On its face, this measure would impose a 5% excise tax on recreational and medical marijuana sold in Erie.
But the significant change here is that it would in turn allow dispensaries and the sale of marijuana in Erie — something that’s been banned in the town since the drug’s Colorado legalization in 2012.
An ordinance was approved by council Sept. 24 that will allow marijuana sales in the town limits if this measure is passed.
How much money is this expected to generate?
Though the ballot language says $800,000 in the first year, town staff said they don’t actually expect to raise that much — TABOR regulations require anything over what’s on the ballot to be paid back to constituents, so town staff said they intentionally overestimated.
Because only two stores would be allowed (more on that later), Mayor Justin Brooks said the revenue likely wouldn’t be enough to “tilt the axis.”
“It could be years before a company comes to Erie, we aren’t sure,” town communications director Gabi Rae wrote in an email. “As with any sector, it will also depend how the marijuana business does as a collective over the next few years with sales numbers and demand.”
What will the revenue be used for?
It’s up to town council. According to the info page for this measure, it will go toward “projects and programs the Council believes are the highest priority each year through the Town’s annual budget process.”
Where would dispensaries go?
The ordinance that would go into effect if this measure passes details where dispensaries could operate. Only two dispensaries in town would be allowed, and they can’t be within 1,000 feet of each other. They need to be at least 1,000 feet from any “school activity,” which includes daycares and private schools, and 250 feet away from residential zoning.
They can’t be larger than 5,000 square feet, and ventilation is required “so odor is not perceptible” from the outside.
There’s not many places a dispensary could actually go based on the ordinance, and Erie has less than a 1% vacancy rate for commercial space.
Two leaders from the marijuana industry expressed concerns in a public hearing about the lack of allowable space; Native Roots Director Liz Zukowski said that almost all of the land that would fall under the ordinance was raw land with no existing buildings on site, making it a “near impossible situation” for businesses.
If the town wanted to change these regulations in the future to make it easier for businesses, they could amend the ordinance through a process with staff, planning commission and a final council vote with a public hearing.
Other things to consider
- 67% of residents are supportive of ending the ban, according to a 2023 survey.
- Erie is the only BoCo municipality with a ban on cannabis sales. (Superior lifted its ban in 2023.)
- Delivery is already allowed in the town.
- Use of marijuana in parks, open spaces and on trails would still be prohibited
- Council voted 4-2 to lift the ban if voters approved this measure. Councilors Andrew Sawusch and Brandon Bell opposed.