The San Jose City Council on Tuesday voted to explore the idea of allowing medical marijuana collectives and taxing them to help chip away at the city’s $116 million deficit.Councilman Pierluigi Oliverio proposed crafting an ordinance to allow cannabis clubs to open up shop in San Jose, with limits on the number and location of such clubs.The council voted 7-3 to move ahead with the ordinance, and a formal proposal will be brought back to them for a vote on June 8. Nora Campos, Madison Nguyen and Kansen Chu voted against Oliverio’s proposal and Councilman Pete Constant was absent.If the council approves the ordinance in June, a measure will be placed on the November ballot asking voters to consider a tax on medical marijuana collectives. Voters throughout the state will also be voting on the legalization of recreational marijuana in November. Oliverio said collectives could serve as a new revenue source to boost the city’s general fund. Libraries, for example, would be able to stay open a few more days a week, he said. He cited Oakland as an example of a city where collectives are allowed and taxed to bring in revenue, and said San Jose could bring in millions of dollars annually if it allowed cannabis clubs to operate within city limits.Many residents at the meeting Tuesday supported the proposal but called for strict regulation of the collectives, while others expressed concern about where the clubs would be located.
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