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HomeMy WebLinkAbout3 - City Code Amendment - Lower-potency hemp edibles To: Planning Commissioners From: John Hinzman, Community Development Director Date: November 10, 2025 Item: Public Hearing - Amend City Code Chapter 155 – Zoning Code – Lower-Potency Hemp Edibles Planning Commission Action Requested Hold a public hearing and recommend action to amend City Code Chapter 155 – Zoning Code – Lower-Potency Hemp Edibles. Background On December 2, 2024 the City Council voted to amend the City Code to establish regulations for cannabis and lower-potency hemp edibles. Council action was consistent with the recommendation of the Planning Commission on October 28, 2024. The staff memo included a table outlining permitted and conditional uses for certain zoning districts. Some of the items within the table were not included in the ordinance amendment. The proposed amendment seeks to clarify regulations for lower-potency hemp edibles that were presented as part of the 2024 ordinance amendment. Lower-Potency Hemp Edibles vs. Cannabis Minnesota State Statutes 342.01 defines Lower-Potency Hemp Edibles. In general, lower-potency hemp edibles include beverages and food items with a lower limit of cannabinoid and THC that that of cannabis. City Code Regulations Cannabis and lower-potency hemp edibles are regulated in City Code as follows: • Business Registration: City Code Chapter 117 regulates business registration for the sale and production of cannabis and lower-potency hemp edibles. • Zoning Code Performance Standards: City Code Chapter 155.07, Subd. J established performance standards including distance setbacks, hours of operation, and signage • Zoning District Allowance: The sale, production, and cultivation of cannabis and lower- potency hemp edible are identified as “uses permitted” or “uses by special permit” (special use permit) in certain zoning districts. Planning Commission Memorandum Cannabis and Lower-Potency Hemp Edibles Chart of Uses - 2024 The chart below was included in the staff memo from the 2024 ordinance amendment for cannabis and lower-potency hemp edibles: Type of Cannabis Business C1 C2 C3 DC C4 I1 I2 Ag Lower potency edible retail beverages (with on-sale or off- sale liquor) P P P P P P Lower potency edible retail (that do not have on-sale or off-sale liquor) CUP CUP CUP Adult Use retail (not inc. micro, mezzo, medical combo) CUP CUP CUP Micro, Mezzo, Transporter, Testing, Medical Combo, Wholesale (with products) CUP CUP Manufacturer, Cannabis (brewery, distillery) CUP CUP CUP Wholesale (no products) CUP CUP Cultivator only (not micro or mezzo) (indoor or outdoor) CUP CUP CUP Proposed Amendment The amendment includes the following changes: • Cannabis and lower potency hemp edibles clarification. Requirements for “cannabis” and those for “low-potency hemp edibles” are better clarified. • No buffer for use of cannabis concentrate in manufacture of lower-potency hemp edibles. Clarifies that the use of cannabis concentrate (produced elsewhere) in the manufacture of low-potency hemp edibles is exempt from residential distance requirements. The buffer was established due to the odors generated through the conversion of cannabis leaves into a cannabis concentrate. The use of a cannabis concentrate in manufacturing low-potency hemp edibles does not generate the same impacts. • Retail sale of lower-potency hemp edibles permitted with liquor license. Added as a “use permitted” in the C-1, C-2, C-3, C-4, DC, and I-1 zoning districts. This amendment includes retail sale of lower-potency edible beverages AS WELL AS any lower-potency edible product (such as gummies). This is consistent with the staff memo and chart of uses from the 2024 cannabis ordinance amendment but for the inclusion of all lower-potency edible products. Attachment • Ordinance Amendment 1 PLANNING COMMISSION DRAFT – NOVEMBER 10, 2025 ORDINANCE NO. 2025- AN ORDINANCE FOR THE CITY OF HASTINGS, MINNESOTA AMENDING HASTINGS CITY CODE CHAPTER 155 – ZONING CODE – LOWER-POTENCY HEMP EDIBLES The City Council of the City of Hastings, Minnesota does hereby ordain as follows: SECTION 1. AMEND. The Code of the City of Hastings, State of Minnesota, Chapter 155 - Zoning Code – is amended as follows. Language added is underlined and language removed is stricken. 155.07 Special Provisions J. Cannabis Uses and Lower-Potency Hemp Edible Uses 5. Performance Standards. All cannabis and lower-potency hemp edible businesses must comply with the following: b. No cannabis or lower-potency hemp edible use shall be allowed as port of any Adult Use Establishment business, as defined in City Code Chapter 114.21. c. Cannabis or lower-potency hemp edible uses cannot violate City Code Chapter 95 regarding public nuisances. d. Distance restrictions: Distances from a cannabis or lower-potency hemp edible use are measured from the storefront of a retail use and from the property line of all other cannabis or lower-potency hemp edible uses, and shall comply as provided below. (2) The location of the cannabis or lower-potency hemp edible use must be located: (a) More than five hundred feet (500’) from a school as measured from the property line of the school to the use; (b) More than five hundred feet (500’) from a residential treatment facility, as measured from the property line of the facility to the use; (c) More than five hundred feet (500’) from an attraction within a public park that is regularly used by minors, such as, but not limited to a playground, athletic field, athletic court, picnic area or restrooms, pavilion or park 2 building, disc golf features, as each is measured from the location of the public park attraction to the use. However, such distance restriction shall not extend across Highway 61 or Highway 55 but shall terminate if it intersects with such highways. (d) All buildings used for manufacturing, production, testing, processing, or warehousing of cannabis must be setback a minimum of five hundred feet (500’) from a residential zoning district or residential use as measured from the property line of the cannabis use to the property line of the nearest residential zoning district or residential use. (3) Exceptions to distance restrictions: (e) Use of cannabis concentrate in the manufacturing of lower-potency hemp edibles. Use of cannabis plants to produce cannabis concentrate shall not be exempted from distance requirements. 155.29 C-2 Highway Auto Sales and Service B. Uses Permitted. 3. Lower-potency hemp edible retail with on-sale or off-sale liquor license. 155.30 C-3 Community Regional Commerce B. Uses Permitted. 8. Lower-potency hemp edible retail with on-sale or off-sale liquor license. 155.31 DC Downtown Core B. Uses Permitted. 8. Lower-potency hemp edible retail with on-sale or off-sale liquor license. 155.34 I-1 Industrial Park B. Uses Permitted. 7. Lower-potency hemp edible retail with on-sale or off-sale liquor license. SECTION 2. SUMMARY PUBLICATION. Pursuant to Minnesota Statutes 412.191, in the case of a lengthy ordinance, a summary may be published. While a copy of the entire ordinance is available without cost at the office of the City Clerk, the following summary is approved by the City Council and shall be published in lieu of publishing the entire ordinance. 3 The text amendment adopted by the Hastings City Council on December 1, 2025 modifies the City Code related to lower-potency hemp edibles. SECTION 3. EFFECTIVE DATE. This ordinance shall be in full force and effect from and after its passage and publication according to law. Passed this 1st day of December, 2025 _____________________________________ Mary Fasbender, Mayor Attest: ____________________________ Kelly Murtaugh, City Clerk Summary Publication Published in the Hastings Journal on December 4, and December 11, 2025