In July 2016, a fiscal analysis of Proposition 205 was published by the Arizona Joint Legislative Budget Committee (JLBC), a group of state officials responsible for providing the Arizona Legislature with sound research, analysis, and recommendations on government finances and public policies.
The JLBC’s 9-page analysis includes sales and tax revenue projections for Arizona from the passage of the initiative and the establishment of a regulated, adult-use marijuana industry. According to the analysis, if Proposition 205 passes:
- $495.8 million in annual marijuana sales will take place in licensed marijuana retail stores instead of in the criminal market.
- The state and localities will raise $123,843,000 in annual tax revenue and license fees.
- Arizona school districts will receive $55,674,800 each year, including $27,837,400 to support general operating costs for K-12 education and $27,837,400 to support full-day kindergarten programs.
- The Arizona Department of Health Services will receive $13,918,700 each year to support public education about marijuana, alcohol, and other substances.