Quoted from the CBS link - "We will create a separate enterprise, and the fees will be deposited into this enterprise and then grants will come out of that to local governments," said Cutter. "
Cities can apply to do things to make their main streets safer and to provide their high traffic areas more safety for their pedestrians and bicyclists and all the vulnerable road users."
This is another garbage cash grab by the government. This is just like the Marijuana tax and the lottery tax money. All of this money is supposed to go to all these great humanitarian causes to support children and build parks and schools. What ends up happening is the state or local governments end up keeping the cash because the individuals who need the money don't realize they have to apply for the funds and then it has to be approved. The process ends up becoming so cumbersome that the money that is needed is mostly never used.
Colorado Lottery tax use:
Where do proceeds from Colorado Lottery go? In 1992, Colorado voters made the decision to distribute profits from the sale of Lottery products according to this formula: 50% to the Great Outdoors Colorado (GOCO) Trust Fund, 40% to the Conservation Trust Fund, and 10% to Colorado Parks and Wildlife.
Marijuana tax use:
Amendment 64, which was passed by Colorado voters in 2012, allows adults 21 years of age or older to consume or possess up to one ounce of marijuana. Amendment 64 also required the state legislature to enact an excise tax on retail marijuana with the first $40 million in tax revenue per year dedicated to fund public school construction.
In 2013, Colorado voters approved Proposition AA, which allows the state to levy up to a 15 percent excise tax on unprocessed retail marijuana as well as up to a 15 percent retail sales tax on retail marijuana.1 Medical marijuana is subject to the 2.9 percent state sales tax, which applies to the retail sale of most goods and services. As voter-approved revenue, the 15 percent retail and 15 percent excise tax is exempt from the spending limits of TABOR. The 2.9 percent sales tax is subject to TABOR’s limits.
Tax Rate
Medical marijuana is subject to the 2.9 percent state sales tax, which is applied to most purchases of tangible personal property in the state while retail marijuana is exempt. Retail marijuana is subject to a 15 percent sales tax, levied on retail sales, and a 15 percent excise tax, levied on the first transfer of marijuana from a wholesaler to a processor or retailer.1
Tax Exemptions
Medical marijuana is exempt from the 15 percent sales tax and 15 percent excise tax.
Distribution
Via the Old Age Pension Fund, marijuana tax revenue is allocated to the General Fund.2 From the General Fund, revenue from the marijuana retail sales tax and excise tax are distributed differently.
Ten percent of the revenue from the 15 percent tax on marijuana retail sales is allocated to local governments and apportioned according to the percentage of marijuana retail sales occurring within city and county boundaries. The remaining 90 percent is allocated as follows:
71.85% to the Marijuana Tax Cash Fund;
15.56% to the General Fund; and
12.59% to the State Public School Fund.
Revenue in the Marijuana Tax Cash Fund is required to be used for health care, health education, substance abuse prevention and treatment programs, and law enforcement.3
The marijuana excise tax revenue is credited to the Building Excellent Schools Today (BEST) Fund.4 The BEST Fund is used to renew or replace deteriorating public schools. BEST grants are awarded on a competitive basis annually and funding is prioritized based on issues such as asbestos removal, building code violations, overcrowding, and poor indoor air quality.
Table of Contents
leg.colorado.gov
Ask yourself, how many parks have been built using the lottery tax money? How many schools have been built funded with mary-jane tax? Every time I turn on the news a school is being shutdown due to dwindling attendance. If all this money is going to support parks where are they at? Just more BS from an unchecked government.