HomeMy WebLinkAboutCannabis Cash Payment PolicyDate: January 1, 2021
Dear Cannabis Business Operators:
Due to the high volume of cash being presented for cannabis tax payments, the City of San Luis
Obispo implemented the following cash payment policy.
Effective immediately, each operator will be responsible for confirming that the amount of cash
being submitted to the City with the cannabis tax form is accurate and matches the amount of the
tax owed to the City. The operator will contact Jacob Nunez, Revenue Analyst at (805)-781-7148
to schedule an appointment to drop off the cash payment and will receive instructions for the day
of the appointment.
The cash payment must be in a sealed bag which staff will immediately place , along with a deposit
slip, into a bank deposit bag that will be sealed in front of the customer. It will not be opened until
it is received by the City’s bank for deposit. The operator will be given a receipt for the transaction,
based on the tax form.
If the City receives notification from the bank that the amount of the deposit does not match what
is indicated on the tax form, the operator will be responsible for any shortage. The operator will
be notified and will have five (5) business days from the notification date to make a payment to
correct the discrepancy. If the operator does not reconcile the payment within the five (5) business
days, penalties and interest as prescribed in SLO.M.C. Section 5.10.100 will apply. If the deposit
is more than indicated on the tax form, the City will issue a credit on the account for the overage
and will notify the business operator for reconciliation with a future payment.
Failure to adhere to this policy will result in the City not accepting the cash payment and alternative
payment options will have to be used.
Respectfully,
Brigitte Elke
Finance Director