San Luis Obispo became the first city in the county to allow recreational marijuana stores when it formally approved a new cannabis ordinance Tuesday, but it won’t allow any businesses to open until city voters pass a related tax.
The November election is the soonest that could happen.
City Council also discussed the details of a proposed ballot measure that would ask city voters to approve a cannabis business tax up to 10 percent of gross receipts for retail businesses and up to $10 per square foot for cultivation that could raise $1.5 million annually for the city’s general fund.
Those caps are in line with what other cities and counties in California are doing: Santa Cruz and San Jose allow a gross receipts tax for cannabis up to 10 percent. Palm Springs allows up to 15 percent, and Sacramento allows up to 4 percent.