Fresno green lights cannabis equity program for people with criminal records. Here’s why
Fresno City Council on Thursday set up an equity fund to potentially help support cannabis businesses run by disadvantaged owners — or people who have previously been affected by outdated drug laws.
The fund can get grant money from the state’s Cannabis Equity Grant Program, and can also collect dollars from weed taxes and community benefit efforts from other marijuana business owners.
The Fresno equity clause is supposed to help communities historically affected by the “War on Drugs,” as well as other specific groups. During the War on Drugs, which gained steam during the 1980s, many people of color received what many view as overly severe prison sentences for nonviolent drug-related crimes.
At least two and as many as four of the 16 retail permits are supposed to go to equity applicants, according to city staffers.
City Manager Thomas Esqueda said the fund works much like similar programs for small businesses through the U.S. Small Business Administration. The owners can spend the money to help with real estate searches, building up a workforce, getting legal help and finding investors, according to city staffers.
“The state’s making funding available to get folks that don’t have that experience and are in the social equity category to lift them up and help give them a shot,” he said.
To be eligible for money from the Fresno version of the program, the weed shops have to meet certain standards. For example, that can include a business that’s majority owned by low-income households from disadvantaged ZIP codes, or being a person previously convicted of a weed-related crime.
Only council members Garry Bredefeld and Mike Karbassi voted against the plan, which got support from the council’s other five members.
Bredefeld said he would not support putting tax dollars toward a program that helps people who have been arrested and convicted.
“I don’t support programs like this. I think they, in some sense, discriminate against other people who don’t have convictions, who have never been arrested,” he said.
Many say communities of color were disproportionately targeted by law enforcement during the War on Drugs, and groups like the American Civil Liberties Union have the research to back it up.
Councilmember Tyler Maxwell said equity programs are important to attempt to right historic wrongs. “Typically the harsh marijuana laws have effected our impacted communities,” he said. “Those are people living in communities of concentrated poverty or communities of color.”
Karbassi said he was hesitant to support a program that does not require the owners to have previous experience in running a successful business.
“It’s really important that we don’t create new problems because we’re trying to solve old ones,” he said. “I’m concerned about the viability of some of these businesses.”
Councilmember Miguel Arias said equity applicants are provided training through a third party contracted with the city.
“Like any other person who applies for a business permit in the city of Fresno, we don’t require previous business experience to pull out a permit,” Arias said.
This story was originally published January 28, 2021 at 2:58 PM.
