Minneapolis sets zoning rules for cannabis businesses, including ‘continuing’ business operation requirement

The Minneapolis City Council on Thursday approved rules on where cannabis dispensaries and producers can set up shop once they receive licenses.

An ordinance amending the city’s zoning code passed by a 12-1 vote, with Mayor Jacob Frey supporting the measure, clearing the way for recreational cannabis businesses.

Like its neighbor St. Paul, Minneapolis decided to establish a minimum buffer zone of 300 feet from schools, as required by state law.

The ordinance also states that all cannabis-related businesses must be located “within a contiguous commercial or industrial zone of at least three acres.” An earlier version set the requirement at five contiguous acres, and an amendment introduced by Council Member Orin Chowdhury on Thursday eliminated the proposed 300-foot buffer between dispensaries.

Commercial cultivation of cannabis would be limited to areas designated for production and processing, similar to urban farms. The ordinance also imposes light and odor restrictions on commercial growing facilities.

“Minneapolis has always been early in adopting and improving new rules and regulations,” said Council Member Jamal Osman, the ordinance’s author. “I am proud of the excellent work our staff has done to ensure that cannabis businesses are prepared to support the first round of applicants by listing this policy.”

Once the Minnesota Office of Cannabis Control (OCM) begins issuing licenses, Minneapolis will have to allow at least 34 dispensaries throughout the city, based on a requirement of one dispensary for every 12,500 residents.

There is still no clear date for when retail cannabis sales will be allowed statewide, but OCM has said it aims to finalize regulations and begin issuing licenses in early 2025.