Special Meeting to Discuss DHS Cannabis Tax

On Tuesday, June 30, at  2PM,  the Desert Hot Springs City Council will be discussing Cannabis taxes at a special meeting. Your opinion counts!

The item on the agenda is informational. City staff will present a report, and the Council will listen to public comment. We believe that the Council may consider a change or reduction in taxes, especially the cultivation tax, at a future meeting. However, this is an important step and your voices need to be heard. Attending the meeting virtually, making public comment, or sending a letter or email to the Clerk supports redoing the  cannabis tax to ensure that Desert Hot Springs is competitive with other cities in California.

One of the goals of the city of Desert Hot Springs is to be known as a “Business-Friendly City.” On June 30th at 2pm there are 4 cannabis related items on the study session that will be discussed:

1. Allowing light distribution uses for Marijuana Storefront Retail Facilities
2. Proposed ordinance for “Cannabis Hotel”
3. Allowing and Setting parameters for Marijuana Entertainment Facilities
4. Assessment of Current Cannabis Taxation

Desert Pacific Properties and CVCAN “ The Voice of the Cannabis Industry” would like you to share your opinion. The first 3 agenda items are very “Cannabis Business Friendly.”  However, the staff’s recommendation on item #4 Cannabis Taxation is to receive and file. We want them to take action to ensure long term growth and further study the impact of reducing taxes to be more reasonable and competitive.

Your opinion is valuable. Simply email [email protected] your answers to the questions below. Please reply by Monday 6/29 at 8pm.

Everyone’s answers will be compiled and given as a bundled response to the City Council prior to the study session. Our goal is to show strength in numbers. We need your help! Please reply with your answers to the following questions:

Cultivation Tax – Is the current cultivation tax of $25.50 per s/f for the first 3,000 s/f of cultivation and $10.20 per s/f for remaining area “business friendly”, reasonable, and competitive compared to the other California Cannabis cities? If not, what should the tax be in order to attract cannabis operators to DHS? Dispensary Sales Tax – Is 10% tax “business friendly” compared to other cities in California? If not, what should the tax be to be more reasonable and competitive with the cities in California? Cannabis Friendly Advice – What recommendations would you give to the City of Desert Hot Springs in regards to being more “business friendly” to attract more cannabis business?

After sending in your answers to the questions, here is how you can make a difference:

1. Watch the Meeting Live on the City of Desert Hot Springs YouTube Channel at this link:  https://www.youtube.com/channel/UC6I0eH2pIjdRtqc9696_e7g

2. Option for the council to hear your opinion, submit Comments in Writing. Here is a letter template to use. You may also submit your comments in writing via email to the City Clerk at [email protected]. To give the City Clerk adequate time to compile, please submit no later than 12:00 P.M. on June 30, 2020. All written public comments will be distributed to the City Council and included as part of the record.

It is important that you speak during Public Comment. YOU MUST REGISTER OR EMAIL THE CLERK IN ORDER TO BE HEARD.

3. Participate via Zoom – CLICK HERE to register. When you register, make sure to select “I wish to speak during: AN AGENDA ITEM”, and write in “AGENDA ITEM 4 / CANNABIS TAXATION”.

CLICK HERE to view the agenda, staff reports and exhibits (interactive)

CLICK HERE to download the AGENDA PACKET (PDF).pdf

We look forward to working together on the Desert Hot Springs Cannabis tax and legislation. Please contact Paula if you have any questions: [email protected]