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Montana Looks To Reallocate Cannabis Tax Revenues

Changes are coming in Montana as the governor’s office recently supported a bill that will allocate a portion of marijuana revenue away from environmental conservation and put it towards increased funding for police, prosecutors, and correctional officers. 

Following the bill, House Bill 462, it is estimated that $8 million to $9 million would be reduced from the Habitat Montana conservation program annually. This program, initiated in the 1980s, ensures the conservation and restoration of key habitats to protect wildlife. Since its inception, Montana residents have experienced several benefits and enhancements. 

Though this recent decision is aimed at progress and advancement, it does not sit well with those who voted for funds to be allocated to conservation efforts. The bill’s sponsor, Representative Marta Bertoglio, confirmed this, stating that a lot of opposition was received ahead of the bill’s initial hearing. 

Understanding The Bill 

The specifics of the bill are outlined below: 

  • Two new accounts will be created. One will fund correctional officers, and the other to support the Montana highway patrol officers and other police matters. 
  • The $6 million currently allotted to the Healing and Ending Addiction through Recovery and Treatment (HEART) will be changed to 11 percent of the tax revenue.
  • 20 percent of the marijuana revenue given to Habitat Montana will be taken away and allotted to other programs
  • A total of 6 percent will go toward law enforcement and prosecutors
  • Increased funding for veterans and surviving spouses
  • Annual funding for The Department of Justice would increase by $3 million

Support For House Bill 462

The Deputy Director of the Montana Fish, Wildlife and Parks (FWP), Dustin Temple, was an informational witness at the hearing. He noted that even with the cut in funding, the FWP could operate efficiently as most of their funds are received when hunters buy licenses. He also stated that the funds received tend to go towards projects that often aren’t completed in a timely manner. 

In summary, the majority of those in favor of the bill included those in the governor’s budget office, representatives for veterans, and government agencies, including the Department of Justice, Montana Highway Patrol, and others.  

They are looking forward to the increased allocation to:

  • Hire more police officers to deal with the rise in drug-related activities 
  • Get more attorneys to work as specialists or handle appeals in the Supreme Court appeals 
  • Increase the number of corrections officers at depleted prisons
  • Hire more persons to train police officers and troopers as well as provide greater support for veterans 
Support For House Bill 462

Caught In A Difficult Situation

The current situation can be described as a double whammy. On the one hand, it is geared toward increasing public security, public safety, and public health funds. However, on the other, it means a decrease in funds for other groups that need it just as much. 

This can be attributed to the influence of leadership in determining how funds are allocated. For instance, consider the fact that the Maryland governor, Wes Moore, allotted almost 50 million dollars for setting up their adult-use cannabis market within 24 hours of being elected. 

Therefore, though neither of the groups is more important than the other, the changes included in the bill send a clear message. This is primarily because money in the General Fund and the historic $2.5 billion surplus highlighted by the opposition remain untouched.

In 2020, marijuana legalization gained approval which many attributes to the promised allocation of marijuana revenue to conservation efforts. Given this shift due to the latest bill, this decision can be seen as disingenuous. Many believe it is unnecessary and agree that the situation should be managed differently so that all parties still stand to benefit. 

marijuana legalization gained approval

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