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St. Louis Park council approves first reading of ordinance to register cannabis and low‑potency hemp retailers

2506621 · March 4, 2025
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Summary

City council approved the first reading of an ordinance to create a local registration system for adult‑use cannabis retailers and lower‑potency hemp retailers, setting fees, operating hours, and local compliance requirements while noting much of the final licensing steps remain with the State Office of Cannabis Management.

The St. Louis Park City Council unanimously approved the first reading of an ordinance Thursday to establish local retail registration for adult‑use cannabis and lower‑potency hemp businesses and to set related fees, hours and compliance rules.

The ordinance creates a city registration that requires businesses to hold state licenses from the Office of Cannabis Management (OCM), to demonstrate local zoning and code compliance, and to pay an initial registration fee. City staff described the registration as a local overlay to the state licensing framework rather than a replacement for state authority.

Under the proposal presented by Michael Pivic, property maintenance and licensing manager, the city would limit registrations at a minimum ratio of one per 12,500 residents and staff proposed an initial cap of five retail registrations to ensure compliance with the state minimum while accommodating near‑term population growth. The planned local operating hours are 8 a.m. to 10 p.m. Monday through Saturday and 10 a.m. to 10 p.m. Sunday. Annual inspections and compliance checks would be conducted by city staff and the police department, with age verification and enforcement coordinated with law enforcement.

Pivic described the relationship with the state regulator: "The OCM will notify local government when an applicant intends to operate within their jurisdiction. The local government can at that time verify whether this business complies with local zoning ordinances." He said the city has 30 days to respond to an OCM certification notice; absent a response the OCM may proceed.

Financial provisions in the ordinance call for a $500 initial registration fee (the only amount collectable in the first two years) and a proposed $1,000 annual renewal thereafter. Staff estimated city revenue for FY2025–26 at roughly $5,000, assuming five retail businesses and about 20 lower‑potency hemp businesses.

Council members asked staff to clarify several items during discussion: the legal definition of an adult (Pivic confirmed 21 years and older), how local hours compare to state minimums, and how the state’s social equity licensing process interacts with local registration. On the social equity point, Pavic said staff did not have full detail about recent state adjustments but confirmed social equity designations remain part of the state process.

The council voted unanimously to adopt the ordinance for a first reading and set the required second reading for March 17, 2025. Staff said the city will continue to refine administrative procedures as the OCM finalizes statewide licensing rules.