CHAPTER 117: TETRAHYDROCANNABINOL PRODUCTS
Section
   117.01   Purpose and intent
   117.02   Definitions
   117.03   State law adopted
   117.04   License
   117.05   Conditions
   117.06   Fees
   117.07   Ineligibility and basis for denial of license
   117.08   Prohibited acts
   117.09   Additional requirements
   117.10   Responsibility
   117.11   Compliance checks and inspections
   117.12   Violations and penalty
   117.13   Exceptions and defenses
§ 117.01 PURPOSE AND INTENT.
   The purpose of this section is to regulate the sale of legalized adult-use of any product that contains tetrahydrocannabinol and that meets the requirements to be sold for human or animal consumption under M.S. § 151.72 for the following reasons:
   (A)   The city recognizes that, based on the most reliable and up-to-date scientific evidence, the rapid introduction of newly legalized adult-use THC products, presents a significant potential threat to the public health, safety, and welfare of the residents of the city, and particularly to youth.
   (B)   The city has the opportunity to be proactive and make decisions that will mitigate this 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 minors.
   (C)   A local regulatory system for THC product retailers is appropriate to ensure that retailers comply with THC product laws and business standards of the city to protect the health, safety, and welfare of our youth and most vulnerable residents.
   (D)   State law requires THC product retailers to check the identification of purchasers to verify that they are at least 21 years of age (M.S. § 151.72, subd. 3(c)), comply with certain packaging and labeling requirements to protect children and youth (M.S. § 151.72, subd. 5), and meet certain potency and serving size requirements (M.S. § 151.72, subd. 5(a)).
   (E)   State law authorizes the Board of Pharmacy to adopt product and testing standards in part to curb the illegal sale and distribution of THC products and ensure the safety and compliance of commercially available THC products in the state.
   (F)   State law does not preempt the authority of a local jurisdiction to adopt and enforce local ordinances to regulate THC product businesses including, but not limited to, local zoning and land use requirements and business license requirements.
   (G)   A requirement for a THC product retailer license will not unduly burden legitimate business activities of retailers who sell or distribute THC products to adults but will allow the city to regulate the operation of lawful businesses to discourage violations of state and local THC product-related laws.
   (H)   In making these findings and enacting this chapter, it is the intent of the City Council to ensure responsible THC product retailing, allowing legal sale and access without promoting increases in use, and to discourage violations of THC product-related laws, especially those which prohibit or discourage the marketing, sale or distribution of THC products to youth under 21 years of age.
(Ord. 212, passed 10-17-2022)
§ 117.02 DEFINITIONS.
   Except as may otherwise be provided or clearly implied by context, all terms shall be given their commonly accepted definitions. The following words, terms, and phrases, when used in this chapter, shall have the meanings ascribed to them in this section, except where the context clearly indicates a different meaning:
   COMPLIANCE CHECKS. The system the city uses to investigate and ensure that those authorized to sell licensed products are following and complying with the requirements of this chapter. 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 licensed products.
   EXCLUSIVE LIQUOR STORE. An establishment that meets the definition of exclusive liquor store in M.S. § 340A.101, subd. 10.
   LICENSED PRODUCT or THC PRODUCT. Any product that contains tetrahydrocannabinol and that meets the requirements to be sold for human or animal consumption under M.S. § 151.72.
   MOVEABLE PLACE OF BUSINESS. 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.
   RETAIL ESTABLISHMENT. Any place of business where licensed products are available for sale to the general public, including, but not be limited to, grocery stores, tobacco products shops, convenience stores, gasoline service stations, bars, and restaurants.
   SALE. Any transfer of goods for money, trade, barter, or other consideration.
   SELF-SERVICE MERCHANDISING. Open displays of licensed products in any manner where any person has access to the licensed products without the assistance or intervention of the licensee or the licensee's employee and whereby there is not a physical exchange of the licensed products between the licensee or the licensee's clerk and the customer. ASSISTANCE or INTERVENTION means the actual physical exchange of the licensed product between the customer and the licensee or employee.
   VENDING MACHINE. Any mechanical, electric, or electronic, or other type of device that dispenses licensed products upon the insertion of money, tokens, or other form of payment directly into the machine by the person seeking to purchase the licensed product.
   YOUTH ORIENTED FACILITY. Any facility with residents, customers, visitors, or inhabitants of which 25% or more are regularly under the age of 21 or that primarily sells, rents, or offers services or products that are consumed or used primarily by persons under the age of 21. This includes, but is not limited to, schools, playgrounds, recreation centers, and parks.
(Ord. 212, passed 10-17-2022)
§ 117.03 STATE LAW ADOPTED.
   Except as further restricted or regulated by this chapter, the provisions of M.S. § 151.72 relating to the definition of terms, licensing, and all other matters pertaining to the retail sale, distribution and consumption of cannabinoid products are adopted and made a part of this chapter as if set out in full. Whenever there is an inconsistency between the provisions of M.S. § 151.72, as amended, and the provisions of this section, the more restrictive provision shall govern.
(Ord. 212, passed 10-17-2022)
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