HomeMy WebLinkAbout2018PalmDesMeasQImpartlAnalysisRECEIVED
CITY CLERK'S OFFICE
PALM DESERT. ['
CITY OF PALM DESERT
2010 AUG 13 PM 3: 34CITY ATTORNEY'S IMPARTIAL ANALYSIS
BALLOT MEASURE Q
(Cannabis Business Tax)
Measure Q was placed on the ballot by the Palm Desert City Council and, if approved
by a majority of Palm Desert voters, will amend the Municipal Code to impose a tax on
cannabis businesses operating within the City. Measure Q is a tax measure only. It
does not amend the City's existing cannabis regulations or authorize new or additional
types of cannabis businesses to operate in the City.
If approved, Measure Q would impose a maximum tax rate on cannabis businesses of
up to twenty dollars ($20) per square foot for cannabis cultivation; up to three percent
(3%) of gross receipts for cannabis manufacturing; and up to fifteen percent (15%) of
gross receipts for cannabis retail sales and delivery. Measure Q authorizes the City
Council to set the actual tax rates, provided that the rates do not exceed the voter- s'
approved maximum rates set by Measure Q.
Measure Q would be a "general tax". All revenue from this tax would be used for any
unrestricted general revenue purposes including general City operations and services,
including police enforcement, emergency response, parks, youth and senior services,
and street repair. Pursuant to State Law, a "general tax" requires approval by a majority
of the City's voters voting at an election.
The City currently allows the following cannabis business types: retail/dispensary,
manufacturing, cultivation, delivery, distribution, and testing and research. If approved,
Measure Q would impose a tax on all cannabis businesses currently operating in the
City. The tax would also apply to any other cannabis businesses that may be allowed in
the future by amendments to State law or the Palm Desert Municipal Code. As noted
above, Measure Q would not change or expand the number or types of cannabis
businesses currently allowed in the City. If approved, Measure Q is anticipated to raise
approximately $5,430,000 annually.
A "yes" vote on Measure Q will approve the cannabis business tax. I?",
A "no" vote on Measure Q will not approve the cannabis business tax. 'Q3
The above statement is an impartial analysis of Measure Q. If you desire a copy
of the ordinance or measure, please call the City Clerk's office at (760) 346-0611
and a copy will be mailed at no cost to you. YO
Isl Robert Hargreaves, City Attorney
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