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Pittsburg, California, Marijuana Business Tax, Measure J (November 2016)

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Local ballot measure elections in 2016

Measure J: Pittsburg Marijuana Business Tax
LocalBallotMeasures Final.png
The basics
Election date:
November 8, 2016
Status:
Approveda Approved
Topic:
Local marijuana tax
Related articles
Local marijuana tax on the ballot
November 8, 2016 ballot measures in California
Contra Costa County, California ballot measures
City tax on the ballot
See also
Pittsburg, California

A marijuana business tax was on the ballot for Pittsburg voters in Contra Costa County, California, on November 8, 2016. It was approved.

A yes vote was a vote in favor of implementing a 10 percent tax on the gross receipts of marijuana businesses.
A no vote was a vote against implementing a 10 percent tax on the gross receipts of marijuana businesses.

Election results

Measure J
ResultVotesPercentage
Approveda Yes 13,693 68.27%
No6,36431.73%
Election results from Contra Costa County Elections Division

Text of measure

Ballot question

The following question appeared on the ballot:[1]

Shall the City of Pittsburg establish a marijuana business tax on all types of medical and non-medical marijuana businesses within the City, of no more than 10% of gross receipts of the business, generating no revenue unless the City amends the municipal code or State law is amended to authorize such businesses within City limits, and thereafter generating potentially greater than $100,000 annually, and which will continue until repealed by the City Council or City voters? [2]

Impartial analysis

The following impartial analysis of the measure was prepared by the office of the Pittsburg City Attorney:

The City Council of the City of Pittsburg adopted Resolution 16-13230, placing Measure J on the ballot. Measure J, if adopted by the voters, would amend Title 3, Revenue and Finance, of the Pittsburg Municipal Code to add Chapter 3.10, establishing a new marijuana business tax.

Currently, the City bans all marijuana businesses. However, it is possible that such businesses might be allowed in the future by action of the state legislation or voter initiative, over which the City would have no control. If that occurs, the City would be able to collect sales tax revenue from such marijuana businesses, if Measure J passes. Adoption of Measure J will not legalize the operation of marijuana businesses within the City.

The marijuana business tax would apply to all for profit and non-profit businesses involved in marijuana related activities within the City, including cultivating, delivering, dispensing, distributing, exchanging, manufacturing, planting, selling or testing marijuana or marijuana products, including marijuana or marijuana products intended for medical purposes. The tax would not apply to the cultivation of marijuana for personal use as long as such marijuana is not sold, bartered or exchanged for any consideration. Businesses engaged in marijuana related activities will be known as marijuana businesses.

If the proposed measure is approved, each marijuana business will pay a tax, as set by the City Council, of up to ten percent (10%) of the marijuana business’ gross receipts. For example, a business with $1,000 of gross receipts would pay a tax of up to $100. Measure J authorizes the City Council to set, by resolution, a lower tax rate, and to increase such tax rate as long as the tax does not exceed the maximum rate of ten percent per year. The tax will be payable directly to the City every month. Failure to timely and accurately pay the required tax could result in interest and fines.

If adopted, the marijuana business tax will generate no revenue unless applicable law is modified to allow such businesses. If marijuana businesses are allowed to legally operate within the City in the future,

the marijuana business tax will generate potentially greater than $100,000 in receipts for the City annually.

The proposed marijuana business tax is a general tax, the proceeds of which the City may use for any legal municipal purpose. The tax will be ongoing and will continue in effect until repealed by the City Council or City voters. Article XIIIC of the California Constitution requires a general tax to be approved by a majority vote of the City’s electorate.

A “yes” vote would approve the marijuana business tax and authorize the City Council to establish a marijuana business tax rate of up to ten percent of gross receipts. A “no” vote would reject the marijuana business tax.

[2]

—Pittsburg City Attorney[1]

Full text

The full text of the measure is available here.

Path to the ballot

See also: Laws governing local ballot measures in California

This measure was put on the ballot through a vote of the governing officials of Pittsburg, California.

Recent news

The link below is to the most recent stories in a Google news search for the terms Pittsburg Local marijuana tax. These results are automatically generated from Google. Ballotpedia does not curate or endorse these articles.

See also

External links

Footnotes

  1. 1.0 1.1 Contra Costa County Clerk, "November 8, 2016, Measure J," accessed October 21, 2016
  2. 2.0 2.1 Note: This text is quoted verbatim from the original source. Any inconsistencies are attributable to the original source.