Kenyon City Council, December 10, 2024

The meeting opened with the Pledge of Allegiance.

Citizen Comment

Adopt Agenda

Consent Agenda

Presentations / Public Hearings / Recognitions / Proclamations

Engineering

Pearl Creek & Gates Avenue Utility Improvements

Engineer Olinger stated that most of the work is now complete. There have been delays with minor grading, stabilization, and establishing turf on the Barrett property. The results of any final restoration will not be known until the spring thaw, so it was recommended that a completion date be set in early spring for the remaining repair work. Liquidated damages would be suspended over the winter. Payment #11 includes work completed between November 2 and December 3. Pay Application #11 to BCM Construction and Change Order

2025 Street and Utility Improvements Engineer Olinger stated that the design work for the 2025 street and utility improvements is about 25% complete. The Langford right-of-way width varies, and portions of the existing street are outside the ROW. Acquisition of permanent easements from adjacent property owners may be needed to address this issue.

8th Street Development Engineer Olinger stated that a potential layout for the 8th street development site has been drafted. The layout showed an ideal layout for the buildout of the area. Some discussion and input from developers would be helpful prior to preparing costs.

Legal

Kenyon Code 400.07 Moving Permits - Amendment

Interim Administrator Boyles stated that in October, the Planning Commission reviewed a request to move a building to a lot in Kenyon. This request did not materialize, but the Commission felt the current 17 city code for moving permits needed to be updated. Changes made included language to address the concerns about appearance and age of the building to be moved, electric line clearance verbiage from the KMU Rules and Regulations Handbook, and language change to match the MN State Statute 221.81. At the December 4, 2024 meeting, the Planning Commission recommended adoption of Ordinance No. 107 to the City Council. Ordinance No. 107: Amending Section 400.07 of the Kenyon City Code Regarding Moving Permits

Cannabis Matters

City Attorney Sathe provided an overview of the options cities have regarding adult-use cannabis. Sathe obtained preliminary input from the council on some questions needed to draft the city's ordinance related to cannabis and hemp. He will write a draft zoning ordinance to send to the planning commission for a public hearing.

Old Business

2025 Budget and Levy Resolution 2024-28: Adopting the 2025 Budget and Establishing the Tax Levy for Payable 2025 Finance Director Kyllo stated that the Truth in Taxation meeting was held on December 3. The final budget shows a maximum proposed levy increase of 9.55% for 2025.

New Business

Resolution 2024-30: Adopting the 2024 Goodhue County Hazard Mitigation Plan

Public Works Supervisor Ehrich reported that the Goodhue County Hazard Mitigation Plan was approved by FEMA on October 30,2024. The city needs to adopt this plan through council resolution to be eligible for mitigation and restoration grants and programs offered through the federal government.

Resolution 2024-29: Resolution Committing Capital Fund Balance

Finance Director Kyllo stated that the general accounting standard (GASB 54) requires all public entities to set year end Capital fund balances before the end of the current year contingent on audited final numbers. The final year-end capital fund amounts will not be known until the 2024 audit has been completed.

Bobcat Trade-in and Replacement

Public Works Supervisor Ehrich stated that the 2019 Bobcat is in the budget for 2025 to be traded in. If the new bobcat is ordered in December, the 2025, a price increase would be avoided. The new bobcat would not need to be paid for until 2025.

Add/Delete Signatory at Security State Bank of Kenyon

18 2025 Tobacco License Renewals Kenyon Market, River Country Co-Op (Speedway), Kenyon Municipal Liquor Store

Extension of Interim Administrator Contract

Interim Administrator Boyles stated that his contract was effective as of May 22, 2024. The agreement automatically terminated six months from the effective date, which was November 22, 2024. The request is to extend the contract to January 31, 2025.

Schedule of Upcoming Meetings

KMU Meeting: Tuesday, December 17 @ 4 p.m. EDA Meeting: Tuesday, December 17 @ 8 a.m. Planning Commission Meeting: Tuesday, January 7 @ 6:00 p.m. City Council Meeting: Tuesday, January 14 @ 7 p.m.

Council And Staff General Comments

Council Member Sjolander thanked everyone for all the work they do.

Attorney Sathe stated that he had enjoyed working with both Molly and Doug.

Engineer Olinger wished everyone a Merry Christmas and thanked Molly and Doug.

Council Member Helgeson reminded everyone of Christmas in Kenyon on Saturday. She stated it had been a pleasure working with Doug and Molly and welcomed the new council members.

Council Member Ryan stated it had been a great four years serving on the council.

Mayor Henke stated that this was his last council meeting. When he first ran for council, his goal was to get the Industrial Park going and build a new fire department building which were both accomplished. He enjoyed his time on the council.

Council Member Bailey thanked the department heads for their work, thanked Kim for all her work on the Park & Rec committee, and presented Doug and Molly with appreciation gifts.

Interim Administrator Boyles thanked the council for the opportunity to work in this community.

Holli Gudknecht, Deputy City Clerk Douglas Henke, Mayor

AGENDA ITEM NO. VII.A

Agenda Item Summary

CITY COUNCIL AGENDA ITEM REPORT

DATE: January 14, 2025

SUBMITTED BY: Holli Gudknecht, Engineering

ITEM TYPE: Engineering

Agenda Section: Engineering

SUBJECT: 2025 Street & Utility Improvements

SUGGESTED ACTION: See Attached

Attachments:

01.1_RCA_2025 Street & Utility Improvements.pdf

REQUEST FOR COUNCIL ACTION

Agenda Item: Department: Requested Council Meeting Date: Submitted By: Engineering 1/14/2025 Derek Olinger

TITLE OF ISSUE: 2025 Street & Utility Improvements

BACKGROUND AND SUPPLEMENTAL INFORMATION: Plans are approximately 50% complete. At this stage, major components of the project are substantially known.

A coordination meeting with utility companies was held on 1/8/2025. No major changes to the plans are expected, based on discussion from this meeting. Some private or public relocations are req'd.

We plan to hold a 2nd neighborhood meeting for residents affected by this project in late January (Final date TBD). At this meeting, we'll have updated plans, cost estimates and other information. This will be an open-house style meeting with no formal presentation. A formal invite will be sent out in the next week.

SOURCE OF FUNDING: Future Project Financing

REQUESTED COUNCIL ACTION: None – Information Only

Supporting Documents Attached:

Resolution Ordinance Contract Minutes OTHER

AGENDA ITEM NO. VIII.A

Agenda Item Summary

CITY COUNCIL AGENDA ITEM REPORT

DATE: January 14, 2025

SUBMITTED BY: Holli Gudknecht, Administration

ITEM TYPE: Legal

Agenda Section: Legal

SUBJECT: Ordinance No. 108: Amending Section 520.13 of the Kenyon City

Code Regarding Accessory Building and Structures

SUGGESTED ACTION: The planning commission requested that changes be made to the accessory building and structures code for residential districts. The height (a) and floor area (g) of accessory buildings were changed to match State Statute 2400.2605. (k) was already in the code book but not located in the accessory building code, so it was also added here. (l) was added at the suggestion of the building inspector. The requirement of getting a building permit if the structure is over 200 square feet is already required by the MN State Building Code, but the building inspector said it would be a good idea to include it in the code. (m) the Planning Commission added that no accessory building could be occupied by humans to eliminate the possibility of a tiny home being placed in the backyard of a residence.

The Planning Commission held a public hearing on January 7, 2025. No public comment was received at the hearing. The Planning Commission recommended approval of the zoning changes to the City Council at their January 7 meeting.

Requested Action: MOTION NEEDED TO ADOPT ORDINANCE 108

Attachments:

Ordinance 108 Amendment_Accessory_Building_and_Structures changes.docx

ORDINANCE NO. 108

An Ordinance Amending Section 520.13 Of The

KENYON CITY CODE REGARDING ACCESSORY BUILDING AND STRUCTURES

The City Council Of The City Of Kenyon, Minnesota, Ordains:

Section 1. The following Section 520.13 of the Kenyon City Code is hereby amended by the addition of the bold and double underlined language and the deletion of the bold and stricken language, as follows:

Section 2. Section 520.13, Subd. 1 of the Kenyon City Code is hereby amended as follows:

Subd 1. In residential districts.

a) An accessory structure may not exceed the height of the principal building. one story or 14 feet in height.

g) The total ground coverage of the accessory building or buildings may not exceed the ground coverage of the principal building. floor area of all accessory buildings must not exceed 1,000 square feet, and shall not exceed the ground floor area of the principal building.

k) In any zoning district, no accessory building or structure shall be erected or constructed prior to the erection or construction of the principal or main building but may be erected simultaneously.

l) All detached structures over two hundred (200) square feet require a building permit.

m) No accessory building shall at any time be used as an occupied dwelling primarily for human habitation.

Section 2. This ordinance shall be in full force and effect upon its passage and publication.

Passed by the City Council of the City of Kenyon, Minnesota, this 14th day of January, 2025.

______________________________ Donald Kirchmann, Mayor ATTEST:

___________________________________ Scott Lehner, City Administrator

(Published in the Kenyon Leader on January 22, 2025)

AGENDA ITEM NO. VIII.B

Agenda Item Summary

CITY COUNCIL AGENDA ITEM REPORT

DATE: January 14, 2025

SUBMITTED BY: Holli Gudknecht, Administration

ITEM TYPE: Legal

Agenda Section: Legal

SUBJECT: Ordinance No. 109 Adding Section 520.37 to the Kenyon City Code

Regarding Residential Performance Standards (R-1, R-2)

Resolution 2025-03: Approving Publication of Ordinance No. 109 by

Title and Summary

SUGGESTED ACTION: Ordinance No. 109 is adding a section to the city code regarding residential performance standards. Performance standards already exist for manufactured homes, multi-family homes, commercial, etc. but not for single-family and two-family dwellings. In May of 2020, the planning commission originally passed a motion to establish regulations for shop/house (shouse) type structures. This motion was never followed through with. Last summer, inquiries were received at city hall concerning shouse and tiny home regulations, which prompted adding this ordinance.

The Planning Commission held a public hearing on January 7, 2025. No public comment was received at the hearing. The Planning Commission recommended approval of the zoning changes to the City Council at their January 7 meeting.

Requested Action: MOTION NEEDED TO ADOPT ORDINANCE 109

Motion Needed To Adopt Resolution 2025-03:

APPROVING PUBLICATION OF ORDINANCE NO. 109 BY

TITLE AND SUMMARY

Attachments:

Ordinance 109 Third Series Residential Performance Standards.doc

Resolution 2025-03 Approving_publication_of_Ordinance_No__109_by_title_and_summary.doc

ORDINANCE 109, THIRD SERIES

Ordinance Adding Section 520.37 To The City Code

REGARDING RESIDENTIAL PERFORMANCE STANDARDS (R-1, R-2)

The City Council Of The City Of Kenyon, Minnesota, Ordains:

Section 1. The following Section 520.37 is hereby added to the Kenyon City Code, as follows:

Section 520.37. One- and Two-Family Residential Homes. Subdivision 1. Standards R-1 and R-

District. Single-family and two-family dwelling units are permitted in R-1 and R-2 districts provided the following conditions are satisfied:

a) The minimum width of the main portion of a single-family structure, including townhomes, shall not be less than 24 feet. b) All residential dwelling structures shall be placed on a permanent foundation of wood or concrete and anchored to resist overturning, uplift, and sliding in compliance with the Minnesota State Building Code. c) The minimum living space in a one story single-family residential dwelling, including individual townhomes and duplex units (exclusive of basement and garage areas), shall be 960 square feet. The minimum living space in a multiple story single-family residential dwelling, including individual townhomes and duplex units (exclusive of basement and garage stalls), shall be 800 square feet on the first floor. d) Residential dwelling structures shall have a living space that occupies at least 50% of the total square footage of the structure.

e) Buildings maintain a high standard of architectural and aesthetic compatibility with surrounding properties to ensure that they will not adversely impact the property values of the abutting properties or adversely impact the public health, safety, and general welfare.

f) Permitted exterior building materials. The exterior surface of all buildings in the residential zones shall be one of, or a combination of, the following materials:

(i) face brick, natural stone, glass curtain wall panels, or similar material;

(ii) wood if sealed or treated;

(iii) Vinyl, aluminum, colored steel, no-maintenance type horizontal siding;

(iv) decorative, architecturally treated concrete; and

(v) stucco or other cementitious coating applied in a manner so as to create a harmonious design with other exterior materials.

1

27 (vi) decorative concrete block whose color and texture are integral to the material.

(vii) textured or architecturally treated concrete masonry units, or panels, if either ( sealed or painted in a manner guaranteed by the manufacturer against blistering, peeling, cracking, flaking, checking, or chipping for a minimum of five years.

(viii) metal panels with interlocking, concealed, or tongue-and-groove seams and approved fasteners, if the exterior surface finish is warranted by the manufacturer for 20 years against blistering, peeling, cracking, flaking, checking, or chipping.

Subd. 2. Prohibited dwelling units

a) Cellar, basement with unfinished exterior above, garage, recreational vehicle including but not limited to camper, mobile home, boat, fish house, tent, or accessory building shall at any time be used as an independent residence or dwelling unit, temporarily or permanently, except allowed as a conditional use as set forth and regulated by this Ordinance.

b) Tents, playhouses, or similar structures may be used for play or recreation purposes.

Section 2. This ordinance shall be in full force and effect upon its passage and publication.

Passed by the City Council of the City of Kenyon, Minnesota, this 14th day of January, 2024.

______________________________ Donald Kirchmann Mayor ATTEST:

___________________________________ Scott Lehner City Administrator

(Published in the Kenyon Leader on January 22, 2025)

2

RESOLUTION NO. 2025-03

City Of Kenyon

COUNTY OF GOODHUE

STATE OF MINNESOTA

A Resolution Approving Publication Of

ORDINANCE NO. 109 BY TITLE AND SUMMARY

WHEREAS, on January 14, 2025, the City Council of the City of Kenyon adopted Ordinance No. 109 entitled "ORDINANCE ADDING SECTION 520.37 TO THE CITY CODE REGARDING RESIDENTIAL PERFORMANCE STANDARDS (R-1, R-2)"; and

WHEREAS, the ordinance is approximately two pages in length; and

WHEREAS, Minnesota Statutes, section 412.191, subd. 4 allows publication by title and summary in the case of lengthy ordinances; and

WHEREAS, the City Council believes that the following summary would clearly inform the public of the intent and effect of the ordinance.

NOW, THEREFORE, IT IS HEREBY RESOLVED by the City Council of the City of

Kenyon that the following summary is hereby approved for official publication:

Summary Publication

ORDINANCE NO. 109

ORDINANCE ADDING SECTION 520.37 TO THE CITY CODE REGARDING RESIDENTIAL PERFORMANCE STANDARDS (R-1, R-2)

On January 14, 2025, the City Council of the City of Kenyon adopted Ordinance No. 109, the title of which is stated above. The Ordinance adds Section 520.37 to the Kenyon City Code, which pertains to residential performance standards to zones R-1 and R-2. Section 520.37 of the Kenyon City Code sets forth various requirements required for single-family and two-family dwellings. The Ordinance sets forth the addition of this section according to the procedures outlined in Section 560.05 of the City Code pertaining to amendments to the zoning ordinance including a public hearing conducted by the Planning Commission on January 7, 2025. The full text of Ordinance No. 109 is available for inspection at Kenyon City Hall during regular business hours.

NOW, THEREFORE, IT IS HEREBY FURTHER RESOLVED by the City Council of the City of Kenyon that the Deputy City Clerk is directed to publish the above summary in lieu of publication of the entire ordinance, and is further directed to post a copy of the entire text of the ordinance at the Kenyon Library and on the bulletin board at Kenyon City Hall for a period of not less than 30 days. In addition, a printed copy of the ordinance is available for inspection by any person during regular office hours at Kenyon City Hall.

1 29 Adopted by the Kenyon City Council on this 14th day of January, 2025.

____________________________________ Donald Kirchmann Mayor ATTEST:

___________________________________________ Scott Lehner City Administrator

2 30 AGENDA ITEM NO. VIII.C

Agenda Item Summary

CITY COUNCIL AGENDA ITEM REPORT

DATE: January 14, 2025

SUBMITTED BY: Holli Gudknecht, Legal

ITEM TYPE: Legal

Agenda Section: Legal

SUBJECT: Ordinance No. 110 Amending Section 515.15, Subd. 2 of the Kenyon

City Code Regarding Permitted Uses in the C-1 Downtown Commercial District within the City of Kenyon

Resolution 2025-04: Approving Publication of Ordinance No. 110 by

Title and Summary

SUGGESTED ACTION: Ordinance 110 further defines the permitted uses in the downtown commercial zoning district by adding tattoo parlors and body art establishments as a permitted use.

The Planning Commission held a public hearing on January 7, 2025. No public comment was received at the hearing. The Planning Commission recommended approval of the zoning changes to the City Council at their January 7 meeting.

Requested Action: MOTION NEEDED TO ADOPT ORDINANCE 110

Motion Needed To Adopt Resolution 2025-04:

APPROVING PUBLICATION OF ORDINANCE NO. 110 BY

TITLE AND SUMMARY

Attachments:

Ordinance 110 Tattoo in Downtown Commercial District 515_15.doc

Resolution 2025-04 Approving_publication_of_Ordinance_No__110_by_title_and_summary.doc

ORDINANCE 110, THIRD SERIES

An Ordinance Amending Section 515.15, Subd. 2 Of

THE KENYON CITY CODE REGARDING PERMITTED

USES IN THE C-1 DOWNTOWN COMMERCIAL DISTRICT WITHIN THE CITY OF KENYON.

WHEREAS, the City of Kenyon (the "City") has enacted a zoning ordinance and official land use controls within the City; and

WHEREAS, this matter was initiated and reviewed by the City Council and the Planning Commission of the City of Kenyon; and

WHEREAS, the Planning Commission recommends that the City enact a zoning ordinance which amends the Ordinance Code of the City of Kenyon by further defining the permitted uses in the downtown commercial zoning district within the City of Kenyon; and

WHEREAS, the Planning Commission hereby finds:

a. that the zoning ordinance revision will not be injurious to the use and enjoyment of other property in the immediate vicinity for purposes already permitted, nor substantially diminish or impair property values of neighboring property, nor otherwise be inconsistent with the objectives and policies of the City's comprehensive plan;

b. there is a demonstrated need for the zoning amendment recommended; and

WHEREAS, this matter was reviewed and a public hearing conducted by the Planning Commission at its meeting on January 7, 2025; and

WHEREAS, the public hearing and notice requirements of Minnesota Statutes Section 462.357, Subd. 3 have been fulfilled and satisfied by the City; and

WHEREAS, the City Council desires to amend the Ordinance Code of the City of Kenyon to reflect the recommended zoning revision.

Now, Therefore,

The City Council Of The City Of Kenyon, Minnesota, Does Ordain:

Section 1. The following Section 515.15, Subd. 2. Permitted Uses of the Kenyon city code is hereby amended by the addition of the bold and double underlined language, as follows: SJR-190426v1 KE200-5 DOCSOPEN\KE200\10\999075.v1-1/2/25

32 515.15. C-1 - Downtown commercial. Subdivision 1. The purpose of the C-1 district is to encourage the continuation of a viable downtown area by allowing retail, service, office, and entertainment facilities as well as public and semi-public uses.

Subd. 2. Permitted uses.

* * * * *

f) Tattoo parlors and body art establishments, as more fully defined in Section 1135 in this code.

Section 2. This ordinance shall be in full force and effect upon its passage and publication.

Passed by the City Council of the City of Kenyon, Minnesota, this 14th day of January, 2025.

Donald Kirchmann

Mayor

Attest:

Scott Lehner

City Administrator

SJR-190426v1 KE200-5 DOCSOPEN\KE200\10\999075.v1-1/2/25

RESOLUTION NO. 2025-04

City Of Kenyon

COUNTY OF GOODHUE

STATE OF MINNESOTA

A Resolution Approving Publication Of

ORDINANCE NO. 110 BY TITLE AND SUMMARY

WHEREAS, on January 14, 2025, the City Council of the City of Kenyon adopted Ordinance No. 110 entitled "An Ordinance Amending Section 515.15. Subd. 2 of the Kenyon City Code Regarding Permitted Uses in he C-1 Downtown Commercial District within the City of Kenyon"; and

WHEREAS, the ordinance is approximately two pages in length; and

WHEREAS, Minnesota Statutes, section 412.191, subd. 4 allows publication by title and summary in the case of lengthy ordinances; and

WHEREAS, the City Council believes that the following summary would clearly inform the public of the intent and effect of the ordinance.

NOW, THEREFORE, IT IS HEREBY RESOLVED by the City Council of the City of

Kenyon that the following summary is hereby approved for official publication:

Summary Publication

ORDINANCE NO. 110

AN ORDINANCE AMENDING SECTION 515.15. SUBD. 2 OF THE KENYON CITY CODE REGARDING PERMITTED USES IN HE C-1 DOWNTOWN COMMERCIAL DISTRICT WITHIN THE CITY OF KENYON On January 14, 2025, the City Council of the City of Kenyon adopted Ordinance No. 110, the title of which is stated above. The Ordinance amends Section 515.15 of the Kenyon City Code by further defining the permitted uses in the downtown commercial zoning district within the City of Kenyon. Section 515.15 of the Kenyon City Code sets forth the addition of tattoo parlors and body art establishments, as more fully defined in Section 1135 in the code, as a permitted use. The Ordinance sets forth the amendment of this section according to the procedures outlined in Section 560.05 of the City Code pertaining to amendments to the zoning ordinance including a public hearing conducted by the Planning Commission on January 7, 2025. The full text of Ordinance No. 110 is available for inspection at Kenyon City Hall during regular business hours.

NOW, THEREFORE, IT IS HEREBY FURTHER RESOLVED by the City Council of the City of Kenyon that the Deputy City Clerk is directed to publish the above summary in lieu of publication of the entire ordinance, and is further directed to post a copy of the entire text of the ordinance at the Kenyon Library and on the bulletin board at Kenyon City Hall for a period of not

1 34 less than 30 days. In addition, a printed copy of the ordinance is available for inspection by any person during regular office hours at Kenyon City Hall.

Adopted by the Kenyon City Council on this 14th day of January, 2025.

____________________________________ Donald Kirchmann Mayor ATTEST:

___________________________________________ Scott Lehner City Administrator

2 35 AGENDA ITEM NO. VIII.D

Agenda Item Summary

CITY COUNCIL AGENDA ITEM REPORT

DATE: January 14, 2025

SUBMITTED BY: Holli Gudknecht, Legal

ITEM TYPE: Legal

Agenda Section: Legal

SUBJECT: Ordinance No. 111 Adding Section 1135 – Tattoos, Body Piercing,

Branding, Scarring and Painting Establishments

Resolution 2025-05: Approving Publication of Ordinance No. 111 by

Title and Summary

SUGGESTED ACTION: Ordinance 111adds section 1135 to the city code, which regulates the business of body art in order to protect the health and welfare of the general public.

The Planning Commission held a public hearing on January 7, 2025. No public comment was received at the hearing. The Planning Commission recommended approval of the zoning changes to the City Council at their January 7 meeting.

Requested Action: MOTION NEEDED TO ADOPT ORDINANCE 111

Motion Needed To Adopt Resolution 2025-05:

APPROVING PUBLICATION OF ORDINANCE NO. 111 BY

TITLE AND SUMMARY

Attachments:

Ordinance 111 Third Series Regarding Tattoos Body Piercing Branding_etc_.doc

Resolution 2025-05 Approving_publication_of_Ordinance_No__111_by_title_and_summary.doc

ORDINANCE 111, THIRD SERIES

Ordinance Adding Section 1135 – Tattoos,

BODY PIERCING, BRANDING,

SCARRING AND PAINTING ESTABLISHMENTS

The City Council Of The City Of Kenyon, Minnesota, Ordains:

Section 1. The following Section 1135 is hereby added to the Kenyon City Code, as follows:

1135.01. Purpose: The purpose of this subchapter is to regulate the business of body art in order to protect the health and welfare of the general public.

1135.03. Definitions: For the purpose of this subchapter, the following definitions shall apply unless the context clearly indicates or requires a different meaning.

Subd. 1. Boby Art. Physical body adornment using, but not limited to, tattooing and body piercing. Body Art does not include practices and procedures that are performed by a licensed medical or dental professional if the procedure is within the professional's scope of practice.

Subd. 2. Body Art Establishment. Any structure or venue, whether permanent, temporary or mobile, where body art is performed. Mobile establishments include vehicle-mounted units, either motorized or trailered, and readily moveable without disassembling and where body art procedures are regularly performed in more than one geographic location.

Subd. 3. Body Piercing. The penetration or puncturing of the skin by any method for the purpose of inserting jewelry or other objects in or through the body. Body Piercing also includes branding, scarification, suspension, subdermal implantation, microdermal and tongue bifurcation. Body Piercing does not include the piercing of the outer perimeter or the lobe of the ear using a pre-sterilized single-use stud-and-clasp ear-piercing system.

Subd. 4. Tattooing. Any method of placing indelible ink or other pigments into or under the skin or mucosa with needles or any other instruments used to puncture the skin, resulting in permanent coloration of the skin or mucosa. Tattooing also includes micro-pigmentation and cosmetic tattooing.

1135.05. License required: (A) Body art establishment license. No person acting individually or jointly with any other person shall maintain, own or operate a body art establishment in the city without obtaining a body art establishment license issued by the state's Commissioner of Health.

(B) Body art technician. No individual shall perform tattooing in the city unless the individual holds a valid tattoo technician license issued by the state's Commissioner of Health. No individual shall perform body piercing in the city unless the individual holds a valid body

DOCSOPEN\KE200\10\999074.v1-1/2/25 37 piercing technician license issued by the state's Commissioner of Health. If an individual performs both tattooing and body piercing, the individual must hold a valid dual body art technician license issued by the state's Commissioner of Health.

1135.07. Location requirements: (A) Zoning compliance. A body art establishment must be operated in a location that is in conformance with Chapter V of this code of ordinances.

(B) Private residences. No place licensed by the state as a body art establishment shall be located within a private residence.

(C) Mobile establishments. Mobile body art establishments are prohibited.

1135.09. General requirements: General licensing requirements are as follows: (A) Hours of operation. A body art establishment shall not be open for business for tattooing before 8:00 a.m., nor after 10:00 p.m.

(B) Adherence to codes. Body art establishments shall comply with applicable state statutes, as it may be amended from time to time, and all titles, chapters and sections of this code of ordinances.

(C) Maintenance of order. The operator of a body art establishment shall be responsible for the conduct of the business being operated and shall at all times maintain conditions of order.

Section 2. This ordinance shall be in full force and effect upon its passage and publication.

Passed by the City Council of the City of Kenyon, Minnesota, this 14th day of January, 2025.

______________________________ Donald Kirchmann Mayor ATTEST:

___________________________________ Scott Lehner City Administrator

(Published in the Kenyon Leader on January 22, 2025

DOCSOPEN\KE200\10\999074.v1-1/2/25 38 RESOLUTION NO. 2025-06

City Of Kenyon

COUNTY OF GOODHUE

STATE OF MINNESOTA

A Resolution Approving Publication Of

ORDINANCE NO. 112 BY TITLE AND SUMMARY

WHEREAS, on January 14, 2025, the City Council of the City of Kenyon adopted Ordinance No. 112 entitled "AN ORDINANCE AMENDING THE KENYON CITY CODE PERTAINING TO CANNABIS AND HEMP BUSINESSES"; and

WHEREAS, the ordinance is approximately two pages in length; and

WHEREAS, Minnesota Statutes, section 412.191, subd. 4 allows publication by title and summary in the case of lengthy ordinances; and

WHEREAS, the City Council believes that the following summary would clearly inform the public of the intent and effect of the ordinance.

NOW, THEREFORE, IT IS HEREBY RESOLVED by the City Council of the City of

Kenyon that the following summary is hereby approved for official publication:

Summary Publication

ORDINANCE NO. 112

AN ORDINANCE AMENDING THE KENYON CITY CODE PERTAINING TO CANNABIS AND HEMP BUSINESSES

On January 14, 2025, the City Council of the City of Kenyon adopted Ordinance No. 112, the title of which is stated above. The Ordinance adds Section 1140 to the Kenyon City Code, which pertains to cannabis and hemp businesses. The Ordinance sets forth the addition of this section according to the procedures outlined in Section 560.05 of the City Code pertaining to amendments to the zoning ordinance including a public hearing conducted by the Planning Commission on January 7, 2025. The full text of Ordinance No. 112 is available for inspection at Kenyon City Hall during regular business hours.

NOW, THEREFORE, IT IS HEREBY FURTHER RESOLVED by the City Council of the City of Kenyon that the Deputy City Clerk is directed to publish the above summary in lieu of publication of the entire ordinance, and is further directed to post a copy of the entire text of the ordinance at the Kenyon Library and on the bulletin board at Kenyon City Hall for a period of not less than 30 days. In addition, a printed copy of the ordinance is available for inspection by any person during regular office hours at Kenyon City Hall.

1 39 Adopted by the Kenyon City Council on this 14th day of January, 2025.

____________________________________ Donald Kirchmann Mayor ATTEST:

___________________________________________ Scott Lehner City Administrator

2 40 AGENDA ITEM NO. VIII.E

Agenda Item Summary

CITY COUNCIL AGENDA ITEM REPORT

DATE: January 14, 2025

SUBMITTED BY: Holli Gudknecht, Legal

ITEM TYPE: Legal

Agenda Section: Legal

SUBJECT: Ordinance No. 112 Amending the Kenyon City Code Pertaining to

Cannabis and Hemp Business

Resolution 2025-06: Approving Publication of Ordinance No. 112 by

Title and Summary

SUGGESTED ACTION: Ordinance 112 adds Section 1140 to the city code pertaining to cannabis and hemp businesses. The city attorney will review this ordinance.

The Planning Commission held a public hearing on January 7, 2025. No public comment was received at the hearing. The Planning Commission recommended approval of the zoning changes to the City Council at their January 7 meeting.

Requested Action: MOTION NEEDED TO ADOPT ORDINANCE 112

Motion Needed To Adopt Resolution 2025-06:

APPROVING PUBLICATION OF ORDINANCE NO. 112 BY

TITLE AND SUMMARY

Attachments:

Ordinance 112 Kenyon Cannabis and Hemp Businesses.docx

Resolution 2025-06 Approving_publication_of_Ordinance_No__112_by_title_and_summary.doc Minnesota OCM LG Guide_tcm1202-627967.pdf

ORDINANCE NO. 112

An Ordinance Amending The Kenyon City Code

PERTAINING TO CANNABIS AND HEMP BUSINESSES

The City Council Of The City Of Kenyon, Minnesota Does Ordain:

Section 1. Chapter 11 of the Kenyon City Code is hereby amended by adding the following new Section 1140. Cannabis and Hemp Businesses, as follows:

Section 1140 – Cannabis And Hemp Businesses

1140.00 Findings and Purpose

The City of Kenyon makes the following legislative findings: The purpose of this ordinance is to protect the public health, safety, welfare in the City by implementing regulations pursuant to Minnesota Statutes, chapter 342 related to cannabis and hemp businesses within the City. The City finds and concludes that these regulations are appropriate and lawful, that the proposed amendments will promote the community's interest in reasonable stability in the development and redevelopment of the City for now and in the future, and that the regulations are in the public interest and for the public good.

1140.03 Definitions

The following words, terms and phrases, when used in this section, shall have the meanings ascribed to them in this section, except where the context clearly indicates a different meaning:

Subd. 1. "Applicant" means an entity with a license or endorsement issued by the OCM that is applying for an initial registration or for registration renewal.

Subd. 2. "The Act" means Minnesota Statutes, Chapter 342, as is may be amended from time to time.

Subd. 3. "Cannabis Business" has the same meaning as defined in Minnesota Statutes, section 342.01.

Subd. 4. "Cannabis Retailer" means a business with a cannabis retailer license or cannabis retail endorsement from OCM.

Subd. 5. "Retailer" means every business that is licensed under the Act and required to register with the City under Minnesota Statutes, section 342.22. Including cannabis businesses and lower-potency hemp edible retailers.

Subd. 6. "OCM" means the Minnesota Office of Cannabis Management.

Subd. 7 "Potential Licensee" means an entity that has not received a license from the OCM and is seeking a pre-license certification.

DOCSOPEN\KE200\1\1000409.v1-1/9/25 42 DOCSOPEN\KE200\1\1000409.v1-1/9/25 Subd. 8. "School" means a public school, as defined in section 120A.05, subdivisions 9, 11, 13, and 17, or a nonpublic school, or church or religious organization in which a child is provided instruction in compliance with this section and section 120A.24, but does not include a home school.

Subd. 9. "Day Care" means a location licensed with the Minnesota Department of Human Services to provide the care of a child in a residence or other facility outside the child's own home for gain or otherwise, on a regular basis, for any part of a 24-hour day

Subd. 10. "Residential Treatment Facility" means any facility licensed or regulated by the Minnesota Department of Human Services that provides 24-hour-a-day care, lodging, or supervision outside a person's home and which also provides chemical dependency or mental health services.

Subd. 11. "Park Feature" means an attraction within a public park that is regularly used by minors, including a playground or athletic field.

1140.05 Pre-License Certification of Cannabis Businesses

Subdivision 1. The City Administrator is authorized to certify whether a proposed Cannabis Business complies with the City's zoning ordinances, this Chapter, and if applicable, with state fire code and building code pursuant to Minnesota Statutes, section 342.13.

Subd. 2. Potential licensees are responsible for obtaining all necessary zoning approvals prior to the City receiving the request for certification from the OCM. If a potential licensee fails to obtain necessary zoning approvals prior to the City receiving a request for certification, the City will inform the OCM that the potential licensee does not meet zoning and land use laws. If, at the time the City receives a request for zoning certification, there are no further intended alterations to the building where the business is to be conducted, the City will also certify compliance with building and fire code regulations, provided that the potential licensee has obtained inspections prior the City's receipt of a request for certification from the OCM. Building and fire code inspections will be valid for 1 year from completion.

1140.07 Retailer Registration

Subdivision 1. Retail Registration Required. Before making retail sales to customers or patients, a Retailer must register with the City. Making retail sales to customers or patients without an active registration is prohibited. Subject to Minnesota Statutes, section 342.22, subd. 5(e) the city may impose a civil penalty, as specified in the City's Fee Schedule, for making a sale to a customer or patient without a valid registration from the City and a valid license from the OCM.

Subd. 2. Retail Registration Limits

A) The City will issue one registration, except that the City will not issue any registrations if there is one registration per 12,500 residents in Goodhue County.

DOCSOPEN\KE200\1\1000409.v1-1/9/25 43 DOCSOPEN\KE200\1\1000409.v1-1/9/25 B) The number of registrations available will be calculated by dividing the state demographer's estimate of Goodhue County's population by 12,500 and rounding up to the nearest whole number and will be based on the most recent data available from the state's demographer.

C) If the number of registrations available within the City decreases based on the County reaching the one per 12,500 threshold businesses with current registrations will be allowed to maintain and renew their registrations but no new registration will be issued.

D) Registrations issued to businesses with a license preapproval will count toward the City's registration limit.

E) Businesses operating under a tribal compact entered into under Minnesota Statutes, section 3.9224 or 3.9228 and tribally issued licenses and registrations are counted towards the number of registrations within the County.

Subd. 3. Processing Registrations.

A) Applications will be processed on a first-come, first-served basis based on the City receiving a complete application. Applications will be considered complete when all materials in Section 1140.07, subd. 4 are received by the city and include all required information and the fee described in Section 1140.07, subd. 4 is received

B) The date a certification under Section 1140.05 is issued will have no impact on the applicant's registration processing.

Subd. 4. Application. The applicant must submit a registration application or renewal form provided by the City. The form may be amended from time to time by the City Administrator, but must include or be accompanied by:

A) Name of the property owner

B) Name of the applicant

C) Address and parcel ID for the property for which the registration is sought

D) Certification that the applicant complies with the requirements of this Chapter

E) At the time of initial application, and prior to the City's consideration of any renewal application, each Retailer must pay the fees as adopted in the City's Fee Schedule. Initial registration fees and renewal registration fees are nonrefundable.

F) Proof of taxes, assessments, utility charges or other financial claims of the city or the state are current.

G) A copy of a valid state license or written notice of OCM license preapproval

DOCSOPEN\KE200\1\1000409.v1-1/9/25 44 DOCSOPEN\KE200\1\1000409.v1-1/9/25 Subd. 5. Preliminary Compliance Check. Prior to issuing any retail registration, the City shall conduct a preliminary compliance check to ensure compliance with this Chapter and any other regulations established pursuant to Minnesota Statutes, section 342.13.

Subd. 6. Reasons for Denial. The City shall not issue a registration or renewal if any of the following conditions are true:

A) The applicant has not submitted a complete application.

B) The applicant does not comply with the requirements of this Chapter.

C) The applicant does not comply with applicable zoning and land use regulations.

D) The applicant is found to not comply with the requirements of the Act or this Chapter at the preliminary compliance check.

E) The applicant or property owner is not current on all property taxes and assessments at the location where the retailer is located.

F) The maximum number of registrations, pursuant to Section 1140.07, subd. 6, have been issued within the County.

G) The applicant does not have a valid license from the OCM.

Subd. 7. Issuing the Registration or Renewal. The City shall issue the registration or renewal if the Retailer meets the requirements of this article, including that none of the reasons for denial in Section 1140. are true.

Subd. 8. Nontransferable. A registration is not transferable to another person, entity, or location.

Subd. 9. Registration Enforcement.

A) Generally. The City Council may impose a fine or suspend a registration under this Chapter on a finding that the registered business has failed to comply with the requirements of this Chapter or any applicable statute or regulation.

B) Notice and Right to Hearing. Prior to imposing a fine or suspending any registration under this chapter, the City shall provide the registered business with written notice of the alleged violations and inform the registered business of his or her right to a hearing on the alleged violation.

1. Notice shall be delivered in person or by regular mail to the address of the registered business and shall inform the registered business of its right to a hearing. The notice will indicate that a response must be submitted within ten (10) business days of receipt of the notice, or the right to a hearing will be waived.

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2. The registered business will be given an opportunity for a hearing before the City Administrator or designee before final action to fine or suspend a registration. Provided, the registered business has submitted a written application for appeal within ten (10) business days after the notice was served. The City Administrator or designee shall give due regard to the frequency and seriousness of the violations, the ease with which such violations could have been cured or avoided and good faith efforts to comply and shall issue a decision to fine or suspend the registration only upon written findings. Within ten (10) business days of the City Administrator or designee's order, the decision may be appealed to the City Council.

3. If no request for a hearing is received within ten (10) business days following the service of the notice, the matter shall be submitted to the City Council for imposition of the fine or suspension of the registration.

C) Emergency. If, in the discretion of the City, a registered business poses an imminent threat to the health or safety of the public, the City may immediately suspend the registration and provide notice of the right to hold a subsequent hearing as prescribed in part (B) of this section.

D) Reinstatement. The City may reinstate a registration if it determines that the violations have been resolved. The City shall reinstate a registration if the OCM determines the violations have been resolved.

1140.09 Compliance Checks

The City shall complete at minimum one compliance check per calendar year of every registered business to assess if the business meets age verification requirements, as required under the Act and any applicable cannabis or hemp regulations adopted by the city.

Age verification compliance checks shall involve persons at least 17 years of age but under the age of 21 who, with the prior written consent of a parent or guardian if the person is under the age of 18, attempt to purchase adult-use cannabis flower, adult-use cannabis products, lower-potency hemp edibles, or hemp-derived consumer products under the direct supervision of a law enforcement officer or an employee of the City.

Any failures under this section are a basis for enforcement action and must be reported to the OCM.

Section 1140.11 Minimum Distance Requirements.

Subdivision 1. The city prohibits the establishment and operation of a cannabis business within the following buffer zones:  1,000 from a school  500 feet from a day care

DOCSOPEN\KE200\1\1000409.v1-1/9/25 46 DOCSOPEN\KE200\1\1000409.v1-1/9/25  500 feet from a residential treatment facility  500 feet from a park feature

Subd. 2. The buffers in this section will be measured from the potential licensee's proposed business location based on the location of schools, day cares, residential treatment facilities, and park features on the date the city receives the request from the OCM for certification pursuant to Sec. 1140.05. Buffer distances will be measured from the property lines of the businesses and affected entity or park feature boundary.

Subd. 3. Nothing in this section shall prohibit a registered cannabis business from continuing to operate at the same location if a school, day care, residential treatment facility, or park feature establishes within the buffer.

1140.13 Temporary Cannabis Events.

Subdivision 1. Permit Required. A permit is required to be issued and approved by the city prior to holding a temporary cannabis event held by a licensed cannabis event organizer, as defined and provided for in Minnesota Statutes, Chapter 342.

Subd. 2. Registration & Application Procedure. A registration fee, as established in the city's fee schedule, shall be charged to applicants for temporary cannabis event permits.

Subd. 3. Application Submittal & Review. An applicant must submit an application for city approval of a temporary cannabis event permit on a form provided by the city clerk. The application may be amended from time to time but shall include or be accompanied by:

A) Full name of the property owner and applicant;

B) Address, email address, and telephone number of the applicant;

C) The application fee as established in the city's fee schedule;

D) A copy of the OCM cannabis event license application, submitted pursuant to 342.39 subd. 2.

Subd. 4. The application shall be submitted to the city clerk, or other designee for review. The application will be considered complete when the application form is submitted with all of the required information included and application fee paid. If the submitted application is incomplete, the city clerk shall return the application to the applicant with the notice of deficiencies.

Subd. 5. The application fee shall be non-refundable once processed.

Subd. 6. A request for a temporary cannabis event that does not meet the requirements of this Section shall be denied. The city clerk shall notify the applicant of the standards not met and basis for denial.

Subd. 7. Temporary cannabis events are prohibited on City property.

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Subd. 8. Temporary cannabis events shall only be held between the hours of 10:00am and 10:00pm.

Subd. 9. Pursuant to Minnesota Statutes, section 342.40, subd. 8, the city prohibits on-site consumption of cannabis and hemp products.

1140.15 Penalties Administration and Enforcement.

Any violation of the provisions of this article or failure to comply with any of its requirements constitutes a misdemeanor and is punishable as defined by law. Each day each violation continues or exists, constitutes a separate offense. Violations of this ordinance can occur regardless of whether a permit is required for a regulated activity listed in this ordinance.

Section 2. Section 505.03 of the Kenyon City Code is hereby amended by the addition of the bold and double underlined language and the deletion of the bold and stricken language, as follows, and reorganization of Section 505.03 to insert the terms in the appropriate alphabetical order:

Cannabis business has the same meaning as in Minnesota Statutes, section 342.01.

Cannabis cultivation business - A business with a cannabis cultivator license, medical cannabis cultivator license, or cultivation endorsement from the State of Minnesota Office of Cannabis Management.

Cannabis delivery business - A business with a cannabis delivery service license or delivery service endorsement from the State of Minnesota Office of Cannabis Management.

Cannabis manufacturing business - A business with a cannabis manufacturer license, or manufacturing endorsement from the State of Minnesota Office of Cannabis Management.

Cannabis retailer - A business with a cannabis retailer license, medical cannabis retailer license, lower-potency hemp edible retailer license, or retail endorsement from the State of Minnesota Office of Cannabis Management.

Cannabis testing business - A business with a cannabis testing facility license or testing endorsement from the State of Minnesota Office of Cannabis Management.

Cannabis transportation business - A business with a cannabis transporter license or transportation endorsement from the State of Minnesota Office of Cannabis Management.

Cannabis wholesaling business - A business with a cannabis wholesaler license or wholesaling endorsement from the State of Minnesota Office of Cannabis Management.

Lower-potency hemp edible retailer – A business with a lower-potency hemp edible retailer license from the Office of Cannabis Management.

Lower-potency hemp edible manufacturer - A business with a lower-potency hemp edible

DOCSOPEN\KE200\1\1000409.v1-1/9/25 48 DOCSOPEN\KE200\1\1000409.v1-1/9/25 manufacturer license from the Office of Cannabis Management.

Hemp business - Has the same meaning as in Minnesota Statutes, section 342.01.

Section 3. Section 515.05, subd. 3 – Agriculture, Conditional Uses of the Kenyon City Code is hereby amended by the addition of the bold and double underlined language, as follows:

Subd. 3 Conditional Uses

i) Cannabis Cultivation Business – Indoor Cultivation

Section 4. Section 515.15, subd. 2 – C-1 – Downtown Commercial, Permitted Uses, of the Kenyon

City Code is hereby amended by the addition of the bold and double underlined language, as follows:

Subd. 2. Permitted Uses

g) Cannabis Retailer h) Cannabis Delivery Business i) Lower-Potency Hemp Edible Retailer

Section 5. Section 515.17, subd. 3 – C-2 - General Commercial, Conditional Uses of the Kenyon

City Code is hereby amended by the addition of the bold and double underlined language, as follows:

Subd. 3. Conditional Uses

e) Lower-Potency Hemp Edible Retailer

Section 6. Section 515.19, subds. 2 and 3 – I-1 - General Industrial, Permitted and Conditional Uses, of the Kenyon City Code is hereby amended by the addition of the bold and double underlined language, as follows:

Subd. 2. Permitted Uses

e) Cannabis Wholesaling Business f) Cannabis Transportation Business

Subd. 3. Conditional Uses

h) Cannabis Manufacturing Business i) Cannabis Testing Business j) Cannabis Cultivation Business – Indoor Cultivation

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Section 7. Section 535 – Home Occupation Standards, of the Kenyon City Code is amended to add a new section 535.08 Cannabis and Hemp Businesses, as follows:

535.08. Cannabis and Hemp Businesses.

a) Cannabis and hemp businesses are prohibited as home occupations or home extended businesses.

Section 8. Section 555 – Other Performance Standards, of the Kenyon City Code is amended to add a new section 555.13 Cannabis Businesses, as follows:

Section 555.13 – Cannabis Business Standards.

Subdivision 1. Cannabis Businesses

a. Every Cannabis Business must meet the requirements of this code that apply to the applicable business operation, as well as the requirements in this Section and City Code, section 1140.

Subd. 2. Cannabis Cultivation Business

a) Cultivation operations must be completely contained within a structure.

b) Cannabis Cultivation businesses must comply with odor management requirements as established in Minnesota Statutes, Minnesota Rules, and City Code.

Subd. 3. Cannabis Manufacturing Business

a) Compliance with odor management requirements as established in Minnesota Statutes, Minnesota Rules, and City Code

Section 9. Effective Date. This ordinance shall take effect following its passage and publication in accordance with state law.

Adopted this 14th day of January, 2025.

Donald Kirchmann, Mayor

ATTEST:

Scott Lehner, City Administrator

DOCSOPEN\KE200\1\1000409.v1-1/9/25 50 RESOLUTION NO. 2025-06

City Of Kenyon

COUNTY OF GOODHUE

STATE OF MINNESOTA

A Resolution Approving Publication Of

ORDINANCE NO. 112 BY TITLE AND SUMMARY

WHEREAS, on January 14, 2025, the City Council of the City of Kenyon adopted Ordinance No. 112 entitled "AN ORDINANCE AMENDING THE KENYON CITY CODE PERTAINING TO CANNABIS AND HEMP BUSINESSES"; and

WHEREAS, the ordinance is approximately nine pages in length; and

WHEREAS, Minnesota Statutes, section 412.191, subd. 4 allows publication by title and summary in the case of lengthy ordinances; and

WHEREAS, the City Council believes that the following summary would clearly inform the public of the intent and effect of the ordinance.

NOW, THEREFORE, IT IS HEREBY RESOLVED by the City Council of the City of

Kenyon that the following summary is hereby approved for official publication:

Summary Publication

ORDINANCE NO. 112

AN ORDINANCE AMENDING THE KENYON CITY CODE PERTAINING TO CANNABIS AND HEMP BUSINESSES

On January 14, 2025, the City Council of the City of Kenyon adopted Ordinance No. 112, the title of which is stated above. The Ordinance adds Section 1140 to the Kenyon City Code, which pertains to cannabis and hemp businesses. The Ordinance sets forth the addition of this section according to the procedures outlined in Section 560.05 of the City Code pertaining to amendments to the zoning ordinance including a public hearing conducted by the Planning Commission on January 7, 2025. The full text of Ordinance No. 112 is available for inspection at Kenyon City Hall during regular business hours.

NOW, THEREFORE, IT IS HEREBY FURTHER RESOLVED by the City Council of the City of Kenyon that the Deputy City Clerk is directed to publish the above summary in lieu of publication of the entire ordinance, and is further directed to post a copy of the entire text of the ordinance at the Kenyon Library and on the bulletin board at Kenyon City Hall for a period of not less than 30 days. In addition, a printed copy of the ordinance is available for inspection by any person during regular office hours at Kenyon City Hall.

1 51 Adopted by the Kenyon City Council on this 14th day of January, 2025.

____________________________________ Donald Kirchmann Mayor ATTEST:

___________________________________________ Scott Lehner City Administrator

2 52 A Guide for Local Governments on Adult-Use Cannabis Version 2.0 | Updated November 21, 2024 53 Table of Contents Introduction ................................................................................................ 3

About OCM ................................................................................................. 4

Cannabis License Types ................................................................................ 5

Adult-Use Cannabis Law ............................................................