HI HCR56

Department of Business, Economic Development, and Tourism (DBEDT) is requested to conduct a study on potential state revenue from legalizing and regulating recreational cannabis.

DBEDT must consult with the Hawaii Strategic Development Corporation, University of Hawaii Economic Research Organization, and Hawaii Cannabis Industry Association during the study.

Study findings and recommendations, including any proposed legislation, must be submitted to the Legislature no later than twenty days prior to the 2022 Regular Session.

Resolution cites that states with legalized cannabis have generated significant tax revenues: Colorado collected $1,456,299,835 since 2014; Washington collected $2,269,633,880; California collected $1,811,300,000; and Oregon collected $497,279,214.

Resolution notes Hawaii faces a projected budget shortfall of $1,400,000,000 per year for the next four years due to the COVID-19 pandemic and identifies cannabis legalization as a potential new revenue source.