeser said a more in-depth look at the goals includes the support of long-term protection of the county’s strong and diverse agricultural economy. This would include maintaining and environment that supports agriculture at all scales within the county; recognizing and supporting the agricultural character in all planning efforts; and ensuring that all new development is compatible with the character and quality of the county’s ag areas.
Leeser further explained the next step, which includes the cultivation of cannabis.
He said the cultivation process is broken down into separate steps, including:
1. Grow, harvest, package and transportation.
2. The operation size would be limited to 30,000 square feet indoors and up to 2 acres (about 87,000 square feet) outdoors.
3. Operating and cultivation plans are required, and,
4. Cultivation license holders can also hold additional licenses (for example, manufacturing, medical cannabis cultivation, industrial hemp cultivation and event organizer).
“A lot of what we’ve incorporated into this ordinance comes out of state statute,” Leeser said. “We’re not trying to reinvent the wheel other than what’s been done already in St. Paul.”
Leeser said the licensing of these operations will all come from the state.
Further, the manufacturing of cannabis also has stipulations. The proposal includes several steps as well.
First, the purchase, production of any concentrates, artificially derived cannabinoids, manufacturing products and sales to other cannabis businesses will be monitored and regulated. An operating plan must be required. And manufacturing license holders can also hold additional licenses, as detailed above.
The third step in the process is retail sales. This will include rules and regulations for selling cannabis and cannabis products; setting standards for operating hours, lighting, security, building conditions, deliveries and prohibitions; and that retailers may operate in up to five locations.
Regarding cannabis uses, there will be micro- and mezzo-businesses. Operations which fall into these categories will be able to cultivate, manufacture and sell retail, but in limited sizes, yet will allow for onsite product consumption.
Commissioner David Ebinger, Dist. 5, inquired about what logistical obstacles that potential cannabis growers might face.
“Do we have any indication whether those who intend to produce cannabis are going to do so in an interior hydroponic or grow houses, given our weather,” Ebinger said. “Or are they going to try and grow it like a crop, outside in fields?”
Leeser said those questions are part of the uncharted territory the state is in.
“We might have our suspicions that it might be more indoors,” Leeser said.
There are currently eight Clay land parcels identified as grow operations to date, and Leeser said there is no way to know if this is an overly optimistic business prospect for the county, or if things “will go gangbusters” next year.