Rockford City Council narrowly voted 7-6 Dec. 1 to tap $2.6 million in funds accumulated from a 3% tax on recreational marijuana sales to help close a projected $3.7 million 2026 budget deficit.
Funds from the 3% sales tax were restricted by a 2021 city policy to funding programs that benefit communities disproportionately impacted by the war on drugs. The decision to utilize the money came after a lengthy debate that included at least three attempts to delay a vote.
The spending plan leaves in place restrictions on an estimated $850,000 of new recreational marijuana taxes expected to be collected in 2026 in accordance with the original policy.
It avoids cuts to city services by utilizing marijuana funds, reducing spending and leaving some city positions vacant. The plan also maintains a flat property tax levy for a 13th consecutive year.
But Ald. Gabrielle Torina, D-5, said budgets are moral documents. She objected to scraping a fund reserved for marginalized communities to close a general fund budget gap. She said it would hurt the people it was designed to uplift.
“We were never given the fund balance until the moment we were told it was being taken away,” Torina said. “That’s not transparency and that’s not accountability and it’s not how we should steward funds meant to heal historic harms.”
Rockford Mayor Tom McNamara defended the budget saying it would save every resident $325 on property taxes, funds Rockford Promise college scholarships and pays to replace lead service lines in addition to providing free bus rides to students, veterans and seniors.
And McNamara said it also provides for free ambulance rides, invests in distressed areas of the city and still allocates $850,000 in recreational marijuana taxes in accordance with policy.
Ald. Jaime Salgado, D-11, suggested two amendments that were rejected. After 12 years of holding the city’s tax levy flat, one amendment would have raised property taxes and the other would have cut potential merit pay increases for non-represented employees.
Another amendment was rejected that was introduced by Ald. Tamir Bell, D-13, which sought to prohibit the use of recreational marijuana taxes for purposes other than those outlined in city policy.
The policy has since 2021 restricted use of the money to fund economic and business development in communities disproportionately impacted by cannabis-related laws; programs to reduce gun violence; programs to reduce concentrated poverty; programs to prevent violence; and programs to promote youth development.
Ald. Tim Durkee, R-1, Jonathan Logemann, D-2, Chad Tuneberg, R-3, Kevin Frost, R-4, Karen Hoffman, D-8, Dawn Granath, D-9, and Frank Beach, R-10 voted in favor of the budget. Ald. Gabrielle Torina, D-5, Aprel Prunty, D-6, Janessa Wilkins, D-7, Jaime Salgado, D-11, Gina Meeks, D-12, and Tamir Bell, D-13, voted no. Ald. Mark Bonne, D-14, was absent.
Jeff Kolkey writes about government, economic development and other issues for the Rockford Register Star. He can be reached via email at jkolkey@rrstar.com and on X @jeffkolkey.
This article originally appeared on Rockford Register Star: Rockford scrapes marijuana fund to close budget deficit
Reporting by Jeff Kolkey, Rockford Register Star / Rockford Register Star
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