◆ At Senate committee’s request, lawmakers to condense cannabis legislation.
New Mexico lawmakers eager to legalize recreational marijuana are facing a looming challenge. Simply put, time is running out. This year’s 60-day legislative session has 20 days left, and lawmakers in the Senate have four proposals to consider.
On Saturday, members of the Senate Tax, Business and Transportation Committee hashed out those initiatives with bill sponsors for nearly four hours. It was the first time the bills received a hearing in the Senate — a point brought up by Sen. Craig Brandt, R-Rio Rancho.
“This was supposed to be a priority issue, and yet we have 20 days left and we’re just hearing it,” he said, urging his fellow members on the committee to move at least one of the four bills forward to the Senate Judiciary Committee for consideration to move the proposed legislation ahead.
But in the end, the sponsors of the four proposals — House Bill 12 and Senate Bills 13, 288 and 363 — were told to convene over the next week and come up with just one proposal for the committee to vote on Saturday.
That will leave lawmakers just two weeks to move the chosen initiative through the Senate Judiciary Committee and then to the Senate floor for a final vote.
“Hopefully, you can come up with some compromise,” Sen. Benny Shendo Jr., a Jemez Pueblo Democrat and committee chairman, told the sponsors of the four bills.
All the bills would legalize the possession of up to 2 ounces of recreational cannabis or 16 ounces of cannabis extract for adults 21 and older. All would allow New Mexicans to apply for a license to grow and sell cannabis. And all would set up a regulatory commission to oversee the program, including issuing and setting fees for licenses.
Legalizing recreational cannabis could lead to the creation of some 11,000 jobs statewide, according to fiscal impact reports.
All the bills would impose an excise tax, with rates ranging from 6 percent to 20 percent.
One of the proposals — SB 13 — would impose a yet-undecided cap on production. The other three would not. Some legislators had problems with the no-cap proposal, saying it’s important for state regulation. Others voiced no such concerns.
Another initiative — SB 288 — would allow local jurisdictions to opt out of selling cannabis. That bill also includes language prohibiting cannabis shops from operating within a mile of one another. Some lawmakers expressed support for those ideas, while others did not or suggested counties and cities initiate operating limits themselves.
Only one legislator — Sen. Gay Kernan, R-Hobbs — brought up the issue of water. Most studies say cannabis requires about a gallon of water per day per pound. Kernan said she wanted to see more information on how much water acreage would be necessary for cannabis producers.
“That’s something we certainly need to know when trying to determine whether to cap or not to cap,” she said.
All the legislative endeavors would require cannabis growers to obtain water rights.
Among other points, proponents say cannabis legislation is inevitable and would help curtail the black market. Several Senate Republicans, including Brandt, said it’s time to move forward with such initiatives. (No Republicans in the House voted for HB 12, which cleared that chamber Friday.)
Supporters also say legalizing cannabis would bring much-needed revenue to the state. Still, initial estimates that legalizing cannabis would generate at least $50 million in tax revenue the first year after legalization were tempered by both the fiscal impact reports — which put that figure closer to the range of $12 million to $15 million — and economic analyst Kelly O’Donnell, who told committee members $25 million is more realistic the first year.
But O’Donnell said that figure could exceed $100 million within five years.
Bill sponsors vowed to get together to work something out over the next week.
Senate Majority Leader Peter Wirth, D-Santa Fe, said that was the best option.
Otherwise, he said, “There’s a chance we end up with nothing if we can’t get all the pieces lined up.”