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Mayor Edwin Lee proposes an Office of Cannabis and a local cannabis tax; plans citizen advisory committee
Summary
Mayor Edwin Lee told the Board of Supervisors the city will create an Office of Cannabis to regulate the industry from "seed to sale" under state legalization and intends to put a local cannabis tax on the February ballot with a task force to recommend how revenues are used.
Mayor Edwin Lee addressed the Board of Supervisors on June 13 and outlined San Francisco's planned local response to Proposition 64, the 2016 state initiative that legalized adult-use cannabis in California.
The mayor said he has issued an executive directive to begin implementing Proposition 64 locally and proposed creating a new Office of Cannabis to coordinate city departments, streamline licensing and serve as a public-facing navigator for businesses and residents.
"This office of cannabis will help regulate everything from seed to sale. It'll act as a navigator for the public, for businesses, and city agencies," Mayor Lee said, and thanked City Administrator Naomi Kelly and Supervisor Jeff Sheehy for their roles in planning.
Nut graf: The mayor said the office is intended to adapt San Francisco's existing medical-cannabis framework to the broader, commercial market created by state legalization, address land-use and public-health issues, and prevent youth access and exposure.
Revenue and equity focus Lee said the city plans to propose a local cannabis tax on the February ballot and will form a cannabis-tax task force including the city administrator, treasurer, controller, Supervisor Sheehy and other stakeholders. The stated goals for tax revenue include funding health and social-welfare programs, job training and efforts to ensure marginalized communities benefit from legalization.
"Chief among the goals must be to ensure that marginalized communities benefit from the revenue," Lee said, also noting the city will assist eligible residents to clear certain prior cannabis convictions under state law.
What the mayor asked and next steps Lee called for a nimble city structure to handle volatility in an industry shifting from illicit to legal status, and said the citizen advisory committee will provide community input to the Office of Cannabis. No ordinance or tax measure was adopted at the meeting; the mayor announced planning steps and a proposal to place a tax on a future ballot.
Ending: City staff and supervisors will continue developing the office structure, licensing policy and local tax details ahead of any formal proposals for board approval or placement on the ballot.
