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Legalizing cannabis cost estimate for Red Deer just under $400k

Although the province of Alberta has announced $11.2 million for cannabis legalization, it is unknown how much will come to the City of Red Deer.
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Cannabis was made legal in Canada Wednesday.

Although the province of Alberta has announced $11.2 million for cannabis legalization, it is unknown how much will come to the City of Red Deer.

The estimated cost of legalizing recreational cannabis for the City of Red Deer is just under $400,000. Tara Lodewyk, director of planning for the City of Red Deer, said the actual cost will be available in 14 months.

The Alberta government announced it is well-prepared for the legalization of cannabis earlier this week and will be providing more funding to help municipalities with policing.

Finance Minister Joe Ceci announced Monday that $11.2 million will go to municipalities of more than 5,000 people that have their own policing costs. Just over half the money — 60 per cent — will be made available this fiscal year, with the remaining funds distributed next year.

“These grants are intended to provide short-term funding until we know the real-world impacts of cannabis legislation,” Ceci said.

Red Deer’s share of the funding was not known Wednesday.

“We haven’t been provided with any of that information as to how that money will be allotted,” said Lodewyk.

City’s estimated cost includes training costs, public education and communication, and equipment cost. Lodewyk said the city used a tool by Alberta Urban Municipalities Association and information from City of Calgary to come up with the estimate.

The estimated cost also covers court costs and drug testing, if needed.

“We are an employer of a large number of people so we had to prepare on contingency plans, as to how we’re going to assess employees if they’re fit for duty, it’s just a contingency plan in case we have employees not fit for duty,” she said.

Overtime cannabis-related RCMP costs will be known for Red Deer.

“It will only be matter of time to see how many calls of service RCMP receives related to cannabis, as well as if there’s any court costs we’re incurring, or if there’s additional equipment we need to purchase if we can’t keep up with the number of calls,” Lodewyk said.

The next 14 months will determine how the new regulations – Smoke Free Bylaw and Land Use Bylaw are working out for the city when administrative will bring back report on both costs and regulations.

“To see what the experience will be and are then able to determine some actual costs. So at this point in time (we) can’t say if $11.2 million will be enough,” Lodewyk said.

The AGLC said 17 retail shops were approved to open Wednesday with interim licences. It expects another 250 locations could open within one year.

Although 10 cannabis retail stores around Red Deer have been approved by the city’s development officer, none opened on the first day of legalization. Green Town, a cannabis retail outlet in downtown Red Deer is expected to open Oct. 28.

With files from the Canadian Press



mamta.lulla@reddeeradvocate.com

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