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Lyon Co. Board hears update on cannabis ordinance

MARSHALL — Discussions on how Lyon County should regulate cannabis businesses continued this week, as county commissioners gave feedback on topics like the number of business licenses they would allow.

Some commissioners said they would like to see the number of cannabis business licenses in the county limited to the minimum required by the state.

“Lyon County, according to population, we have to provide up to three retail spots. We can do more if we want. That’ll be a board decision,” said Commissioner Todd Draper.

On Tuesday, Draper and members of a cannabis ordinance committee gave commissioners an update on their work. The committee, which includes the Lyon County attorney, county zoning administrator, and representatives of Southwest Health and Human Services, is in the process of drafting a county ordinance on cannabis businesses.

“We did have a meeting last week,” Draper said. The goal was to have a county ordinance drafted before the end of the year. “We all know we’re on a fast pace, but we think we can make that.”

While local governments can’t ban cannabis businesses under state law, they can require businesses to be registered, and can set restrictions on where the businesses can operate.

If Lyon County approved ordinances governing cannabis businesses, cities and townships in the county could either use the county’s ordinances, or create their own, said Lyon County Administrator Loren Stomberg.

“If a city or township doesn’t delegate that (licensing) authority to the county, they have their own limits that they can set,” Stomberg said. “And my understanding is, our ordinance is worthless unless we get delegated authority from the cities and townships.”

“We know that the city of Marshall is probably going to do their own thing,” Stomberg said. “Talking to the city of Tracy and the city of Minneota, they’re interested in delegating, but they want to see what our ordinance is first.”

“We’re hoping that the cities that we provide police protection to will all go with the county,” Draper said.

Doing so would make enforcement easier for the Lyon County Sheriff’s Office, he said.

In discussion, commissioners were supportive of allowing the state minimum of cannabis business licenses in Lyon County.

“My thought is to limit it to three,” said Commissioner Gary Crowley.

County Attorney Abby Wikelius suggested going with the state’s required minimum rather than a set number of licenses. If Lyon County’s population grows, the required minimum of cannabis businesses could also grow.

Committee members said there were other issues they would need to consider in drafting an ordinance, including the registration fees for cannabis businesses, and county zoning requirements.

“The majority of Lyon County is agricultural district, and unless it’s agriculture-related, we don’t allow retail business there,” Zoning Administrator John Biren said.

Cannabis retail businesses would be limited to highway commercial districts, he said.

“We probably want to keep it out of rural residential (districts) and those type of things, for certain,” Biren said.

Biren also suggested that the county have tight standards for where a cannabis business can be located, “As tight as the state will allow us to do that.”

If businesses then met those standards, they could be issued a land use permit without having to go through a conditional use permit process, he said.

Stomberg said the committee will come back to the county board with a draft ordinance. The county would also have to hold a public hearing before approving a cannabis business ordinance.

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