FAIRMONT– On Monday the Fairmont City Council discussed but ultimately tabled the decision on whether or not to approve its first cannabis retail application.
Per the council’s new policy, adopted April 14, 2025, just one private cannabis retail facility will be allowed in the city and one municipal retail facility, if the city chooses to have one.
On May 30, the city received a completed application from Purple Life Tots LLC for a cannabis micro business retail license with the proposed location at the former STEP Inc. building at 411 State St. Street.
City Clerk Betsy Steuber said that planning and zoning had reviewed the site and confirmed that it meets all applicable zoning and buffer requirements under city code.
However, she mentioned a recent change in state law that allows local governments to issue retail application to applicants who had obtained preliminary approval from the Office of Cannabis Management (OCM).
“This change was intended to reduce the risk for the applicants and ensure that local governments with license caps are not delaying decisions,” Steuber said.
With everything mentioned, Steuber said that staff recommended approval of the registration application.
Council Member Randy Lubenow said, “Unfortunately, I don’t believe that we should sell cannabis at all but the state legislators are smarter than we are apparently and have passed it so we are forced to have somebody.”
Several people earlier in the meeting, during open discussion, had pleaded with the council not to approve the application for various reasons, with several citing the dangers of addiction.
“We already have gambling that’s addictive and ruins many lives. We have alcohol that is also addictive and ruins many lives and we also have cigarettes that we license to be sold in all of our retail stores in Fairmont which is also known to end life. It’s unfortunate that we have to decide this but it has been put before us and we really don’t have any choice,” Lubenow said.
Council Member Jay Maynard asked whether the council could say no. He said he was under the impression that if an application is handed in that meets the city’s specifications, the council needs to approve it.
City Attorney Cara Brown with Flaherty and Hood mentioned the ever-changing cannabis laws and said that her office has a designated cannabis person that has looked into the matter and said she believed the city was operating on a first-come, first-serve basis process.
Interim City Administrator Jeff O’Neill agreed with Brown and said that that was the procedure the council had previously decided on.
“The only thing that’s different now is that the order in which the state is sending to city for review has switched up. That has made it kind of confusing… but it doesn’t really affect this consideration right now because it does meet our conditions and has been pre-approved by the state so we are somewhat compelled now to approve it. There’s really no reason that we would not approve it,” O’Neill said.
Community Development Director, Pat Oman added that the city is an extension of the state, which has given it rules to follow and ordinances to put together.
However, he noted that the state has recently changed requirements that will result in the city needing to update its ordinance.
“Not only are staff a little frustrated with that, but the applicants are as well. But I would tell you that everything has been followed,” Oman said. “It’s following our ordinances, the ordinances that the state has approved… they’ve met all of the requirements and I think that’s the important thing for you to hear from staff.”
Maynard said again that he did not think the council could deny the application but Council Member James Kotewa said his biggest concern was the location where the store would be.
“It’s right next to Friendship Village which is HRA housing… there’s a lot of at-risk people that live in Friendship Village and I have some concerns about that,” Kotewa said.
Oman said that there was criteria built into the council’s policy on distances and that staff had gone through them individually and as a group and said that they’re comfortable that the criteria is being met.
Kotewa asked about the changes made by the state. Oman said there are changes to be made with the ordinance moving forward, but that this is still the first applicant, regardless of any ordinance changes.
“That’s why we’re bringing you this candidate,” Oman said.
Maynard made a motion to approve the cannabis retail application for Purple Life Tots for a cannabis micro business retail license. After Baarts called for a second motion three times and no councilors spoke, Baarts asked if there was anymore discussion.
Kotewa made a motion to revisit the topic at the council’s next meeting in two weeks so that they can gather more information. The motion passed.
In other business:
— The council recognized the following employees for their years of service: Julie Zarling, administration, 10 years; Lois Subbert, administration, 10 years; Michael Beletti, 15 years; Kevin Brockmann, electric department, 20 years; James Bohlsen, electric department, 20 years; Michael Munsterman, public works department, 35 years.
— The council heard a final presentation by ISG on the stormwater hydrologic/hydraulic modeling for localized flooding mitigation project.
— The council approved the second and final consideration an ordinance to sell property located at 403 East 5th Street, Fairmont to Habitat for Humanity of Martin-Faribault County for $1,546.65.
— The council, after discussion, accepted a preliminary policy for placement of properties in the Urban or Rural District, with the exception of number 3, which includes parcels 20 acres or less with a sewer sub installed, access to electrical power and a street right-of-way. It passed 3-2 with Councilors Kotewa and Kawecki opposed.
— The council accepted a Statewide Health Improvement Partnership (SHIP) grant for replacement of the first and second floor drinking fountains at city hall.
