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Clearlake council extends cannabis development agreements and cuts production fee to 1% for 2023
Summary
Clearlake’s City Council voted unanimously to extend all current commercial cannabis development agreements by seven years and temporarily reduce the production fee from 5% to 1% for calendar year 2023, citing market pressures and state policy changes.
The Clearlake City Council on a unanimous vote approved a resolution extending current commercial cannabis development agreements by seven years and temporarily reducing the city’s production (gross‑receipts) fee from 5% to 1% for Jan. 1–Dec. 31, 2023.
City Manager Alan Flora told the council the industry had not developed as expected and that lowering the fee could encourage stalled operators to invest locally. "We're temporarily reducing the fee from 5% to 1% for the next 12 months, January 1 through the end of 2023," Flora said during the item’s staff…
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