Summary
The city wants to bump the tax on cannabis shops from 4% to 5% of sales, adding roughly $600,000 a year to the general fund. La Mesa currently has the lowest rate in San Diego County, and the council is split on whether the hike is fair or risks pushing legal shops out.
At a glance
- Total mentions
- 3
- Last 30 days
- 2
Discussed at 2 meetings in the last 60 days; most recently Oct 27, 2026.
Impact analysis
About $600,000 more per year for the city's general fund starting January 1, 2027.
The city's general fund, which pays for police, fire, and other services.
Cannabis retailers, who already pay a combined 27.5% in taxes on every sale and could see margins squeezed.
Mentions & discussions (4)
City Council
The council moved to bump the tax on retail cannabis businesses from 4% to 5% of gross receipts. It's a small revenue boost for the city but still needs a second reading. A union that represents dispensary workers reached out to the council before the vote.
City Council
The city wants to bump the tax on cannabis shops from 4% to 5% of sales, adding roughly $600,000 a year to the general fund. La Mesa currently has the lowest rate in San Diego County, and the council is split on whether the hike is fair or risks pushing legal shops out.
La Mesa, city with lowest cannabis tax in county, votes to raise levy to 5%
La Mesa, city with lowest cannabis tax in county, votes to raise levy to 5% Times of San Diego
City Council
The city is considering raising its cannabis business tax from 4% to 5% to generate extra revenue for municipal services. Supporters note the rate remains competitive while helping fund vital public needs without taxing residents.
We'll email you when it's on an upcoming agenda and when it's voted on, at most once a day.
The weekly brief for La Mesa
What the council decided, in plain English — one email a week.
Free. Unsubscribe with one click any time. We never sell your email.