Oakland passes tax on marijuana.

[BetterThanEver]

http://news.yahoo.com/s/ap/20090722/ap_on_re_us/us_marijuana_taxes_4
Oakland voters pass pot tax to boost city coffers
By LISA LEFF, Associated Press Writer Lisa Leff, Associated Press Writer –

OAKLAND, Calif. – Oakland residents overwhelmingly voted Tuesday to approve a first-of-its kind tax on medical marijuana sold at the city's four cannabis dispensaries.

Preliminary election results showed the measure passing with 80 percent of the vote, according to the Alameda County Registrar of Voters.

The dispensary tax was one of four measures in a vote-by-mail special election aimed at raising money for the cash-strapped city. All four measures won, but Measure F had the highest level of support.

Scheduled to take effect on New Year's Day, the measure created a special business tax rate for the pot clubs, which now pay the same $1.20 for every $1,000 in gross sales applied to all retail businesses. The new rate will be $18.

Oakland's auditor estimates that based on annual sales of $17.5 million for the four clubs, it will generate an estimated $294,000 for city coffers in its first year.

Pot club owners, who openly sell pot over the counter under the 1996 state ballot measure that legalized medical marijuana use in California, proposed Measure F as a way to further legitimize their establishments.

"It's good business and good for the community," said Richard Lee, who owns the Coffee Shop SR-71 dispensary and Oaksterdam University, a trade school for budding dispensary workers.

The measure had no formal opposition; in November 2004, a ballot initiative that required Oakland police to make arresting adults using marijuana for personal use their lowest priority passed with 63 percent of the vote.

Support for Measure F was expected to be just as strong. As a result and given the mail-in nature of the election, there was little campaign activity, according to Lee.

"We put out signs, but outside of that it's been pretty low-key," said Lee, who hosted a victory party at Oaksterdam University's Student Union building in downtown Oakland.

Although California's 800 or so pot clubs also are expected to pay state sales tax, Oakland is the first city in the country to create a special tax on marijuana sales.

Advocates of legalizing pot for recreational use hope to use Oakland's experience with Measure F to persuade California voters next year to approve a measure that would legalize and regulate marijuana like alcoho

[edwardc]

Get that money it about time some city was smart enough to get paid .

[Rockets1616]

Wow! You can sell this stuff and make big profit for the economy?!?!? Genius!!

[BleedRocketsRed]

It only makes sense. Its already legal there (medically), Cali is deep deep deep in debt, might as well make money off it.

[Landlord Landry]

yea, this will solve their economical problems. :rolleyes:

[BleedRocketsRed]

Just saying its a start.

Pot is California highest grossing cash crop and since it is mostly a black market crop, the government is not making anything off it (well except a small tax on medicinal mj). The city of Oakland is smart enough to realize that higher taxes on pot can bring a good amount of revenue for the city. And a city as poor as Oakland needs that revenue.

If (and this is a bill they are seriously debating) they were to legalize it (ie allow every Californian over a certain age to purchase it), and tax the hell out of it, it could do wonders for their economy.

Here is the way I look at it, legalizing pot would:
a) Lower the crime rate (people who are behind bars or doing probation for possession of mj when it is really not that serious of a crime)
b) Help the state economy (create jobs, bring revenues for the state)
c) Take mj out of the hands of underage people (drug dealers do not check IDs)

****. Alcohol/tobacco are legal, and they are nowhere near as dangerous to our bodies as pot has proven to be (nobody has every died as a result of pot, cannot say the same about those other legal drugs).

[Mr. Clutch]

So now the government will a vested interest in keeping marijuana sales going, since they will directly benefit from more sales.

Sounds like a good idea to me.

Maybe if everyone in the world gets stoned then there wont be anymore wars and stuff?

[Refman]

To be blunt, this could really help the city. In fact, they may even end up with a sizable stash at the end of all this. The budget is a chronic disaster and this could really nip it in the bud.

It is high time that Californians took the budget seriously. Maybe they could tax it at four cents for every twenty ounces sold.

[LongTimeFan]

To be blunt, this could really help the city. In fact, they may even end up with a sizable stash at the end of all this. The budget is a chronic disaster and this could really nip it in the bud.

It is high time that Californians took the budget seriously. Maybe they could tax it at four cents for every twenty ounces sold.

I don't get it.

[Mr. Clutch]

I don't get it.

Me either. What's with the bolding of random words?

[GladiatoRowdy]

yea, this will solve their economical problems. :rolleyes:

It is already being sold, what is your problem with reaping the tax benefits?

[GladiatoRowdy]

So now the government will a vested interest in keeping marijuana sales going, since they will directly benefit from more sales.

Sounds like a good idea to me.

Maybe if everyone in the world gets stoned then there wont be anymore wars and stuff?

The government doesn't need to do anything to increase the demand for marijuana. This has been concludively proven over the course of the last century. No matter how bad the consequences, people will still choose to use pot as their intoxicant.

Since this is the case, it only makes sense for the government to avail itself of the tax benefits, at least in part to help offset any societal costs inherent in drug use.

Instead of sarcastic remarks, maybe you could put forth your actual objections to the state taxing a product that is already being sold in the state.

[GladiatoRowdy]

To be blunt, this could really help the city. In fact, they may even end up with a sizable stash at the end of all this. The budget is a chronic disaster and this could really nip it in the bud.

It is high time that Californians took the budget seriously. Maybe they could tax it at four cents for every twenty ounces sold.

That was funny...

You must spread some Reputation around before giving it to Refman again.

[Southern Select]

Only sick-minded liberal/socialists would want a special tax on medicine. They probably would create a special tax on chemotherapy too. It is disgusting.

[Landlord Landry]

It is already being sold, what is your problem with reaping the tax benefits?

what a terrible rationale.

[KingCheetah]

Expect the crime rate of Oakland to significantly spike after this tax takes effect.

[Bandwagoner]

Where is the DEA in all of this?

[GladiatoRowdy]

what a terrible rationale.

Do you have any salient points to make or are you just going to say "terrible" and leave? Not a particularly convincing rationale.

[GladiatoRowdy]

Only sick-minded liberal/socialists would want a special tax on medicine. They probably would create a special tax on chemotherapy too. It is disgusting.

Personally, I would regulate the industry and let the taxes from regulated sales pay for medicine for sick people, but I am certain that you will find some way to disparage "liberal/socialists" in that statement too.

[GladiatoRowdy]

Where is the DEA in all of this?

Obama's Justice Department has said that they would not raid any more dispensaries that operate in accordance with state laws, so the DEA is out of the picture, thank God.

[FLAGRANT1]

Only sick-minded liberal/socialists would want a special tax on medicine. They probably would create a special tax on chemotherapy too. It is disgusting.

That was cute.

[Bandwagoner]

Obama's Justice Department has said that they would not raid any more dispensaries that operate in accordance with state laws, so the DEA is out of the picture, thank God.

yet the BATFE tells tennessee on their state laws. The DEA has no balls.

[JuanValdez]

Smart business by the dispensaries to ask for a higher tax on themselves. A couple of decades from now, they will be complaining about how unfair it is, though.

[Rockets1616]

Expect the crime rate of Oakland to significantly spike after this tax takes effect.

Good. One step closer to having medical weed for every state!!! Some good bud will be goin around

[Landlord Landry]

Do you have any salient points to make or are you just going to say "terrible" and leave? Not a particularly convincing rationale.

sorry, give me your itinerary and I'll re-work my schedule to better fit your post reading times.

It is already being sold, what is your problem with reaping the tax benefits?

well, since vagina, crack, herion, meth, and dog fighting is "already being sold"
perhaps we should just reap the tax benefits of those as well.

[BleedRocketsRed]

There is a difference. Bud is being sold LEGALLY in medicinal clubs. The people voted and proposition 215 passed in Cali.

Is it wrong to tax medicine? Maybe. But prescription drug prices in this country is already pretty crazy. Plus the city and the state are in a budget crisis.

[Rockets1616]

yea, this will solve their economical problems. :rolleyes:

That like being down in basketball say 14 points, someone hits a jumper, and the coach says "what the hell did you do that for? We wont win cause of that?". Doesnt make much sense

[Refman]

That was funny...

You must spread some Reputation around before giving it to Refman again.
Thanks. I am glad somebody other than me found it funny. :cool:

[GladiatoRowdy]

sorry, give me your itinerary and I'll re-work my schedule to better fit your post reading times.


I wasn't commenting on your timing, but the quality of your post.


well, since vagina, crack, herion, meth, and dog fighting is "already being sold"
perhaps we should just reap the tax benefits of those as well.

The very obvious problem with your post is that all of the things you mention here are illegal while what we are discussing is a legal, regulated market. Talk about comparing apples to submarines.

[JuanValdez]

Bud is being sold LEGALLY in medicinal clubs.

Semi-legally.

[GladiatoRowdy]

Thanks. I am glad somebody other than me found it funny. :cool:

To be fair, I have an inordinately strange sense of humor, so take my laugh with a grain of salt. ;)

[Supermac34]

Only sick-minded liberal/socialists would want a special tax on medicine. They probably would create a special tax on chemotherapy too. It is disgusting.

You did notice that it was the business owners themselves that proposed the tax, correct? I find it a stroke of genius that the people that are selling the pot are the ones that proposed the new tax. They are basically going to make their product essential to the city's budget and generate support for them staying in business long term.

[GladiatoRowdy]

You did notice that it was the business owners themselves that proposed the tax, correct? I find it a stroke of genius that the people that are selling the pot are the ones that proposed the new tax. They are basically going to make their product essential to the city's budget and generate support for them staying in business long term.

[begin Southern Select-esque rant]
Only a liberal/socialist would actually ask the government to tax them. This kind of move is so unAmerican that I think I am going to puke now. You libpoosies need to stop smoking your dope and figure out what this whole capitalism thing means.
[/rant]

[Supermac34]

[begin Southern Select-esque rant]
Only a liberal/socialist would actually ask the government to tax them. This kind of move is so unAmerican that I think I am going to puke now. You libpoosies need to stop smoking your dope and figure out what this whole capitalism thing means.
[/rant]


Other than being very conservative, I understand the gist of what you are saying. However, this is a business move on their part. The parts about being good for society is just PR. By paying a little more in tax, they are locking their business into a position of being integral to the town's welfare and budget. A super Republican businessman would be jealous of such a smooth move. They volunteer to pay an extra tax, further legitimizing their business AND getting the city behind them when it comes to any kind of enforcement and laws.

These guys are thinking of this as a long term investment into their own business, not a tax.

[Lynus302]

If I could rep the city of Oakland, I would.

Good for them.

[BetterThanEver]

Other than being very conservative, I understand the gist of what you are saying. However, this is a business move on their part. The parts about being good for society is just PR. By paying a little more in tax, they are locking their business into a position of being integral to the town's welfare and budget. A super Republican businessman would be jealous of such a smooth move. They volunteer to pay an extra tax, further legitimizing their business AND getting the city behind them when it comes to any kind of enforcement and laws.

These guys are thinking of this as a long term investment into their own business, not a tax.

I never thought of it that way. That's good insight.

[Refman]

To be fair, I have an inordinately strange sense of humor, so take my laugh with a grain of salt. ;)
Then we'll get along quite well. :)

[Shroopy2]

Other than being very conservative, I understand the gist of what you are saying. However, this is a business move on their part. The parts about being good for society is just PR. By paying a little more in tax, they are locking their business into a position of being integral to the town's welfare and budget. A super Republican businessman would be jealous of such a smooth move. They volunteer to pay an extra tax, further legitimizing their business AND getting the city behind them when it comes to any kind of enforcement and laws.

These guys are thinking of this as a long term investment into their own business, not a tax.
It is more business than public relations. Even so, still a good move on their part ensuring more longevity. California has one of the worst climates for business in the country, and some of the highest unemployment. Not many business are 'growing' now.

[astros148]

have you guys seen the poll on CNN bout if pot should be decriminalized?!

its 70 something percent for yes!

[shipwreck]

have you guys seen the poll on CNN bout if pot should be decriminalized?!

its 70 something percent for yes!

astros148, where have you been? it seems like i haven't seen you post since you fell of your bike at work.

[across110thstreet]

pot is already decriminalized in certain CA cities: West Hollywood, Santa Monica and other towns have rules in their books specifically stating not to pursue small time potheads. you can smoke in public in West Hollywood.

the cannabusiness is already booming in CA and it has gone beyond medicinal needs. anyone is L.A. or S.F. can get their hands on a LEGAL prescription from a doctor and find one of hundreds of dispensaries to choose from to get their quality medicine without going to a dealer or a back alley.

the system works and it only makes sense to fully legitimize it.

let's stop pretending. the majority of medical marijuana users do not really need marijuana for medical reasons, and the "medicine" itself is just really good weed grown in upstate California.