Marijuana Tax Now In Oakland
Measure F, Oakland, California’s tax initiative on the latest ballot passed overwhelmingly with 80% voting in favor of the measure and 20% against it. The mail-in vote had other revenue issues on the ballot, but for this measure, 40,439 people voted yes, and 10,107 people voted no.
The projected tax could generate between $315,000 — $294,000 more monies than what is currently collected. The new measure would craft a new business tax fee for the four lawful medical marijuana clubs. Although these clubs are currently operating in Oakland, they will now increase their pay to $18 for every $1,000 in gross sales, instead of the $1.20 per $1,000. The current rate will continue until the 2010 fiscal year.
Under California law, medicinal marijuana is legal. Right now, it is illegal under federal law. Rebecca Kaplan, Councilmember, acknowledged that Attorney General Eric Holder has stated the Obama administration will not initiate federal incursions on the therapeutic pot clubs in California or other states that are protected under the medical use label. Kaplan, who supported the measure, also stated, “It is important that there be regulations, that there be a permit process, and that there be taxation.” She said it was important for two reasons, “both, because the city needs the revenue and to be sure that we ‘weed out’ the bad actors.”
Many see this as a first step in legalizing marijuana. A poll taken in California recently validated that more than half the populace in the opinion poll was in support of decriminalizing the drug. Because the economy is in such disarray many are seeking ways to bring money into the state. If marijuana were legally recognized, it may well develop into California’s number one cash crop fetching a projected billion dollars annually in state duty.
Arnold Schwarzenegger, California’s Republican Governor, says, “Legalizing marijuana deserves serious consideration.” He also said, “I think we ought to study very carefully what other countries are doing that have legalized marijuana.” Laura Thomas, the deputy state director for the Drug Policy Alliance seems to think the voters are well ahead of the curve in Oakland. Simply looking at this from a fiscal perspective it is a winner for the state. Tracking the financial benefits of medicinal marijuana is a short logical step to taxing and regulating all marijuana revenues in the state of California. But, for now Oakland is the leader of the pack.
