Maine Gov. Janet Mills signed into law Friday a bill that would allow the state to reimburse municipalities for their expenses to permit adult-use marijuana businesses.
The legislation, LD 1195, authorizes the reimbursement of up to $20,000 for expenses like legal fees and other costs associated with drafting or amending ordinances, conducting town meetings, or holding elections. Funding would come from the renamed Adult Use Marijuana Public Health and Safety and Municipal Opt-in Fund, which receives its funding from sales and excise taxes imposed on adult-use marijuana and related products.
The legislation was authored by Rep. Tiffany Roberts (D-South Berwick), chair of the House chair of the Legislature’s Innovation, Development, Economic Advancement and Business Committee, who is in her second term.
“In the development of Maine’s adult-use marijuana industry, the state has asked municipalities to help balance the newly sanctioned use of this commodity, however, they are not yet seeing a return on their investment,” said Roberts. “This bill will allow municipal governments to recover expenses from their regulation of the adult-use industry and encourage partnerships with local businesses.”
The law will take effect 90 days after the current legislative session ends.