South Dakota

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The special meeting of the City of Scotland was called to order by Mayor Curtis Hofer at 5:03pm on Monday, June 21, 2021. The following council members answered to roll call Randy Abbink, Tim Asche, Jerry Nelson, Dennis Bietz, and Sean Barrett. Those council members absent were Randy Thum. Others present were Finance Officer Tanya Bult.

A motion was made by Asche, second by Abbink to approve the agenda. All voted in favor. Motion carried.

Ordinance No. 2021-01 - A motion was made by Bietz, second by Nelson to approve the second reading to the Ordinance No. 2021-01 a temporary ordinance regarding the issuance of local medical cannabis establishment permits and/or licenses. All voted in favor. Motion carried.

ORDINANCE NO.  2021-01
A TEMPORARY ORDINANCE REGARDING THE ISSUANCE OF LOCAL MEDICAL CANNABIS ESTABLISHMENT PERMITS AND/OR LICENSES.

WHEREAS, the City of Scotland is authorized to enact an ordinance not in conflict with SDCL Chapter 34-20G, governing the time, place, manner, and number of medical cannabis establishments in the locality. The City of Scotland may establish civil penalties for violation of an ordinance governing the time, place, and manner of a medical cannabis establishment that may operate in the locality. The City of Scotland may require a medical cannabis establishment to obtain a local license, zoning permit, or registration to operate, and may charge a reasonable fee for the local license, zoning permit, or registration.

WHEREAS, the City of Scotland makes a preliminary finding that the City’s current regulations and controls may not adequately address the unique needs and impacts of medical cannabis establishments as defined in SDCL 34-20G-1;

WHEREAS, medical cannabis state laws under SDCL Chapter 34-20G are effective July 1, 2021.  The South Dakota Department of Health is required to promulgate rules pursuant to chapter 1-26 not later than October 29, 2021, as defined by SDCL 34-20G-72.  During the time between July 1, 2021 and potentially as late as October 29, 2021, local units of government will not yet know standards for medical cannabis and will not be able to adequately assess the local zoning and licensing requirements necessary to approve local permits and to better ensure applicants have a more predictable permitting process and avoid stranded investments.

WHEREAS, the City of Scotland makes a preliminary finding that the City needs further study of the relationship of medical cannabis establishments to the

City’s Comprehensive Plan and Zoning Ordinances. The public interest requires that the City study, analyze, and evaluate the impacts of medical cannabis establishments and to fully explore the impacts of any proposed regulations regarding medical cannabis establishments;

WHEREAS, the City of Scotland makes a preliminary finding that it would be inappropriate for the City to issue a local permit or license to a medical cannabis establishment prior to the South Dakota Department of Health’s promulgation of regulations governing the same;

WHEREAS, the City of Scotland hereby exercises its authority under SDCL 11-4-3.1 and SDCL 9-19-13, to establish a temporary ordinance regarding the issuance of any local permits/licenses for medical cannabis establishments within the City;

WHEREAS, a temporary ordinance will ensure that more comprehensive zoning ordinance and building permit changes,  licensing permits, and any proposed amendments to the City’s Comprehensive Plan can be completely examined with adequate public input from citizens, business interests, and medical cannabis industry representatives;

WHEREAS, the City finds that a temporary ordinance is reasonable to preserve the status quo and prevent significant investment pending the outcome of the above study and any proposed regulations emanating therefrom;

WHEREAS, the City finds that the following ordinance is necessary to protect and immediately preserve the public health, safety, welfare, peace and support of the municipal government and its existing public institutions;

NOW, THEREFORE, BE IT ORDAINED BY THE CITY OF SCOTLAND:

Section 1.  Temporary Ordinance – Application for Local Permit/License

A medical cannabis establishment desiring to operate in the City of Scotland shall be required to apply for a permit and/or license from the City.   Applications for a local permit and/or license to operate a medical cannabis establishment, as defined by SDCL 34-20G-1, shall not be accepted until sixty days have passed following the South Dakota Department of Health’s promulgation of regulations as required by SDCL 30-20G-72. Any application received prior to sixty days having passed following such regulations being promulgated shall be denied.

Section 2. Immediate Effect.

This ordinance is necessary to protect and immediately preserve the public health, safety, welfare, peace, and support of the municipal government and its existing public institutions pursuant to SDCL 11-4-3.1 and SDCL 9-19-13.

Dated this 21 day of June, 2021.

ATTEST:                                                                                              CITY OF SCOTLAND, SOUTH DAKOTA
                                                                               

______________________________                                                ______________________________
Tanya Bult, Finance Officer                                                                 Curtis Hofer, Mayor

With no further business to discuss a motion was made by Bietz, second by Abbink to adjourn the meeting at 5:13pm. All voted in favor. Motion carried.

ATTEST:                                                                                               CITY OF SCOTLAND, SOUTH DAKOTA
                                                                              

______________________________                                                ______________________________
Tanya Bult, Finance Officer                                                                 Curtis Hofer, Mayor