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Council weighs changes to cannabis tax and permitting after revenue shortfalls and enforcement issues
Summary
Council and staff reviewed Measure P cannabis tax collections, a delinquent business, and options including raising the tax rate to cover permitting and enforcement functions; councilors raised concerns about promised school funding and suggested engaging the school board.
Cloverdale councilors reviewed the city’s Measure P cannabis tax report and discussed enforcement and possible rate changes.
Finance staff (Susie) told the council the cannabis tax report was included in the agenda packet and that one licensee is months past due; staff reported promises to collect outstanding amounts within days. Susie said raising the tax rate by 1 percentage point would cover the city’s annual permitting and audit costs and…
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