Second Regular Session Sixty-ninth General Assembly STATE OF COLORADO INTRODUCED LLS NO. 14-0812.01 Nicole Myers x4326 HOUSE BILL 14-1196 HOUSE SPONSORSHIP Gerou, SENATE SPONSORSHIP Jahn, House Committees Senate Committees Local Government Appropriations A BILL FOR AN ACT Concerning the creation of a local government marijuana impacts task force. Bill Summary (Note: This summary applies to this bill as introduced and does not reflect any amendments that may be subsequently adopted. If this bill passes third reading in the house of introduction, a bill summary that applies to the reengrossed version of this bill will be available at http://www.leg.state.co.us/billsummaries.) The bill creates the marijuana impacts task force (task force) in the department of local affairs to study the local government impacts related to the cultivation, testing, sale, consumption, and regulation of retail marijuana and retail marijuana products. The task force consists of 17 members who represent specified local government interests, state government agencies, the marijuana community, and public defenders. The task force is required to meet during the 2014 interim and may solicit input from various state and local government entities, public and private organizations, and private citizens. The bill specifies that members of the task force serve without compensation and that all staff needed to assist the task force will be provided by the department of local affairs. The task force is required to evaluate the impacts that the cultivation, testing, sale, consumption, and regulation of retail marijuana and retail marijuana products have on the services provided by local governments and on local governments' budgets. In addition, the task force is required to develop recommendations that may be implemented at the state or local level to help address such impacts. Be it enacted by the General Assembly of the State of Colorado: SECTION 1. In Colorado Revised Statutes, add part 34 to article 32 of title 24 as follows: PART 34 MARIJUANA IMPACTS TASK FORCE 24-32-3401. Legislative declaration. (1) The general assembly finds, determines, and declares that: (a) Proposition AA, placed on the ballot pursuant to House Bill 13-1318, was approved by voters in the state on November 5, 2013; (b) The ten percent state sales tax on retail marijuana and retail marijuana products that the voters approved through the passage of proposition AA was presented to voters in the 2013 state ballot information booklet as a revenue source that would "be used to fund the regulatory structure, as well as related costs for health, education, and public safety, which are not currently funded" in connection with the cultivation, testing, sale, consumption, and regulation of retail marijuana and retail marijuana products; (c) Of the gross revenue collected from the ten percent state sales tax on retail marijuana and retail marijuana products, fifteen percent is distributed to local governments that permit sales in their jurisdictions; (d) Local governments that have chosen to prohibit the sale of retail of marijuana and retail marijuana products may still experience impacts on local government services or budgets as a result of such sales, and those impacts may warrant the use of a portion of the remaining eighty-five percent of the gross revenue collected by the state from the retail marijuana sales tax; (e) It is important to understand whether local governments that have chosen to allow the sale of retail marijuana and retail marijuana products experience the impacts on local government services and budgets in the same manner as local governments that have chosen to prohibit such sales; and (f) It is important to understand the fiscal impacts, if any, of the legalization of retail marijuana and retail marijuana products in local communities across the state and to what extent the remaining portion of the state sales tax revenue from the sale of retail marijuana and retail marijuana products could be used to address those impacts at the local government level. (2) The general assembly further finds, determines, and declares that the creation of a task force to be overseen by the department of local affairs to examine how the legalization of retail marijuana and retail marijuana products has already affected local governments and may potentially affect local governments in the future will help the state and local governments to address any impacts on local government services or budgets due to the cultivation, testing, sale, consumption, and regulation of retail marijuana and retail marijuana products. 24-32-3402. Marijuana impacts task force - creation - members. (1) There is hereby created within the department of local affairs a marijuana impacts task force, referred to in this part 34 as the "task force", to study the local government impacts related to the cultivation, testing, sale, consumption, and regulation of retail marijuana and retail marijuana products. (2) The task force consists of the following seventeen members: (a) Six representatives of local governments, three of whom represent local governments that allow the sale of retail marijuana and retail marijuana products, as follows: (I) One representative of a statewide organization of county commissioners to be appointed by Colorado counties, incorporated; (II) One representative of a statewide organization of district attorneys to be appointed by the Colorado district attorneys' council; (III) One representative of a statewide association of county sheriffs to be appointed by the county sheriffs of Colorado; (IV) One representative of a statewide association of municipal officials to be appointed by the Colorado municipal league; (V) One representative of a statewide association of police chiefs to be appointed by the Colorado association of chiefs of police; and (VI) One representative of a statewide association of special district officials to be appointed by the special district association of Colorado; (b) Five representatives of the state government as follows: (I) The attorney general or the attorney general's designee; (II) One representative of the department of human services to be appointed by the executive director of such department; (III) One representative of the department of public health and environment to be appointed by the executive director of such department; (IV) One representative of the marijuana enforcement division in the department of revenue to be appointed by the executive director of such department; and (V) One representative of the department of local affairs to be appointed by the executive director of such department; (c) Five representatives of the community of citizens who support the legalization of retail marijuana and retail marijuana products as follows: (I) One consumer advocate to be appointed by the state chapter of the national organization for the reform of marijuana laws; (II) One medical marijuana patient to be appointed by sensible Colorado; (III) One drug policy expert to be appointed by the drug policy alliance; (IV) One representative of the campaign to pass amendment 64, the retail marijuana initiated measure, which was approved by the voters at the 2012 election and took effect upon the governor's proclamation on December 10, 2012, to be appointed by the directors of the amendment 64 campaign; and (V) One representative who works in the marijuana industry appointed by the local chapter of the united food and commercial workers international union; and (d) One representative of public defenders to be appointed by the office of state public defender. (3) The department of local affairs shall ensure that all appointments to the task force as required by subsection (2) of this section are made on or before June 13, 2014. (4) The members of the task force shall choose a chair and vice-chair of the task force at the first meeting of the task force. (5) The task force shall meet as necessary, as determined by the members of the task force, after the second regular session of the sixty-ninth general assembly. The task force shall hold its first meeting on or before July 18, 2014. (6) The task force may invite private citizens, representatives from state and local governmental entities, and representatives from public or private organizations to participate in the meetings of the task force, as deemed necessary and appropriate by the members of the task force. The task force may also solicit and accept reports, written comments, public testimony, and other data relevant to the task force. (7) Members of the task force shall serve without compensation and shall not be entitled to reimbursement for expenses. This subsection (7) shall not be construed to prevent members of the task force from receiving their regular salary if they participate in task force meetings during their regular business hours. (8) All staff needed to assist the task force in conducting its duties shall be provided by the department of local affairs. 24-32-3403. Marijuana impacts task force - duties. (1) The task force shall evaluate the impacts, if any, that the cultivation, testing, sale, consumption, and regulation of retail marijuana and retail marijuana products have on the services provided by local governments and on local governments' budgets, including: (a) The impact that the cultivation, testing, sale, consumption, and regulation of retail marijuana and retail marijuana products has on law enforcement, including arrests, traffic violations, and other law enforcement activities associated with retail marijuana or retail marijuana products; (b) The impact that the cultivation, testing, sale, consumption, and regulation of retail marijuana and retail marijuana products has on child welfare and other social services that are required in connection with retail marijuana or retail marijuana products; (c) The impact that the cultivation, testing, sale, consumption, and regulation of retail marijuana and retail marijuana products has on other services provided by governments and whether there has been any impact, positive or negative, on the budgets or budgeting processes of local governments; (d) Whether local governments that allow the cultivation, testing, sale, consumption, and regulation of retail marijuana and retail marijuana products have experienced any impacts that have not been experienced by local governments that do not allow such activities; and (e) Any other considerations deemed necessary or relevant by the task force. (2) The task force shall develop recommendations, if any, that may be implemented at the state or local level to help address the impacts that the cultivation, testing, sale, consumption, and regulation of retail marijuana and retail marijuana products have on local governments. (3) The task force shall complete its work and make written recommendations to the general assembly, if necessary, on or before December 15, 2014. 24-32-3404. Repeal of part. This part 34 is repealed, effective July 1, 2015. SECTION 2. Safety clause. The general assembly hereby finds, determines, and declares that this act is necessary for the immediate preservation of the public peace, health, and safety.