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Orange County City Looks to Recoup Lost Revenue Through Cannabis Sales

February 22, 2021

Costa Mesa is moving forward with its cannabis retail plans as it tries to offset revenue lost from the ongoing COVID-19 pandemic. During a Feb. 23 special study session, city council will discuss a staffing plan for implementing Costa Mesa’s retail cannabis tax. The move comes after voters last November passed a ballot measure that will allow the city to permit storefront sales of the drug. Measure Q is Costa Mesa’s retail cannabis tax and regulation measure. It allows for recreational cannabis dispensaries and deliveries to operate within the guidelines adopted by city council. The city can generate up to $3 million annually based on a seven percent tax rate and six retail establishments, a staff report says. Meanwhile, Costa Mesa is facing a $29.8 revenue loss due to the CCP (Chinese Communist Party) virus pandemic, according to its website. “The city is looking at options to help offset these revenue losses, and securing the city’s financial future so it can continue to provide … Read More

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