FDS Insight Newsletter Oct-Dec 2020

25 By initial estimates, New Jersey’s recreational cannabis market could be hefty. Marijuana Business Daily pegs annual sales between $850 million and $950 million by 2024 – but a successful initiative carries greater significance outside of New Jersey’s borders. The passage of recreational cannabis in New Jersey could accelerate legislative efforts in neighboring New York and Pennsylvania. South Dakota Usually states have legal medical cannabis programs in place before adopting recreational cannabis laws. South Dakota could enact medical and recreational programs in one fell swoop. Voters in South Dakota will decide on Measure 26, which would establish a medical cannabis program and registration system for people with qualifying conditions, as well as on Amendment A, which would legalize cannabis for all adults and require state legislators to adopt medical cannabis and hemp laws. The South Dakota Legislative Research Council projected that Amendment A could result in $29.3 million in tax revenue by the state’s 2024 fiscal year. Sales estimates were not yet available, according to the Marijuana Policy Project, which is assisting with the South Dakota campaign. Montana Montana voters also will see two cannabis initiatives on their ballots. Ballot issue I-190 would allow adults in the state to possess, buy and use cannabis for recreational use. A separate initiative, CI-118, would establish 21 as the legal age to purchase, possess and consume cannabis. If passed, I-190 would establish a 20% tax on recreational cannabis, with more than half of the tax collections landing in the state general fund and the rest allocated to programs such as enforcement, substance abuse treatment and veterans’ services. The measure also would allow people serving a sentence for certain cannabis-related acts to apply for resentencing or records expungement. According to a fiscal analysis, the state expects recreational cannabis sales to total nearly $193 million in 2025, generating $38.5 million in tax revenue. Mississippi In Mississippi, there are two competing measures to legalize cannabis for medical purposes. Initiative 65, which resulted from a citizen petition, would allow physicians to recommend medical cannabis for patients with any of 22 qualifying conditions such as cancer, multiple