I’ve never really cared much
about states legalizing marijuana for recreational use. I visited Colorado shortly after the law
passed, and I was surprised to find out how little had really changed, just
because people could now legally buy marijuana for recreational use. You can read about that trip, and your fellow
students’ responses here: http://historicalandpoliticalissues.blogspot.com/2014/05/the-mile-high-city-may-be-higher-than_8.html
What has struck me as
interesting is what states like Colorado are doing with all the revenue they’re
generating from legalizing marijuana.
Colorado first legalized the drug in January of 2014. Within the first month, they had generated
$46.9 million in total sales. That’s
right – million! Their cumulative
revenue in 2014 was $76.2 million, by 2015 that number had jumped to $86.7
million. Currently, Colorado imposes
three types of tax on marijuana sales.
They have a regular 2.9% state sales tax, with an additional special
marijuana sales tax of 10%. Then there’s
a 15% excise tax on wholesale transfers.
So what are they doing with all this revenue?
First, they’ve earmarked the
revenue generated from the excise tax for school construction projects. Aurora, Colorado’s third largest city is
using the $1.5 million they’ve generated from marijuana taxes to support the
homeless, through increased shelter beds, and vans for additional homeless
outreach. It’s not just Colorado either.
In March, Los Angeles said they plan to use the revenue generated from
their 15% tax on marijuana cultivation to also support homeless individuals –
through housing, supportive services, mobile showers, vouchers and outreach. LA,
which currently only allows marijuana cultivation for medicinal usage has said
if they were able to legalize marijuana for recreational use, the revenue generated
would be “significantly more.”
So my question to you this
week is, “What do you think of legalizing marijuana for recreational use? Do you support or oppose these laws? Do you think how states are using the revenue
will change anyone’s minds?” You must
answer all questions for full credit.
Answers are due no later than Wednesday, June 1, 2016.