Agenda - Council - 06/23/2020 - Laserfiche WebLink

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CC Regular Session Meeting Date: 06/23/2020 Submitted For: Sean Sullivan, Community Development By: Wendy Schlueter, Community Development 7.3. Information Title: Consider Off -Sale Liquor License at 13939 Saint Francis Blvd NW; Case of Cloud X Vapes Purpose/Background: Purpose: The purpose of this case is to consider an off -sale liquor license for CLOUD X VAPES. Background: CLOUD X VAPES has properly applied for an off -sale liquor license at 13939 St. Francis Boulevard NW, Suite 200. Police Chief Katers has completed the background investigation and found everything to be in order. This establishment is currently licensed to sell tobacco & products related to electronic cigarettes. The City Council tabled action on this request at a recent meeting, citing concerns with co -locating off -sale liquor sales and tobacco sales, specifically vaping/eCigs. The Council expressed a desire to consider updating regulations pertaining to the co -location of these sales. Notification: Notice of the public hearing was published in the Anoka County Union Herald on Friday, May 1, 2020 and public hearing was held on May 26, 2020. Observations/Alternatives: Attached is the House Research file which provides some good information on the current interpretation and the ability of cities to be more restrictive relating to the the type of products that could be sold at liquor stores. The City Attorney has consulted with the State of Minnesota and the State on this topic. The State of Minnesota response is as follows. In short, the State of Minnesota states that municipalities may allow the sales of off -sale liquor and electronic cigarettes in the same location. However, the business may not sell off -sale liquor and products such as CBD in the same location. As you know, Minnesota Statute 340A.412 subdivision 14 lists items that may legally be sold in an exclusive liquor store in Minnesota. The statute does allow the stores to sell tobacco products. Minnesota alcoholic beverage statutes chapter 340A and Minnesota Rules Chapter 7515 do not define the term tobacco related to its allowable sale in exclusive liquor stores. This has tasked our division with how to address the question of what is tobacco for purposes of enforcing the statute. We have looked to tobacco license regulations for clarification of products that can be sold by holders of a locally issued tobacco license. See Minnesota Statute 461.12 https://www.revisor.mn.gov/statutes/cite/461.12. Subdivision 1 covers tobacco licensing by a local jurisdiction. The subdivision includes electronic delivery devices such as e cigarettes. Local municipalities do issue tobacco licenses to exclusive liquor stores, and it appears that the tobacco license