MARIJUANA LEGALIZATION. INITIATIVE STATUTE.

Legalizes cannabis plants and products under state law, including hemp. Releases nonviolent marijuana offenders from prison and erases their criminal records. Designates Department of Alcoholic Beverage Control to regulate and license recreational marijuana industry. Imposes 15% tax on nonmedical marijuana and 3% tax on medical marijuana, and additional temporary taxes. Applies general retail sales taxes to nonmedical marijuana. Prohibits local governments from enacting taxes, fees, or bans targeting marijuana. Allows personal use of five pounds of dried marijuana, one pound of concentrated, and three gallons of liquid extracts; and private cultivation of 500 square feet per adult (1,500 per parcel). Summary of estimate by Legislative Analyst and Director of Finance of fiscal impact on state and local government: Net reduced costs ranging from tens of millions of dollars to potentially exceeding $100 million annually to state and local governments related to enforcing certain marijuana-related offenses, handling the related criminal cases in the court system, and incarcerating and supervising certain marijuana offenders. Net additional state and local tax revenues of potentially up to several hundred million dollars annually related to the production and sale of marijuana, a large portion of which would be required to be spent for specific purposes such as education, public safety, and regulation of commercial marijuana activities