Capitol Rally to Bring the Cannabis Tax Crisis to California Legislature’s Doorstep

A chorus of industry representatives and lawmakers representing “the two populations most harmed by the war on drugs” – veteran farmers and BIPOC leaders – plan to hold a Thursday 13th press conference. The rally begins at 11 a.m. PST and any local cannabis advocate who cares about the viability of the industry is invited.

The # NODRUGWARV2 rally and press conference highlights two specific actions that California state lawmakers must take ahead of the July 1, 2022 budget deadline: the elimination of excise tax for stock retailers and the elimination of cultivation taxes for all growers across the state.

On January 1, the California Department of Tax and Fee Administration’s tax hike on dry weight flowers went into effect – heralding the latest blow for growers. Rates rose nearly five percent to hit over $ 161 a pound. Calling the current tax situation in California the “War on Drugs 2.0” – the idea is to add a sense of urgency to the issue as farms fail and tax rates purge valuable industry members.

Speakers for the rally will include, in order of appearance, Amber Senter, Chairwoman and General Manager of Supernova Women; Assembly member Mia Bonta (18th district); Genine Coleman of Origins Council; Kika Keith of Gorilla RX Wellness; John Casali of Huckleberry Hills Farm; Chaney Turner of Oakland’s Cannabis Regulatory Commission; Raeven Duckett-Robinson of Community Gardens; Casey O’Neill of HappyDay Farms; Henry Alston by James Henry SF; Sam De La Paz from Hessel Farmers Grange; Malakai Amen of the California Urban Partnership; Karla Avila of Trinity County Agriculture Alliance; Carlton Williams of New Life CA; and Senator Steve Bradford (35th Ward). The sender will be the last speaker and conclude the day’s remarks.

On Monday, January 10, Governor Gavin Newsom released California’s state budget for 2022-2023 – he pledged that he and his government will address cannabis tax reform and better support the state’s small licensed operators who are fed up with repressive tax rates. The leaders behind the Supernova Women and Origins Council are among those who beat the drum.

“It’s very depressing. Really – we’re in a crisis, “Amber E. Senter of Supernova Women, a nonprofit committed to empowering blacks and browns to become self-sufficient shareholders in the cannabis space, told High Times. “The sale of cannabis is falling. The whole economy is a bit soft. People have only been dealing with these onerous taxes since 2018 and the people are really beyond their limits. You no longer have the option to continue with what we’re up against – especially in the Bay Area as well as LA. Many operators – especially social justice operators – have faced economic robberies and break-ins that make people desperate and act out of desperation. People get robbed and just can’t recover from what is happening. We need some relief. “

“The state has not only failed to keep its promise to redress the injustice inflicted on minority communities by the war on drugs,” said Senter, “but has also continued the regressive policy of the War on Drugs 2.0 through repressive taxation must come to an end. ”

Supernova Women was behind the Oakland City Hall rally and press conference on November 29, 2021, with help from Origins Council, a nonprofit that represents and advocates cannabis companies in California’s historic growing areas. There they addressed the spate of robberies hitting cannabis companies.

Old farmers are among those who are hardest hit by the burden of the tax structure. “From the point of view of a small old farmer in a rural area, it is absolutely urgent. Those deals are starting to break, “Genine Coleman, executive director of Origins Council, told High Times. “These farmers are starting to offer their land for sale and are moving away. The potential extinction event has begun and time is of the essence – especially for farmers who are weighing up whether to start farming this year. It is always a challenge to work at the pace of government and politics. Remember, we are farmers – so we have an agricultural schedule. And right now these farmers are faced with these painful decisions: will they plant their license or give up? Maybe close the farm? There are other tandem advocates we have that are time sensitive as well. The ability for farmers to lie fallow for a year – keep their licensing but not bear the licensing costs, including some local tax structures regardless of what your harvest will be that year. “

The Origins Council represents nearly 900 growers and employees through its partnership with the Trinity County Agriculture Alliance, Humboldt County Growers Alliance, Mendocino Cannabis Alliance, Sonoma County Growers Alliance, Nevada County Cannabis Alliance, and Big Sur Farmers Association.

“When the tax was introduced, it was near 10 percent of farm sales,” HappyDay Farms’ Casey O’Neill told the High Times. “With the market crash, the tax now accounts for up to 50 percent of agricultural sales. This is unacceptable, especially when California has a budget surplus of billions of dollars. Farms are on the verge of bankruptcy, now is the time for bold action. “

Johnny Casali, a multigenerational smallholder farmer sentenced to 120 months in federal prison for growing this plant. Casali highlighted the details of how the dry weight tax affects farmers. “I used to sell our sung cannabis from Huckleberry Hill Farm for around $ 1,400 a pound. Because of the overproduction and lack of market access, it’s dropped in value to $ 3-400 a pound, depending on the quality, and I’m paying a 53 percent grow tax of $ 161.28 a pound. After the production costs, I am in the red. With this rally, I hope that legislators will see smallholders the way I do – as a rare, phenomenal group of hard-working family farmers who adore the land, who are die-hard environmentalists and who have been taught how to make the best cannabis in the world by their parents and grandparents World with little to no carbon footprint. We are worth saving. “

The # NoDrugWarV2 rally and press conference with the Supernova Women and Origins Council is scheduled for Thursday, Jan. 13 at 11 a.m. PST on the steps of the Capitol on the west side. Please appear masked and ready to apply best practices to prevent COVID-19.

Do you live far from Sacramento? Remote participants can follow the rally live via Facebook or Instagram.