Marijuana and the 2020 Colorado Elections

This past election, marijuana issues appeared on several city and county ballots throughout the state.  Some were related to allowing cannabis sales and others dealt with tax issues.  Here are the cities that were involved, the type of ballot measure and the results.

Broomfield

Since recreational marijuana sales were legalized in Colorado, there had been a self-imposed moratorium on cannabis businesses in the City of Broomfield.  That moratorium is set to expire February 1, 2021 and the city council is considering allowing it to expire.  Upon expiration the city council would have the option to allow retail marijuana sales within the city. Under the Colorado Taxpayer Bill of Rights, the new sales tax had to be approved by Broomfield voters for cannabis businesses to operate.  That is why 2A appeared on Broomfield’s ballots. 

Ballot:

– 2A – Special Sales Tax for Retail Marijuana – 

Shall a New Special Sales Tax on Retail Marijuana, Retail Marijuana Products, and Retail Marijuana Accessories be instituted in the City and County of Broomfield?

Election Result

With more than 91 percent of the ballots counted, unofficial results from the City and County of Broomfield show that over 58.5 percent of voters approved the sales tax, a 4 percent rate on recreational retail cannabis products.  It is reasonable to expect recreational marijuana dispensaries to open in the city of Broomfield in 2021.

Several councilmembers have said that they are ultimately in favor of letting it expire, but it may be extended it a few months to give the council time to agree on regulations before marijuana sales begin.  Any regulations are expected to be approved by April 1, 2021.  There was an error on the ballot question 2A asking the voters to approve the 4% sales tax on retail marijuana and that revenue would not exceed $2.2 million in the first fiscal year. But, per the city and county, it should have reflected a $3.5 million limit for the first fiscal year.  So, for now, only the first year’s tax revenue would be capped at $2.2 million.

Buena Vista

There were two measures on the ballot in Buena Vista regarding marijuana.

Ballot:

– The Sales Tax on Retail Marijuana 

Additional sales tax that would be placed on retail recreational marijuana.  This measure would set the initial tax rate at 5%, and it would go into effect on January 1, 2021. The tax rate could be changed anytime thereafter by the Buena Vista Board of Trustees if the proposed rate did not exceed 15%. The full revenues generated by such a tax would be used to fund parks, open space and recreation, infrastructure improvements, economic development initiatives, land acquisition, affordable housing initiatives, community support grants, and other similar projects.

  • Should the Board of Trustees of the Town of Buena Vista permit the use of property in the town for retail marijuana stores as those establishments are defined in the Colorado Marijuana Code, C.R.S. § 44-10-101, et seq., and should the regulations be as set forth in the draft ordinance entitled “An Ordinance Repealing and Reenacting Article IV of Chapter 6 of the Buena Vista Municipal Code Concerning Medical and Retail Marijuana Businesses and Amending the Town’s Zoning Regulations to Include Medical and Retail Marijuana as Permitted Uses in Certain Zone Districts” approved, but not formally adopted by the Board of Trustees on August 25, 2020?

Basically, the first question sets a tax rate for marijuana sales and the second gives the Board of Trustees the option to change the municipal code and allow recreational marijuana sales in the town.  It is up to the trustees of the town as to when and if recreational sales will begin.  There is no requirement that they must proceed with the change.

Currently, Buena Vista does allow for sales of medical marijuana.  There is only one medical dispensary in Buena Vista, Natural Mystic Wellness Center, located on East Main Street.  The reason for the marijuana questions on the 2020 ballot was to give the city an option to gain additional tax revenue.

Election Result

According to unofficial results from Chaffee County 54.9 percent of Buena Vista voters have approved an ordinance that would allow recreational marijuana sales in the town.  The ballot initiative concerning a proposed marijuana sales tax was also approved gaining a little over 66 percent of the vote.  The number and possible locations of retail recreational dispensaries stores would be limited by Town Ordinance. 

Cedaredge

Cedaredge is a small town 170 miles west of Denver, located in Delta County.  Population is approximately 2,300.  

There were two measures on the ballot in Cedaredge regarding marijuana.

Ballot:

–  Shall the establishment and operation of retail and medical marijuana stores be permitted in the town of Cedaredge subject to State of Colorado Retail and Medical marijuana laws and ordinances adopted by the town of Cedaredge no earlier than 

January 1, 2021?

–  Shall the town of Cedaredge taxes be increased by One Hundred Thousand dollars ($100,000) in the first full fiscal year, beginning January 1, 2021 and by whatever additional amounts are raised annually thereafter, by imposing and additional sales tax of 5% on the sale of retail marijuana products, with the revenues derived from such tax to be collected and spent on the Cedaredge Police Department, Transportation and Parks and Recreation.

Election Results

Retail marijuana passed with 56.5 percent voter approval. Dispensaries will be permitted in the town limits of Cedaredge with conditions determined by the board of trustees.

Retail marijuana sales tax passed with 63.6 percent voter approval. An additional 5% sales tax will be imposed on sales of retail marijuana is expected to generate an additional $100,000 in tax revenue for the town.

Dinosaur

Dinosaur is the farthest Northwest town in  Colorado, bordering Utah and Dinosaur National Monument.  It does already allow for recreational dispensaries.

Ballot:

–  Town of Dinosaur Ballot issue

Allow for an increase in tax collected on the sale of regulated marijuana products from the current 5% to 10%.

 Election Result

Unofficial results from Moffat County show over 58 percent of its voters have approved the increase of sales tax on marijuana.  It is estimated that the town will secure an additional $1 million in tax revenue during the first fiscal year from the increase.

Fort Lupton

Fort Lupton is in Weld County, 25 miles northeast of Denver.  Population is approximately 8,200. 

There were two measures on the ballot in Fort Lupton regarding marijuana.

Ballot:

–  2C – Medical and Retail Marijuana Sales

Shall the establishment and operation of medical marijuana centers and retail marijuana stores be permitted in the City of Fort Lupton, Colorado, subject to the requirements of the State of Colorado medical and retail marijuana codes and regulations and the ordinances and codes to be adopted by 

the City of Fort Lupton?

–  2B – Shall the City of Fort Lupton taxes be increased by One Hundred Thousand dollars ($100,000) annually in the first full fiscal year (2021) and by such amounts as are raised annually thereafter, by imposing and additional sales tax of 3.1% on the sale of retail marijuana and retail products, if the registered electors of the city determine to allow the sale of retail marijuana and retail marijuana products, with the tax revenues being used to fund general government expenses as determined by the city council with the rate of the tax being allowed to increase or decrease without further approval so long as the rate of taxation does not exceed 10% and with the resulting tax revenue being allowed to be collected and spent as a voter approved revenue change without regard to any expenditure, revenue raising , or other limitation contained in article X § 20, of the Colorado Constitution or any other law.

Election Results

Unofficial results from Weld County show that Retail marijuana passed with 56.5 percent voter approval. 

Retail marijuana sales tax passed with 60 percent voter approval. 

Lakewood

Lakewood is the fifth most populated city in Colorado with a population of over 158,000.  Lakewood  already allows medical marijuana sales with the city limits.  The measure on the 2020 ballot was regarding recreational marijuana sales.

Ballot:

–  Shall the City of Lakewood adopt an ordinance adopting regulations governing the operation of retail marijuana stores and retail marijuana cultivation facilities in the City of Lakewood and making corresponding amendments to certain sections of Lakewood Municipal Code, Chapter 5.51 concerning medical marijuana businesses?

Election Result

Retail recreational marijuana sales passed in Lakewood with a little over 66 percent voter approval.  This now allows only the owners of those medical marijuana businesses that were licensed and operating in good standing in Lakewood as of April 1, 2020 to apply for a license to operate a retail marijuana store or retail marijuana cultivation facility. It also allows for amendments to certain sections of Lakewood Municipal Code, Chapter 5.51 concerning size, location and relocation limitations, and hours of operation of medical marijuana businesses.

Littleton

Littleton is approximately 10 directly south of Denver with a population of approximately 48,000.  Medical marijuana has been available in Littleton for several years, this measure would allow for the existing medical marijuana dispensaries to apply for and sell marijuana on the recreational side.

Ballot:

 –  City of Littleton initiated ballot question No. 300

Shall existing medical marijuana center licensees in the City of Littleton be permitted to sell retail marijuana on and after January 1, 2021?

Election Result

Retail recreational marijuana sales in Littleton passed with a little over 65% voter approval. 

There are three medical dispensaries currently in Littleton: The Hemp Center – 5744 South Datura Street, Ascend Cannabis Co – 5231 South Santa Fe Drive and Silver Stem – 1086 West Littleton Boulevard.  Littleton City Council is expected to issue local regulations by January 2021.

Paonia

Paonia, Colorado is in Delta County, approximately 70 miles south east of Grand Junction, with a population of approximately 1,500.  

There were two measures on the ballot regarding marijuana

Ballot:

–  2C – Shall the establishment and operation of retail and medical marijuana stores be permitted in the Town of Paonia, Colorado subject to the requirements of the Colorado Retail Marijuana Code and regulations set by the Board of Trustees?

–  2D – Shall the town of Paonia taxes be increased by $200,000 annually for the first fiscal year, and such amounts as are raised annually thereafter, with a levy of an occupational tax of $5.00 per sales transaction, effective January 1, 2021, on the sale of retail and medical marijuana and marijuana products within the town of Paonia, with the resulting tax revenue used for infrastructure repair and improvements, including but not limited to town streets, sidewalks, curb, gutter, drainage, landscaping, lighting and streetscape amenities, through 2025, and thereafter allocated annually by the Board of Trustees?

Election Results

Both ballot measures passed with 2C receiving 65.7% voter approval and 2D, 68% approval.

Romeo

Romeo, Colorado is a small town in Conejos County, approximately 25 miles south of Alamosa on Highway 285, with a population of around 400.

The measure on the 2020 ballot was regarding recreational marijuana sales.

Ballot:

–  Shall the establishment and operation of retail marijuana cultivation facilities, retail marijuana product manufacturing facilities, retail marijuana testing facilities and retail marijuana stores; collectively called “retail marijuana establishments” be permitted in the town of Romeo, Colorado, subject to the requirements of Colorado law and ordinances to be adopted by the board of trustees of the Town of Romero?

Election Result

It was a close vote, but the unofficial results from Conejos County show the ballot measure passing by a vote of 73 to 71.

Winter Park

Winter Park residents didn’t vote on allowing marijuana sales in the city but voted on the tax.

Ballot:

–  Town of Winter Park Ballot Issue 2B

Shall the town of Winter Park taxes be increased by $240,000 annually for the first fiscal year, and such amounts as are raised annually thereafter by imposing a tax of five percent (5%) on the sale of regulated marijuana products, which tax shall be in addition to the General Municipal sales tax on such sales, with one-half of the revenues derived from such tax being used exclusively to promote mental health efforts in Town and with the other one-half of the revenues derived from such tax being used for General Municipal Purposes; and shall all revenues derived from such tax be collected and spent as a voter approved revenue change notwithstanding any revenue or expenditure limitations contained in Article X, Section 20 of the Colorado Constitution?

Election Result

The ballot measure did pass with a voter approval of 65%. This was just the first step.  Now it is up to the City Council to discuss and vote to allow commercial marijuana sales within the city.

Two cities rejected marijuana related measures.

Kiowa

Kiowa is located approximately 50 miles northeast of Denver, with a population of approximately 750.

Two measures were on the ballot for Kiowa voters.

Ballot:

–  2B – Allow marijuana and marijuana-related businesses to operate in the town of Kiowa.

–  2C – Authorize a special 12% tax on the sale of regulated marijuana products that would be included in the towns budget.

Election Results

Unofficial results from Elbert County show both measures failing.  Over 62 percent of voters rejected 2B allowing marijuana business to operate in Kiowa while 55 percent rejected a ballot initiative 2C for a 12 percent marijuana sales tax.

Eckley

Eckley, Colorado is in Yuma county and is located 156 miles northeast of Denver.  Its population is just under 260.

Ballot:

–  Repealed a local ban on retail marijuana stores, cultivations, testing facilities and other pot businesses.

Election Results

Unofficial results from Yuma County show over 60 percent of voters rejected a ballot initiative to remove the ban on retail marijuana sales.

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