Lake County to Consider Major Land-Use, Cannabis, Subdivision Changes March 16

Two Harbors will host the Lake County Planning Commission on Monday, March 16, 2026 at 5:30 PM at the Lake County Law Enforcement Center, 613 Third Avenue, Two Harbors, where commissioners will consider proposed amendments to land-use, cannabis and subdivision rules and receive comments on a proposed Lake County Cannabis Ordinance.

The county’s work on Article 27 and cannabis rules has been ongoing: the Board of Commissioners held a public hearing on the proposed cannabis ordinance on Tuesday, December 17, 2024 at 2:30 PM in the Lake County Service Center, Split Rock River Room, 616 Third Avenue, Two Harbors, and the county has used Sec. 27 hearings before, including an April 27, 2023 Planning Commission hearing on vacation rental amendments at the Lake View Conference Center, 325 11th Avenue, Two Harbors, with written comments previously accepted to Melissa.McIntyre@co.lake.mn.us by 4:30 PM on April 24, 2023.

Community Development Director Maria Turner presented a multi-topic update on Oct. 1 and outlined staff proposals for Article 27 changes that would increase setbacks, refine canopy measurement, tighten application and background procedures, standardize permit expiration rules, and add a restoration bond and compliance processes. Turner said staff prioritized items they believed would qualify for a CEQA common-sense exemption and could be advanced sooner: "Increasing the setbacks from off-site residences from 200 to 500 feet," a proposed cap on commercial canopy at 20 acres, measures to clean up incomplete or abandoned applications, synchronization of ownership/background checks with state processes, and clarifications about hemp versus commercial cannabis canopy.

County staff are also evaluating additional measures including scenic corridor setbacks, synchronization of watercourse setbacks with State Water Resources Control Board recommendations (staff cited 150 feet for perennial and intermittent water bodies and 50 feet for ephemeral water bodies), a June 1 deadline for opt-out notifications, restrictions on consecutive-year opt-outs, removal of the 10-year permit term so cannabis conditional use permits align with other permits, and a proposed $5,000 restoration bond to guarantee site restoration after permit termination.

Turner presented an option to fund a programmatic environmental impact review focused on odor thresholds and mitigations, with a consultant estimate of about $250,000 and roughly eight months of work. Lake County’s ordinance template language also includes environmental sequencing priorities for applicants, stating they must: a) avoid direct or indirect impacts that will increase stormwater runoff and erosion or the draining or filling of wetlands, b) minimize those impacts by limiting the degree or magnitude of the activity, and c) reduce those impacts through sound erosion and stormwater control measures and by restoring or replacing wetland losses. The materials reference a One-Acre Threshold for land disturbing activities.

The county’s proposed Lake County Cannabis Ordinance would prohibit public use of cannabis, limit registrations of cannabis retail operations, prohibit cannabis businesses within certain distances of schools, day care providers, residential treatment facilities and attractions within public parks, limit hours of operations, provide a zoning framework for cannabis and hemp businesses, regulate cannabis events, and establish requirements on sale of low potency hemp. Template statutory language cites Chapter 394 and Minnesota statutes including Minnesota Statutes 394.21 and Minn. Stat. 342.13(c) as authorities for local restrictions.

Administrative notes for the public: the Board has designated the county website for construction bid advertisements, a Document Alert service is available, and county contacts listed on prior notices include cvso@co.lake.mn.us and Melissa.McIntyre@co.lake.mn.us. As an example of county-level permitting practice elsewhere, Goodhue County recently reviewed a proposed cannabis microbusiness site about 5 miles south of Cannon Falls on Highway 52 and the Goodhue Planning Advisory Commission recommended approval of an IUP, finding that the use will not be injurious to neighboring property and will not impede normal and orderly development.

The March 16 Planning Commission hearing is the next formal opportunity for residents and stakeholders to hear staff presentations, ask questions, and submit comments on the proposed Article 27 revisions and the Lake County Cannabis Ordinance.