Pubdate: Tue, 14 Jul 2015
Source: Denver Post (CO)
Copyright: 2015 The Denver Post Corp
Contact:  http://www.denverpost.com/
Details: http://www.mapinc.org/media/122
Author: Ricardo Baca

POT-FUNDED SCHOOL TAX SETS RECORD; SALES PLATEAU IN MAY

The Colorado Department of Revenue's just-released marijuana tax data 
for May 2015 shows schools as the clear winner.

In the first five months of 2015, the state's pot-funded excise tax 
that collects money earmarked for school construction projects 
brought in $13.6 million, which is more than it did in all of 2014.

While the total for the year may not reach the $40 million number 
used to lure voters to legalize recreational marijuana, backers say 
they are optimistic.

"It sounds very encouraging," said state Sen. Pat Steadman, D-Denver. 
"Voters wanted the school capital construction program to benefit, 
and despite some bumps in the road at the beginning, it looks like 
what was intended is coming to fruition."

There are three types of state taxes on recreational marijuana: the 
standard 2.9 percent sales tax, a 10 percent special marijuana sales 
tax and a 15 percent excise tax on wholesale marijuana transfers.

The money from the excise tax has grown to $3.5 million in May from 
$2.5 million in March. The tax brought in just $13.3 million in all 
of 2014. The jump is partly because there are more marijuana stores 
and partly because shops benefited from a one-time tax-exempt transfer.

The new pot tax data also shows recreational marijuana sales in 
Colorado plateaued in spring 2015.

Retail sales between March and May stayed between $42.4 and $42.7 
million - totaling $42.5 million in May. May's medical marijuana 
sales in Colorado were at their highest since last October, totaling 
$32.4 million.

Despite the flat recreational sales, Steadman said he hopes the 
school money will remain near the promised amounts.

"It sounds like they're on track for more than $30 million for this 
calendar year," Steadman said. "When we talk about $40 million for 
school construction, I knew that was a number they'd need to grow into."

Steadman said he is also hopeful voters will give school construction 
a bump through Proposition BB.

Colorado voters in November will determine the fate of Prop BB, which 
would allow the state to keep millions of dollars of 
marijuana-generated tax money which must otherwise be refunded under 
the Taxpayer's Bill of Rights.

Money would go toward school construction, law enforcement, substance 
abuse prevention and youth services.

If voters reject Prop BB, nearly $60 million will be refunded to 
marijuana businesses and pot-shop customers via a sales tax rate 
reduction on recreational cannabis.
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MAP posted-by: Jay Bergstrom