Cannabis tax revenues are fueling universal basic income initiatives in US cities

Several US cities include the use of cannabist revenue to finance UBI programs (Universal Basic Income).

Albuquerques groundbreaking UBI program

Albuquerque, New Mexico, started a remarkable initiative by assigning 4.02 million US dollars from the tax revenue of cannabis to support a UBI program annually. Half of this financing is aimed at the office for equity and inclusion to deliver 80 US dollars monthly payments to 80 households over three years and to concentrate on the international district and Westside quarter. These areas were selected due to their economic challenges and historical effects of cannabis criminalization. The remaining funds support youth-oriented initiatives, including prevention and recovery services for substance use.

Rochester's vision for UBI funded by cannabis

In Rochester, New York, the Mayor Malik Evans has proposed to use cannabis tax revenue to receive a UBI program that currently delivers monthly payments of 500 US dollars to 175 families. The program is originally financed by the American Rescue Plan and aims to switch to a more sustainable model through cannabis taxation. This approach tries to deal with the wealth gap, which is exacerbated by earlier persecution of cannabis.

Wider implications and future prospects

These initiatives reflect a growing trend of using cannabist tax revenue for social stock programs. By redirecting cannabis sales to support UBI programs, cities want to correct historical injustices and offer under -provisioned communities of economic stability. Since more and more municipalities are investigating similar models, cannabis taxation could become a crucial instrument in order to promote economic equity nationwide.