A New Mexico Senate committee approved a bill on Tuesday that would legalize marijuana for adult use.
With a little more than three weeks left in the state’s short 2020 legislative session, lawmakers are making clear their intent to advance the legalization proposal in a timely fashion.
The bill, which is supported by Gov. Michelle Lujan Grisham (D), cleared the Senate Public Affairs Committee in a 4-3 vote.
Sen. Jacob Candelaria (D) led the introduction of the bill before the committee, testifying that he believes “2020 is the year New Mexico becomes the third state to enact legalization of cannabis through legislative action,” following Vermont and Illinois.
“We know that New Mexicans across the state, from rural to urban centers, are with us on this issue.”
“Bringing an underground market aboveground takes a lot of deliberation, statewide input from community members and stakeholders, ingenuity and learning from other states’ experiences,” the senator, who is himself a medical cannabis patient, said. “The criminalization of cannabis disproportionately harms and criminalizes young people and people of color, sponsors violence and corruption by those who currently exclusively trade in cannabis in the black market. The current situation, our status quo that relies on a black market outside of the medical program, does nothing to curb youth access to cannabis.”
The governor included legalization in her formal 2020 legislative agenda and discussed the importance of establishing a well-regulated and equitable cannabis market in her State of the State address this month.
✅ SB 115, legalizing recreational adult-use cannabis, successfully passes out of its first committee! Recreational cannabis will be the next frontier of our economic expansion, creating 11,000 jobs across New Mexico & true economic potential for every part of the state. #SB115 pic.twitter.com/jgLnRX8UDY
— Michelle Lujan Grisham (@GovMLG) January 29, 2020
The day after Lujan Grisham’s agenda was released, lawmakers filed the legalization bill, which would allow adults 21 and older to possess and purchase marijuana from licensed retailers. The legislation also contains social justice provisions such as automatic expungements for prior cannabis possession convictions.
The proposal would not allow home cultivation; however, it does decriminalize the cultivation of up to three plants and six seedlings, making the offense punishable by a $50 fine without the treat of jail time.
Additionally, the bill would eliminate the gross receipts tax for medical cannabis sales, mandate that recreational dispensaries service registered patients and create a subsidy program for low-income patients to access marijuana.
Recreational cannabis sales would be taxed at nine percent, with revenue going toward that subsidy program in addition to a “cannabis industry equitable opportunity investment fund” to support entrepreneurs from communities most impacted by the drug war, a “community grants reinvestment fund” and a workplace training program, among other programs.
— NM Senate Democrats (@NMSenateDems) January 29, 2020
According to a fiscal analysis, the state stands to bring in nearly $6.2 million in recreational cannabis revenue in Fiscal Year 2021. By FY20204, that amounts would rise to nearly $34 million. Municipalities and counties would rake in additional revenues.
“Legalizing and regulating will bring one of the nation’s largest cash crops under the rule of law, generating an estimated between 11,000 and 13,000 jobs for New Mexicans in every corner of the state,” Candelaria said.
The legislation must still pass in two other panels—Judiciary and Finance—before it gets a full vote on the Senate floor.
This latest development at the committee-level is the product of months of work from legislators and the governor’s administration. Last summer, Lujan Grisham formed a working group tasked with reaching out to community members and stakeholders, studying various components of cannabis regulation and submitting recommendations ahead of the current session.
The final report, which was released in October, laid out a number of proposed rules and restrictions for a legal marijuana market.
Earlier last year, the New Mexico House of Representatives approved a bill to legalize marijuana but it later died in the Senate. Lawmakers did send Lujan Grisham a more limited bill to simply decriminalize cannabis possession, which she signed.
While it’s possible that the current committee-passed legislation will be amended as it makes its way to a full Senate vote, or that companion legislation could be changed in the House, recent polling shows that New Mexico residents are widely in favor of the general policy change. Three-out-of-four residents who participated in a state-funded survey that was released last month said they back legalization.
If all goes according to the governor’s plan, a final legalization bill will be delivered to her desk by the end of the session—and upon her signature, New Mexico would likely become the 12th state to legalize recreational marijuana.
That said, lawmakers in states across the U.S. are eyeing cannabis reform this year, and a marijuana legalization bill advanced in a New Hampshire House committee earlier on Tuesday.
Photo courtesy of Philip Steffan.