Agenda Date: 08/20/2024
Subject:
Title
Ordinance 21-2024: An ordinance on second reading submitting to the registered electors of the City of Littleton, Colorado a ballot issue regarding a proposed additional increase of a 4.0 percent tax on the retail sale of marijuana and retail marijuana products
Body
From:
James L. Becklenberg, City Manager
Prepared by:
Reid Betzing, City Attorney
Presentations:
Kathleen Osher, Assistant City Manager
PURPOSE:
The purpose of this ordinance is to determine whether city council would like to place a ballot issue on the November 5, 2024 election with those revenues generated to go directly towards expanding people-first crisis response to community members who are experiencing issues related to mental health, depression, poverty, housing instability, and/or substance use issues.
LONG-TERM OUTCOME(S) SERVED:
Safe Community
DISCUSSION:
At the July 23, 2024, study session, city council discussed whether they would be in support of bringing a ballot issue to the registered electors on the November 5, 2024, election related to increasing the additional sales tax on retail marijuana and retail marijuana products. Additionally, discussion was had on to what types of uses those additional revenues should be put towards.
City council provided direction at that study session to prepare an ordinance referring a ballot issue to the registered electors whereby the additional tax would be increased from the existing three percent (3%) to seven percent (7%). New revenues would be dedicated to maintaining and preserving the city's efforts in proactive public safety partnerships, services, and initiatives.
Based on recent years' growth trends for this revenue, the increased rate would generate approximately $538,000 in additional sales tax revenue its first year. However, the city recently modified its rules for marijuana retailers to allow for longer hours of operation and potentially increased retail square footage. Given the unce...
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