Colorado Legislative Committee Recommends Rejecting Bill to Raise Cannabis Excise Tax

Colorado’s Capital Development Committee last week unanimously recommended
that the state House Health and Human Services Committee reject a bill that
would ask voters to approve higher excise taxes on alcohol and cannabis to
help fund a new mental health hospital in Aurora, the Denver Gazette reports. If
approved, the bill would raise about $44 million annually, which would be
used for construction and operation of the hospital with any
remaining funds used for a yet-to-be-constructed long-term civil commitment
facility in Mesa County.

During the hearing, state Sen. Nick Henderson (D) said he opposed the plan
because he did not want to set a precedent of creating standalone funding
sources for capital development projects.

State Rep. Tammy Story (D) said the bill is not “necessarily a stable or
appropriate way to fund” a mental health facility and its ongoing
maintenance.

Health and Human Services Committee Chair Rep. Lindsay Gilchrest (D) called
the proposal “a creative solution that has the potential to help the
problem” of placements for individuals experiencing acute mental illness.
She added that she looked forward to hearing the bill in committee.

The move by the Capital Development Committee will see a letter sent to the
Health and Human Services Committee explaining their opposition to the
plan.