PUBLIC NOTICE

ORDINANCE NO. 724
AN INTERIM ORDINANCE IMPOSING A TEMPORARY MORATORIUM ON THE SALE OF CANNABIS FLOWER
AND CANNABINOID PRODUCTS

THE CITY OF AUSTIN ORDAINS:
SECTION 1: PURPOSE AND INTENT
The City of Austin recognizes the significant public interest and concern regarding recent State of Minnesota legislation legalizing the manufacture, distribution, and sale of certain products, including tetrahydrocannabinol (THC) products defined by the legislature as “cannabis flower” and “cannabinoid products.” The City desires to regulate the sale of such products in a manner that is consistent to public health, welfare, and safety, as well as in accordance with the City’s interest in fairness and due process toward potential future retail establishments and purveyors of such products.
Given the abrupt nature of the Legislature’s passage of relevant law and the significant public interest and concern resulting therefrom, the City further recognizes that the specific contours of such regulation have not yet been vetted with appropriate diligence.
Minnesota Statutes Section 462.355, subd. 4, permits municipalities to implement a moratorium on certain land uses within its jurisdiction to allow for the completion of appropriate study and subsequent adoption of relevant land use controls. State law generally permits such moratoria to persist for a period of up to twelve (12) months. However, the legislature has allowed a moratorium related to this subject to extend to January 1, 2025. See Minnesota Statutes 342.13, Subd. 13(e).
The City hereby concludes that additional study and research is required to formulate and adopt
appropriate regulations governing the manufacture, distribution, and sale of cannabis flower and cannabinoid products (as defined by statute) within its jurisdiction.
Therefore, the City finds that a moratorium on the manufacture, distribution and sale of cannabis
flower and cannabinoid products (as defined by statute) is necessary to protect the planning process and to protect the health, welfare, and safety of its citizens.
SECTION 2: STUDY
The City Administrator and the relevant City staff, professional staff, and others under the direction of the City Administrator are authorized and instructed to undertake a study of best practices, actions by other similar cities to regulate the subject matter of this moratorium, the advice and guidance of the League of Minnesota Cities and/or relevant statewide agencies and departments, and collect other useful and relevant information for presentation to and consideration by the Council from time to time during the term of this interim ordinance. Should such study require the incursion of any cost or expense, such cost or expense shall be presented to the Council for approval or disapproval in advance. Such study shall have as its purpose the ultimate drafting of appropriate and necessary local regulations governing the subject matter of this interim ordinance for adoption prior to the expiration of the term of this interim ordinance.
The City Administrator’s work on this study shall be subject to oversight and guidance by the Council as necessary.
SECTION 3: PROHIBITION Pursuant to Minnesota Statutes Sections 462.355 and 342.13, Subd. 13(e), the manufacture, sale, and distribution of cannabis flower or cannabis products (as defined by statute) is prohibited until such time as this interim ordinance expires or is terminated by action of the City Council.
SECTION 4: EXCLUSIONS This interim ordinance does not impact, limit, or prohibit the sale of Edible Cannabinoid Products under Austin Code Section 6.34, or Edible Cannabis Products under Minnesota Statutes Section 342.01, Subd. 31, Hemp-derived Topical Product under Minnesota Statutes Section 342.01, Subd. 38, or Lower-Potency Hemp Edibles under Minnesota Statutes Section 342.01, Subd. 50 (hereafter collectively referred to as “Edible Cannabinoid Products”), so long as such sales are otherwise lawful.
This interim ordinance does not impact, limit, or prohibit the application for and issuance of any
Edible Cannabinoid Product licenses pursuant to Austin Code Section 6.34.
This interim ordinance does not impact, limit, or prohibit the sale of products meeting the description of Edible Cannabinoid Products under Austin Code Section 6.34, so long as such sales are lawful under state law and a license has been issued by the State of Minnesota for the location of said sales.
SECTION 5: EFFECTIVE DATE AND EXPIRATION
This interim ordinance shall take effect upon its passage and publication, and shall expire on January 1, 2025 unless lawfully terminated or extended pursuant to state law. Passed by the following vote of yeas and nay by the City Council of the City of Austin this 21st day of August, 2023.
YEAS 7 NAYS 0
BY:
Stephen M. King, Mayor
ATTEST:
Tom Dankert, Recorder

This ordinance was introduced on August 21, 2023; approved on August 21, 2023; was published in the Austin Daily Herald on August 26, 2023 and becomes effective September 2, 2023.

Austin Daily Herald:
Aug. 26, 2023
ORDINANCE 724