EAST GRAND FORKS — New requirements for registration and licensing for businesses selling certain hemp products will impact five different businesses in East Grand Forks.
City Administrator Reid Huttunen presented the topic to City Council members during their work session on Tuesday. He said two businesses, Pop’s Liquor and Canna Corners, have submitted retail registration applications to sell low-potency hemp edible products.
“These two that are in front of you have been through compliance checks, both by law enforcement and our building and fire officials, and are ready for approval of registration,” he said.
LPHE products are edible products like gummies, candies and drinks that contain no more than 0.3% of hemp-derived THC.
Previously, businesses selling LPHE products only needed to be registered with the Minnesota Office of Cannabis Management to be able to sell those products, but the OCM in October 2025 transitioned to require businesses to go through a licensing process instead.
Huttunen said both businesses have received licenses from the OCM and are now required to be issued LPHE retail registration from the city.
“In that licensing, it triggers the requirement that once a low potency hemp edible retailer is licensed through the state, they need to register with the local government,” he said.
The annual registration fee, as previously established by the City Council, is $125.
There are also three other businesses in town selling LPHE products — Mellow Moods, Orton’s Convenience Store and Hugo’s Wine and Spirits. Huttunen said the city has received license notices for two of those businesses and has talked to them about beginning the registration process.
“As long as you are registered under the prior authorization, while your application is under review at the state for a license, you’re sort of grandfathered in, and you’re allowed to continue to sell those products until licensure and registration is finalized,” he said.
Under Minnesota statute, the city is not allowed to set limits on how many businesses are allowed to sell LPHE products, unlike full cannabis stores.
In other news, the council:
- Heard from Police Chief Mike Hedlund about purchasing a video recording system for the East Grand Forks Police Department’s conference/interview room. The equipment would cost $14,854.
- Heard from Huttunen about a request to renew farm land lease agreements with MRM Farms and Halverson Farms. The leased land is located around the city’s flood protection system. The leases are for two years; rates for 2026-2028 also increased by $10 compared to 2023-2025. Helms and Huttunen said another landowner is also interested in purchasing the land currently leased by Halvorson Farms, though not until next season.
- Heard from Jason Stordahl, public works director, about replacing the two pumps in Stormwater Lift Station K8 near Northland Community and Technical College. The city has received a low bid of $91,728 from Midwest Pump Works to replace the pumps.
- Heard from Renee Olson, city clerk, about the proposed 2026 Archery Hunt. The city would host two special hunts again if approved; one accessible archery hunt and one special archery hunt.
- Heard from Huttunen about the city’s capital improvement project fund. The fund was previously suggested as a possible funding source for renovations to Fire Station No. 2. Huttunen said the fund was established in 1999 to be primarily used for residential, non-electrical infrastructure improvements. The current cash balance for the fund is approximately $1.3 million. If the city did use the fund to help pay for the fire station, the cost would be paid back eventually through the building maintenance fund.
- Heard from City Engineer Steve Emery about the approach design for the Point Bridge rehabilitation project. Emery said the plan would be to place a geogrid fabric between levels of gravel to help strengthen that section of the bridge. It would also reduce how often the city has to redo the road overlay.
- Heard from Huttunen about an update on the property the city purchased in a land exchange with the J.R. Simplot Company. Huttunen said there have been discussions with the Minnesota Department of Transportation about creating access roads for the property. Economic Development Director Maggie Brockling added there are eight developers interested in the property for commercial use, residential use or mixed-development use.
- Met in a closed meeting to discuss and/or consider offers for the purchase of property located north of East Grand Forks.
Jordan Rusche is the government reporter for the Grand Forks Herald.
