Mendocino county panel hears growerscalls to remove "true up" and weigh temporary tax cut

The Mendocino County General Government Committee spent more than two hours on March 25 hearing pleas from cultivators and industry representatives to remove the annual cannabis "true up" minimum and consider a near-term tax cut to keep small operators solvent.

Supervisor Haczek, who authored the item, told the committee the county has already reduced rates in recent years but growers remain under severe financial strain and he proposed an interim 50% reduction: "I think that maybe we should look at, like, 50%," he said, arguing that a temporary break could keep businesses in operation while staff explore longer-term restructuring.

Why it matters: the "true up" is a minimum tax mechanism tied to permit square footage that can produce a fixed bill even when a grower has little or no sales, cultivators and industry groups told the committee. Multiple public speakers said that disproportionally harms small and low-sales operators and urged a move to a sales-based or percentage model.

Auditor-controller Shamise Kavison told the…