News & Politics

Starving for Cash: Will California's Marijuana Initiatives Fail Without More Funding?

A meeting of marijuana initiative leaders in California revealed that nearly every campaign is in serious trouble if it doesn't get a large cash injection -- and soon.

 Proponents of four out of five of the California marijuana initiative campaigns came together to tout the merits of their various measures at a public meeting in Mill Valley, just across the Golden Gate Bridge and up the road from San Francisco, Tuesday night. But the take away message from the confab was that every single one of the initiatives is in serious trouble if it doesn't get a large cash injection -- and soon.

Three of the initiatives, Regulate Marijuana Like Wine 2012(RMLW), the Repeal Cannabis Prohibition Act of 2012 (RCPA), and the California Cannabis Hemp & Health Initiative of 2012(CCHHI), offer competing, though mostly similar, versions of legalization, while the  Marijuana Penalties Act of 2012 would expand decriminalization. The fifth initiative, the Medical Marijuana Regulation, Control and Taxation Act of 2012(MMRCTA), seeks to bring statewide regulation to the state's confused and chaotic medical marijuana marketplace.

Disinterested but detailed summaries of each initiative are available at the state Legislative Analyst's Office (LAO) initiative fiscal analysis web page, and are highly recommended reading for those interested in the finer picture of what each initiative does. But in summary, according to the LAO, each of the three legalization initiatives would change state law to legalize marijuana possession by adults and regulate the legal commerce in it.

Equally striking, in the LAO's analysis, each of the three legalization initiatives would save the state either "potentially tens of millions of dollars" (RMLW) or "potentially the low hundreds of millions" (RCPA, CCHHI) annually in pot prohibition enforcement costs foregone. At the same time, any of the three would generate "potentially hundreds of millions of dollars" annually in tax revenues, while the MMRCTA would generate "tens of millions of dollars" in potential additional revenues.

The LAO took care, however, to point out that its fiscal impact estimates, and especially its revenue estimates, depended highly on the nature of the federal response to marijuana legalization in California. The figures cited above happen only if the federal government allows  a legal marijuana commerce to thrive.

With that pot of green gold from legalization enticingly foreseeable, even if the path past federal intransigence is unclear, the frustration of initiative campaigners at their inability to raise money to get on the ballot is evident. With each day that passes without a paid professional signature-gathering campaign underway, the cost of gathering each signature goes up. And the clock is ticking. The initiatives have only until April 20 to turn in 504,000 valid voter signatures.

"Time is running out to get these initiatives on the ballot," RMLW campaign presenter Steve Collett, a Los Angeles attorney, told the crowd. "We're going to need to raise some money to do it. We think we need about $2 million to get on the ballot, and then we can reap $230 million a year forever."

Collett pointed to RMLW's list of endorsements and a poll it commissioned showing 62% support for the measure as enticements to potential funders. RMLW is going to need those funders, and it's in the best shape of any of the legalization initiatives.

The RMLW campaign had only raised $131,000 by the end of December, according to the California Secretary of State, and only another $20,000 since then. It currently has only 40,000-50,000 signatures gathered. The other campaigns are in even worse shape.

"We're all down to the last minute," said Oakland attorney Bill Panzer, spokesman for the RCPA campaign. "If we don't get money to get professional signature-gatherers, we don't get on the ballot," he added. "But," he reminded the audience, "with Proposition 215, we got most of the signatures in five weeks with the professionals."

 

CCHHI campaign spokesman Buddy Dusy was mum about fundraising, but said the campaign had 130 paid signature-gatherers. "We need to do it for Jack Herer," he said.

California NORML
 head Dale Gieringer, who acted as spokesman for the MMRCTA campaign, said it was in do or die negotiations with potential funders right now and has a team of experienced campaign professionals ready to go.

"These are very critical negotiations going on right now, and we will know within another week or so if this comes through," he said. "If we don't get the money, we're not going to get on the ballot."

"Proposition 19 was the wrong election year, it was poorly drafted, and it was opposed by people in our movement who feared for patients' rights, but it still did very well," said Panzer. "Any of these initiatives can pass if they make it to the ballot."

But Gieringer argued that fixing medical marijuana needed to come first.

"All the polls I've seen show that legalization is very dicey in California, but when you talk about medical marijuana and the need for regulation, support is in the 60s," he told the crowd. "It's hard to call on the public to further liberalize the marijuana laws when they feel things are chaotic enough with medical marijuana. We have to demonstrate that we can regulate medical marijuana to make the public comfortable enough to move on to the next step, legalization."

Although there was talk Tuesday about forging unity, none of the initiative campaigns was prepared to give up and go to work for the other. That leaves three legalization campaigns and the medical marijuana initiative all competing for the same funding, and all of them -- so far at least -- coming up short.

While, barring a miracle, seeing marijuana legalization on the California ballot this year looks extremely unlikely, perhaps the movement can get its act together for 2014 or 2016. At least, the campaigns are starting to talk about it.

"We need a coalition of all the legalization people to create an organization that will be a true legalization coalition in California," said Collett. "We have the same long-term objectives, but differences about how to go about it. Sometimes egos get in the way, but we have to focus on the 70,000 Californians getting arrested for marijuana every year."

 

Mill Valley, CA
United States

 

Read more of Phillip S. Smith's work at the Drug War Chronicle.