Pubdate: Sat, 10 Mar 2018
Source: Ottawa Citizen (CN ON)
Copyright: 2018 Postmedia Network Inc.
Author: Peter Goffin
Page: 3


The government of Ontario will give municipalities $40 million from
its share of federal marijuana taxes to help cover law enforcement and
safety costs associated with pot legalization, the province announced

The money - which will be provided to municipalities upfront,
beginning before legalization takes effect later this year - will come
from the first two years of federal excise duties on producers of
recreational pot.

"This funding will ensure that Ontario's municipalities have dedicated
resources for cannabis enforcement," said Marie-France Lalonde,
minister of community safety and correctional services. "Ontario will
continue working with law enforcement agencies to protect our
communities from illegal cannabis activity, and to keep impaired
drivers off the road."

The money will be provided to municipalities based on the number of
households they have, but will be adjusted so every municipality gets
a minimum of $10,000. If Ontario receives more than $100 million from
federal marijuana tax over the course of two years, it will give half
the surplus to municipalities. The province will also earn money
through the sale of recreational pot at provincially-licensed stores
and online. The Association of Municipalities of Ontario said it was
pleased to see Ontario help local governments with local needs arising
from Canada's new marijuana laws.

The federal government agreed in December to give 75 per cent of its
marijuana excise tax revenue to the provinces and territories for two
years. One third of the provincial and territorial governments' shares
are expected to be given to municipalities. The federal government's
share of the duties is capped at $100 million, with any additional
revenue going to provinces and territories. Every province and
territory has signed on except Manitoba, which is holding out for a
larger cut of excise revenue.
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