November 22, 2019
Government Introduces Amendment That Would Formalize Social Responsibility Fee for Cannabis
– – –Fee Supports Government's Commitment to Health and Safety: Cullen
Proposed amendments to The Liquor, Gaming and Cannabis Control Act would establish the legislative foundation for the Manitoba government to create a social responsibility fee for cannabis to strengthen health and safety initiatives, Justice Minister Cliff Cullen announced today.
“The social responsibility fee is a key component of our regulatory framework for non-medical cannabis,” said Cullen. “It would be used to protect vulnerable populations, help eliminate the illegal market and pay for social costs connected to cannabis use. This approach ensures retailers would share in the social costs of public education, safety, health and addictions.”
The amendment would confirm that all retail cannabis stores in Manitoba would be required to pay a social responsibility fee, initially six per cent of gross revenue from the sale of non-medical cannabis. It is already included in agreements between the Manitoba government and individual cannabis retailers but the amendment would ensure all retailers would be subject to the same obligation, Cullen added.
Manitoba developed and implemented the framework for the legalization of non-medical cannabis guided by the principles of social responsibility, education and treatment, protecting youth and preventing illegal sales by organized crime.
The social responsibility fee would be applied retroactively to January 2019, and the first payment by retailers would be due in June 2020. This legislative amendment was initially introduced in November 2018.
Manitoba will continue to monitor the non-medical cannabis market, and can adjust the social responsibility fee as the market evolves and social costs are identified, the minister said.
More information on the social responsibility fee is available at www.gov.mb.ca/jec/cannabis/fees.html.
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