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Council signals support for setting maximum local cannabis registration fees allowed by state guidance

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Summary

City staff outlined state limits for local cannabis registration and renewal fees; council members indicated they favor adopting the maximum allowable fees, subject to formal action later.

City staff summarized state guidance on local cannabis registration and renewal fees and asked the council whether it wished to set local fees at the maximum amounts allowed.

Miss Nelson said the state has set its rates and that local governments may set the initial registration fee at “$500 or half of the initial registration fee, whichever is less” relative to the state fee; for renewals, local governments may set a renewal fee up to $1,000 or half of the state renewal fee, whichever is less. Nelson noted microbusinesses have no initial state license fee and thus the city cannot collect an initial fee for that category; the state raised the microbusiness renewal fee to $2,000, which would allow the city to collect up to $1,000 for renewals in that category.

Council Member Dale Helms said he would “like to see us go the maximum fee” and other members, including Mayor Mark Olstead and Council Vice President Tim Riopel, agreed that setting the maximum seemed reasonable. Nelson said staff can return a formal fee schedule for council adoption if the council wants to proceed.

The discussion reflected direction to staff but did not record a formal vote setting fees during the work session; Nelson said staff will bring a proposal based on state guidance for formal action at a future meeting.