California bill, AB390, to legalize and tax marijuana

Facing a 26 million dollar budget deficit, the state of California is in dire financial straits.  Democratic state assemblyman Tom Ammanio thinks he is just the man to fix it.  He has introduced a bill to legalize marijuana in California. The bill  could bring the state much needed tax revenue, and some well deserved r&r.


California Assembly Bill 390

Also called the Marijuana Control, Regulation, and Education Act, the bill would place pot in the same class as alcohol. Sale would be limited to adults over the age of 21, and possesion limited to one ounce.
Grower's must obtain a state license, at a one time fee of $5,000, and a yearly renewal of $2,500. All pot grown and sold would then be taxed at $50 per ounce. While the fees may seem steep, it is a realtively small price to pay for legitamacy. It is estimated that the bill could net the state as much as $1 Billion dollars annually from grow liscences and tarrifs alone. According to The National Organizaiton for the Reform of Marijuana Laws (NORML), the state could save an additional $12-$18 billion in enforcement and prosecution.

Cash Crop

Weed is by far the state's largest cash crop. A report released by the California Board of Equalization asserts that the illicit  growth of cannabis is a nearly $14 billion a year industry. That's almost $9 billion more than vegetables or grapes.  With the state facing such a crisis, it's crazy to think they wouldn't want to capitalize on this.

"It is simply nonsensical that California's largest agricultural industry is completely unregulated and untaxed" -Aaron Smith, policy director of Marijuana Policy Project, California

 Judging from these figures, I'd say that enforcement has proven ineffective, and if the state is powerless to stop it, then they should at least reap the benefits.

But it's not over yet...

Don't spark 'em up yet! The bill is expected to be heard by the full assembly by this January. From there, it will require 400,000 signatures to be included in the November 2010 ballot. This is not a reason to lose hope. Local tv station KCRA conducted a poll showing an 81% majority in favor of legalization.

Times being what they are, it's harder and harder to justify the status quo.

What are your thoughts on the issue?