Tuesday, February 24, 2009

California - The Sunshine State or the Pot State?

I’m sure almost everyone has heard about the dire situation that the state of California finds itself in. Their budget is sitting in limbo right now with a $42 billion gap and no way to close it. Thousands of ideas and proposals have flooded the governor’s office, but there is one that keeps coming out on top.

Most people refer to this solution as a sin tax, which is a tax added to those items (alcohol or tobacco) that are deemed vices and unnecessary. Governor Schwarzenegger has proposed an increase in taxes on alcohol and Assemblyman Tom Torklakson proposed an increase in taxes for cigarettes.

Now, it has come to light that if California would decide to legalize marijuana and then tax it heavily, the state could quickly close their budgetary gap. The marijuana crops grown in California equal $13.8 billion annually and approximately 14.5 million Americans use marijuana monthly.

If marijuana were to become legalized, the state could collect taxes on all that marijuana that is currently being sold in the underground market. It would also save the state the money they are spending on prosecuting those people that are using, selling, or growing marijuana illegally.

This is what the public relations world refers to as a hot button topic. On the one hand, the state is thinking creatively to decrease their budget deficit, which is great. On the other hand, they are thinking about legalizing a substance that was long ago determined to be detrimental to the growth of society.

The state’s public relations department will have to give this topic a lot of consideration before picking a way to support this. Remember, the goal of PR is to always portray your organization (or in this case, the state) in the most favorable light while still relaying all information correctly.
No matter which way you cut it, this is going to be a hard battle to fight. There are many pros and cons from each side, and many details that need to be worked out before a decision is made. It will certainly be an interesting legislative session in the state of California, and I’m sure the PR reps and the media will be happy to keep us informed.

8 comments:

  1. I'm always torn about these types of ideas. I love the idea of getting money away from drug lords and underground dealers and using it for the public good. But at the same time, would that collected money have to be used for rehab programs and the like?

    The other issue I have with so-called "sin taxes" is that in essence it is going to tax the poor more than the rich. It is statistically the case that more poor people have problems with drinking and smoking than rich people and so in the end, they just end up paying for more of the share of the pie. I don't know if there is a good solution. Every one seems to have a down side.

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  2. This is quite a controversial issue. I can see the pros and cons.

    On one hand, the "sin tax" will surely solve their budget issues. Maybe it will help decrease the usage of those types of "sinful things."

    But, I happen to feel it may cause more damage in the long run to legalize marijuana. The younger generation doesn't understand the true damage this drug can do. We can't seem to control the use of other drugs, how would they control the abuse of this drug.

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  3. I agree with Kim. I cant pick a side and I can see both the positive points and the negative points.
    I dont see this as a good thing because we are saying that it is ok to legalize marijuana and its ok for people to smoke it.
    There are many issues already in our society that are dealing with drugs and by doing this we are just going to make issues big and bring in fresh issues as well.
    This was a great article. I had heard about this but not all the details.

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  4. Its sad to see that our country needs to think about these kinds of issues to get us out of debt. I mean legalizing a drug to make a quick buck. I know many people use it already illegally, however I don't think legalizing it will make it less wanted. I think more people will try it if it is legalized.
    Sure that will be a great thing for the state becuase they will make even more money, but do we really want to make money off of the health effects the drug is causing on the users.

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  5. It took forever for states to allow terminal patients in die hard need of something, aka marijuana, to help them get by day to day.
    And if California were to legalize marijuana, that'll open up a lot more situations where other states will want to legalize it or those "potheads" will always be traveling to Cali to buy a bunch, legally, and take it back to their homestates.
    But by adding that "sin tax", that should put them in decent money. It'd add up quick. And like Kim said, maybe adding that tax will decrease the use of them.

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  6. I must agree that this is quite the controversial subject yet it is tied to another PR nightmare issue, immigration. Personally, it is not hard for me to believe that government of the state would want to take something that is illegal, make it legal and then tax it.

    Currently California has the highest number of illegal immigrants who receive public assistance including but not limited to free medical care, food stamps, housing allowance and using the state educational system (schools).

    Perhaps they should look at where they are currently spending the money and make hard decision like the rest of us have to do. A good rule of thumb for the state should be “When you don’t have the cash you don’t spend the money.”

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  7. I'm not suprised that this is an issue and I have always questioned why it hasnt been done yet. So many people smoke marijuana and by not legalizing it doesnt mean people wont do it. So why not legalize it? I think that there is more good by legalizing it than bad. And if it turns out to be a bad idea they can also change it bad to being illegal.

    I am really against the use of drugs but mariguana is everywhere and law enforcement hasnt been able to control or stop people from using, selling, and growing it.

    Im sure many people are against it too, just as people are against smoking cigarettes, drinking alcohol, etc. Im sure that this will be an issue for awhile and will take a while for it to change.

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  8. I have not heard of this problem with California. I dont ever know what way to go with politics. I like to say that I am part of the green party, but then again I like what some of the Dems say, what some of the Reps say, but it almost seems like I have to choose between the lesser of the two evils. This is how I feel about this topic, I cant choose between the choices. Hopefully it will all work out for the best.

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