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Marijuana Tax Revenue Should Fund Subway Improvement, New York’s Cuomo And De Blasio Say

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Tax revenue from legal marijuana sales would help fund efforts to improve the Metropolitan Transportation Authority (MTA) in New York under a plan announced on Tuesday by Gov. Andrew Cuomo (D) and New York City Mayor Bill de Blasio (D).

As the state moves closer to legalizing cannabis, leading lawmakers are already seeing opportunities to use marijuana tax revenue for infrastructure projects. In this case, the governor and mayor agreed that some of those dollars should supplement revenue from a congestion pricing plan they’re proposing.

“Congestion pricing tolls would be supplemented with State and City revenue from a fixed amount of the new internet sales tax derived from sales in New York City, with a growth factor, and a percentage of the State and City revenue from the cannabis excise tax,” reads part of the plan.

Portions of state and city marijuana tax revenue “will be placed in a ‘lockbox’ to provide a funding source necessary to ensure the capital needs of the MTA can be met, with priority given to the subway system, new signaling, new subway cars, track and car repair, accessibility, buses and bus system improvements and further investments in expanding transit availability to areas in the outer boroughs that have limited mass transit options.”

It was unclear whether Cuomo would back earmarking marijuana funds for transit when the idea was floated in December. But its inclusion in his and de Blasio’s 10-point plan, which also calls for the consolidation of transportation entities and combating fare evasion, puts an end to that question.

A report from New York University’s Rudin Center for Transportation Policy and Management noted that the state can expect to generate as much as $677 million in tax revenue from marijuana sales in the first year and concluded that legalizing cannabis “should be considered in designing any policies to improve the mass transit and commuter rail systems under the control of the MTA.”

But not everyone is on board. Some drug policy reform advocates have pushed back against using marijuana revenue for subways, for example.

Cannabis revenue should not be directed “to entities like the MTA, NYCHA and Health and Hospitals, which have consistently propagated harm and been complicit in the arrest crusade by targeting people who have used marijuana by calling the police or taking black and Latina mothers away from their children after nonconsensual maternal drug tests,” Melissa Moore,  New York State deputy director of the Drug Policy Alliance, wrote in an editorial.

The money should instead go toward “marginalized communities, and the people first in line need to be the people who have been ravaged by overpolicing and impacted by other insidious criminalization,” she wrote.

Assembly Speaker Carl Heastie (D) also expressed concerns about the transit funding proposal on Tuesday.

But lawmakers who had led on marijuana legalization proposals in the legislature seem more open to the idea of putting at least some amount of revenue toward transportation projects.

“I don’t think we should collect all of the cannabis revenue and put it into the MTA,” Assembly Majority Leader Crystal Peoples-Stokes (D) told Politico. “I totally, adamantly disagree with that, but do I think there’s some opportunity to identify a level of resources that can go on a consistent basis that they can use to plan budgets and capital projects, absolutely.”

“There was always an assumption that some money would go to the general fund, and if the governor and mayor are saying mass transit…there’s nothing inconsistent with that and the work Crystal and I have been doing,” Sen. Liz Krueger (D) said.

Cuomo included marijuana legalization language in the annual budget he proposed to lawmakers last month, but it is not clear whether the idea will end up making it into final enacted fiscal legislation or, if so, what form it will take.

Cuomo and de Blasio both first endorsed legalizing cannabis for the first time in recent months.

New York Cannabis Clash: Should Marijuana Taxes Fund Subways Or Social Justice?

This story has been updated to include comments from Heastie, Peoples-Stokes and Krueger.

Photo courtesy of Wikimedia.

Marijuana Moment is made possible with support from readers. If you rely on our cannabis advocacy journalism to stay informed, please consider a monthly Patreon pledge.

Kyle Jaeger is Marijuana Moment's Los Angeles-based associate editor. His work has also appeared in High Times, VICE and attn.

Politics

Cory Booker Endorses Bill To Legalize Marijuana In New Jersey

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Efforts to legalize marijuana in New Jersey received a high-profile endorsement on Friday, with U.S. Sen. Cory Booker (D-NJ) voicing support for the bill in a statement.

The senator, who is a 2020 Democratic presidential candidate and also sponsored congressional legislation to end federal cannabis prohibition, is the latest in a growing list of political leaders who’ve advocated for the bill, which was approved by state Senate and Assembly committees earlier this week and is expected to receive floor votes in both chambers on Monday.

“New Jersey is the first state in the country to couple decriminalizing marijuana with strong criminal justice reform measures to redress the decades of immense harm inflicted by an unfair system,” Booker said. “All too often, communities of color and low-income individuals are unjustly impacted by our broken drug policies, but by including measures to expunge records and reinvest in the communities most impacted, our state has the opportunity to lead in prioritizing social justice.”

The bill’s focus on social equity provisions has been critical in shoring up support as the legislature gets closer to a vote. Gov. Phil Murphy (D) has been putting out calls to advocates and lawmakers to get the legislation advanced, which would fulfill a campaign promise of his.

“With this bill, New Jersey legislators can send a strong message to the country that marijuana legalization and social justice must be inextricably linked,” Booker said. “I’m hopeful our state will succeed in setting this example.”

It’s been a complicated process to form a coalition united around passing legalization in New Jersey. Disagreements between the governor and lawmakers about certain aspects of the bill such as tax rates and regulatory structures were finally resolved earlier this month when a compromise was reached. And amendments to expand expungement provisions gave the mayors of the state’s two largest cities proper assurance to back the legislation.

That said, Newark Mayor Ras Baraka (D) and Jersey City Mayor Steven Fulop (D) continue to push for automatic expungements, as opposed to virtual expungements. Murphy said that automatic expungements is not a feasible policy.

“Now more than ever, we must work together,” the mayors said in a statement on Friday. “Again, we stand in unison in support of this legislation that could potentially become New Jersey’s law. We should aim to become a model state from which other states can clearly follow. We should address these issues in a manner that protects our communities and the people that live here.”

On Thursday, the governor’s office also released a list of quotes from lawmakers, activists and spiritual leaders voicing support for the legalization legislation.

“If we have learned anything at all, it is that the status quo has been disproportionately unfair to minority communities,” Assembly Speaker Craig Coughlin (D) said. “This bill is a step in the right direction to correct that inequality.”

Senate President Steve Sweeney (D) agreed, saying the legalization bill will “advance social justice, legal justice and economic justice in meaningful ways.”

“This is an opportunity for continued progress as we strive for a society that respects the rights of everyone,” he said.

Whether the legislation will be approved is yet to be seen. NJ.com is keeping track of where lawmakers currently stand on the bill, and as of Friday afternoon their online whip count shows that a majority in the Senate plan to vote against it, while votes allocated so far in the Assembly are roughly even.

New Jersey Lawmakers Approve Marijuana Legalization Bill

Photo courtesy of Jamelle Bouie.

Marijuana Moment is made possible with support from readers. If you rely on our cannabis advocacy journalism to stay informed, please consider a monthly Patreon pledge.
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Connecticut Lawmakers Hold Two Simultaneous Hearings On Marijuana Legalization Bills

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Two Connecticut committees held hearings on bills to legalize marijuana and expand the state’s medical cannabis program on Friday.

The proposed legislation would permit adults 21 and older to possess, purchase and consume certain amounts of marijuana for personal use. The House bill also includes a number of social equity provisions that are meant to encourage people from communities that were disproportionately impacted by prohibition to participate in the legal industry.

While reform advocates generally support the bills, they’ve also made a series of recommendation to increase the focus on restorative justice and to include policies such as allowing home cultivation.

In the legislature’s General Law Committee, witnesses including a commissioner for the state’s medical cannabis program and social equity advocates testified about HB 7371. That bill would establish a governor-appointed commission to regulate the industry, give licensing priority to individuals from communities most impacted by the drug war and require the commission to conduct a study on permitting a home grow option and microbusinesses.

“The time has come to move this forward. We think this is a fantastic start [and] there is definitely some amazing language in here,” Jason Ortiz, president of Connecticut United for Reform and Equity (CURE), said at the hearing. “There’s just some other pieces that we think undermine the really good parts that we can strike out and maybe amend and move the basic ideas forward.”

Advocates want to change the legislation so that home cultivation and microbusinesses are allowed from the outset, for example.

“Marijuana prohibition was borne of misinformation and racism and it continues to be enforced unequally to this day,” Karen O’Keefe, director of state policies at the Marijuana Policy Project (MPP), testified.

Over in the Judiciary Committee, experts dedicated significant time to testimony about the public health and safety impacts of cannabis legalization. Lawmakers pressed the witnesses on issues such as labeling requirements, what kinds of edibles should be allowed, impaired driving and the mental health affects of consuming high-THC marijuana varieties.

The bill before that panel, SB 1085, would also legalize cannabis for adult use. But the legislation has a focus on expungements for individuals with prior marijuana convictions for possession of 1.5 ounces or less.

As with the House bill, advocates are supportive of the spirit of the legislation but feel certain provisions fall short. For example, MPP said that expungements should apply to convictions for any kind of cannabis conviction. The organization also called for a home grow option, which is not included in either legalization bill under consideration.

Two other pieces of cannabis legislation were discussed at the Judiciary committee hearing. One would create a misdemeanor penalty for driving while consuming marijuana and provide $500,000 in funding for law enforcement to train officers as drug recognition experts. The other bill specifies that employers don’t have to provide special accommodations for employees who use cannabis while working.

As one of the states considered most likely to legalize cannabis in 2019, the hearings offer another example of how the conversation around reform has shifted from “should it be legal” to “how should it be legal,” with the hearings largely concentrated on defining and promoting social equity provisions.

If either bill makes it through the legislature, Gov. Ned Lamont (D) is expected to sign.

He’s called the issue one of his “priorities” for the current legislative session and spoke about the issue during a budget speech last month.

Committee votes are expected on Monday.

Military Veterans Organizations Press Congress On Medical Marijuana Research

Photo courtesy of Brian Shamblen.

Marijuana Moment is made possible with support from readers. If you rely on our cannabis advocacy journalism to stay informed, please consider a monthly Patreon pledge.
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GOP Lawmakers Want Marijuana Banking Vote Delayed In Congress

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A key congressional committee is scheduled to vote on far-reaching legislation that would expand marijuana businesses’ ability to store their profits in banks on Tuesday.

But key Republican lawmakers on the panel are now asking Chairwoman Maxine Waters (D-CA) to delay the vote.

Please visit Forbes to read the rest of this piece.

(Marijuana Moment’s editor provides some content to Forbes via a temporary exclusive publishing license arrangement.)

Read the full letter seeking a delay in the marijuana banking vote below:

GOP seeks delay on marijuan… by on Scribd

Marijuana Moment is made possible with support from readers. If you rely on our cannabis advocacy journalism to stay informed, please consider a monthly Patreon pledge.
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