Proposed constitutional amendment known as Issue 3 fails amid concerns over role of corporations – but similar measure could be on ballot next year

Ohio voters on Tuesday shot down a proposal to legalize recreational marijuana, but advocates remained hopeful for another measure that could be on the ballot in 2016.

The swing state of nearly 11.6 million people would have followed five other jurisdictions where both recreational and medicinal marijuana are now legal: the states of Oregon, Alaska, Colorado and Washington, along with Washington DC.

The state’s campaign was fraught with complexities and concerns from some legalization advocates who said it represented a corporatization of the national effort to end marijuana prohibition, with millionaires vying to latch on to a profitable industry leading the effort, rather than grassroots activists working to secure a victory.

Issue 3, as the proposed constitutional amendment was known to Ohioans, stirred emotions among legalization advocates, as the measure places the state’s marijuana cultivation in the hands of those who bankrolled the $20m campaign. Critics received bipartisan support from legalization advocates opposed to what they viewed as a potential monopoly on the industry, along with law enforcement officials who were opposed to ending prohibition on marijuana.

Election 2015: off-year votes put focus on marijuana, LGBT rights – and Airbnb Read more

The motley group of investors behind Issue 3 included former member of boyband 98 Degrees, Nick Lachey; former NBA hall of famer Oscar Robertson; and Woody Taft, a great-great-grand nephew of US president William Howard Taft.

Under the amendment, a new state commission would have been created to license retailers, and adults 21 and older would also have been allowed to grow up to 8oz of marijuana for personal use, with four flowering plants. Adults without a license could purchase, possess, transport and use up to an ounce of marijuana.

Ian James, a political strategist and executive director of ResponsibleOhio, brushed off critics who said Issue 3 was written to solely benefit investors. The set number of 10 facilities would have allowed regulators to safely oversee the industry, he said, without a major influx of grow facilities up front.

“Measuring from 10, to start, and then growing from there is really, we believe, a smarter way to go forward,” James said.

And given Ohio’s standing in the US as a swing state, he said the idea of waging a legalization effort without a hefty bankroll would have proven futile.

Legalization advocates opposed to Issue 3 disagreed.

Sri Kavuru, president of the marijuana legalization group Ohioans to End Prohibition, said a separate amendment could be placed before voters in next year’s general election.

“We have our own initiative; it’s already approved by the attorney general’s office and the ballot board,” Kavuru told the Guardian. “We’ve collected a lot of signatures so far.”

The group has until 1 July to collect the necessary number of signatures to make the ballot.

“We have a lot of phone calls to make and a lot of conversations to follow up on, but we’re going to plan our strategy moving forward and talk to some of the people who’ve committed funding to us and decide what way to move forward from there,” Kavuru said.

If successful, Kavuru’s proposed amendment would go into effect 1 January 2017. Under the proposal, adults 21 and older would be able to possess up to 100 grams of marijuana, roughly 3.5oz. Adults 21 and older could grow up to six mature plants in their home, without a license.

The failure of Issue 3 doesn’t represent a referendum on prohibition of marijuana, Kavuru said. Rather, “people rejected the idea of the monopoly”.

Marijuana businesses voice fear of a Republican president Read more

“We will also prove that, as well,” he said.