Burbank Housing Featured as Part of the Chan Zuckerberg Housing Initiative

Burbank Housing is the North Bay’s leading affordable housing nonprofit. For 41 years, the organization has built, preserved, and managed safe, affordable rental and for-sale homes in the North Bay. It currently provides homes to approximately 10,000 people across more than 70 rental communities, and has built over 900 ownership homes. Burbank Housing also has more than 500 affordable housing units in its pre-development pipeline.

Friedman’s, a Petaluma Landmark, Celebrates 75 years

In March of 1946, Santa Rosa residents Joe and Benny Friedman handed over their savings – $4,000 – to buy the contents of Meyer Lerer’s Petaluma junkyard and renting the property at 17 East Washington St., on the river and near the corner of what was then known as Main Street.

And on April 1, the City of Petaluma issued a business license (at a cost of $3) to the new firm, Friedman Brothers. A third brother, Harry, would soon join the fledgling company.

In “The Friedman’s Way,” a privately published book detailing the company’s history, Harry spoke of Petaluma then as “languid. You could walk across Washington Street and stop in the middle to tie your shoe.”

Lerer had told the brothers business was great but, as the book reported, the first day’s sales totaled $1, and that was only because there was no change, Benny recalled. A gregarious man with a sense of humor, Benny continued the story with, “The second day business fell off. And on the third day, a man came in to ask for change for a twenty-dollar bill. We made him a partner.”

However, the demand for metal by the military during World War II meant a post-war scarcity of raw materials and the hard-working brothers did well. So well, in fact, that 75 years later, that junkyard and salvage business, now known as Friedman’s Home Improvement, is a fixture in the Sonoma County community and continues to prosper and grow.

In 1971, a new, modern branch of the store opened south of Santa Rosa. Five years later, the original East Washington Street store had become dilapidated and stock, headquarters and staff moved to the newer store. Harry, quoted in “The Friedman’s Way,” said, “It was a tough decision. I cried when we left Petaluma, recalling all the good times, hard work and wonderful friends and customers.” They painted a sign and left it in the front window. “Moved to Santa Rosa,” it read, “BUT WE WILL BE BACK.”

It took 38 years, but in 2014, the new Petaluma branch, now the headquarters, opened in the Deer Creek Village shopping center on North McDowell Boulevard. In the intervening years, two more branches opened – in Ukiah and the city of Sonoma.

It remains a family business, with 43-year-old Barry Friedman, Benny’s grandson, now heading the firm. “I feel honored,” Barry said, “to steward this organization into the future.”

Barry said community connection has always been an integral part of the firm.

“The way my grandfather and his brothers approached business was to treat people fairly, see what the community needs and do what meets those needs, and then give back to the community,” he said.

Asked what has kept Friedman’s so strong for so long, Barry stressed the company values: lead, connect, grow, serve and care.

“Those are part of our daily work,” he said.

All new employees spend their first day in a company orientation, learning about the firm’s history and ethos.

“I greet them, ask about them and ask why they chose Friedman’s.” He emphasizes to them the importance of people: “how you treat your fellow team members and customers.”

We see it as “the three circles,” he said: the team, the customers and the community. And the team is “the people who’ve committed themselves to Friedman’s.” Even those who’ve been there for a shorter period, “they want to be part of something, and they get to be because nothing happens without them. You’re not doing it because you’re being asked to, but because you want to.”

He began working in the store when he was 8, “pushing carts and bagging for the cashiers.” After college though, he wanted to make sure the firm was the right fit for him. For a while he investigated being a cowboy in Montana and worked with an auto racing team in North Carolina.

“But I was drawn to this business and in 2004, came back and started from the beginning, as a cashier.” He worked his way up, he explained, to “keep grounded. I knew I’d have opportunities, but I wanted to learn the business, understand the parts and pieces.”

In 2013, he became president and CEO. “I love it: what we do, who we do it for, and I love our place within the community. There’s a lot of pride to know we’re a local business, providing great jobs and careers.”

One of Friedman’s trademarks is the knowledgeable, helpful staff. In “The Friedman’s Way,” longtime general manager Ron Adams spoke about the time he showed Friedman’s to an executive of a big box store. “I walked around … with him,” Adams said. “When we got to the cast iron stoves, he said to me, ‘We sell them too.’ I replied, ‘No, you have them. We sell them.’ That’s how I felt about Friedman’s… We trained our employees to have a deep knowledge of our product lines and a real focus on customer needs.”

Many locals are familiar with the company’s original slogan, “If we don’t have it, you don’t need it.” That, Barry said, was bestowed by a regular customer in the early years. The man came down from Willits as the firm had become well known as a place to locate hard-to-find items. One day he remarked, “If you guys don’t have it, I don’t need it.”

He later gave permission for the brothers to use the slogan. Now, Barry said, it’s a relic of a time when things were hard to find. “It’s a nice thing,” he added, to hear longtime county residents reminisce about driving by that sign as a kid.

What about the future? “We’re trying to create a stronger foundation for future growth,” Barry said. “Even though we’ve been around a long time, our company has grown. Some of our processes needed to be strengthened and, in the last few years, we’ve focused on solidifying that foundation. We will only grow if we can ensure that we can keep the culture and the service that we expect – and that connection to our community.

“So a paced, thoughtful growth,” he concluded. “We want to make sure we keep our uniqueness, not just grow for the sake of growth.”

https://www.petaluma360.com/article/news/friedmans-a-petaluma-landmark-celebrates-75-years/

Report: Marin among Bay Area leaders in pandemic exodus

Marin was among the Bay Area counties with the largest outward migration after the start of the pandemic, according to a new report.

Since the COVID-19 crisis began, the number of people who have left California has decreased by 38%. Not so in the Bay Area, which remained one of the few regions that has seen an uptick in residents relocating, according to the California Policy Lab, a research institute based at the University of California.

Marin ranked No. 4 in the region for an overall 24% change in exits since the first quarter of 2020, and a 22% total exit rate increase from that period until the third quarter of 2021 — outpacing Contra Costa and Sonoma counties at 22.2 % and 20.9%, respectively. San Francisco tops the list of the most exited counties, at an increase in exits by 37.9%

Marin residents also moved at a 5.2% higher rate than they did pre-pandemic, compared to Contra Costa County at 1% and Alameda County at 6%.

The Bay Area had been one of the top four destination regions in the state, attracting new residents between 2016 and just before the pandemic, according to the report, which was released Dec. 15. Tens of thousands of people flocked to the area for high-paying tech jobs despite high housing costs.

Analysts say the report corresponds with a recent trend of population loss. Marin lost 1% of residents in 2020, or 2,614 people, according to the California Department of Finance. The highest losses were in unincorporated areas, at 2.6%, or 1,809 people, and in San Rafael at 0.6%, or 369 residents.

Mike Blakeley, chief executive of the Marin Economic Forum, said the reason for the defections is unclear.

“It’s really hard to know why it occurred,” he said “The flow of people in and out of Marin is really an individual choice.”

Blakeley said relocation might have been prompted by an ability to work remotely or for quality of life and affordability.

Cynthia Murray, chief executive of the North Bay Leadership Council, said the report’s significant finding is in “the steep drop in people choosing to locate to Marin, which exacerbates the residents choosing to move out of Marin.”

Those factors combined may have a significant impact on the availability of Marin’s workforce and economic vitality, she said.

Caroline Peattie, executive director of Fair Housing Advocates of Northern California, said she thinks the high exit rate seems connected to concerns about affordability and racial disparity.

Marin home values continued to soar, reaching an average of $1.5 million for a single-family home, a 15.8% increase over last year, according to the real estate data firm Zillow. Rental prices rebounded to more than 6% higher than before the pandemic — with the average apartment priced at $2,683, according to real estate data provider CoStar Group.

”My major concern from a fair housing perspective is that the lack of affordable housing means we will continue to become a less diverse county,” Peattie said.

“Particularly given the recent Race Counts Marin report, this is something Marin County should be focusing on,” she said, referring to a study of inequity. “We need to do more to affirmatively further fair housing.”

Steve Levy, director of the Palo Alto-based Lab for Continuing Study of the California Economy, said the Bay Area’s cost of living is a key factor.

“We continue to be very expensive,” Levy said. “Except for very high-income people, it’s not surprising that the number of people dropped.”

But Levy thinks the trend could reverse, noting that the Bay Area has had an increase in the number of residences for low- and medium-income people.

Marin cities and towns continue to struggle to meet state mandates to increase housing stock.

“The main factor in both exits and entrances is the high cost of living in Marin, especially due to the high cost of housing,” Murray said. “It has been a growing trend that the pandemic accelerated that those whose work allowed them to work remotely or are able to find other employment have been relocating to areas of higher affordability and lower cost of living.”

“As long as Marin doesn’t build more workforce housing, we can expect growing families to move to where housing meets their financial needs and for outsiders to avoid the inflated housing prices in Marin,” she said.

North Bay Children’s Center’s Fitch Mountain Preschool Unveils New Outdoor Classroom, Play Space

Preschool children helped Healdsburg Unified School District (HUSD) Chris Vanden Heuvel cut a white ribbon for the unveiling of the newly renovated outdoor classroom and play area at the North Bay Children’s Center (NBCC) Fitch Mountain Preschool on Dec. 15.

The outdoor classroom is part of NBCC’s Garden of Eatin’ program, which incorporates edible education and garden nutrition into the daily lives of preschool aged children through hands-on curriculum aimed at setting the course “for a lifetime of healthy choices while building a connection to the natural world.”

The program uses evidence-based strategies with measurable outcomes which were studied by the University of California, San Francisco in 2015 and later published in the American Journal for Public Health.

“There is something fundamentally healthy about outdoor play and learning for young children. NBCC has created a special place where children’s imagination can reach their full expression. This is a real treasure for Healdsburg families, exceeding everyone’s expectations. All the elements of the program are very creative and provides an enriched learning experience for the children,” Vanden Heuvel said in a NBCC press release.

“Our vision for a nature-based outdoor classroom and play space began four years earlier when NBCC was brought in to manage the HUSD state-funded preschool program,” said NBCC President and CEO Susan Gilmore. “We took a blacktop playground area adjacent to the preschool classrooms and transformed it into a magical learning environment for early childhood discovery that includes a natural play space with robust edible gardens woven throughout.”

While Gilmore couldn’t attend the ribbon cutting, NBCC Vice President of Programs Kristina Sisseck attended and on behalf of Gilmore, thanked the many individuals who were involved in helping bring the project to fruition.

“I would like to acknowledge some extraordinary individuals. Healdsburg Unified board members along with Superintendent Chris Vanden Heuvel and his administration team for embracing our vision. They approved the construction plans and agreed to replace the existing playground structure with more innovative options. We also want to recognize the Healdsburg Facilities Department for working with us on construction plans and managing endless landscaping deliveries,” Sisseck said.

Gilmore’s statement, which was read by Sisseck, also thanked Sisseck for her work on the project and the playscape design team — Jay Beckwith and NBCC’s Garden of Eatin’ Director Teresa Fogolini and her team for designing and managing the implementation of the project — as well as Fitch Mountain Preschool Site Supervisor Nicole Porter.

Lastly, the senior facilities/maintenance technician Brian was honored and thanked for his “innovative engineering, resourcing and construction.”     

 The new outdoor space features design elements using all natural and recycled materials. The space includes a living “willow hut” where kids can play in and gather, an outdoor classroom area, fruit trees and garden beds, a mud kitchen and a sand area. There’s also a slide and a climbing space and a trike track for riding tricycles.

Vanden Heveul called the new outdoor classroom and play structure a work of art.

“It’s just beautiful so I couldn’t be more pleased,” he said.

Vanden Hevel lauded the organization for being one of the first to open early in the pandemic in the Spring of 2020 and for bringing kids together at an early age.

“They (NBCC) partnered with us to do preschool and we chose them because of their strong commitment to make preschool accessible to all in Healdsburg and to bring our community together. We all have barriers in Healdsburg that are between us and the vision was to have a preschool that would be accessible to all and really break down those barriers, whether they are ethnic or socioeconomic, and bring kids together at the earliest of age and they’ve done an amazing job,” he said.

The NBCC operates 14 locations throughout the North Bay and the Fitch Mountain Preschool offers full year and half-day programs.

https://soconews.org/scn_healdsburg/news/fitch-mountain-preschool-unveils-new-outdoor-classroom-play-space/article_2572761a-5f53-11ec-8670-d333c9a5a285.html

College of Marin Construction Career Opportunities

 

College of Marin Trades Program Prepares More Grads

Eighteen students will graduate next week from a construction trades program at College of Marin, joining nearly 100 others to pass through the curriculum since it started in 2018.

The program — a partnership among College of Marin, Canal Alliance in San Rafael and the Marin Builders Association — has had 115 students reach graduation, including the 18 students in the current group, said Axel Flores, workforce development manager at Canal Alliance.

“We only have three out of all 115 of our students who are unemployed,” Flores said Friday.

The current course began Oct. 11. The graduation event is scheduled for noon Dec. 11 at the college’s Indian Valley Campus in Novato.

The course took place at the Novato campus to give students access to construction equipment needed for the class, Flores said.

“The benefit of taking this class is learning to develop new skills to work in the field of construction and to further my career and make more money,” said Armando Huinac, one of the current students.

According to Flores, Canal Alliance provides a full suite of support services to each student in the program, including job interview training, resume services and job placement assistance. The nonprofit also keeps a spreadsheet of local employers to help graduates find work.

“Our mission has been to connect Latino residents with higher paying jobs in the construction industry,” Flores said. The target pay level when the program started was at least $21 per hour, he said.

“The significance of the class training is to add to the students’ existing experience,” said Tom Eller, the instructor for the course, which is tuition-free.  “More training to improve their value as an employee and increase their confidence in construction.”

Eller, a contractor in Woodacre, added that “knowledgeable employees are a direct asset to the employer and to the community.”

Kevin Quispe, a student, said the program has helped in other areas of his life beyond construction skills.

“I have gained more confidence by taking this class,” Quispe said. “It has helped me overcome my fears and to see a brighter future.”

“I know I have options in other career paths,” he added. “I now can help friends who need help in construction.”

https://www.marinbuilders.com/news/details/marin-builders-association-in-the-news-college-of-marin-trades-program-prepares-more-grads

North Bay Business Journal has its First North Bay GIVES Awards

Companies and individuals making a difference for others in the North Bay are being honored by the North Bay Business Journal at its first North Bay GIVES Awards.

The awards recognize a wide variety of organizations and individuals, from organizations working on specific issues, like education or housing, to those who have provided financial support for other groups addressing issues like feeding the hungry. Individuals receiving this year’s honors include people who have supported elevating the lives of the disabled, helped in insuring farming remains a viable way of life, as well as helping insure seniors have a place to live in our communities.

Recipients will be honored at an awards ceremony to be held virtually on Dec. 15 at 4 p.m. Register for this free event at nbbj.news/gives21.

The Journal will profile these winners in its Dec. 27 issue.

Organization honors

Friedman’s Home Improvement

Quattrocchi Kwok Architects

Arrow Benefits Group

Clover Sonoma

Community Resources for Children (CRC)

Kaiser Permanente

North Bay Association of Realtors

The Boys and Girls Clubs of St. Helena and Calistoga

Individual honors

Paul and Deborah Cleveland, volunteers and donors, Becoming Independent

Mary Stompe, executive director, PEP Housing

Ryan Klobas, CEO, Napa County Farm Bureau

https://www.northbaybusinessjournal.com/article/article/11-organizations-individuals-named-as-north-bay-gives-awards-winners/

Sonoma State University to Provide New Spring 2022 Students Free iPads as Part of the CSUCCESS Program

Sonoma State University (SSU) will be participating in a pilot of the second phase of CSUCCESS (California State University Connectivity Contributing to Equity and Student Success) to enhance student achievement and create more equitable opportunities. More than half of CSU’s campuses are now participating in this groundbreaking technology distribution program, bridging digital equity for students across California.

Incoming new first-year and transfer students who are joining SSU for the Spring 2022 term will be eligible to receive a technology bundle that includes a new iPad Air, Apple Pencil, and Apple Smart Keyboard. Students will be provided with this iPad bundle for the entirety of their undergraduate experience at Sonoma State.

“I’m excited to expand this important program to even more incoming students this spring to help bridge the digital divide and establish a technological foundation for achievement from day one of their college journey,” said CSU Chancellor Joseph I. Castro. “The program shows tremendous promise in advancing our goals of student success and educational equity.”

CSUCCESS is the largest device distribution program of its kind in the nation coming from the largest and most diverse system of four-year higher education in the U.S. Nearly half of all CSU undergraduates receive Pell Grants — demonstrating financial need — and nearly one-third are the first in their family to pursue a bachelor’s degree.

Throughout the state, students reported difficulties accessing quality devices and reliable internet during the pandemic. CSU campuses stepped up by offering mobile hotspots and short-term loaner laptops to help overcome some of these obstacles. The CSUCCESS initiative builds on these efforts to address the issue at scale and over the whole span of the undergraduate degree, making more high-quality devices available to more students, while leveraging the size of the CSU to secure strong partnerships with major national vendors like Apple.

Sonoma State’s CSUCCESS pilot is currently for Spring 2022. Continuing SSU students who need a computer may borrow a laptop through the university library’s Laptop Loan program. The laptop loan program serves as an alternative in concert with CSUCCESS to ensure that students have the tools they need to succeed.

“CSUCCESS is a revolutionary effort to increase student access to the digital tools they need to succeed in college and move forward into careers that meet the workforce needs of California. Sonoma State is proud to be part of this program in support of our students. These devices will help undergraduates make progress towards graduation and offer new opportunities for teaching and learning in the classroom,” said University Provost Karen Moranski.

“The CSUCCESS program is one way for us to remove barriers to success for our diverse and talented students so they feel supported and empowered to focus on their academics,” said Chancellor Castro. “Reliable, modern technology builds a foundation for achievement and can transform opportunities for our students statewide.”

The program is an important component in the CSU’s efforts to recover from the pandemic and improve student success while eliminating opportunity and achievement gaps as part of Graduation Initiative 2025.

Visit the CSUCCESS website for additional information about the program.

https://news.sonoma.edu/article/sonoma-state-university-provide-new-spring-2022-students-free-ipads-part-csuccess-program

53rd Annual Public Media Awards Finalists Announced

Northern California Public Media (NorCal) has been recognized as a finalist in two categories for The National Educational Telecommunications Association (NETA) 53rd Annual Public Media Awards (PMAs). Each year, the Public Media Awards celebrate NETA members’ finest work in community engagement, content, education, and marketing and communications.

“Northern California Public Media is so proud to have been nominated in two categories, Outstanding Podcast for Living Downstream: The Environmental Justice Podcast, and Outstanding Independent Production Afro-Latino Travels with Kim Haas, Kim Haas/Northern California Public Media,” said NorCal’s President and CEO, Darren LaShelle. He continued, “This year has brought many challenges, but our team of talented producers and reporters have done outstanding work. We are so pleased to have our efforts recognized by the PMAs.”

Award winners will be announced during the 53rd Annual Public Media Awards Gala presented by Georgia Public Broadcasting (GPB) on January 25, 2022, as part of the NETA Conference and CPB Public Media Thought Leader Forum.

Awards were judged by a group of expert panelists from within the public media system, as well as industry professionals working outside of public media. Except for the overall excellence categories, stations competed within their appropriate divisions based on their station size.

About NorCal Public Media
The Rural California Broadcasting Corporation (which owns and operates Northern California Public Media), is the licensee of KRCB TV in the North Bay, KPJK TV in the South Bay, and KRCB 104.9 FM Radio. In order to encourage full participation in society and community, Northern California Public Media provides educational, informational and cultural telecommunication services in partnership with our community.

About NETA
The National Educational Telecommunications Association (NETA) is a professional association representing 279 member stations in 47 states, the Virgin Islands, and the District of Columbia. NETA provides leadership, general audience content, educational services, professional development, and trusted financial management services, including human resources and benefits administration, to individual public media licensees, their affinity groups, and public media as a whole, visit netaonline.org

SPARC CEO Erich Pearson and Other Sonoma County Cannabis Companies Fearing Market Collapse, Sonoma County Cannabis Industry Seeks Cultivation Tax Removal

Stemming from a threatened raise in state cannabis cultivation taxes, the Cannabis Business Association of Sonoma County and the Sonoma Valley Cannabis Enthusiasts have joined forces and plan to ask for “immediate tax reform” from the Sonoma County Board of Supervisors on Dec. 7.

“Every licensed cultivator is in dire survival mode, said local cannabis regulatory attorney Joe Rogoway, who drafted resolutions to present to supervisors requesting the county lobby the state to repeal the cultivation tax. They’re also asking the county to eliminate or suspend its local cultivation tax for three years.

Sonoma County taxes a dozen types of licensed growers from $1.12 to $12.65 per square foot depending on the category.

Rogoway contends the unprecedented tax structure was established after voters passed adult, recreational use in Proposition 64 in 2016 based on what farmers could grow on their property. It was based on “the fiction” the industry had unlimited potential.

“That fantasy never panned out,” he said.

Ranging from lobbyists to ancillary producers to dispensary owners and advocates, many fear a collapse of an industry already reeling over a drop in prices, ongoing competition with the illicit market and already burdensome tax structures on federal, state and local levels.

From growers to retailers, cannabis businesses pay a multitude of taxes, including excise, sales and employment. Labeling an insult to injury, the U.S. government imposes taxes without even recognizing the industry as legal. But California does, and in turn, taxes the distribution channel every step of the way.

The state announced a week ago a raise in the cultivation tax rates in January to reflect a rise in inflation, which nationally stands at 6.2%. Since then, at least one cannabis business, leaders of Flow Kana, based in Mendocino, told the Sacramento Bee that it may not pay.

But the state Department of Cannabis Control Director Nicole Elliott warned that not doing so would only prompt the state “to take action.”

Elliott, a longtime industry advocate and up until July Gov. Gavin Newsom’s senior cannabis adviser, said she understands the frustration among the industry.

“State law says you pay your taxes. This is a fundamental component of tax law. But I get we’re seeing business is in this very challenging moment,” she told the Business Journal.

Elliott urged the industry and their local representatives to take their issues to the state Legislature. Calls to California Sen. Mike McGuire, D-Healdsburg — a longtime cannabis industry advocate as well — were unreturned.

“They need to explain their pain points,” she said, adding it will take “a collective effort” among all the players to pull off change.

When asked whether she believes a tax hike will drive licensed operators into the illicit market, she said: “The state does care deeply about our legal market. If they choose to drop out, they’ll lose the integrity of the benefits of being in the legal market.”

With 68% of local jurisdictions in the state disallowing cannabis operators, a solution may lie with the federal government “getting off the sidelines” in providing safe harbor for the industry and legalizing it alongside the largest state provider, she said.

“Until then, California will continue to see these issues,” she said.

California’s current cannabis cultivation tax stands at $9.65 an ounce for dry cannabis flower as an example. Come Jan. 1, growers will be taxed $10.08.

As of Nov. 16, the state collected $322.34 million in taxes for the third quarter, the Business Journal reported Nov. 29. Of that amount, cultivation taxes comprised $42.41 million.

The California Department of Taxation and Fee Administration told the Business Journal the excise tax rate — collected from consumers for goods sold — will remain the same.

But that consolation fails to fend off industry outrage.

“Our industry is in deep trouble. We’re impacted on several important fronts. Our industry is taxed like no other, we have few retail outlets available to us, the illicit market continues to boom, and we face unparalleled regulatory hurdles,” association co-founder and Erich Pearson, CEO of SPARC in Santa Rosa, said in a statement. “Frankly, what we’re experiencing is a market collapse.”

The concern has spread statewide.

“Could we experience a collapse? Yes. And I think it will be more widespread than you think. The small guys are not going to make it,” California Cannabis Industry Association lobbyist Amy Jenkins told the Business Journal.

Jenkins, whose Precision Advocacy company represents many cannabis industry clients, recommends changing the tax structure. But first, she’s suggesting the state view the market fluctuations of the product before taxing cannabis, not lump it with all other goods, which are seeing a rise in prices. A one-size-fits-all approach does not work.

“What metrics are they using? We acknowledge it’s an inflationary move. But the cultivation price is down. They need to use the wholesale price of the cultivated product,” she said.

But Jenkins stopped short of saying “not paying” is the answer.

“Some companies talk about doing that, but it violates the law, and the state will just revoke their licenses. I don’t advise my clients to do that,” she said.

Nonetheless, North Bay cannabis business operators from a variety of angles are disgruntled by the state’s plans.

“A tax boycott is what you do when you have nothing to lose,” said Tiffany Devitt, chief of government affairs for CannaCraft, a large cannabis producer in Santa Rosa. “And it’s tragic.”

Devitt said three solutions need to be implemented to fix the problem.

For one, the state needs to make good on its promise dictated in Prop. 64 to drive out the black market.

“The state has utterly betrayed what voters voted on,” she said.

Also, Devitt insists the cultivation tax must be removed “completely” since the product is taxed up the supply chain anyway.

Plus, the excise tax needs to drop to make a market correction.

No action is not an option for any business associated with the cannabis industry, Devitt stressed, calling the build-up of the collapse one that nears “an extinction event” if the industry is expected to simply weather the storm.

“No one in the cannabis industry is not hit by this,” she said.

“This is brutal and more of a blow to a real difficult environment,” said Eric Sklar, co-founder and CEO of Napa Valley Fume, a cannabis brand. “This will require leadership (to fix). Everyone knows (the system) is broken.”

Sklar contends the added pressure on licensed cannabis brokers will help the black market flourish.

“It’s getting out of control. The illegal side continues to be very big,” he said. “What this does is encourage businesses to never go legal in the first place.”

From the view of Sebastopol’s cannabis dispensary operation, Solful, CEO Eli Melrod agreed the impact of the squeeze on growers goes way beyond those cultivating the plants.

“With some, more taxes are collected than revenue coming in,” Melrod told the Business Journal.

The dispensary operator doesn’t necessarily advocate refusing to pay state taxes. Instead, he considers the proposal a form of “drawing attention” to the issue and calls it a measure of “last resort,” he added.

“This problem is very real. It’s death by a thousand cuts,” he said.

https://www.northbaybusinessjournal.com/article/industrynews/fearing-market-collapse-sonoma-county-cannabis-industry-seeks-cultivation/