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HomeMy WebLinkAbout2023 09.25 CCM STUDY SESSION9/25/23 -1- DRAFT MINUTES OF THE PROCEEDINGS OF THE CITY COUNCIL OF THE CITY OF BROOKLYN CENTER IN THE COUNTY OF HENNEPIN AND THE STATE OF MINNESOTA STUDY SESSION SEPTEMBER 25, 2023 CITY HALL – COUNCIL CHAMBERS CALL TO ORDER The Brooklyn Center City Council met in a Study Session called to order by Mayor April Graves at 6:07 p.m. ROLL CALL Mayor April Graves and Councilmembers Marquita Butler, Dan Jerzak, and Teneshia Kragness. Councilmember Kris Lawrence-Anderson was absent and excused. Also present were City Manager Reggie Edwards, Assistant City Manager and Assistant City Manager/City Clerk Barb Suciu, and City Attorney Jason Hill. CITY COUNCIL DISCUSSION OF AGENDA ITEMS AND QUESTIONS Councilmember Jerzak asked if the Council still wants to discuss the levy while Councilmember Lawrence-Anderson is absent. He requested another meeting for discussion. Councilmember Butler stated she is not willing to set another extra meeting. Mayor Graves agreed she doesn’t have the capacity to meet again. Councilmember Kragness asked if Councilmember Lawrence-Anderson had any concerns that hadn’t been addressed. Mayor Graves stated all of Councilmember Lawrence-Anderson’s concerns were previously addressed. Councilmember Jerzak pointed out that the planned presentation may be a new levy number, and all Councilmembers should be present for such an important decision. He stated he would have to vote against any levy increase regarding Councilmember Lawrence-Anderson’s absence. MISCELLANEOUS Councilmember Jerzak asked if the August minutes were approved yet. Assistant City Manager and City Clerk Barb Suciu stated that the staff is reviewing the August minutes before putting them back on the consent agenda. Councilmember Jerzak asked if the City would comply with the required timeline for the audit. 9/25/23 -2- DRAFT City Manager Reggie Edwards stated that staff is communicating with the City Auditor and State Auditor, and all deadlines will be met. DISCUSSION OF WORK SESSION AGENDA ITEMS AS TIME PERMITS THC PRODUCTS IN CITY LIQUOR STORES Dr. Edwards introduced the item and invited Liquor Store Operations Manager Tom Agnes to continue the staff presentation. Mr. Agnes explained that Minnesota Statutes now permit the sale of certain hemp-derived cannabinoid products containing THC, CBD, or both. Establishments, including liquor stores that elect to sell these products, must register with the State before October 1, 2023. Mr. Agnes pointed out sales are only permitted to individuals aged 21 or older. Brooklyn Center Municipal Liquor Stores already has a policy to card every patron. Another requirement is that edibles must be kept behind the counter, and the Municipal Liquor Stores already have other items only displayed behind the counter. THC drinks may be placed in the cooler. Mr. Agnes noted that some municipal liquor stores throughout the State began selling the products in June 2023, which seems successful. Staff is requesting guidance regarding selling hemp-derived cannabinoid products in both locations. The products would be categorized as non-alcoholic. The tax rate includes State tax, local taxes, and an additional ten percent. The tax rate will end up being 18.5 percent starting October 1, 2023. Liquor will be taxed starting at 11.25 percent. Also, in Brooklyn Center Municipal Liquor Stores, the items would be handled as cash-only items until credit card companies catch up with policies. Councilmember Butler asked if there were any safety concerns with carrying the items or operating with more cash. Mr. Agnes stated that the THC and other products would only have a five percent increase in sales. Councilmember Jerzak asked if Mr. Agnes had been in conversation with law enforcement. Mr. Agnes confirmed he has spoken about the possibility with the Brooklyn Center Police Department. Councilmember Jerzak asked when the sales would start. Mr. Agnes stated they would start sales on October 1, 2023. Councilmember Jerzak stated he was in support of the addition. Councilmember Kragness asked if the cash flow was a concern. Mr. Agnes stated the five percent of sales does not significantly impact their cash amounts. They already handle cash with daily deposits picked up by armored cars, and the minor cash influx is unlikely to impact the safety of employees. 9/25/23 -3- DRAFT UPCOMING ITEMS • Memorial Policy • Special Assessment Policy/Franchise Fees (referred to Financial Commission) • Beautification and Public Art Commission • Liquor Store 2 • Organizational Chart-Budget work sessions • New and Repeat Type IV Rental License Review (referred to Housing Commission) • Food Truck Ordinance/License • Emerald Ash Borer Policy Review (referred to Park & Rec Commission November) • Opioid Settlement • ARPA Funds • Grants: Revenues & Expenses • Purchasing Policy • Interveners Impact • Revisit Resolution 2021-73 ADJOURNMENT Mayor Graves closed the Study Session at 6:22 p.m. Motion passed unanimously.