131st MAINE LEGISLATURE
		LD 1405		LR 1636(06)
	An Act to Change How Adult Use Cannabis Excise Tax Is Calculated
	Fiscal Note for Senate Amendment " " to Committee Amendment "A"
	Sponsor: Sen. Hickman of Kennebec
	Fiscal Note Required: Yes
Fiscal Note
			FY 2023-24	FY 2024-25	Projections  FY 2025-26	Projections  FY 2026-27
Net Cost (Savings)
	General Fund		$0	($588,000)	($1,500,000)	($1,194,000)
Revenue
	General Fund		$0	$588,000	$1,500,000	$1,194,000
	Other Special Revenue Funds		$0	$56,000	$195,000	($123,000)
Fiscal Detail and Notes
	This amendment changes the amount of the excise tax on cannabis flower from $150 per pound in the committee amendment to $175 per pound and the amount of the excise tax on cannabis trim from $20 per pound in the committee amendment to $35 per pound, beginning January 1, 2025 and until January 1, 2027. The incremental impact is to reduce the revenue loss to the General Fund from the committee amendment by $588,000 in fiscal year 2024-25 and to reduce the revenue loss to the Adult Use Cannabis Public Health and Safety and Municipal Opt-in Fund by $56,000 in fiscal year 2024-25. The amendment also requires up to 50% of the amount of revenue credited to the Adult Use Cannabis Public Health and Safety and Municipal Opt-in Fund from the excise tax on adult cannabis and adult cannabis products to be deposited in the General Fund beginning January 1, 2027 to offset the difference in revenue from an excise tax of $335 per pound of flower and $94 per pound of trim to an excise tax rate of 10% of average wholesale price of cannabis flower and cannabis trim beginning January 1, 2027.