Public Benefit of Marijuana Legalization

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Legalize and regulate adult-use marijuana in Minnesota to:

• Eliminate the illicit market
• Generate stable, dedicated tax revenue
• Improve public health and safety
• Reinvest in communities, infrastructure, and tax relief

Adult Use Legalization

• Legal for adults 21 and over
• Regulated cultivation, processing, distribution, and retail sales
• Home grow permitted in limited quantities with clear guardrails

Regulatory Authority

• Establish or designate a Minnesota Cannabis Control Division
• Responsibilities:
  
  • Licensing and enforcement
  • Product safety testing
  • Advertising restrictions
  • Seed-to-sale tracking
  • Coordination with local governments

Balanced Tax Model

• Wholesale excise tax: 10%
• Retail sales tax: 10–15% (phased in)
• Local governments may opt into a small local sales add-on (≤3%)

Goal: Compete with the illicit market while generating predictable revenue.

Tax Principles

• No excessive front-loaded taxes
• Automatic review every 3 years
• Rate caps written into statute

Projected Annual Revenue: $300–500 million (mature market)

30% — Education & Youth Investment

• Early literacy programs
• Special education funding stabilization
• School safety infrastructure
• After-school and mental health services

25% — Property Tax Relief

• Direct aid to local governments
• Reduces pressure on homeowners and renters
• Priority to high-property-tax regions

20% — Public Health & Addiction Services

• Substance abuse treatment
• Mental health access expansion
• Public education campaigns
• Data-driven impairment research

15% — Infrastructure & Local Aid

• Roads, bridges, water systems
• Grants to cities and counties hosting cannabis businesses

10% — Law Enforcement & Public Safety

• Drug-impaired driving training
• Forensic testing capacity
• Expungement processing support

Strict Product Standards

• Mandatory lab testing
• Clear potency labeling
• Limits on THC concentration for certain products

Youth Protections

• No marketing to minors
• Child-resistant packaging
• School-zone retail buffers

Impaired Driving Enforcement

• Expanded Drug Recognition Expert (DRE) training
• Funding for roadside impairment tools
• Strong penalties for driving while impaired

Automatic Expungement

• Non-violent marijuana offenses expunged automatically
• No application or legal fees
• Centralized state-run process

Law Enforcement Refocus

• Redirect resources to violent crime and trafficking
• Reduce court and incarceration costs

Minnesota-First Business Model

• Tiered licensing to support:
  
  • Small businesses
  • Farmers transitioning from traditional crops
  • Local entrepreneurs

Rural & Agricultural Opportunity

• Cannabis cultivation as a new cash crop
• Processing facilities in Greater Minnesota
• Workforce training partnerships with community colleges

• Cities and counties may:
  
  • Set reasonable zoning rules
  • Cap total retail locations
• No blanket local bans without voter approval
• Revenue sharing ensures local buy-in

Year 1

• Finalize rules
• Begin licensing
• Launch expungement process

Year 2

• Retail sales begin
• Tax revenue collection starts
• Public health and safety funding flows

Year 3

• Full market maturity
• Independent audit and tax review
• Legislative adjustments if needed

This plan:

• Treats marijuana legalization as fiscal policy, not ideology
• Converts an illegal market into tax relief and public investment
• Strengthens public safety while reducing enforcement costs
• Keeps revenue in Minnesota communities