Press Releases

Legislation Would Generate $1 Billion in New Revenue for CA

San Francisco, CA – Today Assemblymember Tom Ammiano (D-San Francisco) announced the introduction of groundbreaking legislation that would tax and regulate marijuana in a manner similar to alcohol. The Marijuana Control, Regulation, and Education act (AB 390) would create a regulatory structure similar to that used for beer, wine and liquor, permitting taxed sales to adults while barring sales to or possession by those under 21.

“With the state in the midst of an historic economic crisis, the move towards regulating and taxing marijuana is simply common sense.  This legislation would generate much needed revenue for the state, restrict access to only those over 21, end the environmental damage to our public lands from illicit crops, and improve public safety by redirecting law enforcement efforts to more serious crimes”, said Ammiano.  “California has the opportunity to be the first state in the nation to enact a smart, responsible public policy for the control and regulation of marijuana.” 

Having just closed a $42 billion budget deficit, generating new revenue is crucial to the state’s long term fiscal health. Board of Equalization Chairwoman Betty Yee said, "This common sense measure effectively prioritizes state resources during these times of fiscal constraint. Prioritizing law enforcement to control the most serious drugs while raising new revenues from casual marijuana use directed to treating serious drug addiction is a prudent use of limited resources."

"I support this legislation because I feel this issue should be the subject of legislative and public debate,” said current San Francisco Sheriff Mike Hennessey.  Orange County Superior Court Judge (retired) James P. Gray added, “Assemblymember Ammiano is to be applauded in addressing this critical issue honestly and directly.”

“Marijuana already plays a huge role in the California economy. It’s a revenue opportunity we quite simply can’t afford to ignore any longer,” said Stephen Gutwillig, California state director for the Drug Policy Alliance. “It’s time to end the charade of marijuana prohibition, regulate the $14 billion market, and redirect law enforcement resources to more important matters. Assemblymember Ammiano has done the state an enormous service by breaking the silence on this commonsense solution.”

"It is simply nonsensical that California's largest agricultural industry is completely unregulated and untaxed," said Marijuana Policy Project California policy director Aaron Smith. "With our state in an ongoing fiscal crisis -- and no one believes the new budget is the end of California's financial woes -- it's time to bring this major piece of our economy into the light of day."