Oregon: City Council Repeals Medical Marijuana Tax

Jacob Redmond

Well-Known Member
The La Pine City Council voted unanimously Wednesday night to repeal the city's 5 percent sales tax on medical marijuana, a week after the city was sued Dec. 2 by Green Knottz, a dispensary in La Pine.

City Attorney, Jeremy Green told NewsChannel 21 Thursday that the decision to repeal the tax was ultimately a business decision, as a legal battle would cost more than the revenue the city collects from the tax.

NewsChannel 21 also spoke with Green Knottz owners Randy and Donald Huff, who said they were very happy about the council's decision.

While both parties agreed that a lawsuit is not in the best interest of the people of La Pine, they still couldn't agree on whether the city has the authority to tax medical marijuana.

"Medical cannabis cannot be taxed in particular," Randy Huff said. "As far as recreational marijuana goes, you can impose a tax. but for medical marijuana you can't tax it,. It's absolutely illegal on all regards."

But councilors argued that they have the authority, based on rules and regulations.

La Pine Mayor Ken Mulenex said, "Unless its prohibited by state law, municipalities have the right to implement certain kind of ordinances."

The mayor said they repeated the tax as the Legislature likely will address the issue when it convenes next February.

Randy Huff said he feels there were other motives that prompted council members to drop the tax.

"Their attorney came to the conclusion that it would not be effective for the city of La Pine to move forward with this lawsuit, because they would lose, its a slam dunk in court," he claimed.

Randy Huff argued that medical marijuana should be treated like other medicine and not be taxed.

"The veterans were outraged that they had to pay a tax, so a lot of them decided to go to Bend to avoid paying the tax," said Donald Huff, the dispensary's other co-owner.

The Huffs said they will withdraw the lawsuit, now that the tax has been repealed. The $6,000 that was collected will soon be returned to medical marijuana patients.

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News Moderator: Jacob Redmond 420 MAGAZINE ®
Full Article: City Council Repeals Medical Marijuana Tax
Author: Jennifer Wade
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Website: KTVZ News
 
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