Meeting Time: February 06, 2025 at 6:30pm PST

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Agenda Item

H.1. YC25-0141 PUBLIC PARTICIPATION ON NON-AGENDA ITEMS

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    Melissa Dechandt at February 04, 2025 at 11:38am PST

    In 2022, 75% of Redondo Beach residents voted "NO" to retail cannabis via Measure E as did our neighboring Beach Cities in identical ballot measures, despite all voting to legalize cannabis via Proposition 64
    • El Segundo​ ​56% voted “NO” on Measure W​​
    • Manhattan Beach ​77% voted “NO” on Measure MB​
    • Hermosa Beach ​71% voted “NO” on Measure M​​
    • Redondo Beach ​75% voted “NO” on Measure E

    I once again urge you to pause all cannabis activity. The city began its initial process of developing its own cannabis program at a time when the cannabis industry was very different. Specifically, profit margins were high, the taxation was reasonable, consumers were assured of the safety of a regulated cannabis industry and funds for drug prevention were ample. NONE of those four are true today.
    1. Profits continue to decline rapidly and steadily by $98 million dollars over the past four years per the CA Department of Tax and Fee Administration (CDTFA) and $3.1 billion dollars in back taxes are owed.
    2. Taxation for cannabis is currently a “triple tax” scenario with an excise tax set to increase from 15% to 19% in July of 2025.
    3. There is currently a public health crisis at the Department of Cannabis Control (DCC) whereby there is no reliable safety testing being done, records falsified, contaminants including fentanyl, metals and high dose pesticides in the commercially available cannabis supplies. A whistleblower has come forward and a federal investigation is ongoing,
    4. The Tier 3 funding for drug prevention programs is funded via tax revenue. There is currently over $30 billion dollars in back taxes owed (equivalent of 3 tax years) and no Tier 3 funding. Over 60 statewide prevention groups sounded the alarm to the governor in June of 2024, stating that the funding was depleted.

    Retail cannabis and advertising normalizes youth use and exponentially increases the risk of early use, often as young as 6th grade and ibm creases youth use by 26%; the peer-revive data also clearly shows that our youth access legal and illegal retail cannabis at the same rate.
    I urge you to pause cannabis activity.