Minnesotans are high on newish hemp-derived products that hit liquor store shelves in 2023.

A report released Wednesday by State Auditor Julie Blaha’s office underscores the boost that a line of THC-infused beverages and gummies are bringing to profits to Minnesota’s liquor stores owned and operated by cities.

Yes, there are still 210 municipal liquor stores in Minnesota.

In 2023, the stores made a net profit of $31.6 million on record sales of $437 million. And the authorization of hemp-derived THC products had a lot to do with it, operators of the stores say.

“Let me tell you, the horse is out of the barn,” said Paul Kaspszak, executive director of the Minnesota Municipal Beverage Association. “It’s running down the road. I know about horses running down the road, you can’t see his tail. OK, it’s here to stay.”

This was the first report to account for the legal sales of gummies and beverages containing CBD or THC. Minnesota legalized full-fledged cannabis in 2023, but broad retail sales have yet to begin, with the exception of dispensaries on tribal lands.

“We don’t have enough years to really call trends on this,” Blaha said, deferring to those on the ground to offer their firsthand accounts.

While the report doesn’t break down the types of sales, operators who appeared with Blaha for its release said they have noticed a distinct shift in the direction of alcohol alternatives. They said that wine and beer sales have trended down at the same time.

St. Anthony Village liquor operations director Mike Larson said he began offering the THC products in August of 2023 and has seen strong demand from customers.

“We have seen sales grow dramatically month after month,” he said. “Since the introduction, we have tracked an immediate impact on sales and see that our consumers are interested in learning more about the benefits of using and trying these products.”

Overall, Blaha said municipal liquor stores have experienced net profit growth over the last several decades.

“Here’s the top line: municipal liquor stores show 28 years of consecutive growth, even with an evolving market,” she said. “They’ve evolved into places to meet as a community, as well as a significant resource for public revenue.”

Thirty-one cities reported net losses in 2023, according to the report, most of which were in greater Minnesota.

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Minnesotans are high on newish hemp-derived products that hit liquor store shelves in 2023.

A report released Wednesday by State Auditor Julie Blaha’s office underscores the boost that a line of THC-infused beverages and gummies are bringing to profits to Minnesota’s liquor stores owned and operated by cities.

Yes, there are still 210 municipal liquor stores in Minnesota.

In 2023, the stores made a net profit of $31.6 million on record sales of $437 million. And the authorization of hemp-derived THC products had a lot to do with it, operators of the stores say.

“Let me tell you, the horse is out of the barn,” said Paul Kaspszak, executive director of the Minnesota Municipal Beverage Association. “It’s running down the road. I know about horses running down the road, you can’t see his tail. OK, it’s here to stay.”

This was the first report to account for the legal sales of gummies and beverages containing CBD or THC. Minnesota legalized full-fledged cannabis in 2023, but broad retail sales have yet to begin, with the exception of dispensaries on tribal lands.

“We don’t have enough years to really call trends on this,” Blaha said, deferring to those on the ground to offer their firsthand accounts.

While the report doesn’t break down the types of sales, operators who appeared with Blaha for its release said they have noticed a distinct shift in the direction of alcohol alternatives. They said that wine and beer sales have trended down at the same time.

St. Anthony Village liquor operations director Mike Larson said he began offering the THC products in August of 2023 and has seen strong demand from customers.

“We have seen sales grow dramatically month after month,” he said. “Since the introduction, we have tracked an immediate impact on sales and see that our consumers are interested in learning more about the benefits of using and trying these products.”

Overall, Blaha said municipal liquor stores have experienced net profit growth over the last several decades.

“Here’s the top line: municipal liquor stores show 28 years of consecutive growth, even with an evolving market,” she said. “They’ve evolved into places to meet as a community, as well as a significant resource for public revenue.”

Thirty-one cities reported net losses in 2023, according to the report, most of which were in greater Minnesota.

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Minnesotans are high on newish hemp-derived products that hit liquor store shelves in 2023.

A report released Wednesday by State Auditor Julie Blaha’s office underscores the boost that a line of THC-infused beverages and gummies are bringing to profits to Minnesota’s liquor stores owned and operated by cities.

Yes, there are still 210 municipal liquor stores in Minnesota.

In 2023, the stores made a net profit of $31.6 million on record sales of $437 million. And the authorization of hemp-derived THC products had a lot to do with it, operators of the stores say.

“Let me tell you, the horse is out of the barn,” said Paul Kaspszak, executive director of the Minnesota Municipal Beverage Association. “It’s running down the road. I know about horses running down the road, you can’t see his tail. OK, it’s here to stay.”

This was the first report to account for the legal sales of gummies and beverages containing CBD or THC. Minnesota legalized full-fledged cannabis in 2023, but broad retail sales have yet to begin, with the exception of dispensaries on tribal lands.

“We don’t have enough years to really call trends on this,” Blaha said, deferring to those on the ground to offer their firsthand accounts.

While the report doesn’t break down the types of sales, operators who appeared with Blaha for its release said they have noticed a distinct shift in the direction of alcohol alternatives. They said that wine and beer sales have trended down at the same time.

St. Anthony Village liquor operations director Mike Larson said he began offering the THC products in August of 2023 and has seen strong demand from customers.

“We have seen sales grow dramatically month after month,” he said. “Since the introduction, we have tracked an immediate impact on sales and see that our consumers are interested in learning more about the benefits of using and trying these products.”

Overall, Blaha said municipal liquor stores have experienced net profit growth over the last several decades.

“Here’s the top line: municipal liquor stores show 28 years of consecutive growth, even with an evolving market,” she said. “They’ve evolved into places to meet as a community, as well as a significant resource for public revenue.”

Thirty-one cities reported net losses in 2023, according to the report, most of which were in greater Minnesota.

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A federal judge will temporarily block President Donald Trump’s administration from cutting billions in federal dollars that support COVID-19 initiatives and public health projects throughout the country. The cuts included more than $250 million in Minnesota.

U.S. District Judge Mary McElroy, appointed by Trump in 2019 but first nominated by former President Barack Obama, in Rhode Island said Thursday that she plans to grant the court order sought by Minnesota and 22 other states and the District of Columbia.

“They make a case, a strong case, for the fact that they will succeed on the merits, so I’m going to grant the temporary restraining order,” said McElroy, who plans to issue a written ruling later.

New York Attorney General Letitia James tweeted about the judge’s decision immediately after the hearing, saying: “We’re going to continue our lawsuit and fight to ensure states can provide the medical services Americans need.”

Assistant U.S. Attorney Leslie Kane objected to the temporary restraining order in court but she said she was limited in the argument she could make against it, adding that her office was unable to thoroughly review the thousands of documents under the time limitation.

The states’ lawsuit, filed Tuesday, sought to immediately stop the $11 billion in cuts. The money was allocated by Congress during the pandemic and mostly used for COVID-related initiatives, as well as for mental health and substance use efforts.

The lawsuit said losing the money would devastate U.S. public health infrastructure, putting states “at greater risk for future pandemics and the spread of otherwise preventable disease and cutting off vital public health services.”

The U.S. Department of Health and Human Services has defended the decision, saying that the money was being wasted since the pandemic is over.

State and local public health departments already have laid off people, including nearly 200 employees at the Minnesota Department of Health.

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“Donald Trump’s contempt for both the rule of law and the people of Minnesota was on full display when he tried to illegally cut $250 million in public health funding to Minnesota,”

Minnesota Attorney General Keith Ellison said in a Thursday statement after McElroy’s order.

“The funds Trump tried to pull go towards mental health and substance abuse services, emergency preparedness, disease management, and so many other important purposes that benefit Minnesotans. I am pleased to have halted these devastating cuts, at least for the time being, and I look forward to continuing to litigate this case and protect the health and well-being of Minnesotans.”

Meanwhile, North Carolina says it stands to lose about $230 million, and California officials put their potential losses at $1 billion.

Pennsylvania Gov. Josh Shapiro, who is also part of the lawsuit, said half a billion dollars in public health grants that support long-term care for the elderly and immunizations for children were at stake in his state.

“As a result of taking the Administration to court, these dollars will now start flowing again,” he wrote on X.

The temporary block on chopping health funding is the latest legal setback for the Trump administration, which is facing some 150 lawsuits on issues ranging from immigration to deep financial and job cuts at federal agencies to transgender rights.

Federal judges have issued dozens of orders slowing — at least for now — the president’s ambitious conservative agenda.