Groups oppose cannabis tax cuts + Glazer for controller? + EC double dual-endorses
Good morning and welcome to the A.M. Alert!
NO TAX CUTS FOR CANNABIS, GROUPS ARGUE
As California Gov. Gavin Newsom and state lawmakers debate a possible tax cut for the legal cannabis industry, a coalition of community-based groups have come together with a letter to state officials urging them not to make those cuts.
“On behalf of child and youth advocates, we are writing to share our strong concerns about the recent proposal from the cannabis industry regarding state cannabis tax rates and to express our opposition to this proposal. If the industry is successful in persuading state leaders to lower, suspend and/or eliminate the tax rates approved by voters in Proposition 64, we will see an immediate, negative impact on thousands of children living in poverty and children of color across our state,” the letter to Newsom, Senate President Pro Tem Toni Atkins and Assembly Speaker Anthony Rendon begins.
Opponents of the tax cut held a press conference Wednesday morning, where they discussed the importance of cannabis tax revenue in supporting youth-focused programs such as child care for lower-income children.
Cannabis tax revenue accounts for $385 million in spending on youth services in the 2021-22 state budget. A fifth of that revenue comes from the cultivation tax, which some in the cannabis industry have called for the permanent removal.
Mary Ignatius, of the group Parent Voices, said during the press conference that cannabis revenue funds child care for more than 21,000 low-income children in the state.
“If there are changes to the cannabis tax rates then we have to call it what it is, and that would be budget cuts to child care,” she said.
Dr. Lynn Silver, of the Public Health Institute, said that the cannabis industry is far from struggling — that it grew 55% last year. She accused the industry of “crying wolf.”
“Cutting taxes to increase profits will break Proposition 64’s promise to the voters, fundamental to its passage, that new revenue would serve the public good,” she said.
GLAZER FOR CONTROLLER?
Via Lara Korte...
A fourth Democrat may be jumping into the state controller’s race.
State Sen. Steve Glazer, D-Contra Costa, confirmed on Twitter Wednesday that he is mulling a run for California’s chief fiscal officer. Incumbent Betty Yee terms out this year, leaving the spot open.
“Just to confirm that I am taking a close look at running for State Controller. I’ll make a final decision before the filing deadline of March 11,” Glazer tweeted.
Three other Democrats have already entered the race: Monterey Park Mayor Yvonne Yiu, Board of Equalization Member Malia Cohen, and Los Angeles City Controller Ron Galperin.
Lanhee Chen is the only Republican in the race thus far. He’s currently a professor at Stanford and spent several years as a policy guru for big names like Mitt Romney and Marco Rubio.
Glazer currently chairs the senate’s Elections and Constitutional Amendment Committee, and is among those lawmakers leading a discussion on possible changes to the California recall process.
If he were to give up his Senate seat, we could expect a lively primary for the Senate District 9, which covers Concord, Walnut Creek and Contra Costa County.
EQUALITY CALIFORNIA DUAL-ENDORSES LGBTQ CANDIDATES
Equality California has issued a pair of dual-endorsements in the races for Senate District 20 and Assembly District 20, throwing the organization’s support behind four openly LGBTQ candidates in those two races.
First up, in SD-20, the group endorsed Daniel Hertzberg and Caroline Menjivar.
Daniel Hertzberg, son of outgoing Sen. Bob Hertzberg, is a businessman, activist and organizer who previously worked on both of former President Barack Obama’s campaigns.
Menjivar is a U.S. Marine Corps veteran who previously has worked in city-level politics, including as a representative for Los Angeles Mayor Eric Garcetti.
On the AD-20 side, Equality California offered endorsements for Jennifer Esteen and Shawn Kumagai.
Esteen is a psychiatric nurse and community activist in the East Bay, and served as vice president of organizing for SEIU 1021.
Kumagai is a U.S. Navy veteran and national security expert and also the first openly gay man elected to Dublin City Council.
“Representation is power, and we have a historic opportunity to achieve proportionate representation in Sacramento,” said Equality California Executive Director Tony Hoang in a statement. “It is stirring to have two open LGBTQ+ candidates for both Senate and Assembly races. We are excited to support them and help them make history as we continue increasing representation across California.”
QUOTE OF THE DAY
“California drivers are paying record-setting prices at the pump while the state sits on a record-setting surplus. Even national Democrats agree our idea for a Gas Tax Holiday makes sense — and their constituents are not paying almost $5 a gallon. Sacramento Democrats are tone deaf if they think people don’t need a break at the pump.”
– Senate Republican Leader Scott Wilk, R-Santa Clarita, responding to remarks from Senate President Pro Tem Toni Atkins and Assembly Speaker Anthony Rendon at the Sacramento Press Club that they are reluctant to halt the gas tax increase set to go into effect July 1.
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