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California legislature sends bill authorizing cannabis cafes to Newsom’s desk

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(The Center Square) – California lawmakers passed a bill authorizing marijuana cafes to California Gov. Gavin Newsom’s desk. Newsom vetoed a similar bill by the same author last year, citing the need to protect the state’s smoke-free workplace protections.

If signed by the governor, AB 1775 — authored by Assemblymember Matt Haney, D-San Francisco, and voted for by most Democratic and a large number of Republican lawmakers — would allow food and nonalcoholic beverages to be sold at sites where cannabis is sold and consumed, and would allow such locations to sell tickets to events and performances held there.

“The HVAC and air exchange requirements for these establishments are the result of local ordinances,” wrote Haney in support of AB 1775 and implicitly responding to the governor’s veto last year. “Historically these ordinances are so rigorous that workers in these lounges face no health risks relating to the air they breathe while at work.”

In joint opposition, the American Lung Association, American Heart Association, and American Cancer Society Cancer Action Network wrote, “Secondhand marijuana smoke contains many of the same toxins and carcinogens found in directly inhaled marijuana smoke, in similar amounts if not more. In addition, particulate levels from marijuana smoke are higher than tobacco smoke.”

In California, a 15% cannabis tax rate on top of a typical 10% or so local tax rate means legal retailers are unable to compete with the illicit market, where some products are the same as those sold in stores but others could include dangerous pesticides and additives — and even other drugs. Because the state does not crack down on illicit sales, legal sellers such as High Times, the magazine-turned-cannabis retailer, are going bust.

An analysis earlier this summer from the Kansas City Federal Reserve found mixed outcomes correlated with marijuana legalization, noting “Post-legalization, average state income per capita grew by 3 percent, house prices by 6 percent, and population by 2 percent. However, substance use disorders, chronic homelessness, and arrests increased by 17, 35, and 13 percent, respectively.”

“We find that legalization reduces drug-related arrests and marijuana possession arrests, consistent with the legalization of cannabis for recreational purposes,” continued the study authors. “On the other hand, we find that legalization increases DUI and disorderly conduct offenses.”

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