Just as the state is proposing excise and sales taxes, the city would like to cash in on recreational marijuana sales also. In 2014 this ballot issue would impose an excise tax of 5% and a sales tax of 3.5%. It would also permit City Council to increase each tax up to 10% in future years without voter approval.
As with the sales tax, this sales tax would be in addition to the current sales tax on retail sales. Revenue generated from these taxes would go into the general fund although the stated purpose of the added revenue would be to pay administrative expenses and fund substance abuse programs associated with retail marijuana.
Recommendation: against
Under Prop AA, the city would be entitled to a share of the state sales tax while still getting its regular sales tax on recreational marijuana sales. The state would also pick up much of the regulation cost. If the city didn’t want to be greedy, perhaps it should have conditioned this measure taking effect on the state measure failing to garner a majority.
Registered Issue Committee for the For side (Committee to Regulate Responsibly)
No known website
No known Issue Committee or website for the Against side
CITY OF BOULDER BALLOT ISSUE NO. 2A (Approved Ballot Language)
RECREATIONAL MARIJUANA TAX
SHALL CITY OF BOULDER TAXES BE INCREASED BY ($3,360,000 FIRST FULL FISCAL YEAR DOLLAR INCREASE) ANNUALLY AND BY SUCH AMOUNTS AS ARE RAISED ANNUALLY THEREAFTER BY THE IMPOSITION OF AN EXCISE TAX OF 5 PERCENT IN 2014 AND UP TO 10 PERCENT THEREAFTER ON THE CULTIVATION FACILITY AT THE AVERAGE MARKET RATE AT THE POINT OF TRANSFER FROM THE CULTIVATION FACILITY AND AN ADDITIONAL SALES AND USE TAX OF 3.5 PERCENT IN 2014 AND UP TO 10 PERCENT THEREAFTER ON RECREATIONAL MARIJUANA AS PROVIDED IN ORDINANCE NO. 7916 COMMENCING JANUARY 1, 2014 WITH SUFFICIENT REVENUES FROM THE EXCISE AND SALES AND USE TAX TO BE USED FOR PUBLIC SAFETY, ENFORCEMENT AND ADMINISTRATIVE PURPOSES AND FOR COMPREHENSIVE SUBSTANCE ABUSE PROGRAMS INCLUDING WITHOUT LIMITATION PREVENTION, TREATMENT, EDUCATION, RESPONSIBLE USE, INTERVENTION, AND MONITORING, WITH AN EMPHASIS ON YOUTH, AND WITH THE REMAINDER USED BY THE GENERAL FUND; AND IN CONNECTION THEREWITH, SHALL THE FULL PROCEEDS OF SUCH TAXES AT SUCH RATES AND ANY EARNINGS THEREON BE COLLECTED, RETAINED, AND SPENT, AS A VOTER-APPROVED REVENUE CHANGE WITHOUT LIMITATION OR CONDITION, AND WITHOUT LIMITING THE COLLECTION, RETENTION, OR SPENDING OF ANY OTHER REVENUES OR FUNDS BY THE CITY OF BOULDER UNDER ARTICLE X SECTION 20 OF THE COLORADO CONSTITUTION OR ANY OTHER LAW?
- FOR THE MEASURE
- AGAINST THE MEASURE
See Ordinance 7916 to refer 2A to the voters.
https://www-static.bouldercolorado.gov/docs/Ordinance_7916_Recreational_Marijuana-1-201308271402.pdf
As with the sales tax, this sales tax would be in addition to the current sales tax on retail sales. Revenue generated from these taxes would go into the general fund although the stated purpose of the added revenue would be to pay administrative expenses and fund substance abuse programs associated with retail marijuana.
Recommendation: against
Under Prop AA, the city would be entitled to a share of the state sales tax while still getting its regular sales tax on recreational marijuana sales. The state would also pick up much of the regulation cost. If the city didn’t want to be greedy, perhaps it should have conditioned this measure taking effect on the state measure failing to garner a majority.
Registered Issue Committee for the For side (Committee to Regulate Responsibly)
No known website
No known Issue Committee or website for the Against side
CITY OF BOULDER BALLOT ISSUE NO. 2A (Approved Ballot Language)
RECREATIONAL MARIJUANA TAX
SHALL CITY OF BOULDER TAXES BE INCREASED BY ($3,360,000 FIRST FULL FISCAL YEAR DOLLAR INCREASE) ANNUALLY AND BY SUCH AMOUNTS AS ARE RAISED ANNUALLY THEREAFTER BY THE IMPOSITION OF AN EXCISE TAX OF 5 PERCENT IN 2014 AND UP TO 10 PERCENT THEREAFTER ON THE CULTIVATION FACILITY AT THE AVERAGE MARKET RATE AT THE POINT OF TRANSFER FROM THE CULTIVATION FACILITY AND AN ADDITIONAL SALES AND USE TAX OF 3.5 PERCENT IN 2014 AND UP TO 10 PERCENT THEREAFTER ON RECREATIONAL MARIJUANA AS PROVIDED IN ORDINANCE NO. 7916 COMMENCING JANUARY 1, 2014 WITH SUFFICIENT REVENUES FROM THE EXCISE AND SALES AND USE TAX TO BE USED FOR PUBLIC SAFETY, ENFORCEMENT AND ADMINISTRATIVE PURPOSES AND FOR COMPREHENSIVE SUBSTANCE ABUSE PROGRAMS INCLUDING WITHOUT LIMITATION PREVENTION, TREATMENT, EDUCATION, RESPONSIBLE USE, INTERVENTION, AND MONITORING, WITH AN EMPHASIS ON YOUTH, AND WITH THE REMAINDER USED BY THE GENERAL FUND; AND IN CONNECTION THEREWITH, SHALL THE FULL PROCEEDS OF SUCH TAXES AT SUCH RATES AND ANY EARNINGS THEREON BE COLLECTED, RETAINED, AND SPENT, AS A VOTER-APPROVED REVENUE CHANGE WITHOUT LIMITATION OR CONDITION, AND WITHOUT LIMITING THE COLLECTION, RETENTION, OR SPENDING OF ANY OTHER REVENUES OR FUNDS BY THE CITY OF BOULDER UNDER ARTICLE X SECTION 20 OF THE COLORADO CONSTITUTION OR ANY OTHER LAW?
- FOR THE MEASURE
- AGAINST THE MEASURE
See Ordinance 7916 to refer 2A to the voters.
https://www-static.bouldercolorado.gov/docs/Ordinance_7916_Recreational_Marijuana-1-201308271402.pdf
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