City Council Meeting Date: September 20, 2022
To: Honorable Mayor & City Council
From: Ben Martig, City Administrator
Mark Elliott, Police Chief
Lynette Peterson, City Clerk
Title
Consider Resolution Setting Fees Related to Sale of Edible Cannabinoid Products.
Body
Action Requested:
The Northfield City Council is asked to consider a Resolution Setting Fees Related to Sale of Edible Cannabinoid Products.
Summary Report:
Northfield City Council discussed the Ordinance Amending Chapter 30 - Health and Sanitation of the City Code Adding Article III - Sale of Edible Cannabinoid Products at their August 1, 2022 and August 23, 2022 meetings. A first reading of the Ordinance occurred on September 6, 2022. The proposed second reading is on the agenda for consideration tonight.
The Council discuss fees related to the Ordinance at their August 23, 2022 meeting. In discussion of the fees related to the ordinance, the Council reviewed current fees for tobacco and liquor licensing. Administrator Martig suggested the fee be established between the on-sale liquor fee of $3,000 and the tobacco licensing fee of $400. The fees to discuss would be the cost of the license to sell edible cannabinoid products, the application/background check fee and the penalty schedule for violations of the ordinance.
Fees a city charges should have nexus to the impact on the city to regulate/monitor the activity. In the case of Cannabinoids, the State does not have adequate regulatory practices in place so regulation and monitoring will fall on the City. The time spent on compliance and monitoring is reflected in the fees. These costs include compliance checks, educating license holders, inspection and testing of products and labeling of products.
The violation fine schedule is the same as the Tobacco fine schedule and substantially similar to the alcohol fine schedule. The fine schedule should be reasonable and is meant to deter non-compliance with the ordinance, and ...
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