The general strokes of legislation are the exact same in both chambers.
By Christopher Ingraham of Minnesota Reformer
Minnesota will become the 23rd State to allow legal marijuana sales after bills were passed in the state House of Representatives and Senate. Negotiators from both chambers will need to meet in order to resolve differences between the bills.
Both chambers have adopted the same broad strokes. Minnesotans aged 21 and over would be allowed to purchase marijuana from licensed retailers, grow plants themselves and keep a specific amount for their personal use. The law would also remove certain marijuana-related offenses of low level from criminal records.
As the companion legislation made their way through dozens and dozens of committees, some differences were revealed. The bills cover everything from the taxation of a nascent cannabis industry to penalties for illegal and unregulated sales. Below is a list of some of the most significant differences.
Possessions are calculated according to the following:
In the version of the bill approved by the Senate, adults are allowed to possess up to seven pounds of cannabis flowers, including five pounds from home-grown product, plus two additional pounds from products purchased in stores or elsewhere. The House, on the other hand, sets a cap of 1.5 lbs regardless of where it comes from. Both bills allow up to eight plants to be grown at home.
The limits set by these states are far more generous than in other states that regulate marijuana by the pound, rather than the ounce.
Consider this: If the average joint contains one gram, then the Senate bill allows you to store enough marijuana to make more than 3,100 of them. If you follow the unwise formula of Sen. Warren Limmer, who earned him internet fame for his inadvisable formula that two ounces yields three joints, then it would be a mere 168.
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Taxes
The Senate bill opts to impose a simple 10 percent tax on gross receipts from cannabis sales. However, the House version starts the tax with an eight percent rate and allows policymakers to adjust it every two years starting in 2027. Both bills impose these taxes in addition to state sales taxes.
These numbers are relatively low compared to other states that have retail sales taxes of up to 37%. Minnesota lawmakers explained that the low tax rates were designed to achieve two objectives: first, to enable legal businesses to compete against black market sales in California, which is a problem. Minnesota lawmakers want to regulate the marijuana industry in Minnesota, not other states that have used pot tax to fund education or other budget items.
Some observers like Jennifer Schultz (former DFL legislator) have encouraged lawmakers not only to consider the immediate regulatory costs, but also any externalities that may be associated with increased marijuana use in Minnesota, such as substance abuse issues, roadside enforcement, etc. In order to account for these eventualities, a higher tax would be needed.
Civil penalties
The House bill imposes civil penalties that are much more severe than those in the Senate for the illegal sale cannabis. In the Senate bill, anyone selling cannabis between 2 and 8 ounces without a permit would face a fine of $1,000. The fine under the House bill would be $10,000.
These civil penalties will be added to any criminal penalties that may exist, and are also outlined in both bills.
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Social Equity
Both bills give regulators the option to give priority to applicants who are socially disadvantaged when granting licenses for cannabis businesses. Both bills would consider social equity applicants to be residents of impoverished areas and those communities that bear a disproportionate amount of the cannabis enforcement burden, as well veterans who have lost their honor due to an earlier cannabis offense.
The House version allows for anyone who has been convicted of cannabis offenses, or whose family member was convicted, to also be considered as a social justice applicant.
Local control
In neither version of the bill is it possible for localities to ban cannabis businesses in their own borders. Such local prohibitions in places like California have encouraged the black market. The Senate version gives localities greater control over the marijuana trade. It allows them to impose registration fees, limit the number of marijuana retailers, and even share revenue.
Nuisance actions
The Senate bill is more likely to suit your needs if you are concerned that your neighborhood will always smell like weed.
The Senate bill states explicitly that “any use or possession of cannabis flowers for adult use which is harmful to health or indecent, or offensive to senses or an obstruction to free use of property in such a way as to interfere in the comfortable enjoyment or life of property, is a nuisance.” This allows anyone who is “injuriously affected” or “whose personal enjoyment is diminished by a pestilence” to take legal action against offenders. The bill also allows tenants to sue landlords for failing to enforce cannabis-related lease provisions.
The House bill does not contain any nuisance provisions.
The original publication of this story was by Minnesota Reformer.
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The article Here are the key differences in the Minnesota House and Senate Marijuana legalization bills that are being negotiated first appeared on Marijuana Moment.
