OPINION: The case for cannabis-based philanthropy in San Benito County

San Benito County voters have spoken at the polls. A statistical majority of the county’s population voted to support medical marijuana in 1996 approving Prop. 215 and then again this November by approving Prop. 64 also known as the Adult Use of Marijuana Act to tax and regulate the recreational adult use of marijuana in California.

The City of Hollister and San Benito County governments continue to listen to opponents and proponents of the cannabis industry aspiring to take root in our community, in an ongoing debate to provide safe access to medical — and eventually — recreational marijuana products. Elected officials and/or ad hoc medical cannabis committees from both government entities should facilitate and promote transparent dialog to discuss the issue of cannabis-based philanthropy and charitable giving in an ongoing effort to strike a balance between the statistical majority of constituents who voted to approve the ballot box initiatives and the statistical minority of constituents who voted against those laws because they fear the potential harmful social consequences of legalized cannabis in our community.

So how does local government encourage the ongoing dialog between the two factions with the intention of building consensus to actually encourage the nascent regulated cannabis industry to contribute to the betterment of San Benito County?

Clearly, from a fiscal/financial perspective, local government must continue to facilitate and collaborate with all sides of this public debate to ensure that taxes, fees and assessments are imposed on cannabis products in a fair manner so that public resources such as police/fire protection services and mental health/addiction prevention services are fortified commensurate with available risk management data from other states that have taxed and regulated cannabis products in applicable jurisdictions. These issues are considered the hard costs of government doing business, providing resources and recovering costs from the industries that require public services and help pay for the roads, schools, hospitals as well as parks and recreation and other facilities managed by the respective governments within their jurisdiction.

But what about the soft costs of improving community resources championed by 143 nonprofit organizations in San Benito County, many of them subsidized by philanthropic donations and community impact grants from both private and community foundations that are funded by businesses, industries and private donors interested in charitable giving to improve our community? How do we encourage all interested parties in the cannabis debate to consider philanthropic charitable giving goals intended to address the basic needs of the poor, the elderly and at-risk youth? Will local government challenge all sides of the public cannabis debate to envision realistic philanthropic fundraising goals so that local nonprofits who serve the poor, the elderly and at-risk youth are additionally subsidized by the nascent cannabis industry over and above the aforementioned hard costs of doing business?

With the advent of Prop. 64 finally rolling out in 2018, the taxed and regulated cannabis industry is forecasted to become a multi-billion dollar, multifaceted enterprise system in California emerging from the shadows of the black market, flush with venture capital investments and business plans.

Local government should be encouraged to anticipate and expect that the cannabis industry will create and develop marketing and public relations strategies that will include philanthropic donations to community organizations intended to ameliorate the social environment as well as establish responsible business practices that demonstrate good citizenship by the cannabis industry through charitable donations to vetted, responsible community causes.

There is some precedent to consider from the state of Colorado which legalized cannabis use for adults in 2014. According to some resources there, several nonprofits are reluctant to accept cannabis industry donations because they also receive grants from the federal government and cannabis is still illegal at the federal level. Many non-profits get much of their funding from the federal government. Because cannabis businesses are still federally illegal, accepting marijuana donations could put the bulk of their funding in jeopardy. It is because of this that so many businesses either decline the charity or keep quiet about its source.

Abby Hutmacher, a freelance writer in Colorado, wrote an article for the Coloradopotguide.com in May of this year called “How Cannabis Can Give Back To The Community.” “Contrary to what some have speculated, marijuana legalization did not create a zombie apocalypse. It did, however, highlight the need for cannabis businesses philanthropy. If we want to prove that the industry can be beneficial to all, it is important to support cannabis businesses who give back to their communities, and to let them know how much we appreciate them for doing so.” 

As far as I know, little collaborative effort has been made to bring all sides of the cannabis industry debate to the table in order to forge an understanding about how best to donate funds, volunteer time and resources so that a constructive vision and credible benchmarks can be created to benefit nonprofit organizations who serve the community and complement local government efforts to provide community resources to the homeless, the poor, the elderly and at-risk youth.

In my opinion, there is still a lot of work to do by local government, as well as public and private debate and deliberations to be considered, in an attempt by all parties interested in this issue to better understand the larger economic scope and potential opportunities to improve the quality of life in San Benito County that may be realized by the advent of a new cannabis industry seeking to do business by providing products and services pursuant to Prop. 215 and Prop. 64 laws and regulations.