ROCHESTER — Minnesota city officials appear to be reluctant to jump on the wave of marijuana business licenses expected next year.
Rochester City Council is leaning toward mandating a minimum number of licenses allowed in the area after the sale of marijuana products became legal in March, where there are about 10. Council members took no formal action at Monday’s meeting, but expect a formal proposal to limit licenses within the next two months.
City officials presented several proposals to council members Monday, ranging from a legal minimum in line with Minnesota’s formula of at least one license per 12,500 people to a limit of 14 licenses proposed by Olmsted County.
More licenses would open up the town’s market, but would also significantly increase the city’s costs to enforce the rules. Fewer licenses would allow the city to leave enforcement to Olmsted County, but might force other cities to accept marijuana businesses. Cities and counties cannot ban marijuana businesses entirely, so additional licenses would be approved within Olmsted County limits.
Rochester officials also said the decline in licenses could encourage more businesses to operate in violation of the law.
“Either way, it’s entirely possible that they could be selling cannabis products and undermining the market,” Deputy City Clerk Christian Cartwright told the council.
Most city council members, even Mayor Kim Norton, supported licensing as few establishments as possible, with only Council Member Molly Dennis agreeing with Rochester’s staff recommendation to match Olmsted County’s proposed limit of 14 establishments.
“My ideal number would be zero,” City Councilman Norman Wall said. “The next ideal number would be 10.”
Wall said he also has concerns about local business practices, citing concerns about safety regulations and proper inspections at operating tribal nation dispensaries.
City Council President Brooke Carlson seemed to agree, saying the city’s decision to align with the county and cap the number of licenses at 14 seems “a little excessive.”
But some council members were divided on whether Rochester should allow Olmsted County to enforce the licensing requirement. Councilwoman Kelly Ann Kirkpatrick argued that Olmsted County has struggled to respond to drug abuse complaints in the past and said it remains difficult to report fentanyl use at local gas stations.
“The enforcement part of this drug is really important to me,” Kirkpatrick said. “It’s a very useful biologic drug, but it also has the potential for abuse.”
Norton said he initially supports limiting the number of cannabis-related businesses to gauge how they impact the community.
“Adding this really makes me uneasy,” she said. “I know it’s very popular in the community, but it’s painful to see this happen.”