Sask. gov't not open to sharing pot sales proceeds with municipalities

Premier Scott Moe says Saskatchewan isn't prepared to share the proceeds of recreational cannabis sales with municipalities at this point.

There's not much to share, Moe told reporters from the floor of the Saskatchewan Urban Municipalities Association (SUMA) annual convention in Saskatoon Monday.

"At this point in time, we're not open to that discussion but we're always open to having discussions with our municipalities," said Moe.

"Our expenses at the provincial level far exceed any revenues that we have collected to date."

The government-owned Saskatchewan Liquor and Gaming Authority (SLGA) in particular has had to beef up its staff resources to prepare for the new age of legal recreational pot.

The SLGA has added a branch director, manager, four cannabis inspectors, four licensing specialists, a policy analyst, a financial analyst and part-time administrative support, although some positions are only for two-year terms.

The pot sales money to cover such new costs isn't enough, said Moe.

"There just isn't a lot of revenues to talk about at this point," he said.

• Sask. cannabis sales lag behind rest of the country

Sharing the pot

Under a temporary deal signed with the provincial government, Ottawa is sharing 75 per cent ofthe federal cannabis excise duty generated in Saskatchewan.

The question of whether the province should pass on a cut to municipalities is being spurred this week by a SUMA convention resolution fronted by the town of Aberdeen.

The communities saythe province should share that pot of money. Saskatoon Mayor Charlie Clark agrees.

He said it cost the city a lot to prepare for legal pot, too, to the point where the city is charging pot store owners a $20,000 fee for a business licence for the first year.

The city didn't want to pass on that cost to taxpayers, Clark said.