LEGALIZATION OF CANNABIS IN ONTARIO: CHALLENGES AND OPPORTUNITIES FOR MUNICIPAL GOVERNMENTS. Craig Reid

Transcription

1 LEGALIZATION OF CANNABIS IN ONTARIO: CHALLENGES AND OPPORTUNITIES FOR MUNICIPAL GOVERNMENTS Craig Reid

2 Canada is legalizing and regulating cannabis subject to licensed production, personal possession and growing limits and age restrictions. Provinces and Territories will determine their own distribution systems and the Excise Duty will be shared 25/75 F P/T Government of Ontario s approach to cannabis legalization includes: The Ontario Cannabis Retail Corporation (Ontario Cannabis Store) monopoly over cannabis distribution Online retail available throughout Ontario through the Ontario Cannabis Store (OCS) on October 17. Regulated private retail sales starting April 1, Municipal opt-out of retail sales. Legal age increased to 19. Consumption permitted in private residences - prohibition on cannabis consumption in public spaces, workplaces, and in motorized vehicles (unless stationary and used as a residence). Youth diversion alternatives to traditional justice system. The closure of illegal dispensaries in collaboration with municipal governments. Penalties and fines for drugged driving, illegal distribution, public use, etc. Consultation on consumption venues. CONTEXT

3 MUNICIPAL INTERESTS AND IMPLICATIONS Emergency Services Economic Development IMPLICATIONS Public Health Public Safety

4 AMO POSITION ADVOCACY Since August 2016, AMO has engaged with the Province to advance municipal interests in cannabis legalization, including at the staff and political level, through the AMO Marijuana Legalization Taskforce, Board and other groups. Throughout, AMO has recommended that to be a success, legalization must benefit communities as well as individuals: Strong municipal voice in cannabis legalization as impacts will be felt locally; Municipal costs must be fully funded Training/resource supports/authorities must be provided to enable municipal front line worker role (e.g. police, bylaw; public health); A portion of marijuana tax revenues should be dedicated towards municipal needs; Community development benefits from legalization Strong municipal voice in the siting of retail venues to address community needs; The Province should take an evolutionary approach to enable the broadening of the legal mark et (once stabilized) economic development to sustain communities Municipal role in promoting economic development opportunities arising from cannabis legalization (e.g. agricultural/processing sectors, consumption venues, private retailers) Need for more research moving forward to ensure evidence -based decision-making and public education

5 ROLE BY JURISDICTION Federal Government Provincial Government Municipal Governments Amendments to criminal law (cannabis legalization) Cannabis production (licensing of suppliers) Online mail-delivery system in P/Ts that do not set up a retail and distribution regime in time for legalization Taxation/revenue Amendments to provincial offences Retail and Distribution Rules and parameters for use and safe driving Coordinating enforcement/enforcement training Public Education and Awareness Allow or not allow retail sales Guiding siting of storefronts (in collaboration with the province) to minimize community impacts Enforcement (police, by-law, possibly public health) Driving, storefronts, illegal use and nuisance complaints, personal growing, etc. Public Education and Awareness Continued oversight over the medical marijuana regime International agreements Taxation/revenue Public health policy and health care Schools and curriculum and youth justice Workplace safety Paramedic services Places of Use (possible role for municipal licensing?) Workplace safety as an employer Role in promoting economic development as the market broadens Planning and service for growing facilities

6 ENFORCEMENT Enforcement is a major municipal government activity related to cannabis Enforcing safe roads Detecting drugged driving on the roadside For some incidents, further evaluation at the police station requires expertise Training officers for detection and roadside testing kits when available will be a cost driver Illegal market and consumption will also consume resources

7 ENFORCEMENT By-law enforcement may play a role in: Carrying out some policing functions if designated by a council Disputes and nuisance complaints Neighbors and use Personal use growing? Licensing for cannabis lounges?

8 PARAMEDIC SERVICES Municipal ambulance operations and paramedic services could be impacted Some US jurisdictions saw a significant increase in distressed cannabis users US Edible products evolving packaging and dosage standards on implementation Canada will not introduce edibles until later

9 PUBLIC HEALTH Ontario and Canada will have safe consumption information Ontario has endorsed CAMH Safer Use Guidelines Local Public Health Unit impacts are uncertain SFOA enforcement Increase in demand for public programs smoking cessation, etc.? Input into licensing of lounges? Private market licensing?

10 The picture is slowly getting clearer as we move closer to legalization but there are still many unknowns and much work to be done by all orders of government. A few key items: OTHER IMPACTS Edibles not covered by Feds or Province, selling will be illegal but consumers will still be able to make products at home Uncertainty about the enforceability of home grows Municipal government employers updating policies Nature of evolutionary approach cannabis industry model in the future? Cannabis consumption venues and municipal licensing? Community needs Canadian youth use of cannabis is high. Regulation will make it more difficult to access, but underlying needs in community quality recreation and skill development programs could play a strong role AMO will continue work with Ontario, Canada, FCM and members to advocate for municipal interests.

11 ONTARIO SUPPORT On March 9th, the Minister of Finance announced $40 million in funding for the first two years of legal cannabis implementation. If Ontario s excise duty revenues exceed $100 million in that time, the revenue will be shared 50/50. Municipalities opting out will receive $10,000 Other municipalities will receive funding on a per household basis OR $10,000 To flow in autumn 2018 and 2019 A provincial hold back for unforeseen circumstances ($?) This begins to deliver on municipal government and AMO requirements The funds will support all municipalities to manage the transition to legal cannabis and help with incremental costs for service demands such as enforcement, paramedic, etc. Ontario and municipalities will collect data on these service demands to establish baseline needs In the longer-term, AMO believes there is a case to be made for revenues to support community development needs, especially for youth

12 Thank you.