Recreational Marijuana Sales in Washington, Oregon, and Colorado Have Steadily Risen To A Combined Monthly Average of $123.5 Million
Benefits of Recreational Marijuana Revenue – Given the monthly increases, the marijuana industry is set to make roughly $1.5 billion in cannabis revenue in 2016. Alaska will join the recreational marijuana industry in 2016, bringing the potential revenue from all four states to over $2 billion. Oregon and Colorado currently average over $60 million in recreational marijuana sales per month. Washington brings in roughly $46 million in recreational marijuana sales each month. Despite Washingtonâ€™s slow start bringing down the national average, sales in Washington are been growing 5% per month, and are projected to increase when Washington eliminates all unlicensed medical marijuana dispensaries this Summer.
What does this mean for the states with legalized recreational marijuana use?
- Well, states who have already legalized recreational marijuana use can expect continued growth of monthly average sales revenue. Washington, Oregon, Colorado, and soon Alaska will likely see growth within this industry.There will be an increase of revenue available to help fund drug rehabilitation programs.
- Municipalities that allow recreational marijuana locations should expect an increase in tax revenue due to the continuing growth and structure of the marijuana industry.
However, only one state has pending legislation or ballot measures in 2016. People United for Medical Marijuana has proposed an amendment on Florida’s November 8, 2016 ballot. While medical marijuana and recreational marijuana usage are two different categories, if the proposed amendment passes there is potential for increases in state sales tax revenue.
What could states do with sales tax revenue from marijuana sales?
- Provide drug rehabilitation programs for state constituents
- Earmark portions of marijuana taxes for school construction projects
Florida residents will get the chance to legalize medical marijuana this November, and given the benefits marijuana sales has had on sales tax revenues in other states it would be surprising if the Florida Right to Medical Marijuana Initiative failed to pass. States have the opportunity to increase sales tax revenue and fund additional services for their constituents. Having a successful marijuana industry requires more work than simply legalizing medical or recreational marijuana usage, but the first step always starts with a vote in favor of legalization.
Harman Bual | June 30, 2016