Grow House tax in Arcata passed?

[Hemphrey Bogart]

Measure I, which was a measure which allowed the city to collect a "a 45 percent tax on residential electricity usage that exceeds 600 percent over the established yearly baseline allowance — the minimum amount of energy a household requires" was expected to win and I thought I heard something about it passing.

I found an article that said it's only about 7 percent of residences that go above the baseline, but this is significant because it is aimed specifically at large indoor dope grows. I wonder if this kind of thing will catch on or not in other cash strapped cities.

HB.

Article: http://thelumberjack.org/2012/10/31...tax-pot-growers-to-potentially-pay-the-price/

 

[SeaMaiden]

Not too long ago Rancho Cordova (suburb near Sacramento) passed a MMJ tax on indoor cultivators based on the square footage cultivated. I'll have to go find what I posted on it.

Did the Arcata measure pass?

 

[Hemphrey Bogart]

Looks like it passed, I guess.



I don't think this is going to hurt the small time, personal stash grower much at all. The guys with larger type grows in residential houses are going to get hit though. I read an article that said about 7% of the customers in that area would be above the baseline and subject to the tax...assuming they keep growing and don't just move.


I wonder if this applies to commercial rates as well because it doesn't sound like it. I'd have to read the actual proposal. I would think most large growers would get a warehouse or something, so maybe this won't affect them.



Seems like the voters in Arcata just want to get rid of the larger grows in residential type areas.





Measure I Arcata

Excessive Residential Electricity Use Tax
Yes 69%
No 31%
Precincts Reporting: 100%
Total number of votes:6,217


http://kiem-tv.com/node/4185


HB.

 

[Hash Zeppelin]

lame

 

[Chunkypigs]

the idea was that this will free up housing in city limits... lots of negative local measures passed in cali tues, mostly keeping dispensaries out of towns.

fully legal in 2016 then mmj will shrivel up...

 

[BM-504]

Yes it passed
Indoor growers just got fucked.
Give it 6 months and the rest of Humboldt will be taxed
As soon as the city of Arcata starts getting checks from PG&E I'll bet a lot of other cities and county's in Cali will jump on this.
http://www.northcoastjournal.com/news/2012/11/08/lashing-out-grow-houses/

Stay safe
BM

 

[TribalSeeds]

Holy shit! How can it get any more expensive? My electric bill was $600 a month running 4x600 air cooled and AC+dehumidifier. I was conserving energy like a mofo in the house. Is that normal cost?

 

[SeaMaiden]

Our electric bill, BEFORE I ever began growing a single plant, was regularly in the $500-$800 range. 4brm, 2.5ba, with five adults living in the house (myself, husband, two teenagers, one father-in-law). This was the main reason why we qualified for that loan that allowed us to go all-solar last year. It's the only reason I'm considering bringing growing back inside, too, otherwise it is absolutely cost-prohibitive.

Does the measure say anything about... 'outing' these high energy-users? That would be another concern.

 

[Hemphrey Bogart]

I found a "Impartial Analysis" of Measure I here.

This is all very interesting to me since it seems that no one is even discussing this. BM-504 made an excellent point. It's not completely out of the realm of possibility that most cities in California and beyond (WA and CO anyone??) are going to look towards having similar Measures placed on the ballot, imho.

The tax windfall is just too good to pass up and with the measure targeting only large growers, it isn't taxing the majority of the folks, so they go ahead and vote for it.

Interesting stuff.

HB.

 

[Hemphrey Bogart]

Holy shit! How can it get any more expensive? My electric bill was $600 a month running 4x600 air cooled and AC+dehumidifier. I was conserving energy like a mofo in the house. Is that normal cost?

I think so. I had one bare 600 watt HPS, a couple of fans, and a scrubber, and my bill was around 150-175/mo.

HB.

 

[Green and Gold]

I have a hard time believing only 7% of houses are above the baseline usage. Its easy to tell which houses grow in Arcata in the winter. On a frosty morning, just drive around and see which houses have frost on the roof and which ones don't........

 

[Nosmo King]

How about the bigger picture...will utilities/City governments feel entitled to monitor EVERYONE'S usage.

Will ID be required for all the people listed on the bill to justify to KWH used

 

[resinryder]

So it's a tax on just a few eh? Unless this tax is charged to everyone it's unconstitutional. I see a winnable lawsuit is some growers futures based on the unfairness of this law.

 

[rives]

So it's a tax on just a few eh? Unless this tax is charged to everyone it's unconstitutional. I see a winnable lawsuit is some growers futures based on the unfairness of this law.

That won't fly. The tax applies to anyone who voluntarily chooses to put themselves into that category, much like sin taxes, gas guzzlers or whatever.

 

[jayjayfrank]

arcata wont have to worry, all the kids that moved in the last couple years are going to washington and colorado. locals will stay local.

 

[Chunkypigs]

they will cash in for a few years on those taxes while the rest of us get legal...

weed is on it's way outdoors with legalization. light dep and greenhouse will devestate
the indoor market in places like cali.

I think there will be a very limited market for indoor because the outs will be dirt fukkin
cheap in a big hurry...

 

[SeaMaiden]

I agree, I've never really understood indoor cultivation in this state. Other states, like Texas or Florida for example, absolutely understand. Power doesn't cost what it does out here, and it's still a strong black market commodity for them. Not so here.

I have a hard time believing only 7% of houses are above the baseline usage. Its easy to tell which houses grow in Arcata in the winter. On a frosty morning, just drive around and see which houses have frost on the roof and which ones don't........

IIRC it's not just above baseline, but something like 600% over baseline.

 

[rives]

I agree, I've never really understood indoor cultivation in this state. Other states, like Texas or Florida for example, absolutely understand. Power doesn't cost what it does out here, and it's still a strong black market commodity for them. Not so here.

There are lots places in California that the outdoor growing season is too short to do much of anything, and luckily they coincide fairly closely with being out from under PG&E's thumb. A green house would be wonderful, though.

 

[SeaMaiden]

There are lots places in California that the outdoor growing season is too short to do much of anything, and luckily they coincide fairly closely with being out from under PG&E's thumb. A green house would be wonderful, though.

Anywhere in the state it would be, but the majority of the state the season lasts just fine. And it's gotta have fish in it, too. I think I need to get fish back in my life.

 

[BM-504]

Even a greenhouse does not work to well close to the coast (Fog Belt) where about 75- 80% of the county population lives... Just to foggy and humid in Aug-Oct.

From Sundays Times-Standard

Arcata's excessive energy tax is the first of its kind. Eureka and Humboldt County are discussing the possibility of looking at similar taxes.
”It makes sense to do it on a broader regional level,” 3rd District Supervisor Mark Lovelace said, echoing concerns from other municipalities in the county that the tax could lead growers to abandon Arcata for other areas.
Lovelace said he was looking to bring a presentation to the board of supervisors earlier, but the city was concerned that it would appear to be advocacy for the measure, which is illegal under state law.
Working with Arcata will help the county before it begins dedicating staff time to research or develop a law of its own.
Regardless of whether it's grow-related, taxing excessive energy consumption will provide a disincentive for that behavior, Lovelace said.
”I haven't heard real opposition to it -- virtually from anyone,” he said.
While 31 percent of Arcata voters cast a no vote on the measure, Arcata Kineticab owner Mark Sailors has been a rare outspoken critic.
”It just seems very hypocritical to me,” Sailors said.
Years ago, marijuana growers flocked to Arcata in the hopes of selling to local dispensaries, Sailors said. When the council passed an ordinance regulating dispensaries, it forced growers who were “begging to be taxed and regulated” locally to sell to dispensaries out of the area, he said.
He said the energy usage tax will harm patients who grow their own.
”It's seedy and unseemly,” Sailors said. “It reeks of pitting neighbors against each other.”
Arcata Police Chief Tom Chapman said he believes the tax could lead to fewer grows in the city.
”Hopefully, they'll recognize it's cost prohibitive,” Chapman said.
While the city doesn't receive specific user information from PG&E, it can see the number of homes in different tiers of energy use, and any changes in those numbers. Chapman said he doesn't expect the tax will completely end residential marijuana grows.
”People are ingenious, so who knows what we'll see,” he said, adding that they may see more meter bypassing, or other ways to avoid the tax. “It will evolve.”
The tax will affect residents who exceed a Pacific Gas and Electric Company electricity usage baseline. Under the measure, high usage households that exceed the baseline by 600 percent would be charged an additional 45 percent of the electricity portion of a bill. There will be a medical baseline exemption to the tax. The tax will sunset in 12 years.
In October, Environmental Services Deputy Director Karen Diemer told the Times-Standard that PG&E is on track to implement the tax beginning in early January. PG&E estimated it will cost $600,000 to implement the tax.
On Friday, PG&E spokeswoman Brittany McKannay said details of the cost and implementation of the tax will be hashed out through meetings with the city over the next several weeks.
Arcata Mayor Michael Winkler said this week that it will likely take about six months to implement the tax, and revenue will go to the city's general fund.

Stay safe
BM