FAIRMONT– The Fairmont City Council held an initial consideration of a municipal cannabis retail store and ultimately decided to undergo a feasibility study at its meeting on Monday.

In January the council approved an ordinance that established regulations for cannabis and hemp retail business registration and at that time decided to limit the number of retail businesses in the city to one.

Finance Director Paul Hoye said that the thought was to look at whether the city wanted to open and run a municipal cannabis store before issuing other licenses. He said a number of municipalities in the state have hired consultants to do a feasibility study that will look at demographics and put together a business pro forma.

“We’re asking that the council allow us to put out an RFP (request for proposal) for these services and begin that process,” Hoye said.

He said included in the RFP is not just a profitability analysis but that it would also be asking for help with the city’s retail license to the Office of Cannabis Management.

Council Member Jay Maynard said he was not entirely in favor of a municipal cannabis store, but felt like the council needed the information nonetheless.

Council Member Randy Lubenow said that whether someone thinks cannabis is good or bad, it’s now legal in the state.

“There’s a lot of people that would argue that alcohol, gambling, cigarettes, all kinds of things are bad for society as a whole. That’s just a judgement call on individuals themselves. I think we do need to look at other ways for making money for the city of Fairmont,” Lubenow said.

The council in a 4-1 vote, with Council Member Wayne Hasek opposed, voted to authorize staff to prepare an RFP for a feasibility study of a municipal cannabis retail store.

On Monday the council also heard from the liquor store’s manager, Tom Donnelly, regarding a request to sell cannabinoid products at the municipal liquor store.

“It’s a trend that’s growing obviously and over 4,000 establishments are already selling in the state, including many municipals and they’ve been hammering me to get it on our shelves as well because it is profitable to add into our product mix,” Donnelly said.

Baarts asked whether the city could legally sell these products and Council Member James Kotewa pointed out that these will be hemp-derived THC products, which are allowed.

“It’s low dose hemp-derived THC,” Kotewa said, noting that it’s already sold in town.

The council passed a motion to have staff register with the Office of Cannabis Management to sell hemp-derived cannabinoid products at the municipal liquor store.

In other action, the council:

–Approved adopting a two-year legislative services contract, at $40,000 per year, with Lockridge Grindal Nauen PLLP (LGN) for assistance in gaining legislative approval of important city initiatives.

— Approved a resolution restricting on-street parking on Lake Avenue during the upcoming reconstruction project.

— Awarded a bid for parkway tree removal and restoration services to Snyder Logging and Tree Services in the amount of $28,190

— Approved interfund transfers for 2024 and adopted a resolution designating fund balances for specific purposes.