Lawmakers are once again taking up marijuana legalization, but this time, with a stronger focus on trying to balance law enforcement and social equity.
The over 300-page bill creates a structure for recreational marijuana legalization by 2026 for people over the age of 21.
The measure got its first hearing in a joint Senate hearing this week.
Those who support legalization, like John Ikenago from the Public Defender's Office, said the illegal marijuana market already exists — and is largely held unaccountable.
“Unregulated sellers do not pay taxes. They do not check identification to ensure that buyers are 21 years or older. They do not test the purity of their products. Moreover, any disputes that arise in the illicit marketplace are not adjudicated in the courts of law,” he said.
“By contrast, legalization and regulation will allow the state to establish legal parameters regarding when, where, and how the cannabis market may operate.”
But those against legalization were concerned about how it would affect crime and children.
“Issues of federal illegality, the growth of the illicit market, driving while high and problems with protecting children among others are serious concerns that the legislature must consider,” said David Day, the special assistant to the state Attorney General.
“No effort to legalize cannabis, however carefully planned and well-intentioned, will be without problems and serious risks," he said.
Although the Attorney General’s office does not support marijuana legalization, it provided guidance to the Legislature on how the bill should be crafted. Legislators were also guided by the legalization process in Massachusetts.
A total of 24 states have already legalized recreational marijuana. And the federal government is considering reclassifying it to a much lower, Schedule III substance.
Sen. Joy San Buenaventura, one of the bill’s introducers, said the state needs to be prepared if that happens.
“That's where the Legislature is looking at,” she said. “[We’re] trying to regulate ahead of time.”
The measure would only allow people who have been residents of Hawaiʻi for at least five years to obtain a license to sell marijuana legally. It would also create two new special funds: one that would fund law enforcement and another that would fund social equity and public health.
If legalized, marijuana would be taxed at a 10% rate on top of the already established 4% general excise tax.
The proceeds from the marijuana tax would be split between the two new special funds. But all the fees and fines related to marijuana licensing would go strictly to the law enforcement fund.
The social equity fund would be used to fund a grant program for people who lived in disadvantaged communities trying to enter the marijuana industry. It would also fund the public safety grant program that can be awarded to state and county agencies to help with a variety of initiatives from law enforcement training to housing assistance.
People who had been convicted of marijuana possession would also be allowed to have their records expunged. But they would need to petition the court themselves.
It would cost an estimated $38.7 million to fund the measure.
The bill passed out of both the Health and Human Services Committee and the Judiciary Committee on Tuesday. It will likely next be heard by the full Senate for a second reading.
