COMMUNITIES TO GET $40M FOR LAW ENFORCEMENT

The government of Ontario will give municipalities $40 million from its share of federal marijuana taxes to help cover law enforcement and safety costs associated with pot legalization, the province announced Friday.

The money — which will be provided to municipalities upfront, beginning before legalization takes effect later this year — will come from the first two years of federal excise duties on producers of recreational pot.

“This funding will ensure that Ontario’s municipalities have dedicated resources for cannabis enforcement,” said Marie-France Lalonde, minister of community safety and correctional services. “Ontario will continue working with law enforcement agencies to protect our communities from illegal cannabis activity, and to keep impaired drivers off the road.”

The money will be provided to municipalities based on the number of households they have, but will be adjusted so every municipality gets a minimum of $10,000. If Ontario receives more than $100 million from federal marijuana tax over the course of two years, it will give half the surplus to municipalities. The province will also earn money through the sale of recreational pot at provincially-licensed stores and online. The Association of Municipalities of Ontario said it was pleased to see Ontario help local governments with local needs arising from Canada’s new marijuana laws.

The federal government agreed in December to give 75 per cent of its marijuana excise tax revenue to the provinces and territories for two years. One third of the provincial and territorial governments’ shares are expected to be given to municipalities. The federal government’s share of the duties is capped at $100 million, with any additional revenue going to provinces and territories. Every province and territory has signed on except Manitoba, which is holding out for a larger cut of excise revenue.