HomeMy WebLinkAboutCounty Explanitory Statement -Marijuana Tax
EXPLANATORY STATEMENT FOR COUNTY VOTERS PAMPHLET
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NAME OF 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 enacts 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.
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. 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 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 will be unable 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: 285
THE TOTAL WORD COUNT CANNOT EXCEED 500 WORDS.
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SIGNATURE OF PERSON RESPONSIBLE FOR THE CONTENT OF THE EXPLANATORY STATEMENT DATE