Supervisors to consider to new cannabis business tax, sculpture honoring Pomo people Elizabeth Larson Posted On Monday, 09 July 2018 04:15







12 July 2018

LAKEPORT, Calif. – The Board of Supervisors this week will discuss approving a new tax on cannabis-related businesses and consider a proposal for a sculpture honoring the Pomo people in downtown Lakeport.



The board will meet beginning at 9 a.m. Tuesday, July 10, in the board chambers on the first floor of the Lake County Courthouse, 255 N. Forbes St., Lakeport.



The meeting can be watched live on Channel 8 and online at https://countyoflake.legistar.com/Calendar.aspx . Accompanying board documents, the agenda and archived board meeting videos also are available at that link.



In an untimed item, the board will consider a new county ordinance establishing a cannabis business tax.



“The purpose of this ordinance is to achieve the expressed intent of your Board to adopt a tax, for revenue purposes, upon cannabis businesses that engage in business in the unincorporated area of the County of Lake,” County Counsel Anita Grant explain in a report accompanying the proposed ordinance. “Such business includes but is not limited to, cultivating, dispensing, producing, processing, preparing, storing, providing, donating, selling, or distributing medical cannabis or medical cannabis products by commercial cannabis businesses.”



The proposed ordinance would impose upon cannabis businesses a tax beginning on Jan. 1, 2019, as follows, with the possibility of future tax increases based on board action:



– $1 annually per square foot of an outdoor cultivation site up to a maximum of $4 annually;

– $2 annually per square foot of a mixed-light cultivation up to a maximum of $7 annually;

– $3 annually per square foot of an indoor cultivation site up to a maximum of $10annually.

– For every person engaged in cultivation at a nursery, $1 annually per square foot of any cultivation site at any nursery up to a maximum of $2 annually;

– For every person who engages in the operation of a testing laboratory, zero percent of gross receipts annually up to a maximum of 2.5 percent annually;

– For every person who engages in the retail sales of cannabis as a dispensary, microbusiness or delivery business, 4 percent of gross receipts annually up to a maximum of 6 percent annually.

– For every person who engages in a cannabis manufacturing, processing, transportation, distribution or any other type of cannabis business, 2.5 percent of gross receipts annually up to a maximum of 4 percent annually.



The document also proposes to create a tax administrator position who would be responsible for the development of an administrative program to ensure the collection of the tax.



The tax would not apply to personal and caregiver cannabis cultivation as defined in the Medicinal and Adult Use Cannabis Regulation and Safety Act.



The proposed tax differs from the cannabis cultivation tax Measure C, which appears in a section of Lake County Code that is different from where the proposed new tax would be codified. Measure C was passed by voters in November 2016.



Measure C established an annual tax of $1 per square foot of an outdoor cultivation site, $2 per square foot of a mixed-light cultivation site and/or $3 per square foot of an indoor cultivation site, subject to annual Consumer Price Index increase.



This new tax, like Measure C, would need to be approved by voters; it’s anticipated to go before voters in November.



In other business, at 9:45 a.m. the board will discuss the county employee health insurance benefit and the impact rising premiums are having on county employees.



At 10:30 a.m. the board will consider providing space in Historic Courthouse Museum Square to place a sculpture celebrating the culture and resilience of Lake County’s Pomo people.



At 10:15 a.m., the board will consider accepting a $25,000 from Rebuild Northbay Foundation for Pawnee fire relief.



The full agenda follows.



CONSENT AGENDA



7.1: Approve resolution of the City Council of the City of Clearlake calling for and providing for and giving notice of the General Municipal Election to be held in the City of Clearlake, County of Lake, State of California, on the 6th day of November 2018 for the purpose of electing two City Council Members and a City Treasurer, each to hold a term of four years, or until their successors are elected and qualified, and requesting approval of the Lake County Board of Supervisors for election services to be provided by the County Elections Department.



7.2: Approve extended leave of absence for Deputy Assessor-Recorder III Marilyn Higgins.



7.3: (a) Waive the formal bidding process, pursuant to Lake County Code Section 38.2, as it is not in the public interest due to the unique nature of goods or services; and (b) Approve the Agreement between the County of Lake and Crestwood Behavioral Health for adult residential support and specialty mental health services for Fiscal Year 2018-19 for a contract maximum of $800,000 and authorize the board chair to sign the agreement.



7.4: (a) Waive the formal bidding process, pursuant to Lake County Code Section 38.2, as it is not in the public interest due to the unique nature of goods or services; and (b) approve the agreement between the county of Lake and Davis Guest Home for adult residential support services and specialty mental health services for Fiscal Year 2018-19 for a contract maximum of $130,000 and authorize the board chair to sign the agreement.



7.5: Adopt resolution designating the Community Development director to review less than three acre conversion exemption applications received from the California Department of Forestry and Fire Protection.



7.6: Approve annual renewal of Veterans Subvention Program Certificate of Compliance and Medi-Cal Cost Avoidance Program Certificate and authorize the board chair to sign.



7.7: Approve plans and specifications for the 2016 HSIP Signs and Striping Project; Bid No. 18-02, Federal Aid Project No: HSIPL-5914(104); and authorize the Public Works director/ assistant purchasing agent to advertise for bids once authorization to proceed with construction phase is received from Caltrans.



7.8: Approve plans and specifications for the Cycle 8 HSIP Signs and Striping Project; Bid No. 18-04, Federal Aid Project No: HSIPL-5914(113); and authorize the Public Works director/assistant purchasing agent to advertise for bids once authorization to proceed with construction phase is received from Caltrans.



7.9: Approve Inspection Agreement for Doug Bridges (Bridges Construction) to provide engineering services for the review of plans and specifications of Assessor’s Parcel No. 008-061-26 and authorize the chair to sign.



7.10: Approve plans and specifications for the Lampson Field Airport Rehabilitation of Runway 10-28, Bid No. 18-01, AIP Project No. 3-06-0117-019-2018; and authorize the Public Works director/ assistant purchasing agent to advertise for bids.



7.11: Approve waiver of the 900 hour extra help limit for Law Enforcement Records Technician Von McPherson.



7.12: Report approve long distance travel for Kelli Page, Program manager, housing to attend the Lindsey Software Systems Training in Hot Springs, Arkansas, July 16-19.



7.13: Approve contract between the county of Lake and Industrial Employers and Distributers Association in the amount of $22,588, from July 1, 2018 to June 30, 2019, and authorize the chair to sign.



7.14: approve acceptance of easement deeds on multiple parcels in Anderson Springs for the Anderson Springs Septic to Sewer Project and authorize clerk to sign.



TIMED ITEMS



8.2, 9:10 a.m.: Consideration of the continuation of a proclamation of a local health emergency by the Lake County health officer due to the Pawnee fire Incident.



8.3, 9:15 a.m.: Hearing, Nuisance abatement assessment confirmation and proposed recordation of notice of lien in the amount of $2,863.89, for 8875 North State Highway 29, Upper Lake (APN 003-041-23 - Joann Madia).



8.4, 9:20 a.m.: Hearing, nuisance abatement assessment confirmation and proposed recordation of notice of lien in the amount of $3,685.77, for 12886 Fourth St., Clearlake Oaks (APN 035-381-31 - Cecilia Kerry).



8.5, 9:30 a.m.: Continued from June 19, public hearing, consideration of appeal of Planning Commission’s approval of Deviation DV 16-01 for Parcel Map PM 15-03; AB 18-01 APNs 024-049-07 and 10 Supervisor District 1.



8.6, 9:45 a.m.: Discussion of our employee health insurance benefit and the impact rising premiums are having on county employees.



8.7, 10:15 a.m.: Consideration of acceptance of donation in the amount of $25,000 from Rebuild Northbay Foundation for Pawnee fire relief.



8.8, 10:30 a.m.: Consideration of providing space in Historic Courthouse Museum Square to place a sculpture celebrating the culture and resilience of the Pomo people of Lake County.



UNTIMED ITEMS



9.2: Consideration of Advisory Board Appointments Lake County Resource Conservation District.



9.3: Consideration of resolution declaring the Board of Supervisors Intent to sell property not required for public use, located at 934-946 Bevins Court, Lakeport, California (APN’s 025-462-100 and 090), Pursuant to Government Code Section 25520 Et Seq.



9.4: Consideration and possible adoption of a county of Lake Employee Compensation Philosophy.



9.5: Discussion and consideration of a county ordinance adding Article VII to Chapter 18 of the Lake County Code establishing a cannabis business tax.



CLOSED SESSION



10.1: Conference with legal counsel: Significant exposure to litigation pursuant to Gov. Code sec. 54956.9(d)(2)(e)(3): Claim of Global Discoveries Ltd.



10.2: Public employee evaluation title: Health Services director.



Email Elizabeth Larson at This email address is being protected from spambots. You need JavaScript enabled to view it. . Follow her on Twitter, @ERLarson, or Lake County News, @LakeCoNews.