Cannabis Excise Tax

Year: 2019
Sponsor: Town of Aberdeen and SUMA Board of Directors

Resolution Text

Whereas municipalities are on the front lines for facilitating legislation, and are absorbing significant costs as a result of cannabis legalization, despite being the only level of government without the ability to draw revenue directly from sales taxes; and

Whereas the federal government acknowledged municipal costs for legalization and increased the federal flow-through to provinces from 50-75 per cent, with the stated intent that the additional 25 per cent flow to municipalities; and

Whereas the province has not yet signed an agreement to flow through funding to municipalities, citing that they are, as yet, unaware of their costs and revenues; and

Whereas agreeing to a percentage share of cannabis excise tax doesn’t require an encompassing knowledge of costs and revenues;

Therefore be it resolved that the Saskatchewan Urban Municipalities Association (SUMA) advocate the provincial government to immediately develop and implement a cannabis excise tax sharing agreement, in cooperation with SUMA and the Saskatchewan Association of Rural Municipalities.

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