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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
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