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US (CA): Governor proposes using $100M in cannabis tax revenue to help close state budget deficit

As the governor of California pledges to continue working to “strengthen” the state’s cannabis market, he’s also proposing to help close an overall government budgetary deficit by borrowing $100 million from a cannabis tax fund designated for law enforcement and other public safety initiatives.

Gov. Gavin Newsom (D) presented his budget plan on Wednesday, previewing a series of steps he wants to take to address the state’s $37.9 billion deficit. That includes taking a $100 million budgetary loan from the Board of State and Community Correction (BSCC)’s Cannabis Tax Fund subaccount to support the General Fund.

A summary of the executive plan notes that the cannabis tax dollars, which would be repaid in a future fiscal year, would come from resources “not currently projected to be used for operational or programmatic purposes.”

The governor’s office also used the budget announcement to tout ongoing efforts to improve the state’s cannabis industry.

Read more at marijuanamoment.net

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