Colorado Legislative Committee Recommends Rejecting Bill to Raise Cannabis Excise Tax

Colorado’s Capital Development Committee last week unanimously recommended that the state House Health and Human Services Committee reject a bill that would ask voters to approve higher excise taxes on alcohol and cannabis to help fund a new mental health hospital in Aurora, the Denver Gazette reports. If approved, the bill would raise about $44 million annually, which would be used for construction and operation of the hospital with any remaining funds used for a yet-to-be-constructed long-term civil commitment facility in Mesa County. 

During the hearing, state Sen. Nick Henderson (D) said he opposed the plan because he did not want to set a precedent of creating standalone funding sources for capital development projects.  

State Rep. Tammy Story (D) said the bill is not “necessarily a stable or appropriate way to fund” a mental health facility and its ongoing maintenance. 

Health and Human Services Committee Chair Rep. Lindsay Gilchrest (D) called the proposal “a creative solution that has the potential to help the problem” of placements for individuals experiencing acute mental illness. She added that she looked forward to hearing the bill in committee. 

The move by the Capital Development Committee will see a letter sent to the Health and Human Services Committee explaining their opposition to the plan.