A local dispensary is concerned two measures on this November’s ballot taxing retail marijuana are misleading voters.
Grand County residents will decide two questions on increasing sales and excise taxes on retail marijuana this November. However, Igadi, a Tabernash dispensary and the county’s largest marijuana retailer, disputes the revenue numbers cited in the ballot questions, which they say are inflated.
One of the ballot questions, 1B, asks residents to decide whether or not they support increasing the excise tax, or a tax on the manufacturing of marijuana products, by 5 percent to raise $155,000 for the county’s general fund and the road and bridge funds.
The second ballot question, 1A, asks residents if they support increasing the retail marijuana sales tax by 5 percent to raise over $300,000 for the general and road and bridge funds.
According to the county, the number cited in the sales tax ballot language was based on state data regarding marijuana sales and the excise tax number is based on the state’s value of a pound of marijuana.
David Michel, general counsel for Igadi, said these numbers don’t reflect the reality of the business.
“The odds that we are going to see the demand in sales rise above the current demand in sales in the county is unlikely,” Michel said.
Michel said a 5 percent sales tax increase would mean that Igadi would pay around $109,000 a year to the county.
The other dispensaries affected by the tax increase, Bonfire in Tabernash and Serene Wellness near Winter Park, are smaller than Igadi and, therefore Michel is skeptical the $310,000 cited in the ballot measure is achievable.
County Commissioner Rich Cimino said the sales tax was calculated by the director of finance for the county based on previous sales tax collections in unincorporated Grand County recorded