How Issue 2 Became Law And What's Next

Issue 2, which legalizes recreational marijuana in Ohio, will become law 30 days after the election. The law will allow Ohioans aged 21 and older to possess 2.5 ounces of cannabis in any form except extract and 15 grams of extract. They can also grow up to six plants individually and no more than 12 in a household with multiple adults.

The law will allow Ohioans over 21 to possess 2.5 ounces of cannabis and 15 grams of extract

On November 7, 2023, Ohioans voted in favor of Issue 2, which legalizes cannabis for adults 21 and over. The law took effect on December 7, 2023, 30 days after the election.

The new law allows Ohioans over 21 to possess:

• 2.5 ounces of cannabis in plant form (a few sources also refer to this as "cannabis flower")
• 15 grams of cannabis in extract form (a few sources also refer to this as "extract")

Ohio adults over 21 can also grow up to six marijuana plants per person (capped at 12 plants per household).

It's important to note that lawmakers can propose and pass modifications to the law. For example, the Ohio Senate has passed a bill that would reduce the number of plants that can be grown at home to six per household. However, as of December 2023, the House is not interested in this bill.

It will impose a 10% tax on each transaction

Issue 2, which legalizes recreational marijuana in Ohio, will go into effect 30 days after its passing. The law will impose a 10% tax on each transaction, in addition to the existing state and local sales taxes. This means that for every purchase of marijuana, buyers will have to pay an extra 10% of the total cost. This tax is expected to generate several hundred million dollars in annual revenue for state and local governments.

The tax revenue will be used to increase funding for public safety, road improvements, drug treatment and prevention, and investment in communities disproportionately impacted by Ohio's marijuana policy. This includes funding for social equity and jobs programs, dispensary host communities, addiction treatment and education, and regulatory and administrative costs.

The 10% tax is expected to raise between \$276 million and \$400 million in new tax revenue annually, with the possibility of reaching \$403 million in the fifth year of an operational cannabis market. This is money that will be taken out of the illicit market and brought back to Ohio communities, according to Tom Haren, the spokesperson for the Coalition to Regulate Marijuana Like Alcohol.

The tax will be imposed at the point of sale, and it is important to note that the tax is in addition to the usual sales taxes. This means that the total cost of marijuana purchases will be higher than just the price of the product. The additional 10% tax will be included in the final cost at the time of purchase, and buyers should be aware of this when making their transactions.

The imposition of the 10% tax on each transaction is a significant aspect of Issue 2, as it not only generates revenue for the state but also helps to regulate and control the sale and consumption of marijuana in Ohio.

The law will take effect 30 days after the election

The law will take effect on December 7, 30 days after the election, when Ohio will become the 24th state to legalize recreational marijuana.

Ohio Issue 2, or the Marijuana Legalization Initiative, will allow adults aged 21 and over to buy, possess, and grow marijuana. Adults will be able to possess up to 2.5 ounces of marijuana and up to 15 grams of marijuana concentrates, as well as grow up to six marijuana plants at home. Households will be allowed to cultivate up to 12 plants collectively.

The law will also impose a 10% tax at the point of sale for each transaction, which activists say will raise $350 to $400 million in new tax revenue annually. The tax revenue will be used to increase funding for public safety, road improvements, drug treatment, and prevention, and investment in communities disproportionately impacted by Ohio's marijuana policy.

The law will create five funds in the state treasury: the adult-use tax fund, the cannabis social equity and jobs fund, the host community cannabis fund, the substance abuse and addiction fund, and the division of cannabis control and tax commissioner fund.

While the law will take effect 30 days after the election, it may not be set in stone. As a state law, Issue 2 can still be modified or repealed by legislators.

The law will create five funds in the state treasury

Issue 2, which legalizes recreational marijuana in Ohio, will create five funds in the state treasury. These are:

• The adult-use tax fund
• The cannabis social equity and jobs fund
• The host community cannabis fund
• The substance abuse and addiction fund
• The division of cannabis control and tax commissioner fund

The first fund, the adult-use tax fund, will receive all monies collected from the 10% tax levied on the sale of adult-use cannabis. This fund will then distribute the money to the other four funds.

The cannabis social equity and jobs fund will receive 36% of the money from the adult-use tax fund. This fund will be used to increase funding for public safety, road improvements, drug treatment and prevention, and investment in communities that have been disproportionately impacted by Ohio's marijuana policy.

The host community cannabis fund will also receive 36% of the money from the adult-use tax fund. This fund will provide funding for dispensary host communities.

The substance abuse and addiction fund will receive 25% of the money from the adult-use tax fund. This fund will be used for addiction treatment and education.

The division of cannabis control and tax commissioner fund will receive 3% of the money from the adult-use tax fund. This fund will be used for regulatory and administrative costs.

The law will not prevent employers from enforcing drug-free workplace policies

Issue 2, which legalizes recreational marijuana in Ohio, will not prevent employers from enforcing drug-free workplace policies. While the law will allow adults aged 21 and over to buy, possess, and use marijuana, it does not grant employees the right to use marijuana in the workplace or guarantee protection from employer drug testing and disciplinary action.

The law permits employers to enforce their own drug policies, including drug testing and disciplinary action for employees who test positive for marijuana use. This means that employees are still subject to their employer's rules regarding marijuana usage. As marijuana remains illegal at the federal level, employers have a strong legal basis for prohibiting its use.

The Drug-Free Workplace Act of 1988 mandates that federal agencies, federal contractors, and grantees create and implement drug-free workplace policies. This Act requires these entities to certify that they will provide a drug-free workplace as a precondition for receiving federal contracts or grants. The Act also sets out specific requirements for maintaining a drug-free workplace, such as publishing and distributing a statement prohibiting the use of controlled substances and establishing an ongoing drug-free awareness program for employees.

It is important to note that the Americans with Disabilities Act (ADA) of 1990 prohibits employers from discriminating against employees with a history of substance use or those enrolled in a drug or alcohol rehabilitation program. Additionally, the Civil Rights Act of 1964 prohibits private employers with 15 or more employees from discriminating against individuals based on race, sex, religion, or nationality. These laws provide important protections for employees and should be considered when implementing drug-free workplace policies.

To summarize, while Issue 2 legalizes recreational marijuana in Ohio, it does not prevent employers from enforcing drug-free workplace policies. Employers can still prohibit marijuana use among their employees and take disciplinary action if necessary. However, it is crucial for employers to be aware of relevant laws, such as the ADA and the Civil Rights Act, to ensure that their policies are implemented fairly and do not infringe on the rights of their employees.

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