The use of marijuana in California for select medical purposes has been legal since 1996; at least in concept. The federal government refuses to recognize any state law that authorizes the use of marijuana for any reason and has prosecuted both suppliers and users even when they are protected by these laws.

Recently, the Obama administration has declared that it will no longer prosecute those abiding by a state's "medical purpose" statute. There is another factor that is taking the marijuana battleline closer to legitimacy and that is the struggling economy.  

California, whose 26 billion dollar deficit, is suffocating the emotions of taxpayers and lawmakers alike, is playing with the idea of legalizing marijuana's use to increase revenues with a hefty sales tax. As one official said, "[i]n hard budget times people are willing to be more creative" including the consideration of "untouchable topics."  Today, California earns approximately 18 million dollars in taxes for transactions under its "medical purpose" statute.

Local authorities in California have recognized this potential stream of income as well and have implemented or increased municipal sales tax ordinances on pot transactions.  A few weeks ago, the town of Oakland passed a measure that increased local sales tax on legitimate pot transactions by 15 times the former rate. The measure captured 80% of the vote. One grower applauded the event noting that the tax "is a lot cheaper than lawyers."