HomeMy WebLinkAbout2022-142 (Allowing Three CBD Retail Establishment Licenses)City of Stillwater
Washington County, Minnesota
RESOLUTION 2022-142
A RESOLUTION ALLOWING THREE CBD RETAIL ESTABLISHMENT LICENSES
WHEREAS, on September 6, 2022, the City Council enacted licensing regulations for
CBD retail establishments and began accepting license applications on October 1, 2022; and
WHEREAS, there are certain criteria that must be met in order to apply for a CBD
retail establishment license, including that more than 50% of the gross revenues must be
from the sale of any CBD products or related devices; and
WHEREAS, the ordinance states that no more than two CBD retail establishment
licenses shall be issued at any one time and that if more than two applications are submitted,
then a point system shall be used to determine which businesses are issued the two licenses;
and
WHEREAS, the City received three applications for a CBD retail establishment; and
WHEREAS, the applications were received from the CBD House, Stillwater
Tobacco, and the Smoke Shop Plus; and
WHEREAS, when reviewing and evaluating the applications, the following facts were
determined to be relevant:
• Stillwater Tobacco is an existing business, the location is a legal conforming
use, the owner is not a Stillwater resident and the application is complete;
however, the applicant cannot show that 50% of the gross revenues are from
the sale of any CBD products or related devices;
• The Smoke Shop Plus is an existing business with a new owner, the location
is a legal conforming use, the owner is not a Stillwater resident, and the
application is not complete because the owner does not yet have a signed
lease or insurance (the applicant is waiting for this licensing approval); in
addition, the applicant cannot show that 50% of the gross revenues are from
the sale of any CBD products or related devices;
• CBD House is an existing business, the location is not a legal conforming use,
the owner is not a Stillwater resident and the application is complete; however,
the applicant can show that 50% of the gross revenues are from the sale of any
CBD products or related devices; and
WHEREAS, given the imperfect fact pattern above, in that:
• Two of the businesses cannot meet the main criteria of showing 50% of the
gross revenues is from the sale of any CBD products or related devices
because they could not increase their inventory of products due to the
moratorium in place that would not allow them to expand; and
• One business can prove they meet the requirement that 50% of the gross
revenues are from the sale of any CBD products or related devices but it is in
a nonconforming zoning location;
WHEREAS, then for this license year only (date of approval through December 31,
2023), an exception to allow the issuance of three licenses is fair, equitable and a reasonable
resolution;
WHEREAS, any businesses that desire to have a CBD retail establishment license for
the license year 2024, including any of the aforementioned herein, must apply for a license,
and in order to be considered, must show that 50% of the gross revenues are from the sale
of any CBD products or related devices and in all other ways be eligible for a license.
NOW, THEREFORE, be it resolved that the City Council of the City of Stillwater does
hereby authorize as follows:
1 The following three CBD retail establishment licenses are approved:
a. Stillwater Tobacco
b. Smoke Shop Plus, conditioned on receipt of a signed lease and proper
insurance
c. CBD House
2. This license approval for is valid from the date of passage (or for Smoke Shop
Plus, until all conditions have been met) through December 31, 2023,
3. This license approval does not entitle the three license holders approved herein
to any future license approvals.
4. All future license applications shall be evaluated, reviewed and decided based
on the applications submitted under any laws and ordinances in place at the
time of submission.
Adopted by the Stillwater City Council this 15th day of November, 2022.
CITY OF STILLWATER
Ted Kozlowski, Mayor
ATT T:
Beth Wolf, City Clerk