Cities scramble to deal with legalization of cannabinoid products

Aug. 16—NORTH MANKATO — A recently enacted state law that legalized the sale of edibles and beverages containing the buzz-inducing THC from cannabis plants has sent cities scrambling to decide if or how to regulate the sale and use of the products in their communities.

"It took us by surprise. Presto, over night, it was allowed with little regulation," said North Mankato Police Chief Ross Gullickson

North Mankato City Administrator Kevin McCann said the council and staff turned to an association of local governments that suggested licensing or zoning would be the most applicable approaches for cities that wish to set some regulations.

"Licensing is what we use for alcohol sales," McCann said. When a business applies for and gets a license for selling alcohol or tobacco, they agree to certain rules and conditions and risk losing their license if they stray outside the guidelines.

As for zoning, cities can specify where THC products can be sold — usually only in commercial areas as opposed to, say, out of someone's home.

St. Peter City Administrator Todd Prafke said the council has been talking about the issue and is looking at three options: Do nothing. Regulate it with licensing. Or put a moratorium in place barring the sale of THC products for a year while the city studies what other cities are doing.

North Mankato council members also have the option of putting a moratorium in place, but McCann said that if a temporary moratorium were put in place, there would still likely be only two options if the council wants to regulate sales.

"At the end of the day, unless the Legislature makes some dramatic changes, it's still going to be a zoning and licensing issue," McCann said.

At their meeting Monday night, North Mankato Council members leaned toward passing an ordinance rather than a moratorium. The council set a public hearing concerning a moratorium or an ordinance regulating the sale of cannabinoids for 7 p.m. Sept. 19.

Mankato City Manager Susan Arntz said the council is leaning toward adding regulation related to underage people but is not looking at licensing businesses that sell the products.

The city of Mankato has set a 6 p.m. Aug. 22 public hearing on an ordinance that would prohibit those under age 18 from possessing, using or distributing the products in a public area. She said such an ordinance would allow police to take the products from underage users.

Arntz said violators could potentially get a petty misdemeanor citation, but she said they are not aiming to hand out tickets. "We're certainly not intending to ticket underage kids, but depending on the circumstances, it could result in a petty misdemeanor," which is not a criminal offense.

Unlike some other communities, Mankato is not considering licensing the sellers of the products. "The challenge in licensing is that anybody can sell them so it could be cumbersome for the city to license them," Arntz said.

While alcohol and tobacco sales are mostly limited to bars, liquor stores, convenience stores and smoke shops, cannabinoids can be sold by virtually any retail shop that wants to sell them.

Gullickson said that state law has little regulation of edible cannabinoids beyond rules limiting the amount of THC in a package and the requirement they can't be sold to anyone under 21.

"It says it can't be sold to anyone under 21, but there's nothing in the (state) law that makes it an offense."

Gullickson is proposing the North Mankato City Council license cannabinoid sales in the same way the city licenses alcohol and tobacco sales.

And he wants the city to set a penalty for those under age 21 caught using the edibles as well as penalties for businesses that are caught selling to someone under 21.