HomeMy WebLinkAbout3% sales tax on Recreational Marijuana
Notice of Measure Election rn~~ /5- thy' SEL 802
rev O1/160RS 250.035, 250.041,
City,_ ~ 250.275, 250.285, 254.095, 254.465
Notice
Date of Notice. Name of City or Cities Date of Election
? _ l _ _41-0 City of Ashland November 8, 2016
Final Ballot Title The following is the final ballot title of the measure to be submitted to the city's voters. The ballot title notice has been
published and the ballot title challenge process has been completed.
Caption 10 words which reasonably identifies the subject of the measure.
Approving a 3% Ashland sales tax on recreational marijuana
Question 20 words which plainly phrases the chief purpose of the measure.
Shall Ashland voters enact a Council-approved ordinance establishing a 3% tax on recreational marijuana sold
by a licensed marijuana retailer?
Summary 175 words which concisely and impartially summarizes the measure and its major effect.
The Ashland City Council approved an ordinance establishing a tax of 3% on the sale of recreational
marijuana and recreational marijuana-infused products by OLCC-licensed retail outlets within the city limits.
Under state law, this ordinance does not become effective unless approved by the voters.
The 3% tax rate is the maximum a city can assess under state law. The tax applies only to the sale of
recreational marijuana and recreational marijuana-infused products in OLCC-licensed retail outlets. It does
not apply to sales of medical marijuana in dispensaries licensed by the Oregon Health Authority. The local
tax is over and above the 17% state tax that will be applied to sales of recreational marijuana effective
October 1, 2016.
Explanatory Statement 500 words that impartially explains the measure and its effect.
if the county is producing a voters' pamphlet an explanatory statement must be drafted and attached to this form for:
4 any measure referred by the city governing body; or Explanatory Statement Attached? W Yes ❑ No
4 any initiative or referendum, if required by local ordinance.
Authorized City Official Not required to be notarized.
Name Title t7z C71
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Barbara Christensen City Recorder 7)
Mailing Address Contact Phone ~ C i
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20 E Main Street Ashland OR 97520 541488 5307 m
By signing this document: I
I hereby state that I am authorized by the city to submit this Notice of Measure Election; and tv
4 1 certify that notice of receipt of ballot title has been published and the ballot title challenge process for thisTjea!gge
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completed.
4AW- X 706
Signature Date Signed
NOTICE OF SPECIAL ELECTION
CITY OF ASHLAND
JACKSON COUNTY, OREGON
NOTICE IS HEREBY GIVEN that on Tuesday, November 8, 2016, a measure election will be
held by the City of Ashland, Jackson County, Oregon, and that such election shall be conducted
by mail pursuant to Oregon law.
The following shall be the ballot title of the measure to be submitted to the city's voters on this
date:
CAPTION: Approving a 3% Ashland sales tax on recreational marijuana
QUESTION: Shall Ashland voters enact a Council-approved ordinance establishing a 3% tax
on recreational marijuana sold by a licensed marijuana retailer?
SUMMARY: The Ashland City council approved an ordinance establishing a tax of 3% on the
sale of recreational marijuana and recreational marijuana-infused products by
OLCC-licensed retail outlets within the city limits. Under state law, this
ordinance does not become effective unless approved by the voters.
The 3% tax rate is the maximum a city can assess under state law. The tax applies
only to the sale of recreational marijuana and recreational marijuana-infused
products in OLCC-licensed retail outlets. It does not apply to sales of medical
marijuana in dispensaries licensed by the Oregon Health Authority. The local tax
is over and above the 17% state tax that will be applied to sales of recreational
marijuana effective October 1, 2016.
The following authorized city official hereby certifies the above ballot title is true and complete,
which i des completion of the ballot title challenge process.
gnature of authorized city official Date signed
Barbara Christensen City Recorder
Printed name of authorized city official Title
EXPLANATORY STATEMENT FOR COUNTY VOTERS= PAMPHLET
NAMFw6W PERSON RESPONSIBLE FOR CONTENT: Dave Lohman, City Attorney, City of Ashland, Oregon.
NAME OF ORGANIZATION PERSON REPRESENTS, IF ANY: City of Ashland, Oregon
BALLOT TITLE CAPTION: Approving a 3% Ashland sales tax on recreational marijuana
MEASURE NUMBER:
Passage of this ballot measure would enable an ordinance approved by the Ashland City Council imposing a 3% tax on the
sale of recreational marijuana and recreational marijuana-infused products in OLCC-licensed outlets in the city to go into
effect.
Background
The voters of the State of Oregon in November 2014 approved ballot measure 91 legalizing the possession, cultivation and
sale of marijuana by adults aged 21 and older.
The Oregon Legislature in 2015 approved House Bill 2041 imposing a state tax of 17% on recreational marijuana sales
effective October 1, 2016 and giving Oregon cities the right to impose a sales tax of up to 3% on the sale of recreational
marijuana and marijuana-infused products by OLCC-licensed retail outlets, if such tax is approved by the voters in a
general election.
Result of a "Yes" Vote
This tax revenue, if approved, would go into the City's General Fund, which pays for services such as Police, Fire and
Parks. These taxes would apply only to recreational marijuana and not to medical marijuana, which is sold in dispensaries
licensed by the Oregon Health Authority.
It is unknown how much money would be generated by a local marijuana tax, as the tax is dependent on the number of
licensed retail outlets in Ashland, the price of the marijuana sold and the volume of sales. The City's 2015-17 biennial
budget includes a placeholder figure of $1,000 for marijuana tax collections, with the money going to the City's General
Fund.
Result of a "No" Vote
If this measure does not pass, Ashland would have no legal authority to impose a tax on the sale of recreational marijuana
and recreational marijuana-infused products at OLCC-licensed retail outlets in the City at this time. The 17% state tax
would continue to be imposed after October 1, 2016.
WORD COUNT TOTAL: 299
THE TOTAL WORD COUNT CANNOT EXCEED 500 WORDS.
J444( M CZ4.11 7-j,-
SIGNATUR OF PERS SPONSIBLE FOR THE CONTENT OF THE EXPLANATORY STATEMENT DATE