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California uses cannabis tax revenue to give $35.5 million to community organizations

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The California Governor’s Office of Business and Economic Development (also referred to as GO-Biz) announced on June 1 that it will be Awarded $35.5 million in cannabis tax revenue community efforts.

The money comes from the California Community Reinvestment Grant Program, to which it will be directed organizations which assist with employment, mental health treatment, treatment for substance use disorders, navigation services in the system, legal services to address barriers to re-entry, and links to Medicare.

“We are proud to announce 78 grants totaling $35.5 million through the California Community Reinvestment Grants (CalCRG) Program. These grants will help serve communities across California that have been disproportionately affected by the war on drugs,” the organization wrote in Twitter.

In a press release, GO-Biz shared the need for cannabis tax funds to be used for specific communities in need of assistance. Harsh federal and drug-related policies enacted during that period led to mass incarceration of people of color, reduced access to social services, lost educational attainment due to diminishing eligibility for federal financial assistance, prohibition of the use of public housing and other forms of public assistance, and the separation of families. As stated in the statement.

Furthermore, GO-Biz Director and Senior Adviser to Governor Gavin Newsom Dee Dee Myers shared a statement regarding the program’s continued success. “Now in its fourth year, the California Community Reinvestment Grant Program continues its role as an important tool for communities that still face limitations and systemic barriers to opportunity and equity,” Myers said. “This latest round of awards will support the economic justice and well-being of communities across our state that have been disproportionately affected by the war on drugs.”

A total of 78 organizations were selected across California, located in Alameda, San Francisco, Los Angeles, Riverside, San Bernardino, San Diego counties, and more.

between the recipients Includes getting the highest amount of $900,000 JobTrainAnd the GRID Alternatives Greater Los Angeles, Inc. , Community Partners as a financial sponsor of Los Angeles Regional Re-entry PartnershipAnd the Recovery Cafe San Jose. Most others, like Legal Aid Corporation of Los AngelesAnd the Inland Valley Drug and Alcohol Recovery ServicesAnd the Kitchens for Good, Inc.He will receive $450,000.

In 2021, the program sent 58 grants totaling $29.1 million And in 2020, $30 million It was intended for a variety of cities and provinces.

Since California legalized the use of cannabis for adults in 2018, The state collected $3.76 billion in total tax revenueAccording to a press release published May 26 by the California Department of Taxes and Fees. This includes $1.91 billion in cannabis sale taxes, $467.75 million in cultivation taxes, and $1.38 billion in sales taxes.

newly, Newsom government budget proposal Allocate $150 million to cut cannabis taxes. In a press release, he said the temporary reduction would help small cannabis business owners, as well as reduce illegal sales. “This is it [the] A practical beginning in my humble opinion, in terms of my reasoning,” Newsom said. “This is going to be a multi-year process to get that black market, to get it on the decline — not the rise — and to put the retail market and the responsible adult use market on firm ground.”

Earlier this year, California announce They will give nearly $100 million to local governments and jurisdictions that will help strengthen their cannabis programs, and make them more efficient. Nicole Elliott, director of the Department of Cannabis Control, explained that this financial grant will help communities with special needs. “Significant funding is being directed to improving operations and environmental assessments, both of which will help state and local governments achieve short- and long-term goals,” Elliott said. more highest amount Awarded to the City of Los Angeles for $22,312,360, Humboldt County for $18,635,137, and Mendocino County for $17,586,406.62.



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