Vireo Health official able to allay concerns that smell might impact enjoyment of nearby athletic complex
by Jim Boyle
Editor
Vireo Health’s proposed commercial cannabis cultivation facility sailed through Elk River City Council approval process on March 18 once members got assurances the odor of the operation will not be wafting over to the Plants and Things Athletic Complex.
Vireo Health came to the city earlier this year seeking a conditional use permit to allow for a commercial cannabis cultivation facility at 10700 165th Ave. NW, the former Elk River Energy Recovery Station.
The site is just 1.3 miles away from the athletic complex formerly known as the Youth Athletic Complex or YAC at 9950 165th Ave. NW before Plants and Things secured naming rights to the combination youth baseball and softball park.
The Elk River Planning Commission enthusiastically recommended approval on Feb. 27 after hearing about Vireo’s plans to remodel a large portion of the industrial building, where refuse was used to generate electricity starting in the 1980s up until 2019 when operations ceased.
The cannabis cultivation operation will bring an estimated 80 jobs to Elk River that will cover two shifts from 5 a.m. to midnight.
Cannabis cultivation facilities, made legal by the Minnesota Legislature in 2023, require a conditional use permit, which Elk River officials added to city ordinances in January 2024 in the wake of legislative approvals in 2023.
Vireo Health will utilize about 75,800 square feet of the former Great River Energy facility that has been largely used as a storage facility since GRE ceased operations on the property. The equipment used by GRE has been removed, and the building is largely vacant.
The applicant will occupy the majority of the building, which will require additional renovation and modifications, including 58,000 square feet of sealed cultivation rooms with positive pressure HVAC systems to minimize cannabis odor, according to Chris Leeseburg, Elk River’s senior planner.
The cultivation rooms will be within the existing building, providing an additional barrier for potential odor concerns, Leeseburg stated.
Council Member Jennifer Wagner sought further clarification that odor from the operation wouldn’t interfere with kids’ and families’ use of the nearby athletic complex.
Leeseburg said he didn’t believe it would be an issue, but he turned the question over to a Vireo Health official.
Mark Doherty, vice president of facilities for Vireo Health, said it was a great question and one that was of concern to Vireo Health officials as well.
“So within the design of the facility, we’re using a room within a room with a positive pressure HVAC system,” he said. “What that allows us to do is actually direct the air within the facility where we want it to go. And so through that, we’re then able to, if we have to exhaust any air, scrub that air, and clean it up and remove the odor from it. So odor will be non-detectable within a certain range of our building. You would have to be literally in our building to ... detect it. Your concern is certainly valid, but we will (make) every effort to make sure that’s going to happen.”
Council Member Mike Beyer had a similar concern and sought confirmation that language in the city’s ordinance spelling out the necessary distance between the business and something like an athletic facility is being met. Leeseburg said if it wasn’t, the proposal would not even be considered.
Council Member Cory Grupa asked if there was any way that the cultivation operation would impact Cargill, which didn’t uncover any additional concerns but did make for some comical fodder when it was jokingly suggested it might affect the cows in the dairy operation.
Once Doherty allayed council member concerns about the odors reaching the park, they expressed full support.
Wagner said the odor issue was her only concern, and that she supports the business and looks forward to it bringing 80 new jobs.
Council Member Matt Westgaard said he was glad to see this Elk River facility back in productive action again and creating jobs, whether it’s through manufacturing or cultivation.
The cannabis cultivation operation still must comply with all licensing and operating procedures required by Minnesota Statutes Chapter 342. The conditional use permit can be issued before all the necessary permits and licenses, but the applicant shall submit proof of obtaining all state permits prior to beginning cultivation operations.
The operation must connect to city sewer and water and pay the required SAC/WAC fees in accordance with city codes.
Construction activities will require signed plans prepared by a qualified professional. The proposal includes plans for an 8,000-square-foot office space, 10,000 square feet of storage and processing space in addition to sealed cultivation rooms that will take up most of the facility.
About Vireo Health
Vireo Health is a physician-founded, patient-focused company dedicated to providing best-in-class cannabis-based products and unrivaled care, according to its website.
The website states it integrates best-in-class medical, scientific, and engineering practices into the cannabis industry.
“We are committed to creating safe, all-natural cannabis-based products, and a compassionate patient experience,” the site states.
Vireo Health operates in three states: Maryland, Minnesota, and New York.
Minnesota Medical Solutions (aka MinnMed), one of the two companies licensed by the state to cultivate, manufacture and dispense medical cannabis, is located in Otsego.
MinnMed and Vireo Health was founded by Kyle Kingsley, M.D., a board-certified emergency medicine physician, entrepreneur, and inventor, who said he saw firsthand that opioids are overused, frequently abused and too often result in fatal overdoses.
“Medical cannabis is a safer, less addictive alternative,” he stated.
In addition to being Vireo’s founder, Kingsley is the executive chairman of Goodness Growth Holdings.
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