Tag: taxes

California’s Small Cannabis Farmers Have Been Left High and Dry

Dan Golden has been growing weed for almost 20 years. As he hand-watered his plants on his 70-acre farm, he maintained a firm stare. He’s long abstained from alcohol—ever since his daughter was born—and his daily routine begins at 6 am. “This is life or death for me. I’ve never done anything else,” said Golden. The property is seated in a narrow valley in Humboldt County, California, a three-hour drive from the nearest store in Garberville, with large rock outcroppings running east to west. Before 2020, he owned the land outright, but four years ago, he was forced to refinance it to pay for the exorbitant fees and permits required to be a compliant legal cannabis farmer.

Cannabis has long been part of counterculture in America, and arguably no place and its peoples have done more to fuel the evolution of the plant and its mythos than Humboldt County. And yet, perversely, no place has been as left behind by legalization.

Through a series of broken promises, legislative missteps, and onerous compliance measures, the small, legacy farmers once on the front lines of normalizing marijuana for decades have been snuffed out. Now their communities are suffering. “Everyone thinks: Growing weed, that must be fun,” Golden said. “They don’t know how hard it is.”

Since 2016, when cannabis was voted legal for adult use by ballot measure, the market has been rife with snafus in California. Promises to protect those that gave rise to the industry fell flat; instead, these farmers have been met with byzantine laws, expensive permit fees, regulations, and taxes that have hampered their ability to stay competitive in open markets. Most attempts to aid craft cultivators have failed or have been denied, and many farmers say the July 1 increase of the California cannabis excise tax—from 15 percent to 19 percent—could be yet another crushing blow. Though Governor Gavin Newsom said he’d sign a freeze of the increased excise tax if it reached his desk, legislators have so far failed to act.

Many of the players have since quit the game altogether. Agricultural real estate prices have tumbled in Humboldt County as local businesses not directly associated with cannabis try to hold on in the shifting economic landscape. Meanwhile, mega-cannabis corporations dominate the market with questionable labor practices and deflated prices meant to eliminate competition. In typical corporate-capture fashion, these companies have pushed out competitors by sheer scale, lowering their prices so no one else can survive, then, once they’re the only ones left standing, they’re able to jack the prices back up.

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Texas Gov. Greg Abbott Signs Bill Banning Taxpayer-Funded Abortion Travel

Texas Gov. Greg Abbott (R) signed a bill into law Tuesday banning local governments from using taxpayer dollars to fund abortion travel out of state.

The law, Senate Bill 33, bars cities and counties from paying for hotels, airfare, meals, and other travel expenses for women seeking abortions outside of Texas. Abortion is outlawed in Texas with limited exceptions. 

Abbott also signed Senate Bill 31 at a signing ceremony on the same day. That bill, called the Life of the Mother Act, emphasizes that healthcare providers must treat a pregnant woman who has a life-threatening physical or medical emergency that places her at risk of death or serious injury. The law “clarifies and standardizes existing statutes related to medical emergency exceptions to abortion prohibitions, providing healthcare professionals with additional clarity around Texas’ pro-life laws,” according to the governor’s office.

“In Texas, we support mothers and their children,” Abbott said in a statement. “This session, the Texas Legislature worked together to pass the Life of the Mother Act to protect both mothers and babies while giving medical professionals the legal security and clinical clarity they desire. I am also proud to sign a law to ban taxpayer dollars from funding abortions. Texas is a pro-life and pro-family state. With these laws, we will stay that way.”

Abbott signed SB33 into law after the Austin City Council allocated $400,000 in the city’s budget in 2024 to help fund abortion travel. San Antonio considered a similar program this year, but was stymied by a lower court. 

Members of the pro-life organization Texas Values were present at the bill signing ceremony, along with state lawmakers, and other pro-life leaders. 

Policy Director for Texas Values Jonathan Covey celebrated the passage of the bills in a press release. 

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‘Right This Wrong’: GRACE Act Would Strip Federal Funding From Schools That Ban Religious Exemptions

A member of the U.S. Congress has drafted legislation that would strip federal funding from schools that don’t allow parents to apply for religious exemptions from vaccination requirements for their children.

The GRACE Act, or Guaranteeing Religious Accommodation in Childhood Education Act, drafted by Rep. Greg Steube (R-Fla.), would target elementary and secondary schools, as well as local and state educational agencies.

The legislation would not require state authorities or educational institutions to offer religious exemptions, but it would deny federal funds to those entities if they maintain vaccine mandates that don’t include provisions for religious exemptions.

“The denial of religious exemptions to families and children is un-American and unconstitutional,” said Michael Kane, CHD’s director of advocacy and founder of Teachers for Choice. “CHD and I thank Rep. Steube for putting forth this important legislation to right this wrong that is a clear violation of the First Amendment.”

The GRACE Act is a response to the “alarming erosion of civil rights” that occurred under the Biden administration, said Cait Corrigan, a former congressional candidate from New York and an advocate for medical freedom and religious liberty.

“This issue is one of religious freedom, individual liberty and parental rights, which I often describe as part of a broader response to years of increasing concern,” Corrigan said.

Steube’s office did not respond by deadline to The Defender’s request for comment on the legislation.

‘A matter of conscience, faith and the fundamental dignity of every family’

Corrigan said the proposed legislation is “not just an issue of policy” but “a matter of conscience, faith and the fundamental dignity of every family in this country.”

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USDA Ends Solar Subsidies On American Farmland

Agriculture Secretary Brooke Rollins announced Monday that the Department of Agriculture will no longer use taxpayer dollars to fund large-scale solar or wind projects on productive farmland, nor allow solar panels made by foreign adversaries in USDA programs.

The department cited farmland loss as a driving concern. Tennessee has lost more than 1.2 million acres in the past 30 years and could lose 2 million by 2027. Nationally, solar installations on farmland have risen nearly 50% since 2012.

“Our prime farmland should not be wasted and replaced with green new deal subsidized solar panels,” Rollins said. “One of the largest barriers of entry for new and young farmers is access to land. Subsidized solar farms have made it more difficult for farmers to access farmland by making it more expensive and less available.”

On X, she added: “This destruction of our farms and prime soil is taking away the futures of the next generation of farmers and the future of our country. Starting today, [USDA] will no longer deploy programs to fund solar or wind projects on productive farmland, ending massive taxpayer handouts. Also ENDING the use of panels made by foreign adversaries like China.”

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Scheming politicians made utilities their energy bagmen— and we’re all paying the price

Electric utility bills have exploded in New York: As of May, the average monthly residential rate had jumped 13% over the previous year, and a whopping 54% since May 2019.

Headline-hungry politicians have found the culprit: the utility companies.

Press releases excoriate greedy executives and their heartless shareholders: Why, these rascals even installed special machines in our homes to decide how much to charge us!

It turns out, though, that Albany pols aren’t just using the utilities as a fall guy for their political theater.

They’ve also pressed them into service as state government’s bagmen, collecting for various climate programs that we’d otherwise recognize as tax hikes. 

The black cables go back to the electric company, but the trail of green leads straight to the state Capitol.

Decades ago, monthly electricity bills were based on your usage and two added factors.

The first was supply cost: Electricity is a commodity sold on a competitive wholesale market, where its price fluctuates based on supply and demand.

About half of New York’s electricity is generated with natural gas, so fluctuations in gas prices translate into electricity-price changes.

The second factor is the utility company’s charge for delivering that electricity.

These rates are tightly regulated by the state Public Service Commission, which requires gas, electric and water companies to account for literally every dollar they collect from ratepayers, and every dollar they spend.

The PSC then sets the profit they’re allowed to keep, decided by a formula.

But, as state officials discovered in the 1990s, that utility-bill system is a fabulous way to tax electricity customers without taking the blame.

Utility companies had no choice but to play along.

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Big Beautiful Bill Will Save Taxpayers From Paying Millions To Fund Medicaid For Dead People

When it comes to potential fraud in government health care programs, the hits just keep on coming. Thankfully, Congress has (finally) done something about it.

Two new reports illustrate why Congress needed to act to boost program integrity efforts in the Obamacare exchanges and in Medicaid. After four years where the Biden administration prioritized enrolling people in government-funded health coverage over any other priority, taxpayers may finally get a dose of some sanity.

Exchange ‘Ghost Enrollees?‘

The first data point came via the federal Centers for Medicare and Medicaid Services (CMS), which released data from exchange insurers’ risk adjustment submissions. The spreadsheet contains enough numbers to make one’s head spin, but two sets of numbers — lines 4 and 7 of the spreadsheet — stand out. Those two lines show that the percentage of enrollees in Bronze and heavily subsidized Silver plans without claims rose from roughly one-quarter (29 percent and 23 percent, respectively) in 2019 to 40 percent last year.

To some, that change may not seem like a big deal — after all, isn’t it a good thing when people don’t make claims on their health coverage? But it suggests that, after four years of Biden administration policies, a growing number of individuals were being auto-enrolled (and/or automatically reenrolled) into taxpayer-funded “free” health coverage that they did not want, need, or use.

It also means that insurers had a slew of enrollees on their hands for whom they received premium payments — funded by taxpayers, of course — and yet didn’t have to pay out a single cent in claims. (Think about it: Will 40 percent of Americans not go to the doctor at all, or pick up a single prescription, this year? I doubt it.) For all Democrats’ tough talk about insurance companies, the last four years look like a gravy train for insurers on the exchanges.

As an article on the release noted, the data have some drawbacks. The spreadsheet shows over 33 million enrollees on insurance exchanges last year — definitely an overestimate — in part because it double-counts enrollees who switched plans mid-year.

But the spreadsheet also shows the biggest percentage of zero-claims enrollees in states like Florida and Texas. Other data points also show those states as potentially having large numbers of individuals who lied about their income to receive “free” taxpayer-funded coverage, meaning that the CMS spreadsheet merely provides confirmation of existing trends.

Thankfully, help is on the way. On Dec. 31, the enhanced subsidies that allow so many individuals to qualify for “free” zero-dollar benchmark coverage will expire, sharply reducing the incentive for fraud. The additional verification provisions mandated in the recently passed reconciliation bill will also ensure that only individuals with a documented need for assistance will receive it.

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Former Secret Service Chief Paid Himself a Bonus

Former acting Secret Service Director Ron Rowe gave himself a senior leadership “performance” bonus around the holidays in December after previously serving as the second in command of the agency, leading up to the two assassination attempts against President Trump last year, according to multiple knowledgeable sources.

The agency pays nearly everyone in senior executive leadership positions bonuses – many worth thousands of dollars – at the end of the year, and that includes Rowe, the sources said.

Because Rowe was the acting director at the time, he moved forward with giving himself a bonus and then continued to remain on the payroll listed as a “senior advisor” for nearly half of this year – months after Trump tapped Sean Curran as the new director. Rowe could do so by using up all accumulated sick and leave time, sources tell RCP. Rowe has since announced that he had joined the Chertoff Group, the national security consulting firm run by former Homeland Security Secretary Michael Chertoff.

Former Secret Service Director Kimberly Cheatle, who resigned in disgrace after Trump was nearly killed at the Butler rally and rallygoer Corey Comperatore was murdered, did not receive a bonus last year because she was no longer employed by the agency at the end of the year, these sources confirmed.

Meanwhile, the first quarterly installment of promised retention bonuses for agents who agreed not to jump ship to another government law enforcement job or retire in the aftermath of the morale-sinking assassination attempts has been delayed for weeks. On Wednesday, USSS leaders once again reassured agents in an email that their promised retention bonuses are coming and would be paid by the end of August.

The information is helping ease some anxiety for agents miffed by multiple retention check delays – an important morale booster as the Secret Service prepares for President Trump’s ride-along tonight with D.C. law enforcement and National Guard troops. Trump wants to see for himself their efforts to crack down on crime in the nation’s capital, but such a hands-on D.C. night tour will pose a complex challenge for the Secret Service, which is charged with the unusual task of protecting a president while accompanying law enforcement officers on patrol.

USSS leadership sent an email to all agents Wednesday after RealClearPolitics once again inquired about the ongoing delays with the first quarterly installment of their retention bonuses. When the funds are fully disbursed over the next year, the retention incentives will amount to tens of thousands of dollars per employee who agreed to stay on the job and not to leave the agency.

The new email updated the agents to let them know that all Uniformed Division officers who deserved the retention bonuses had received them, while the agency was paying other agents in alphabetical order – and had disbursed the funds to agents with last names starting with the letter “A” through “F” so far, a source familiar with the matter told RCP.

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Minnesota Marijuana Businesses Say Tax Increase Could Drive Consumers To The Illegal Market

A last-minute tax hike on cannabis products passed as part of Minnesota lawmakers’ special session budget compromise may prove to be a boon to illicit dealers.

That’s according to cannabis industry experts, business owners, and at least one prominent DFL lawmaker who say the state’s relatively high cannabis tax will give consumers reason to avoid regulated, legal dispensaries in favor of informal sources on the black market.

Minnesota’s 15 percent state tax on marijuana and other cannabis products is among the highest in the country, trailing only Arizona (16 percent), Oregon (17 percent), California (19 percent), and Washington (37 percent).

“I thought it was the wrong thing to do, increasing the tax,” said Sen. Ann Rest, DFL-New Hope, chair of the Senate Tax Committee. “What we saw in California is that the high tax on legitimate cannabis leads straight to the black market. And I’m very concerned that that’s going to have the same or similar impact here.”

How do Minnesota taxes compare to other states?

Minnesota’s cannabis tax was initially set at 10 percent. The increase was a product of bipartisan budget negotiations between Gov. Tim Walz, Senate Majority Leader Erin Murphy, DFL-St. Paul, House Speaker Lisa Demuth, R-Cold Spring, and the late Speaker Emeritus Melissa Hortman, DFL-Brooklyn Park. The leaders stepped in to try to forge a compromise on the state’s budget after months of gridlock in the Legislature due to a tied House and a one-seat DFL majority in the Senate.

At the time, Demuth said the tax increase was simply “rightsizing” the tax rate to be more in line with other states’ rates. But, research by the Tax Foundation shows that the new rate puts Minnesota above the median tax rate for states that have legalized the sale of recreational marijuana.

Of those 23 states, 14 have a lower cannabis tax than Minnesota. There are nuances, like Illinois’ higher tax on edibles and concentrates compared to marijuana flowers, as well as two states that tax by weight rather than price.

This doesn’t account for Minnesota’s sales tax of 6.875 percent, and any local taxes. In Minneapolis, state, county, and city sales taxes are 9.03 percent. Add that to the cannabis tax and you end up with an effective tax rate of over 24 percent on cannabis products sold in the city.

“I’ve had people pick out their products, ring them up, and then when they hear the final price, they just walk out the door,” said Mark Eide, owner of In-Dispensary, the first recreational dispensary licensed in Minneapolis.

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HHS Cuts California Sex Ed Grant over State’s Refusal to Remove Radical Gender Ideology from Student Program

The U.S Department of Health and Human Services (HHS) on Thursday terminated a sex education grant to California due to the state’s refusal to remove radical gender ideology from the taxpayer-funded program, the agency announced. 

HHS, through its Administration for Children and Families (ACF), specifically terminated the state’s Personal Responsibility Education Program (PREP) grant, which is a program for students meant to prevent teenage pregnancy and sexually transmitted infections. HHS said California used taxpayer money to “teach curricula that could encourage kids to contemplate mutilating their genitals, ‘altering their body … through hormone therapy,’ ‘adding or removing breast tissue,’ and ‘changing their name.’” HHS said the state also instructed teachers to “remind students that some men are born with female anatomy.”

“California’s refusal to comply with federal law and remove egregious gender ideology from federally funded sex-ed materials is unacceptable,” Acting Assistant Secretary Andrew Gradison said in a statement. “The Trump Administration will not allow taxpayer dollars to be used to indoctrinate children. Accountability is coming for every state that uses federal funds to teach children delusional gender ideology.” 

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14 Million Illegals in 2023: The Cost to Our Nation

Illegal immigration in the United States surged to a record 14 million in 2023, according to a Pew Research Center report. That figure marked a sharp increase from 11.8 million in 2022 and broke the previous high of 12.2 million set in 2007. Numbers rose further in 2024 under Biden’s policies, then began to decline in 2025 under Trump, though the total remains above 14 million.

California, Texas, Florida, New York, New Jersey, and Illinois had the largest concentrations of illegal immigrants, with Texas rapidly catching up to California. Pew estimated that 9.7 million were part of the U.S. workforce in 2023, about 5.6% of all workers, with Nevada, Florida, New Jersey, and Texas recording the highest shares.

The economic impact of illegal immigration is staggering. According to a 2023 study by the Federation for American Immigration Reform (FAIR), the gross annual cost of illegal immigration, the total before factoring in taxes paid by illegal aliens, has risen to $182 billion.

Taxes paid by illegal immigrants cover only about 17.2 percent of these costs, leaving American taxpayers with a net burden of $150.7 billion per year. That amounts to $8,776 annually for each illegal immigrant or U.S.-born child of illegal immigrants. On a per-taxpayer basis, illegal immigration costs $1,156 a year, or $957 after accounting for taxes paid by illegal aliens.

These costs have grown sharply. The 2022 totals represented a 30 percent increase over just five years. A previous FAIR study in 2017 estimated the net annual cost at $116 billion, underscoring how quickly the burden has escalated.

The local impact of illegal immigration is especially visible in law enforcement statistics. In Los Angeles County, 95 percent of all outstanding warrants for homicide are for illegal aliens, and as many as two-thirds of all fugitive warrants in the county involve illegal aliens.

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