Apr 6, 2010 4:08 PM

On the ballot in Fruita: Marijuana tax

Voters in the western Colorado town of Fruita are deciding whether to make their town the first in the state to tax medical marijuana.

The City Council decided to ask voters Tuesday whether to impose a 5 percent sales tax on medical marijuana to help the town of about 11,000 cover costs of regulating dispensaries.  City Manager Clint Kinney says the town estimates the most it could possibly generate from the tax is $100,000, although even that may be lofty. Only one application to open a dispensary is pending.

A voter-approved amendment to the Colorado constitution allows limited marijuana use for certain medical conditions but doesn't regulate dispensaries.
Fruita's rules include background checks for dispensary owners.


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