Nothin' Personal Dude, Just Business

City in extreme financial trouble, meet new revenue stream.

Oakland's City Council on Tuesday approved an ordinance that could make it the first city in the state to permit industrial marijuana production, a path-breaking decision that could spur the commercialization of a crop largely grown in hidden gardens.

The plan would authorize four potentially enormous pot factories, but makes no provision for the hundreds of growers who now supply Oakland's four dispensaries, which sold $28 million in marijuana last year. The council, however, promised it would develop a plan for these growers before permits are awarded next year for the four large-scale marijuana operations.

"This is a monumental step forward," said Dale Gieringer, an Oakland resident and the longtime head of California NORML, which backs the legalization of marijuana. "It really means moving into the era of industrial-scale operations and Oakland means to do it big."

Hey, cities have to raise funds somehow.  You won't let them raise taxes, so we're down to new and exciting fees on vice.

Bringing what has been a secretive and lucrative cash business into the open would also allow Oakland to tax it, potentially adding millions of dollars to its ailing budget. The city, which has led the state in its innovative approach to marijuana, was the first to adopt a pot tax, which is 1.8%, but is considering asking voters to approve a substantial increase.

Oakland keeps a list of people who have expressed interest in the permits. On Tuesday afternoon, Arturo Sanchez, who oversees the city's marijuana regulations, said it had 192 names.

Weed tax apparently is not fascist and undemocratic, unlike any other tax.  Who's going to openly complain about it?