Marijuana Taxes and Education Uses
There have been lots of questions regarding the marijuana taxes and their impacts on Widefield in light of announcing our plan to place a bond and mill levy override measure on the November ballot. We would like to take this opportunity to “set the record straight” in regards to these funds.
Coloradans were promised that legalizing marijuana through Amendment 64 in 2012 would result in a major increase in funding for public schools. While this led to the creation of new revenue streams, the "fine print" of the amendment directed only the first $40 million in annual marijuana excise tax revenue into the BEST (Building Excellent Schools Today) Fund—a competitive matching grant program for public school construction and renovation projects across Colorado’s 178 school districts.
To this day, very little marijuana tax revenue supports the day-to-day operations of schools, and legalization has not resolved the systemic funding challenges faced by many school districts.
How BEST Grants Work
Funding from a portion of marijuana taxes goes toward Building Excellent Schools Today (BEST) grants. School districts can apply for this grant to be used for construction of new schools as well as general construction and renovation of existing school facility systems and structures.
WSD3's Benefits from BEST
BEST grants work by matching funds. We need to fund our portion (65% for 2025) of the project in order to receive 35% from the BEST grant. BEST grants typically are funded for health, life, and safety reasons. If we receive a BEST grant for a project on the bond list, this would allow us to maximize our funding for other needed projects. WSD3 has effectively applied for and received BEST grant funding previously.
- 2019 Fire Alarm / Camera Upgrades: $655,193.00
- Installation of new fire panels and devices at Venetucci and Pinello elementary schools, Sproul Junior High, Discovery High School, and SA Wilson.
- Installation of new video surveillance system at Venetucci, Sunrise, and Webster elementary schools and SA Wilson.
- 2020 Widefield HS Health & Safety Upgrades: $2,811,970.00
- Installation of new redundant boiler system, removal of asbestos ceiling and flooring, installation of new carpet and LVT, paint, new grid ceilings, upgraded electrical with LED lighting, some exterior lighting upgrades and lighting controls.
- 2021 Watson Jr. High Asbestos Removal/ Renovations: $766,700.00
- Renovations of seven classrooms and the counseling center along with approximately 4600 sq. ft of corridor. Work included asbestos removal for the floor and ceilings, repair, patch and paint walls, new grid ceilings with updated LED lighting and controls, new electrical devices, code compliant windows, relocation of fire devices and new carpet throughout the work area.
- 2021 ES & MS Boiler Replacement: $568,130.00
- Removal and Installation of higher efficiency redundant boiler systems and controls at Widefield Elementary and Talbott Elementary and Sproul Jr. High.
- 2022 Watson JRH Boiler Replacement: $527,725.00
- Removal and Installation of higher efficiency redundant boiler systems and controls at Watson JRH.
- 2024 Janitell Jr. HS Roof Replacement / HVAC Improvements: $2,987,835.05
- Replacement of main building roof and replacement of existing heating system with the incorporation of air conditioning.
BEST Fund – School Construction
- From 2015–16 through 2020–21, Colorado allocated approximately $40 million annually to BEST grants—though in high-revenue years this figure increased (e.g., $89.7 million in 2019–20 and $120.3 million in 2020–21), according to the Colorado Department of Education.
- The program focuses exclusively on capital and facility upgrades (not operations like salaries or curriculum) and typically requires a local funding match.
- To put it in perspective, $40 million is enough to build only one new school statewide. Most BEST grants go toward safety, HVAC, and environmental improvements, not new schools.
Marijuana Tax Cash Fund (MTCF) – Education & Grants
Separate from the BEST Fund, the Marijuana Tax Cash Fund (MTCF) supports niche education and public health programs. These are often competitive grant-based initiatives, not broad funding for school operations.
Key examples include:
- School Health Professional Grants
- $2.3 million in early years; increasing to ~$11.9 million annually since 2017
- Early Literacy Competitive Grants
- $4.4 million to $5.4 million annually over multiple years
- Bullying Prevention, Dropout Prevention, and Social-Emotional Health Grants
- Ranging from ~$1 million to $2 million annually
In addition, about 12.6% of the state’s marijuana sales tax revenue is directed to the State Public School Fund, which supports general K–12 education budgets. For example:
- In 2020–21, this contribution was approximately $32.9 million
- In previous years, contributions ranged from $20 million to $30 million, according to the Colorado Department of Education
How Does This Compare to Total School Funding?
Despite the hype, marijuana tax revenue accounts for only a small fraction of total education funding in Colorado:
- In 2017–18, marijuana taxes contributed about $90 million, compared to a total K–12 budget of approximately $5.8 billion—just 1.6%.
- As of the mid-2020s, marijuana revenue still represents only about 1%–2% of statewide K–12 education funding.
Most of the marijuana tax funds do not support teacher salaries, classroom materials, or daily school operations—those remain the responsibility of the state’s general fund and local tax revenues.
In Summary
While marijuana legalization has provided additional dollars for education, the bulk of the funding has been targeted, limited to capital improvements and competitive grant programs—not the operational needs of schools. Many communities, including WSD3, have benefited from this funding, but it is not a comprehensive solution to Colorado’s ongoing school funding challenges.
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