San Luis Obispo County taxpayers will contribute over $1 million in the current fiscal year to support the struggling local cannabis industry.
In the previous fiscal year (2022-2023), the county allocated $400,942 to subsidize the cannabis sector, while the program's management cost the county $1,527,171, despite generating $1,126,229 in cannabis fees and taxes.
The debate over cannabis taxation and its impact on the county's budget has been a point of contention among county officials. Supervisor Dawn Ortiz-Legg proposed a freeze on cannabis taxes to promote industry growth and sought to extend delivery hours and allow retail stores to boost tax revenue. In contrast, Supervisor Debbie Arnold argued against subsidizing the cannabis industry, according to a CalCoast report.
The San Luis Obispo County Board of Supervisors last week voted to reduce the Cannabis Business Tax (CBT) rate to 6%, a reduction that will apply to transactions that occur on or after July 1, 2023.
Back in 2018, San Luis Obispo County voters approved the CBT, a measure applicable to cannabis businesses operating within the county's unincorporated areas. This voter-approved measure stipulates an automatic 2% increase in the cannabis tax rate each July 1st, up to a maximum of 10%, unless the Board of Supervisors votes to hold or reduce the tax rate.
Starting from July 1st, 2023, all cannabis business transactions taking place in the county's unincorporated areas will be taxed at the revised rate of 6%. CBT reporting and remittance for the July 2023 period will be due on or before August 31, 2023. It is important to note that CBT returns for the June 2023 period (due on or before July 31, 2023) will still be assessed at the current 8% CBT rate.
New cannabis businesses operating outside of city limits in San Luis Obispo County will now be charged more than $3,900 for a license.
On September 13th, the Board of Supervisors approved changes to the County’s cannabis program, including approving a new required fee for licensed cannabis businesses operating in the unincorporated areas of the County. The new fee will take effect on October 14, 2022.
Every County cannabis business license will be required to pay a Cannabis Tax Compliance fee of $3,918 at the time of license issuance and each year at the time of license renewal. This fee is in addition to the required annual business license fee, which is currently $44 per new license and $34 per license renewal.
Cannabis operators in unincorportated areas of San Luis Obispo County must collect a tax of 8 percent starting July 1.
In 2018, San Luis Obispo County voters approved the Cannabis Business Tax (CBT), which is applicable to cannabis businesses operating in the unincorporated areas of San Luis Obispo County. This voter-approved measure states that the cannabis tax rate increases by 2% each July 1st, up to a maximum of 10%, unless the Board of Supervisors votes to hold or reduce the tax rate.
Helios Dayspring is trying to sell his remodeled commercial property for $9 million. This is less than a year after the city of San Luis Obispo revoked his permit to run a cannabis shop, according to a report by CalCoast News.
In January 2021, Dayspring finished a full remodel of the property that used to be a warehouse. The building now has a reception area and waiting room, retail space, a climate-controlled clone room, a customer lounge, an employee break room, a manager's office with large glass walls, a conference room, and a climate-controlled vault.
The advertisement says that the project was built with high-efficiency appliances, solar power, and charging stations for electric cars in mind.
Six months after FBI and IRS agents raided Dayspring's home on the edge of SLO, prosecutors charged Dayspring with one count of bribery and one count of filing a false tax return. In June 2020, Dayspring said that he had tried to bribe former Grover Beach Mayor John Shoals and former SLO County Supervisor Adam Hill.
In October 2020, Dayspring gave his live-in girlfriend Valnette Garcia ownership of Natural Healing Center SLO. This was right before he pleaded guilty to tax fraud and bribery charges.
A year later, the city of SLO took away the pot shop's license because Dayspring had not told them about his criminal past and had lied about owning the land underneath the shop.
On September 15, 2021, Dayspring paid $4.2 million for the house at 2640 Broad Street. Dayspring says that he has spent more than $4 million to fix up the house since then.
On May 27, Dayspring will be sentenced in federal court in Los Angeles. He could get up to 13 years in prison.
