Marijuana

The Role Of Marijuana Tax Revenue In Fighting Racial Injustices

The proper allocation of marijuana tax revenue is part of the national issue of cannabis reform.

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Nationwide protests in the wake of the killing of George Floyd have reignited a public debate over police brutality in this country. Alongside calls for police reform have emerged other demands, demands of defunding the police.

The call to defund the police is, of course, a financial issue, but it is also about building constructive police alternatives. It is a call to reinvest in communities and explore new and more equitable solutions.

This is precisely what the City Council of Portland, Oregon, tried to convey last Thursday, when it approved an amendment to a proposed budget that would divest approximately $27 million from marijuana tax revenue funds from the city’s police department to programs focusing on restorative justice initiatives.

Back in 2016, Portland passed Recreational Marijuana Sales Measure 26-180, a measure that allocated marijuana tax dollars to substance misuse treatment, public safety, and small business development, a 2019 report from the Portland City Auditor revealed that 46 percent of marijuana tax revenue has gone directly to the Portland Police Bureau.

This misallocation of marijuana tax revenue is paradoxical in that the money is funding the very institution that has disproportionately targeted communities of color — particularly black and brown men — in the enforcement of marijuana laws.

Since the 1970s, enforcement of marijuana possession laws has been carried out with staggering racial bias. According to a 2013 report published by the American Civil Liberties Union (ACLU), nearly half of all drug arrests made in 2010 were for marijuana possession. Although marijuana use was roughly the same among blacks and whites, blacks were nearly four times as likely to be arrested for marijuana possession.

As Jason Ortiz, President of the Minority Cannabis Business Association (MCBA) and a police accountability activist, stated in a recent press release, “[t]his [misallocation of marijuana tax revenue] is not just an Oregon problem, this is a national disgrace.” Ortiz explained that the MCBA expects jurisdictions across the United States to follow Portland’s lead and encouraged all national cannabis justice advocates to investigate their municipal finances and local cannabis company investments to determine if and how marijuana tax revenues intended for community uplift are in fact allocated.

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Indeed, the proper allocation of marijuana tax revenue is part of the national issue of cannabis reform. Throughout the United States, conversations have been taking place regarding the relationship between marijuana prohibition and racial injustice.

According to Marijuana Moment, Representatives Earl Blumenauer, D-Ore., and Barbara Lee, D-Calif., recently circulated a “Dear Colleague” letter that urged their fellow lawmakers to consider federal marijuana reform to further promote racial justice as they debate policing reform legislation.

Last month, the House of Representatives introduced a resolution condemning police brutality and racial profiling and calling for the adoption of “sound and unbiased law enforcement policies that would reduce disparate impact of police brutality and use of force on Black and Brown people and other historically marginalized communities” that stem, in part, from the War on Drugs.

States have also been vocal about the role of marijuana reform in fighting racial injustices.

During a recent press conference, California Governor Gavin Newsom highlighted California’s legalizing of recreational marijuana as a “civil rights” issue. This statement was echoed by Virginia Governor Ralph Northam, who stated that the enactment of cannabis decriminalization legislation in May was intended to reform criminal justice and address racial inequalities.

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Other states, including New York, are pushing for the passage of criminal justice reform legislation, including the legalization of marijuana.

The calls for change coming from weeks of sustained anger and grief following George Floyd’s murder have sparked national conversations that must be honored. Recognizing the devastating damage caused by decades of cannabis prohibition along with the restorative potential of legalization, with strong attention paid to ensuring resources are reinvested in communities most harmed by prohibition, is a fundamental aspect of honoring these calls and to abolishing racial inequality in Portland, Oregon, and throughout the country.

Nathalie Bougenies practices in the Portland office of Harris Bricken and was named a “2019 Rising Star” by Super Lawyers Magazine, an honor bestowed on only 2.5% of eligible Oregon attorneys. Nathalie’s practice focuses on the regulatory framework of hemp-derived CBD (“hemp CBD”) products. She is an authority on FDA enforcement, Food, Drug & Cosmetic Act and other laws and regulations surrounding hemp and hemp CBD products. She also advises domestic and international clients on the sale, distribution, marketing, labeling, importation and exportation of these products. Nathalie frequently speaks on these issues and has made national media appearances, including on NPR’s Marketplace. Nathalie is also a regular contributor to her firm’s Canna Law Blog.

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