Regarding the passage of an amendment on Monday, September 19th permitting an additional two-year preference period for Priority A applicants, we believe the City is making decisions they believe are in the best interests of equity licensees. As such, we do not object to the extension of the permitting preference period.
We will do our part to support equity licensees in Cambridge to help the City meet and exceed its stated objectives relating to equity in the cannabis industry. We look forward to the implementation of S.3096 An Act Relative to Equity in the Cannabis Industry, which will further support equity in the cannabis industry in Cambridge and across the Commonwealth.
This new law requires that 15% of revenue collected from the tax on state-wide regulated cannabis sales be deposited into the Cannabis Social Equity Trust Fund on an annual basis. Contributions to the fund may also be made from private sources, including licensed cannabis establishments. The Fund will provide much needed access to grants and loans for equity businesses to get open and stay open. The law also incentivizes cities and towns, like Cambridge, to host equity retailers by returning 1% of gross sales from those businesses to the host municipality. While the application of the additional 1% is up to the discretion of the municipality, it provides an excellent opportunity to create additional financial or technical support at the local level for equity businesses thus allowing for comprehensive support from the Cannabis Control Commission, the Commonwealth of Massachusetts, and host communities.
We applaud the state for its successful creation of the Social Equity Trust Fund and we look forward to the opportunity to contribute to its growth.