City staff provided a federal update on Nov. 18, telling the Intergovernmental Relations Committee that the 43‑day partial federal government shutdown ended on Nov. 12 and that Congress has funded some agencies through Jan. 30, 2026 while other appropriation work continues.

Lauren Olsen, senior government relations representative, said parts of the agreement enacted funding for USDA programs including SNAP and WIC at 2025 levels and included commitments to reimburse states for costs incurred during the shutdown and to provide back pay to furloughed employees. Olsen also noted one earmark that remained in the bills: $250,000 for the Logan Park rail crossing safety project, down from the approximately $1.8 million the city had sought.

A major local concern flagged in the briefing was a federal change to the definition of hemp. "They lowered the amount of THC that is allowable within hemp products," said senior government relations staff, explaining that the federal revision narrows permissible THC levels for hemp-derived products and will affect low-dose hemp edibles, beverages and other hemp-derived inputs. Staff warned the change will restrict the interstate movement of those products and impair access to banking and financing for affected businesses.

Why it matters: Minneapolis businesses that manufacture or sell products using hemp-derived THC—such as low-dose edibles or beverages—face a new federal constraint that could eliminate out-of-state markets and make traditional financing harder or impossible without federal relief or legislative adjustment.

Committee members asked whether Minnesota could modify its low-dose hemp statute to blunt the impact. Staff said state law cannot preempt federal law on interstate commerce, so while Minnesota could adjust its statute to clarify in‑state rules it could not fully restore interstate markets or banking access lost under the federal change.

Staff noted the hemp-definition change becomes fully effective one year after enactment, giving state and federal stakeholders a window to pursue legislative fixes. City staff said they are watching federal and state developments and coordinating with affected local businesses.

Quotes from the meeting:

"The 43 day shutdown finally came to an end on November 12," Lauren Olsen said. "When [the federal change] is in full effect, those businesses would not have access to banking and financing in the same way," senior government relations staff said of affected hemp-derived products.

Next steps: Staff said they will monitor federal and state actions, continue coordination with affected businesses, and report back to the committee as developments warrant.