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A4 U.S. NEWS
Saturday 14 May 2022
Tax cut for California pot industry: Too little, too late?
By MICHAEL R. BLOOD "greatly simplify tax compli-
Associated Press ance, reduce the overall
LOS ANGELES (AP) — Cali- tax burden for our licens-
fornia's governor on Friday ees and help stabilize the
proposed a temporary tax legal market," said Nicole
cut for the state's struggling Elliott, director of the state
legal marijuana industry, Department of Cannabis
but businesses said it falls Control.
far short of what's needed If approved, the plan
to revive a foundering pot would represent the first
economy. change in tax policy since
Broad legal sales began in legal sales kicked off. How-
California in 2018, but the in- ever, some taxes, including
dustry has been burdened cultivation, have increased
by hefty taxes that can ap- over that time.
proach 50% in some areas, The plan disappointed
costly regulation and com- leading businesses, which
petition from a flourishing had been seeking elimina-
illegal marketplace, which tion of the cultivation tax,
industry analysts estimate is along with a cut in the ex-
at least twice the size of the cise tax imposed on retail
legal one. sales to 5%, down from 15%,
Meanwhile, a glut of can- among other changes.
nabis from corporate-scale Jerred Kiloh of the United
farms has sent wholesale A grower at Loving Kindness Farms attends to a crop of young marijuana plants in Gardena, Calif., Cannabis Business Associa-
prices into a tailspin, leav- on Dec. 28, 2018. tion, a Los Angeles-based
ing some growers unable Associated Press trade group, said the plan
to make a profit. would not allow companies
California was once envi- mended eliminating the ey to support a range of for grants to communities to reduce steep consum-
sioned as a national model much-despised cultivation education, law enforce- to accelerate licensing for er prices that have been
for legal sales, but industry tax, which is set at $161 ment and other programs retail shops. While cannabis driving buyers into the un-
leaders warned Democrat- on a pound of buds. But — a total of $670 million is legal in California, many derground market, where
ic Gov. Gavin Newsom in to make up for those lost each year — the excise tax communities have either taxes are not imposed and
December that the state's funds, the state after three could be stepped up to banned it or not set up lo- prices are cheaper.
licensed industry was verg- years would raise the excise cover that gap as soon as cal licensing programs for And it's even possible the
ing on collapse and need- tax imposed on retail can- January 2024, though not markets to operate. There plan could result in high-
ed immediate tax relief nabis purchases to 19%, up necessarily to the 19% level. are less than 1,000 retail er costs for consumers at
and a swift expansion of from the current 15%. Additionally the state is put- shops, down from about the retail counter, Kiloh
retail outlets to survive. Under the proposal, how- ting up a one-time $150 mil- 8,000 before broad legal- warned. "All they are really
In a proposal to the Legis- ever, an excise tax jump lion stream of funds to help ization kicked in, businesses doing is shifting some taxes
lature for the budget year could come sooner. cover those costs. say. around, and it's not ever
that starts in July, the New- If the state isn't taking in There are other provisions, Overall, the governor's going to get to the custom-
som administration recom- enough cannabis tax mon- including about $20 million proposed changes would er," Kiloh added.q
Woman named sexton of historic Boston church for 1st time
ly 300-year history. It's a sworth Longfellow's 1860 sorts of jobs."
job that involves caring for poem "Paul Revere's Ride." One of Millsap's jobs is to
and maintaining the parish One of the people who climb the steeple stairs to
buildings and equipment, hung the lanterns was Rob- light the lanterns during
including an 18th-century ert Newman, the sexton at commemorations of the
clock, the 75-piece chan- that time. "What an incred- event.
deliers and the crypt where ible opportunity to be able Millsap is a descendant of
more than 1,100 people to sit in the very same pew teenage Mayflower pas-
have been laid to rest. as Robert Newman and in senger Mary Chilton, who
One of her first tasks will be a world that is so divided to is buried at nearby King's
managing a major renova- work in a place that wel- Chapel in Boston.
tion and restoration of the comes all people from Bos- "The sexton is an incredibly
crypt. tonians to world dignitaries, important role at Old North,
The church, still home to like the Queen," Millsap, a serving both the church
an active Episcopal con- Detroit native and former and historic site and con-
In this handout photograph provided by Jason Fishman, Chel-
sea Millsap, who was named sexton of the historic Old North gregation, is famous as the firefighter with experience necting a nearly 300-year
Church, poses May 3, 2022 in Boston. place where in 1775, two in fire prevention, security lineage of caretakers," Nikki
Associated Press lanterns in the steeple sig- technology and project Stewart, executive director
naled that British soldiers management, said in a of the Old North Founda-
BOSTON (AP) — The thou- just have the most impor- were heading to Concord statement. tion said. "Chelsea's pas-
sands of tourists who visit tant job at the historic site. and Lexington, sending "I could have been the sion for public history and
Boston's Old North Church Millsap, 32, who can trace Paul Revere on the ride one to hang the lanterns historic preservation will en-
probably won't see much her ancestry to the Pilgrims, that sparked the American 247 years ago. It is such an sure that Old North Church
of Chelsea Millsap on their is the first woman named Revolution. The event was honor to show women that carries on for generations
trip, even though she may sexton in the church's near- immortalized in Henry Wad- they too can hold these to come."q