Katelyn Baker
Well-Known Member
At least one local city is already thinking about the revenue potential from the possible legalization of recreational marijuana.
The Santa Barbara City Council unanimously voted to place a measure on November's ballot which, if passed, would place a 20 percent tax on both medicinal and recreational marijuana.
The Santa Barbara City Council feels marijuana should not be exempt from taxation and is getting a head start on planning.
"Santa Barbara wants to be prepared. If the state ballot measure passes, then we want to make sure that we have the revenue to pay for police services, zoning enforcement, monitoring and other services to make sure the public is safe," said Nina Johnson, Assistant to the City Administrator in Santa Barbara.
To come up with a 20 percent tax rate, Santa Barbara studied other cities in California that currently tax medical marijuana and looked at the revenues generated from dispensaries.
City staff also considered the current taxes on cigarettes and alcohol.
Santa Barbara Mayor Helene Schneider said, "Cigarettes are taxed at 52 percent for both state and federal taxes and hard alcohol is taxed at about 27 percent, so we didn't think this number was out of line."
Staff members estimate the marijuana tax would generate $2.2 million in revenue for the city.
Voters will see a proposed 15 percent state tax on marijuana on the November ballot along with the proposed local tax of 20 percent in Santa Barbara.
"The law also allows us, should this pass, should the voters decide to pass this, that if we found it was too high, the council could reduce the tax if they felt like they need to," Schneider said.
Santa Barbara also has a dispensary ordinance covering medical marijuana storefronts, permitting only three to operate in the city, each of which has to be located in a different pre-determined zone.
News Moderator: Katelyn Baker 420 MAGAZINE ®
Full Article: Santa Barbara Voters To Consider Tax On Marijuana
Author: Megan Abundis
Contact: (805) 541-5142
Photo Credit: Nick Oza
Website: KSBY
The Santa Barbara City Council unanimously voted to place a measure on November's ballot which, if passed, would place a 20 percent tax on both medicinal and recreational marijuana.
The Santa Barbara City Council feels marijuana should not be exempt from taxation and is getting a head start on planning.
"Santa Barbara wants to be prepared. If the state ballot measure passes, then we want to make sure that we have the revenue to pay for police services, zoning enforcement, monitoring and other services to make sure the public is safe," said Nina Johnson, Assistant to the City Administrator in Santa Barbara.
To come up with a 20 percent tax rate, Santa Barbara studied other cities in California that currently tax medical marijuana and looked at the revenues generated from dispensaries.
City staff also considered the current taxes on cigarettes and alcohol.
Santa Barbara Mayor Helene Schneider said, "Cigarettes are taxed at 52 percent for both state and federal taxes and hard alcohol is taxed at about 27 percent, so we didn't think this number was out of line."
Staff members estimate the marijuana tax would generate $2.2 million in revenue for the city.
Voters will see a proposed 15 percent state tax on marijuana on the November ballot along with the proposed local tax of 20 percent in Santa Barbara.
"The law also allows us, should this pass, should the voters decide to pass this, that if we found it was too high, the council could reduce the tax if they felt like they need to," Schneider said.
Santa Barbara also has a dispensary ordinance covering medical marijuana storefronts, permitting only three to operate in the city, each of which has to be located in a different pre-determined zone.
News Moderator: Katelyn Baker 420 MAGAZINE ®
Full Article: Santa Barbara Voters To Consider Tax On Marijuana
Author: Megan Abundis
Contact: (805) 541-5142
Photo Credit: Nick Oza
Website: KSBY
