Delaware Gov. Matt Meyer Thursday vetoed bills that would have loosened county restrictions on marijuana store locations and stepped up wage enforcement in construction.
In vetoing SB 75, Meyer raised concerns that SB 75 preempts local decision-making on where and how cannabis retail locations may operate near schools, childcare facilities, parks, libraries, and other areas.
He also stated that revenue sharing with local governments is an important avenue in making retail cannabis a reality throughout the state.
“SB 75 would override local judgment on the location and operation of cannabis establishments. Let’s move forward together—respecting local zoning and exploring revenue-sharing to offset local costs—so this market succeeds and earns public trust in all three counties," Meyer stated.
Revenue sharing would be a tough sell without reducing the state's share of marijuana taxes. The state's 15% rate is higher than the figure for Maryland and New Jersey. Critics claim the current tax rate encourages illegal marijuana sales or will lead individuals to grow their own supply, which is illegal under state law.
SB 75 was passed in response to evidence that Sussex County zoning restrictions were so broad that it virtually barred new stores and grow sites from opening. However, existing medical marijuana stores that can now sell recreational use cannabis can operate in their current locations that include one of the popular coastal outlet malls.
Meyer's veto will be popular with GOP legislators who decried the loss of local control under the bill.
State Sen. Trey Paradee (D-Dover), who led the push for SB 75, admonished Meyer in a statement shortly after the veto was made public.
“If you give someone your word and you later back out or do not deliver as you promised, you will irreparably tarnish your name and reputation. Once that happens, no one will trust you or want to work with you again,” he said.
Paradee claimed that he had struck a deal with the governor in late June to support a future revenue split with counties if Meyer allowed SB 75 to become law without his signature this summer. By vetoing the measure now, however, Paradee said that it “will do irreparable harm to dozens of small business owners who successfully won the lottery to open retail marijuana stores and grow facilities.”
Chances of the General Assembly overriding the veto, might appear to be remote, since all House Democrats would have to vote yes to form a supermajority.
However, Dems have one additional vote, after a hotly contested election to serve out the remainder of the term of Stell Parker Selby. Selby missed the House vote during her session-long absence, and her newly elected replacement, Rep. Alonna Berry, may give Democrats a shot at overturning the veto.
In vetoing SB 63, Governor Meyer said he was commited to fighting wage theft, buct claimed SB 63 could produce unintended consequences for small, new, and minority-owned businesses and nonprofits, without addressing the root cause of wage theft. He directed the Delaware Department of Labor to work with stakeholders and bring forward recommendations to strengthen enforcement under existing law and set a year-end deadline.
(Spotlight Delaware's Jacob Owens contributed to this story)
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