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Ceres council directs staff to draft tiered cannabis tax and tighten enforcement of local rules
Summary
After a lengthy presentation and public comment, the council asked staff to prepare a resolution with tiered tax rates (retail 4%, manufacturing 3%, distribution 2%, labs 1%, cultivation by square footage), keep the DA/CUP framework and return with ordinance language and options on caps.
The Ceres City Council on Sept. 8 directed staff to prepare a package of measures to transition the city's cannabis pilot program into a clearer tax-and-regulatory framework.
At a presentation by City Attorney Nubia, staff summarized the city's existing pilot structure (development agreements and conditional-use permits), recent state changes to the cannabis excise tax and options for local control. Nubia said voters previously authorized the council to set a cannabis business tax of up to 15%, but the council has not yet fixed a local rate and has instead relied on negotiated development agreements for existing operators.
Council members and staff focused on three questions: whether to set a tax and at what rates; whether to cap…
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