Local governments asking for 40% of B.C. pot revenues
Posted September 7, 2018 6:29 am.
This article is more than 5 years old.
VANCOUVER – The advocacy group for local governments in British Columbia wants the province to fork over 40 per cent of its marijuana tax revenue when the drug becomes legal.
The Union of BC Municipalities has tabled a resolution asking the provincial government to provide local governments with $50 million, out of the projected provincial cannabis excise tax revenue of $125 million over the first two years of legalization.
Representatives from city councils across the province will vote on the special resolution next week during the union’s annual convention.
Vancouver city councillor Kerry Jang says municipalities will face new costs when recreational marijuana becomes legal next month. He says the proposal is about ensuring those costs are covered.
“That’s our primary goal, to make sure costs are covered, whether it be any increasing police costs as well as other types of staff needed. Like for zoning, inspections, and whatnot.”
Although it’s unknown exactly how much revenue will come in from pot legalization, Jang says local governments want some of the money up front in order to avoid having to find other sources of income.
“We’re saying, ‘Look, this is for the first couple years to get us going. Then, we can look at other models afterwards.”
The federal government has agreed to give 75 per cent of its marijuana excise tax revenue to the provinces and territories for two years.
It’s up to the provinces and territories to determine how much to share with municipalities and regional governments.
