Initial Oregon Cannabis Tax Distribution: $85 Million

Oct 6, 2017

The Oregon Department of Revenue is getting ready to distribute $85 million in cannabis tax revenue to cities, counties and several state agencies. It’s the first distribution since a tax on recreational cannabis kicked in last year.

The formula for how the money is divided up was first approved by voters and then adjusted by state lawmakers. The largest single amount—some $34 million—will be deposited in the State School Fund. That totals 40 percent of the overall amount.

Another large chunk goes to mental health, alcoholism and drug treatment programs. Some will find its way to cities and counties. That formula is based in part on how many recreational cannabis license-holders are in each location.

Municipalities that ban cannabis sales and production will get a lot less than those that allow it.