190945

The City of Portland ordains: 

Section 1.  The Council finds: 

1. In November 2016, City of Portland voters approved Ballot Measure 26-180 to impose a 3% local tax on retail cannabis sales. 

2. The revenue from the 3% local tax on retail cannabis sales is expected to be managed independently and would be dedicated to three specific areas, including support for neighborhood small businesses, including minority and women owned businesses, and to “provide economic opportunity and education to communities disproportionately impacted by cannabis prohibition.”  

3. On July 22, 2020, Portland City Council approved a plan to distribute $114 million in federal CARES Act (Coronavirus Aid, Relief and Economic Security) relief to the community. Federally, Cannabis is still illegal as it is classified as a Schedule 1 Controlled Substance, thus making Cannabis businesses ineligible for federal relief funding.  

4. Portland based Cannabis businesses continue to experience extreme financial impacts caused by increased vandalism and property damage due to the state of civil unrest as well as an alarming spike in armed robberies and burglaries of these cash-based businesses.     

5. Data obtained by OLCC indicates 185 Portland Cannabis businesses reported theft of product and/or money between March 2020 and October 2021. Some businesses being victimized more than once.  These thefts range from looting to armed robbery, some resulting in bodily injury, sexual assault, and even homicide.  

6. Oregon Wildfires have caused unprecedented devastation to the entire cannabis industry supply chain with significant uncertainty surrounding future outcomes and long-term sustainability, most notably with regards to insurance coverage and/or loss mitigation efforts. 

7. The City recognizes the need to provide Cannabis Industry employees emergency relief for workers economically impacted from Covid-19, vandalism, robberies, wildfire, and the residual effects of illness, trauma, and grief suffered from such impacts.    

8. On June 8, 2022, Council approved the City adopted budget for fiscal year 2022-2023 which includes a one-time allocation of $456,901 to support the Cannabis Emergency Relief Fund (CERF). 

9.  Civic Life has determined the recipient identified in Exhibit A is uniquely qualified to administer the Cannabis Emergency Relief Fund (CERF), which is further outlined in Exhibit A. NuLeaf Project will only be allowed to utilize funds to administer CERF and not for their own operating budgets. NuLeaf Project will receive up to a 20% administrative fee that is for marketing, outreach, intake, processing, verification, payment, and reporting for CERF. 

NOW, THEREFORE, the Council directs: 

1. The Director of the Office of Community & Civic Life is authorized to execute grant agreement based on the City’s standard agreement template attached as Exhibit B with the organizations listed in Exhibit A, upon the template having fully incorporated grant requirements in accordance with the grant program criteria, and upon approval as to form by the City Attorney. The grant agreement shall conform to the funding allocations listed in Exhibit A. The total amount of grant funding authorized by this ordinance shall not exceed $456,901.  

2. Amendments to the grant agreement, including Scope of Work, Budget, and grant funding amount, may be executed by the Director of the Office of Community & Civic Life or the Director’s designee, provided the amendments do not increase the fiscal risk to the City or increase funding as authorized above, and have been approved as to form by the City Attorney.

Section 2.  The Council declares that an emergency exists because Portland Cannabis businesses and Cannabis workers continue to suffer economic and emotional hardships from the ongoing COVID-19 pandemic, increased criminal activity, and wildfires.; therefore, this ordinance shall be in full force and effect from and after its passage by the Council.