Facing possible budget deficit, West Linn weighs lifting marijuana dispensary ban – KATU
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by Jennifer Singh, KATU
WEST LINN, Ore. (KATU) — The City of West Linn is rethinking its ban on marijuana dispensaries within city limits.
The discussion comes as West Linn Mayor Rory Bialostosky said the city is going into a potential budget deficit and lifting the ban could bring in thousands of dollars in additional revenue.
West Linn is one of a few remaining Portland-metro cities, including Wilsonville, Sherwood, Lake Oswego, and Canby, that have marijuana prohibitions. As a result, those cities are excluded from receiving distributions of state marijuana tax revenues and tax revenues directly from having legal dispensaries.
When Measure 91 was approved by Oregon voters in 2014 to legalize recreational marijuana, nearly two-thirds of West Linn residents voted to prohibit marijuana dispensaries within city limits.
According to Dylan Digby, assistant to the city manager, cities where dispensaries are legal receive 10% of the total state marijuana tax revenue distributed quarterly and cities can add a local tax of up to 3% on recreational marijuana sales.
“If we were to repeal our marijuana prohibitions, revenue possibilities are about $40,000 per year from the state shared per capita distribution, which is about a $1.50 per resident, and you get that whether we have a facility or not,” Digby said.
Additionally, for each licensed dispensary within the city, the city receives $2,500 annually, according to Digby.
Digby also told West Linn city councilors that each licensed facility could bring in roughly $30,000 to $60,000 in revenue to the city per year with the local 3% tax.
City Councilor Leo Groner said repealing the prohibition makes sense.
“I think people will go to dispensaries, and why should we not get the revenue as to opposed to Oregon City?” Groner said. “It’s leaving money on the table that we can use.”
Council President Mary Baumgardner said she wants to hear from the public before making any decisions.
“I’m a little bit of two minds about it,” Baumgardner said. “Having grown up in a family with some substance abuse issues, I’m very mindful of people’s vulnerability to that, and I know that’s a concern for some people, so I just want to be sensitive to what the community would like us to do.”
City Councilor Kevin Bonnington echoed that.
“I think it’s a very simple solution that doesn’t require taxing the people of West Linn anymore, but it’s very much something that needs to be discussed and people need to be OK with it,” he said.
According to Digby, Council can repeal West Linn’s current prohibition directly by ordinance or Council can put it to voters.
West Linn has a limited number of sites where dispensaries can operate due to state laws; they must be at least 1,000 feet away from schools, or 500 feet if the Oregon Liquor and Cannabis Commission determines there are geographical barriers that require otherwise.
If the prohibition is repealed, the Council could enact time, place and manner restrictions if desired.
“It’s not going to solve all of our budget problems, but every dollar helps, and we’ve made a commitment to look at everything; turn over every stone as we say in the budget conversations,” Bialostosky said. “So, at least exploring this is, I think, doing our due diligence.”
Discussions are just beginning and Bonnington emphasized that the community will be at the forefront of decision making.
“Absolutely no decision has been made whatsoever,” he said. “This is just a topic that was brought up as something to put to the public to see how they feel about it before we even decide if we’re going to keep working at it.”
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