FRISCO, BRECK VOTERS GIVE POT TAX THE THUMBS UP

Measures For 5 Percent Excise Tax On Medical Marijuana Pass In Both Towns

BRECKENRIDGE - More than 70 percent of voters in both Frisco and
Breckenridge supported ballot questions proposing 5 percent excise
taxes on the sale of medical marijuana.

"I'm very pleased that it passed," Frisco Mayor Bill Pelham said of
the town's ballot question. "I think it was a worthwhile initiative.
It's something that's going to be very worthwhile for the community."

Both towns said the taxes were needed to help offset the
administrative, legal and enforcement costs brought on by the centers
and the still-changing regulations on medical marijuana coming down
from the state and federal levels.

In Frisco, roughly 74 percent of the 650 votes cast were in favor of
an excise tax.

With more than 780 votes cast, more than 73 percent of Breckenridge
voters backed the tax measure.

"It's good news," Breckenridge Mayor John Warner said of the election
results Tuesday. "I appreciate the voters supporting our thought
process behind the excise tax. The money will be put to good use."

In Breckenridge, the tax is expected to bring in close to $58,000 a
year in addition to the approximately $25,000 the town already
collects in sales tax on the roughly $1 million collective annual
sales at Breckenridge's seven medical marijuana dispensaries.

The ballot questions for both towns stated the measure could bring in
approximately $75,000 annually.

Not everyone was thrilled with the result. Breckenridge's medical
marijuana retailers expressed surprise at the voters' decision, given
the community's overwhelming support for marijuana issues in the past.

"I don't know what to think," said Charlie Williams, owner of
Alpenglow Botanicals in Breckenridge. "I don't. I look at Breck
specifically and that's about the percentage that voted to legalize
marijuana, whether it was medical or otherwise. I just truly don't
know what to think. I am surprised to see that kind of number supported."

But Frisco's medical marijuana center owner said he was optimistic
the tax would help build bridges between the medical marijuana center
and its patients and the community at large.

"I hope that the community uses this excise tax to improve relations
and understandings with medical marijuana, people's uses of it and
the needs it addresses for Coloradans, while also helping make it
safe," said Jerry Olson, owner of Medical Marijuana of the Rockies.
"It is a little bit sad for the patients who are struggling with
their illnesses and medical bills to have to pay an extra tax for
others to have that security. But myself as a patient, I am willing
to sacrifice that in order to have the communion of both sides coming
together."

Breckenridge and Frisco are not the first communities in Colorado to
approve medical marijuana excise taxes.

Fruita, a Western Slope city of approximately 11,000, approved a
similar 5 percent excise tax on the sale of marijuana for medical
purposes last year. Oakland Calif. and Los Angeles have also approved
tax levies, according to Breckenridge documents.

Voters legalized marijuana for medical use in Colorado in 2000, and
the Town of Breckenridge decriminalized the herb in 2008.

The taxes will go into effect in January.