Medical marijuana sales revenue has been confirmed to be used for helping homeless people.
Aurora, Colorado, the third largest city in the state, announced that $1.5 million generated from a tax on recreational pot will be used to support the homeless people, Huffington Post reports.
In 2015, pot sales revenue was intended to help people in need. According to Denver Post, Aurora city officials had been expecting that marijuana sales will be doubled in 2016.
"We're new into it," budget officer Greg Hays said.
Before the city came up with this decision, it underwent the longer discussion on what to do with $4.5 million over the next two years.
Recreational marijuana has been open in the market in Portland since October 2014. In that time, only a few stores in the state were allowed to sell. By the end of 2015, 12 more marijuana-friendly stores opened and six more are expected to open in 2016.
On Feb 29, 2015, the initial approval to allocate $1.5 million for homeless services from the city's 2017 and 2018 budget was approved by council members during a special study session.
A nonprofit organization, The Colfax Community Network, which started since 1999, will receive $200,000 from the special fund, as reported by Aurora Sentinel. According to the source, the organization educates low-income families living in motels and apartments.
"The Colfax Community Network is in extremely dire straits in that they do not have funds to continue operating," said Nancy Sheffield, director of Aurora neighborhood services.
CCN also provides food, clothing, diapers and hygiene products to the homeless familes in the local hotels. Aurora Mayor Steve Hogan agreed with reservation abou funding CCN.
"I believe there's a value to it beyond just what it does," Hogan said.
"That value is that it's an organization that's been around for years. Organizations that have been around for years tend to catch the eye of funding foundations. The problem with Colfax Community Network is, in my view, there were a lot of well-intentioned people who had no idea how to go out and get money. That's why they're in trouble now. Saving it makes sense to me," he explained.