If approved, it would allow the Board of Supervisors to set the initial tax rate on cannabis for recreational and medicinal operations in the unincorporated county.
Measure A, the cannabis business tax, appears to pass Tuesday night. In early returns, 59.11% of voters voted to approve the measure.
In June, the San Diego County Board of Supervisors approved an ordinance to tax cannabis businesses, subject to voter approval. The actions placed Measure A on the November ballot. If approved, it would allow the board of supervisors to set the initial tax rate on cannabis for recreational and medicinal operations in the unincorporated county. That includes the communities of Ramona, Valley Center, Lakeside, Alpine, Otay and Spring Valley — among others. Voters were asked if gross receipts should be taxed at a maximum of 6% for retail, 3% for distribution, 2% for testing, 3% for cultivation or $10 per canopy square foot and 4% for other businesses.
Supporters argued the measure would keep tax revenues local and is crucial to shutting down illegal cannabis operations. Opponents argued the cannabis business tax was unfair because it only applied to businesses in unincorporated areas, yet, all county voters had it on their ballots. They also questioned whether revenues would go to the areas paying the tax.
Supporters included San Diego County Supervisors Nathan Fletcher, Nora Vargas and Terra Lawson-Remer, along with the San Diego County Democratic Party. Among opponents were the San Diego County Taxpayers Association CEO Haney Hong, former La Mesa City Councilmember Barry Jantz and the San Diego County Republican Party.
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